Code reads:—
'The mortgagee, who has not been pald at the maturity of an obligation fu hie favour, can apply to the 'Court fo have' the "mortgaged property. sold auction and tobe ald out of the Proceeds of the sale, This article was based on the German and Swiss codes. "In accordance with the purpose of the legislation, the Court, upon default of payment on maturity, shall sell the mortgaged Property by public auction; " this affords greater protection to' mor agees than what Is provided in the British and "American laws, requirement for Court action and Judgment is stipulated, Later, the Judicial Yuan issued the following interpretation, character "Yuan," No. 403:
Refore a mortgagee may sell by auc-on "any mortgaged property in the lexcrelae of hie right, he must frst being fan action "and walt" until Judgment The reason for this Interpretation was because in Ching no laws for Jand registration and for sale by public auction have yet been formula fated. Tt was therefore necessary {or the Government to be cautious towards the exercise of mortgage rights. (Vide "Judgment of the Supreme Court for civil ease No. 772, Character "Hang," the 20th year of the Republic of China.) As this was done fo ensure greater protection to the interests of mortgagors, we should not. find fault with the interpretation.
Text read from the printed page and cleaned; old type leaves the occasional error.