ACQUISITION BY FORECLOSURE Clause Samples
The "Acquisition by Foreclosure" clause defines the process by which a lender or creditor may take ownership of a property or asset if the borrower defaults on their obligations, typically under a loan or mortgage agreement. This clause outlines the conditions under which foreclosure can occur, the steps required for the lender to initiate and complete the foreclosure, and the rights of both parties during the process. Its core practical function is to provide a clear legal mechanism for creditors to recover their losses by acquiring the collateral, thereby allocating risk and ensuring that the consequences of default are understood by all parties.
POPULAR SAMPLE Copied 2 times
ACQUISITION BY FORECLOSURE. Where the mortgagee of a mortgage of record or other purchaser of any apartment obtains title to such apartment as a result of foreclosure of the mortgage, such acquirer of title, his successors and assigns, shall not be liable for the share of the common expenses or assessments by the Council chargeable to such apartment which became due prior to the acquisition of title to such apartment by such acquirer. Such unpaid shares of common expenses or assessments shall be deemed to be common expenses collectable from all of the appurtenant owners including such acquirer, his successors and assigns.