MORTGAGORS’ RELIEF

Stratford Evening Post, Volume IV, Issue 127, 11 May 1936, Page 5

MORTGAGORS’ RELIEF

EXTENDED PROVISIONS

Farmers’ Union Makes Suggestions.

RECOMMENDATION MINISTERP n Press Association—Copyright. Wellington, To-day. A recommendation that the existing mortgage legislation should be retained and extended, contained in the report of a sub-

committee, was approved at a meeting of the Dominion Executive of the New Zealand Farmers’ Union last week. It was decided to pass on the suggestions to the Minister of Justice, Hon. H. G. R. Mason.

The recommendations were:— 1. That the mortgage adjustment machinery provided under the Mortgagors’ and Tenants’ Relief Act, 1933, for the adjustment of mortgages should be retained and that its provisions should be extended to apply to all mortgages, the committee being of the opinion that the great changes in circumstances which have taken place since 1931 render it desirable

that the review of mortgage conditions offered under the Act should apply to'mortgages generally and not be confined to those entered prior to April, 1831. 2. That if the Rural Mortgagors’ F url Adjustment Act is to be conIxnued, the time should be extended under which morgagors may apply to come under the Act beyond April 30, 1936, because of the doubt and confusion created in the minds of mortgagors by the change ofvgovernrnental policy occasioned by the general election which had influenced many mortgagors to wait for further developments. Equity. 3. That the equity of the mortgagor who submits to a stay order and continues to develop his farm for five years should be put beyond doubt by an amendment to the Act authorising the Court to fix a minimum of 20 per cent, fr it is satisfied that the mortgagor has faithfully observed the conditions laid down by it for the period of the stay order. 4. That in the event of the Rural Mortgagors’ Final Adjustment Act being repealed, the Special Court of

Review be retained and be given the right, upon the recommendation of the Adjustment Commissioners, to make adjustment of principal as well as of interest: the mortgagee, of course, having the same rights as exist in the 1933 Act.

5. That if such adjustments are made by the Court the new mortgage shall be for a period of ten years as in the Final Adjustment Act, subject to the mortgagee’s right of appeal at any time against the conduct of the mortgagor.