Mortgagors ordered not to sell fixtures on TradeMe
A Whangarei couple has been ordered by the High Court to desist from advertising for sale a kitchen in a property where the mortgagee has taken possession.There have been more instances over the past couple of years of property owners selling chattels and
Chris Hutching
Wed, 22 Sep 2010
A Whangarei couple has been ordered by the High Court to desist from advertising for sale a kitchen in a property where the mortgagee has taken possession.
There have been more instances over the past couple of years of property owners selling chattels and fixtures in buildings to frustrate mortgagees and potential buyers.
In this case, Mortgage Holding Trust obtained an interim injunction restraining Matthew and Kim Roscoe from selling the kitchen.
Justice Paul Heath ordered that the Roscoes refrain from selling, damaging or removing any part of the kitchen unit at 14 Bush Haven Drive, Whangarei or allowing any part of the kitchen unit to be sold, damaged or removed.
Mortgage Holding has a first ranking mortgage over the property and on May 25 2010 it served a Property Law Act notice in relation to outstanding instalments of $9990.
Notice was given that unless that sum, together with $573.75 for reasonable costs, was paid on or before 5 July 2010, all amounts secured by the mortgage would become payable and Mortgage Holding would be entitled to exercise powers to enter into possession of the mortgaged land or to sell it.
An auction was scheduled for last Friday but a week earlier the Roscoes attempted to sell the kitchen through the TradeMe website. The advertisement suggested an urgent sale was required and that the kitchen had to be removed by September 17.
The Roscoes also indicated other items might be sold, particularly a rangehood.
“I am satisfied there is a serious question to be tried that the kitchen units are fixtures secured by the mortgage. I am also satisfied that removal of the kitchen could cause serious detriment to the price likely to be obtained by the mortgagee, at auction of the property.”
This story was first published in NBR Property Investor.
Chris Hutching
Wed, 22 Sep 2010
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