The mortgage It is a guarantee in favor of a creditor. The creditor – usually a financial institution – can exclude if the lender does not repay the loan. Once the obligation has been fulfilled, the debtor has the right to terminate the guarantee, i.e. to terminate the mortgage. This site uses Akismet to reduce spam. Find out how your comment data is processed. A fee of $1 will be charged for each register or document consulted. These deductions constitute a safeguard mechanism that avoids the publication of legal hypothecs on immovable property and makes it possible to carry out their removal without having to pay twice as much when they are published. The legal hypothesis results from the application of the law independently of the will of the persons concerned. It protects creditors, but is not without risk. However, the law provides for certain measures that must be taken to cancel this type of mortgage. The waiver of the right to the mortgage set out in a contract protects the owner against the registration of a legal hypothesis against his property. However, this waiver must not be a waiver of the right to “publish” a mortgage, as this is illegal within the meaning of article 2936 of the Civil Code of Québec.

The law recognizes four types of legal assumptions. These are the legal hypothesis of the State, the construction, the consortium of co-owners and the legal hypothesis resulting from a judgment. The legal assumption of construction gives the creditor the right to demand the sale of the property in court, even if the amount of the claim is less than the value of the property. It is therefore important to avoid registering this type of mortgage on your property. Otherwise, it is possible to replace the mortgage with another guarantee. However, it must be assumed that the value of the security is appropriate to replace the mortgage. The legal hypothesis of the consortium of co-owners protects the payment of common costs and contributions to the emergency fund. Mr. Hedi Belabidi successfully represented his client, the employee who wishes to be recognized as an accident at work, in his trial before the Administrative Labour Court (TAT). The employee contests the decision of the Commission des normes, de l`équité, de la santé et de la sécurité before the Administrative Labour Tribunal. By requesting the cancellation of the mortgage, it no longer appears in the land advertisement. 🔦 Once the provisional mortgage decision is in place, the creditor must register the mortgage with the land registry within 3 months.

This law allows him to register with the cadastral authority the amount of the debt and property in question. Such a provision is sometimes found in contracts between the general contractor and its subcontractors and suppliers. What conditions must be met to obtain the cancellation of a legal construction hypothec? As a rule, only works commissioned by the owner himself establish the right to publish a legal hypothesis. Although his property is pledged, the borrower reserves the right to request the release of the mortgage guarantee before the normal maturity. Certain conditions apply. In two cases, it is possible to cancel a mortgage before its term: in this sense, the notification allows the owner to identify which stakeholder he must request receipts from before making a payment to the general contractor. It is important to note that the legal assumption of builders takes precedence over the traditional mortgage of mortgage lenders. It is therefore likely to create significant irritation between the borrower and his financial institution, since it affects the guarantee of the financial institution.

It is a real estate law. It strengthens and influences the building in which the work was carried out for the added value that this work brings. Claims are secured by the mortgage, as it ultimately allows the sale of the property on which the mortgage is registered in court. The legal sale price is then allocated in whole or in part to the payment of the claim of the manufacturer, reconditioner or supplier of materials. Nothing found before is so complete and clear. Congratulations and thank you. The owner can enter into an agreement with the contractor to waive the legal hypothesis. Are you facing a legal hypothesis or do you want to ask for one to cover a debt? Contact a lawyer. Your notary or lawyer can help.

5) The protections offered to the owner The cancellation of a mortgage is an operation that usually requires a notarial procedure. A release is a legal act that puts an end to a certain situation, for example a guarantee. When registering a mortgage, the security is seized for a certain period of time. As a rule, this is the term of the loan, to which two years can be added. This extension makes it possible to cover the lender in the event of successive extensions of the terms. The cancellation of a mortgage therefore consists in removing it before the duration initially planned. The cancellation of a mortgage is the direct result of the repayment of the entire debt. However, in the case of legal cases, the law provides for certain protection mechanisms. M. Lefebvre is also a member of the Board of Directors of the Association de la construction du Québec – Région métropolitaine, a member of the Association québécoise des entrepreneurs en infrastructure (AQEI) and a member of the Canadian College of Lawyers in Construction Law This period is thirty (30) days from the end of all the work planned in the construction project in which the mortgagee intervened. Obviously, the last work can be done by another contractor.

For example, the thirty (30) day period to which an excavation contractor who performs his work at the beginning of the project is subject may be calculated from the date of the last work of the painter contractor, if it is the painter who performs the last work of the site. The works that give rise to the right to publish a legal hypothesis are construction, renovation or extension works that add value to the building. The cancellation of a mortgage before the scheduled date requires a visit to the notary and therefore entails a release fee. In order not to have unpleasant surprises, it is necessary to make an estimate. If the legal hypothesis of the contractor or material supplier who concludes contracts directly with the owner results from the simple fact of the conclusion of the contract, the legal hypothesis of the interveners who have no direct link with the owner is subject to a termination formality. Thus, the subcontractor of a general contractor or the supplier of materials selling to a contractor has no direct relationship with the owner. The Civil Code of Québec provides that the court may order the replacement of the legal hypothesis by another security if the owner proves the need, especially if a sale of the property is planned and the buyer needs an open title. The replacement of the legal hypothec by another guarantee The application for release©of the mortgage can be made in agreement with your bank or, if no agreement is possible, on the basis of a©court decision.

In Quebec, there are four types of legal hypotheses that can be registered on a property: the notary then submits this deed of©renunciation to the competent public relations department©©. © By applying for a mortgage, banks protect themselves from the risk of default by the borrower.