502 DR. BABASAHEB AMBEDKAR : WRITINGS AND SPEECHES
III
REQUISITES OF A VALID MORTGAGE
This requires the consideration of the following topics:
I. Formalities with which a mortgage must be executed.
II. The proper subject-matters of a mortgage.
III. The capacity to give and to accept a mortgage.
IV. Contents of a mortgage-deed.
I FORMALITIES WITH WHICH IT MUST BE EXECUTED
Section 59. —
Except in the case of mortgage by a deposit of titledeeds, every mortgage created securing the repayment of Rs. 100 or more as principal money must, under the T. P. Act, be effected by a regisered instrument, signed by the mortgagor and attested by at least two witnesses.
Where the principal money is less than Rs. 100, a mortgage may be created either by such an instrument or except in the case of simple mortgage by delivery of possession of the mortgaged property.
If the principal is above Rs. 100, the transaction of mortgage must be in writing i.e. it must be by a deed and the deed must be :—
(1) Signed by the mortgagor.
(2) Attested by at least two witnesses.
(3) Registered.
- If it is less than Rs. 100 no writing is necessary. Parol agreement is enough in the case of ;—
(1) Simple mortgage.
(2) Conditional mortgage.
(3) English mortgage.
(4) Usufructuary mortgage.
Parol agreement plus transfer of possession.