THE TRANSFER OF PROPERTY ACT 513
In the latter case, if they stand alone, merely give the obligee the ordinary right of a creditor to levy execution on the property of his debtor and do not create any pledge.
Supposing the case to fall under the first head, is such hypothecation good to create a mortgage.
In India, the validity of such securities has been questioned on the ground that a general hypothecation is too indefinite to be acted upon.
(1) It is said that such hypothecations sin against the canon that a contract form must be definite and reliance is placed upon Section 29 of the Contract Act and Section 93 of the Evidence Act.
(2) Vagueness is a misleading term. It may mean (1) either that the language is so indistinct that it cannot be understood or (2) that the property to which it relates is not specified in the contract.
(3) Indefiniteness is, however, frequency confounded with what has been called wideness.
The subject-matter of a contract may be wide and yet definite. On the other hand it may be narrow and yet indefinite.
If a man says “I mortgage all my landed property”, it is wide but definite.
If a man, who has several houses, says ‘I mortgage one of my houses’, the description is not wide but is still indefinite.
(4) The word ‘specific’ in the T. P. Act is used to distinguish it from general and unless the property is specified in the deed, there can be no mortgage in Law.
(5) The property must be specified although the Law does not say that it must be specified in any particular way.
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