3 Aug 2011
ASB BANK LIMITED V SOUTH CANTERBURY FINANCE LIMITED COA CA553/2010
- Citation
- COA CA553/2010
- Court
- Court of Appeal
The Deed of Priority was drafted to operate on enforcement/forced sale events (as evidenced by definitions referencing an Enforcement Date and clauses dealing with sales by mortgagees or insolvency officers); it does not govern the application of proceeds in a voluntary sale by the mortgagor, so a deposit received by the first mortgagee in a voluntary sale did not reduce its priority entitlement under the Deed and ASB was entitled to judgment.