SCA ule 68

Question 1

What is fore closure?

Answer 1

The equitable action by which a mortgagee or a pledgee or any other lien holder cuts off the right of the debtor whose property is pledged, because of default in meeting the obligation.

Question 2

Which court has jurisdiction over an Action for Foreclosure of Real Estate Mortgage?

Answer 2

A: It shall be the Regional Trial Court or the MTC based on the assessed value of the property as
provided for under Section 19 of B.P. Blg. 129.

Question 3

Where is the venue of an action for foreclosure of real estate mortgage?

Answer 3

An action for foreclosure of real estate mortgage is a real action involving an interest over a real
property, and therefore, venue lies where the real property is located or any portion thereof is
situated.

Question 4

True or false. Personal Notice to the Mortgagor is indispensable

Answer 4

False., Personal notice to the mortgagor is not necessary for the validity of the
foreclosure proceedings.

Question 5

Distinguish between RIGHT OF REDEMPTION VS. EQUITY OF REDEMPTION

Answer 5

1. The right of redemption exists in extrajudicial foreclosure; while equity of
   redemption exists only in judicial foreclosure.
2. In extrajudicial foreclosure, the mortgagor (or his successor-in-interest) may
   exercise his right of redemption within one year from the registration of the sale
   in the Office of the Registry of Deeds; while in judicial foreclosure, the mortgagor
   (or his successor-in-interest) may exercise his equity of redemption during the
   period of not less than 90 days nor more than 120 days from entry of judgment
   of foreclosure or even after the foreclosure sale but before the judicial
   confirmation of the same.

Question 6

When is right of redemption available
In judicial foreclosure of mortgage.

Answer 6

Where the mortgagee is the Philippine National Bank or any banking institution.
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Question 7

RIGHTS OF THE PURCHASER IN AN AUCTION SALE

Answer 7

1. Entitled to the possession of the property unless a third party is actually holding the same
   adversely to the judgment obligor;
2. The said purchaser or last redemptioner may secure a writ of possession, upon motion, from the
   court which ordered the foreclosure.

Question 8

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