Does a mortgagee have to seek remedies against the guarantor first?
Alberta, Canada
The following excerpt is from Meridian Developments Ltd. v. Nu-West Group Ltd., 1984 ABCA 75 (CanLII):
Chesler v. Currey (supra), cited by Kane, J.A., was an application for foreclosure before the Master in Ontario. The Master directed the matter be referred to a judge. In doing so he noted that the mortgagee was enforcing a collateral security first to avoid the eventual possibility of the foreclosure absolute being re-opened. The case is not authority for the proposition that the mortgagee must seek his remedies against the guarantor last; indeed it is authority that, in a proper case, he may do the opposite.
"The most advanced legal research software ever built."
The above passage should not be considered legal advice. Reliable answers to complex legal questions require comprehensive research memos. To learn more visit www.alexi.com.
Other Questions
Can a guarantor be held liable even if the guarantor's obligations are co-extensive with those of the principal debtor? (Alberta, Canada)
Is a mortgagee entitled to increase the value of his security on the land of which he is mortgagee? (Alberta, Canada)
Can a party who has a right of first refusal to purchase a property that is encumbered by a right-of-first refusal be prevented from purchasing the property? (Alberta, Canada)
Does a mortgagee have to be placed on inquiry as to whether an injury occurred when the first cheque was returned for insufficient funds? (Alberta, Canada)
What is a constructive trust in an equitable remedy? (Alberta, Canada)
Is a failure by a corporation to meet statutory notice requirements a remedy for improperly notified shareholders? (Alberta, Canada)
Can a motion for a declaration proceed in the absence of any other remedy for the respondents in the context of a breach of their Charter of Charter Rights? (Alberta, Canada)
Does a finding of a constructive trust as a remedy retroactively impose a trustee - beneficiary relationship between parties? (Alberta, Canada)
What is the current state of the law on self-help remedies? (Alberta, Canada)
Is a mortgagee entitled to all his costs and expenses? (Alberta, Canada)
