Agricultural Credit Act, 1978

Seizure of stock under specific chattel mortgage.

[1947, s. 26.]

28.—(1) Where—

(a) a specific chattel mortgage is for the time being duly registered under this Part, and

(b) any money remains owing for principal or interest or costs on the security thereof, and

(c) either—

the principal money secured by the chattel mortgage or any part of such money or any interest thereon is unpaid for 14 days after the day appointed by the chattel mortgage for payment thereof, or

a breach of any covenant or condition contained in the chattel mortgage has been committed by the mortgagor,

the mortgagee may serve on the sheriff (or, if there is not a sheriff, the county registrar) of the county or county borough in which any of the stock comprised in the chattel mortgage is situate an order in the prescribed form requiring him to proceed in accordance with this subsection, and thereupon—

(i) the sheriff or county registrar shall, as soon as may be, seize and remove from the custody of any person (other than a bona fide purchaser for value without notice of the chattel mortgage) and from any place (other than land or premises belonging to such purchaser) within the county or county borough of the sheriff or county registrar all or any of the stock comprised in the chattel mortgage;

(ii) upon such seizure the sheriff or county registrar shall, with all convenient speed, cause the stock so seized to be sold, and shall apply the proceeds of such sale in or towards the discharge of expenses, fees and costs of the seizure and sale and of the sum certified in the order to be due on foot of the chattel mortgage, together with interest on the said sum at the rate applicable to the chattel mortgage from the date of the said order to the date of such seizure, and shall pay the surplus (if any) of such proceeds to the mortgagor.

(2) An order under subsection (1) directed to a sheriff or county registrar shall have the same effect as an execution order and shall be a sufficient authority to him to act in accordance therewith, and he shall, when acting in accordance with the order, have all such rights, powers and duties as are for the time being vested in or imposed on him by law in relation to the execution of an execution order.

(3) A sheriff or county registrar executing an order under subsection (1) shall be entitled to charge and (where appropriate) to add to the money certified in the order to be due and (in any case) to levy under the order such fees and expenses, calculated according to the scales appointed under section 14 (1) (a) of the Act of 1926, as he would be entitled to charge or add and to levy if the order were an execution order of a court of competent jurisdiction.

(4) The Minister for Justice may make regulations in relation to any matter referred to in this section as prescribed and “prescribed” in this section means prescribed by such regulations.

(5) The remedies for the recovery of money due under a specific chattel mortgage given by this section to the mortgagee shall be in addition to and not in substitution for any other remedies which the mortgagee may have by law for the recovery of such money.