[ Act No. 3135, March 06, 1924 ]

AN ACT TO REGULATE THE SALE OF PROPERTY UNDER SPECIAL POWERS INSERTED IN OR ANNEXED TO REAL-ESTATE MORTGAGES

Be it enacted by the Senate and House of Representatives of the Philippines in Legislature assembled and by the authority of the same:

SECTION 1. When a sale is made under a special power inserted in or attached to any real-estate  mortgage here after made as security for the payment of money or the n fulfillment of any other obligation, the provisions of the following sections shall govern as to the manner in which the sale and redemption shall be effected, whether or not provision for the  same is made in the power.

SEC.  2. Said sale cannot be made legally outside of the province in  which the property sold  is situated; and in case the place within said province in which the sale  is to be made  is the subject of stipulation,  such sale  shall be made in said place or in the  municipal building of the  municipality  in  which the property  or part thereof is situated.

SEC.  3. Notice  shall be given by posting notices of the sale for not less than twenty days in at least three public: places of the municipality or city where the property is situated, and if such property is worth more than four 'hundred pesos, such notice shall also be published once a week for at least three consecutive weeks in a newspaper of general circulation in the municipality or city.

SEC.  4.  The sale shall be made at public auction, between the hours of nine  in the morning and four in the afternoon; and shall be under the direction of the sheriff of the proving, the justice or auxiliary justice of the peace of the municipality in which such sale has  to be  made, or a notary public of said municipality, who shall be entitled to collect a fee of five pesos for each day of actual work performed,, in addition to his expenses.

SEC.  5. At any sale, the creditor, trustee, or other person authorized to act for the creditor, may participate  in the  bidding and purchase under the same  conditions any  other bidder, unless the contrary has been expressly provided in  the mortgage or trust deed under which the sale is  made.

SEC.  6.  In all  cases in which an extrajudicial sale is made under the special power hereinbefore referred to, the debtor, his. successors in  interest or  any judicial creditor or judgment creditor of said debtor, or any person having a lien on the property subsequent to the mortgage or deed of trust under which the property is sold, may  redeem the same at any time within the term of one year from and after the date of the sale; and such  redemption shall be governed by the  provisions of sections four hundred and sixty-four to four hundred and sixty-six, inclusive, of the Code of Civil Procedure, in so far  as these are not inconsistent with the provisions of this  Act.

SEC.  7. This Act shall take effect on its approval.

Approved, March  6,  1924.