The Court held that while there is inherent equitable jurisdiction to order judicial sale of RPA land at the suit of an unregistered second mortgagee, such an order can only direct sale of the mortgagor's interest subject to prior encumbrances — not the entire interest in the land — unless the first mortgagee is joined as a party and consents or is bound. The orders for possession, writ of possession, and sale were set aside because the first mortgagee was not a party, there was no evidence of property value or the amount owing to the first mortgagee, and an unregistered equitable mortgagee has no entitlement to an order for possession (though specific performance of a contractual covenant to give possession upon default may be available). The interest clause structured as a higher rate reducible upon timely payment was held not to be a penalty, following established authority in Wallingford v Mutual Society and CJ Belmore v AGC.
The full text is available to signed-in members, including the 94 later cases that cite this judgment.
12 of the 94 citing cases carry a classified treatment. How each court treated it is available to signed-in members.