When a court sets aside a default judgment for possession on condition of payment into court, it must consider whether, if a Contracts Review Act defence succeeds and the mortgage is varied to a lesser amount, excess interest already paid on the original higher amount may negate any default. Young JA's observations identify unresolved questions about the effect of one joint tenant mortgagor's bankruptcy on possession proceedings, including whether the bankrupt's inability to redeem affects the non-bankrupt co-mortgagor's position and whether s 58(3)(a) of the Bankruptcy Act stays possession proceedings.
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