Land Act 1994

If a trustee defaults under a mortgage over a deed of grant in trust, the mortgagee must give the chief executive 28 days notice of the mortgagee’s intention to exercise its powers under the mortgage.Maximum penalty—5 penalty units.

A mortgagee must not sell a deed of grant in trust until payment has been made to the State of the amount of the unimproved value of the land on the day the notice was given under subsection (1).

However, the chief executive may allow a sale of the deed of grant in trust to proceed before payment of the amount of the unimproved value of the land is made, if the mortgagee gives the chief executive security or an undertaking, to the chief executive’s satisfaction, that payment of the amount will be made on completion of the sale.