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2 1978

AGRICULTURAL CREDIT ACT, 1978

Chapter 4

Miscellaneous Provisions in relation to Charges on Land

Charges by tenants for life.

[1947, s. 47.]

47. —(1) Any person who is a tenant for life within the meaning of the Settled Land Acts, 1882 to 1890, of any land or has under those Acts the powers of a tenant for life in respect of any land may borrow from the Corporation and the Corporation may lend to any such person money for permanent improvement purposes on the security hereinafter authorised.

(2) Money borrowed under this section shall be paid by the Corporation to the trustees for the purposes of the Settled Land Acts, 1882 to 1890, of the settlement under which the borrower is tenant for life or has the powers of a tenant for life or to persons appointed under this section to receive the money, and the money shall be capital money arising under the said settlement within the meaning of the said Acts, and the purpose for which the money is borrowed under this section shall be a purpose for which capital money may be applied under the said Acts, and the said Acts shall apply to the said money accordingly.

(3) Where money is proposed to be borrowed under this section on behalf of an infant full owner of land deemed under section 59 of the Settled Land Act, 1882, to be a tenant for life and there are not trustees for the purposes of the Settled Land Acts, 1882 to 1890, the Corporation may, with the consent of the President of the High Court, nominate two suitable persons to receive the money and thereupon the persons so nominated shall become and be trustees for the purposes of the said Acts in respect of such money but no further or otherwise.

(4) Where money is proposed to be borrowed under this section and there are not trustees for the purposes of the Settled Land Acts, 1882 to 1890, of the settlement under which the borrower is tenant for life or has the powers of a tenant for life under those Acts and the rateable valuation of the land comprised in the settlement does not exceed £100, the Minister for Agriculture may nominate two suitable persons (other than the borrower) to receive such money and thereupon the persons so nominated shall become and be trustees for the purposes of the said Acts of the said settlement in respect of such money but no further or otherwise.

(5) Where money is borrowed under this section the borrower or the trustees nominated under subsection (3) may charge all the land comprised in the settlement with the repayment to the Corporation of the money so borrowed and the interest thereon and such charge shall have effect as a disposition under the Settled Land Acts, 1882 to 1890, and, where the circumstances are such that such charge, if made under section 39 (1) or 42 (1), would be a priority charge, such charge shall be a priority charge and a permanent improvement charge and Chapter 2 or 3 (as the case may require) of this Part shall apply to such charge accordingly.

Charges by personal representatives.

[1947, s. 48; 1965, s. 7; 1973, s. 5.]

48. —A personal representative of a deceased person shall be entitled to mortgage or charge the land of the deceased person, by way of priority charge or otherwise—

(a) to secure the repayment to the Corporation of an advance or advances not exceeding £25,000 and interest thereon, made to him as such for any purpose for which the Corporation is entitled to make an advance to any person, or

(b) to secure the payment to the Corporation of any money liable to be paid by it on foot of a guarantee of the payment of money not exceeding in amount £25,000 and interest thereon by the personal representative given by the Corporation in respect of the personal representative as such for any purpose for which the Corporation is entitled to give a guarantee in respect of any person,

and any such mortgage or charge shall be deemed to have been given or made in due course and for the purpose of administering the estate of the deceased person.

Sales by Corporation under priority charges.

[cf. 1947, s. 49.]

49. —(1) Whenever the Corporation, in exercise of the powers of sale conferred on it by the Conveyancing Act, 1881, or otherwise as registered owner of a priority charge on registered land, sells the whole or any part of the land on which the priority charge is registered as a burden—

(a) the power of the Corporation to transfer land so sold to the purchaser shall be exercisable as if the land were registered with an absolute title, and

(b) such transfer shall have the same effect as if the land were so registered.

(2) Whenever the Corporation, in exercise of the powers of sale conferred on it by the Conveyancing Act, 1881, or otherwise as a mortgagee under and by virtue of a priority charge on unregistered land, sells the whole or any part of the land—

(a) the power of the Corporation to convey land so sold to the purchaser shall be exercisable so as to convey to the purchaser all the estate and interest of the mortgagor in the land,

(b) a conveyance of the land by the Corporation, in exercise of its powers as mortgagee, shall operate to convey to the purchaser all the estate and interest of the mortgagor in the land, and

(c) the conveyance shall have the same effect and operation as if the mortgagor was at the date of the instrument of charge beneficially entitled to the estate or interest in the land created by any agreement or undertaking to purchase entered into or deemed to have been entered into with the Land Commission by him or his predecessors in title in respect of the land freed from all interests, incumbrances and claims other than those saved and excepted by section 42, but subject to all conditions (whether statutory or contained in any such agreement or undertaking to purchase) which affected the mortgagor's estate or interest in the land immediately before the sale by the Corporation.

(3) The purchase money arising from a sale by the Corporation in exercise of its powers of sale (other than a sale by order or direction of the Court) of land subject to a priority charge shall, after discharge of prior incumbrances to which the sale is not made subject, if any, and over which such priority charge has not been given priority by this Act, be applied in discharge of the principal money and interest due on the security of the priority charge and in payment of the costs, charges and expenses properly incurred by the Corporation as incident to the sale or any attempted sale of the land and the residue of the purchase money shall be paid to the mortgagor or other person or persons authorised to give receipts for the proceeds of sale of the property charged, provided always that in any case of doubt as to the person or persons entitled to receive the residue the Corporation shall pay it into Court pursuant to the provisions of the Trustee Act, 1893, or the provisions of that Act and of the County Officers and Courts (Ireland) Act, 1877, as the case may be.

(4) If, after the money secured by a priority charge becomes due, the Corporation institutes proceedings in the High Court or in the Circuit Court to realise its security and obtains an order or decree for sale of the land charged or any part thereof in default of payment of the amount due to the Corporation, then on the application of the Corporation, the Court may—

(a) direct that the land be sold by the Corporation out of Court (with liberty to the Corporation to bid at the sale) at any time after the expiration of the period fixed for payment by the order or decree (notwithstanding that any account of debts and incumbrances, inquiry as to priorities or other account or inquiry directed by the order or decree has not been taken or made at the time of sale), and

(b) fix the reserve price and the remuneration of the auctioneer, and

(c) direct that the residue of the purchase money produced by the sale, after payment and discharge thereout of all prior incumbrances to which the sale is not made subject, if any, and over which the priority charge has not been given priority by this Act, and the principal money, interest and costs due to the Corporation together with the costs and expenses of and incident to the sale, be paid into Court to the credit of the suit.

(5) A direction under subsection (4) (c) may be given by the Court in the absence of any evidence that all or any parties interested in the land ordered to be sold are before the Court or are bound by the order or decree for sale and the sale shall not be deemed to be proceedings altogether out of Court.

(6) Nothing in this section shall affect any powers of resumption of land conferred on the Land Commission by the Land Purchase Acts.

Sale by Land Commission of land subject to charge.

[1947, s. 50.]

50. —Where—

(a) land is offered for sale by the Land Commission under any statutory power in that behalf vested in them, and

(b) the land is subject to a charge in favour of the Corporation to secure the repayment of money, and

(c) the money is expressed in the instrument of charge to have been advanced for permanent improvement purposes and for no other purpose,

the land shall be sold subject to the charge in addition to any other charge, incumbrance or liability subject to which the land is required to be sold.

Charges by evicted tenants.

[1947, s. 51.]

51. —Notwithstanding section 35 of the Land Act, 1927

(a) a priority or other charge in favour of the Corporation created by an evicted tenant on a parcel of land purchased by him under the Land Purchase Acts shall be a good and valid charge on the land, and

(b) the Corporation may enforce the charge by any process or proceeding of law.

Adaptation of references in other enactments to permanent improvement charges.

[1947, s. 52.]

52. —Every reference in any enactment (other than this Act) to a permanent improvement charge under this Act or any enactment repealed by this Act shall be construed as a reference to a charge on land in favour of the Corporation to secure any money which is expressed in the instrument of charge to have been advanced for permanent improvement purposes.

Exemption from stamp duty and fees.

[1965, s. 9.]

53. —(1) Stamp duty shall not be chargeable on any instrument whereby a charge or mortgage in favour of the Corporation is created or released or a charging order under Chapter 5 of this Part or a condition subject to which moneys are lent or advanced, or a guarantee is given, by the Corporation is varied or amended or the consent of the registered owner or the person in occupation of the land to which the charge relates or the personal representative of such owner or person is given to such creation, variation or amendment.

(2) No fee or other payment shall be charged or imposed by the registering authority for the registration in a register or in the Registry of Deeds of a charge or mortgage created in favour of the Corporation or for the cancellation of the entry of a charge or mortgage in favour of the Corporation in a register or in the Registry of Deeds, as the case may be, or for the registration or other notation in a register of the variation or amendment of a charging order in favour of the Corporation.