Any use of a hypothecary right, whether movable or immovable, must be preceded by notice to the debtor that one intends to use one of the legal remedies against him.
Notice According to the Civil Code, a “60-day notice” or “notice of exercise of a hypothecary right” is a formal notice by which a hypothecary creditor notifies his debtor of a breach of the loan contract.
The mortgaged property can be taken by the creditor as full payment of the debt when taking in payment. The debtor then gains possession of the property free of any subsequent mortgages.
Taking money is done within clearly defined legal boundaries. Therefore, the creditor must get court approval before executing the taking in payment when half or more of the obligation guaranteed by the hypothec has already been paid.
Control The sale of movable or immovable property that happens as a consequence of a judgement after a legal claim is made by a mortgage creditor who has rights to the property is known as a sale under judicial control. The sale is referred regarded as being “under judicial supervision” because the court sets the terms and selects a bailiff from our office to carry out the sale.
The Municipal Code and the Cities and Towns Act both offer the sale for taxes as a method for municipalities to collect the money owed when municipal taxes are not paid.