145Transfer by mortgagee

1. Notwithstanding section 148, upon the registration of any transfer executed by a mortgagee for the purpose of the sale of any quota shares by the mortgagee, ownership of the quota shares passes to and vests in the purchaser, freed and discharged from all liability on account of the mortgage.

2. Subsection (1) does not limit section 152B(3) and (4).

3. Upon registration of such a transfer, every caveat over the quota shares being transferred lapses in respect of those shares, and the interests of the mortgagor expressed in that transfer to be transferred pass to and vest in the purchaser, freed and discharged of the interest claimed by the caveator.

4. The chief executive shall make on the register any entry necessary to show that the mortgage has been discharged and that all caveats over the quota have lapsed, in respect of the shares so transferred.

5. If a mortgagee gives a receipt in writing in respect of any money arising under an exercise of the power of sale conferred by this Part, or any money or securities comprised in the mortgagee's mortgage or arising under the mortgage, the receipt is a sufficient discharge for that money or those securities, and a person paying or transferring the money or securities to the mortgagee shall not be concerned to inquire whether any money remains due under the mortgage or to see to the application of the money or securities so paid or transferred.