Section 8

Amendment status not verified — confirm the current text below against the official source.

Debts incurred before the '[lst March 19721, shall be scaled down in the manner mentioned here- under, namely :- "(1) j (1) Where an agricillturist has paid to any creditor twice the amount of the pqincipal whether by way of principal or interest or both, such debt including the principal, shall be deemed to be wholly discharged. (3) Where the sums rcpaid by way of principal or interest or both fall short of twice the amount of the principal, such amoirnt only as would make up this shortage, or the principal amount or such portion of the principal amount as is outstanding. whichever is smaller, shall be repayable. (4) Subject to the provisions of sectilms 22 to 95, nothing contained in sub-sections "*I, (2) and (3) shall be deemed to require the creditor to refund any sum which has been paid to h~m, or to illcrease the liability ot' a debtor to pay any s ~ ~ m in excess of the amount wh~ch would have been paya blc by him if this Act had not been passed. '[E.up/unrrtio?i /.-In determining the amount re- payable by :i ciebtor under this section. every paymetit ,fiLtJe by hi111 shall be crctf~tcd towards the principal. G(notwithstnndlnp that he has expressly stated) in writing that .;\tch paymerlt \ha11 be in reduction of i~~tercsr .] - ..- ----- - - - - 1 This expression \*as subztituted Ibr the expression .' 1st October 1932" bysect~on 7(1)ot theTamil Nndu Agricultu~tsts Relief(Amend- mcnt) Act, 1972 Vamll Nadu Act 8 of 1973). * ~ h t s clarise \\.is om~tted by sectron 7 (it), ;hid a ~ h c expression '' (I)" was olnitteli by section 7 (ill), ibid r he original Explanntlorl was numbered a\ Explanation III and Explanation\ 1 and 11 were inserted by hect10114 (I) of the Tamil Nadu Agriculturists Relief (Amendnlent) Act, 1948 (Tamil Nadu Act XXIZI of 1948). a This txplessio~~ was substituted for the expre4sion ''unless hs ha apressly statedw by section7 (iv) of tho Taoul Ndu A$riculMstr ~~lief(&nendment) Act, 1972 (Tamil Nddu Act 8 of 1973). # Explanation 11.-Where the principal was borrowed in cash with an agreenient to repay it in kind, the i debtor shall, notwithstanding such agreement, be '\ entitled to repay the debt in cash, after deducting the value of all payments made by him in kind, at the rate, if any, stipulated in such agreement, or if there is no such stipulation, at the market rate prevailing at the time of each payment.] '[Explanation 111.-Where a debt has been renewed or included in a fresh document executed 2(before, on or after the 1 st March 1972), '(whether by the same debtor or by his heirs, legal representatives or assigns or by any other person acting on his behalf or in his interest and whether in favour of the same creditor or of any other person acting on his behalf or in his - interest), the principal originally advanced together with such sums, if any, as have been subsequently advanced as principal shall alone be treated as the principal sum repayable under this section.] 4[Explan~tion IV.-Where a debt has been split up, whether 2(before, on or after the 1st March 1972), among the heirs, legal representatives or assigns of a debtor or of a crec'itor and fresh documents have been executed in respect of the different portions of such debt, the provisions of this section shall con- tinue to apply in respect of each of the different portions.] - "9. I 1 For the original Explanation numbered as Explanation III, a new Explanation was substituted by section 4(ii) of the Tamil Nadu Agriculturists Relief (Amendment) Act, 1948 (Tamil Nadu Act XXIIZ of 1948). 2 This expression was substituted for the expression "before or after the commancement of this Act "by section 7 (v) of the Tamil Nadu Agriculturists Relief (Am: ~drn:~~t) Act, 1972 (Tamil Nadu Act 8 of 1973). * Thesa words weresubstituted for the words '' whether by the same or a different debtor and whether in favour of the same or a different creditorv by section 2 (a) of the Tamil Nadu Agriculturists Relief (Amendment) Act, 1950 (Tamil Nddu Act XXIV of 1950). / * I 4 This Explanation was added by section 2 (b), ibid. .. 6 T* section was omitted b section 8 of the Tamil Nadu Agri- $.; .$,n*orntr ReSiI (~mendmentf Act, 1972 (Tamil Nadu Act 8 of .>*$,. 7t % 39.1 k 125;i&37-* ;w:,-@* ," h a . &\, $"!* -. '. b &$$&$: ", 2 < >*, 19-A. (1) This section applies to all mortgages executed at any time before the 2[lst March 19721, mpact@f and by virtue of which the mortgagee is in possession r n m . of the property mortgaged to him or any portion (a) where no rate of werest is stipulated for as due to the mortgagee, or (b) where a rate of interest is stipulated for * as due to the mortgagee in respect of the principal amount secured by the mortgage or any portion thereof, in addition to usufruct from the property, or in res- p:ct of any other sum payable to t he mortgagee by t he mortgagor in his capacity as such. Bxplanation.--A mortgagee shall be deemed to* be in passession of the property mortgaged to him or any portion thereof, notwithstanding that he had leased it to the nlortgagor or any other person. (2) The mortgagor shall be entitled to redeem the whole of tile property mortgaged, notwithstaudin,g that the time, if any, fixed in the mortgage deed for - redeeming the mortgage has not arrived. (3) Where the morigagee has been in possession of the whole of the property mortg:ig.:tl to him for an agg,egate period of less than lhirty ycnrs, the mot tga- gor shall not be entjtlcd to redeem the mortgage, unless he psys to the mortgagee- (i) the difference between the y rincipal amount secured by the mortgage and an amount bearing to the \ principal amount the same proportion asthe period during which the mortgagee has been in possession bears to thirty years ; ---. .s ms expression was substituted for tho expression '& 30th Sap- tmbor 1947" by section 9 (ii) of the Tamil Nadu Agriculturists Relief ( ~ m e n h n t ) Act, 1972 (romil Nadu Act 8 of 1973). 1 1938 : T.N. Act IV] Agrinrlluriata Relipf 581 (ii) where any interest on the principal amount 1 secured by the mortgage or any portion thereof has 1 been stipulated for, in addition to the usufruct from the property, the arrears of such interest as scaled down under section 8 '[*I read with section 12, 09 under section 13, as the case may be ; and (iii) all other sums payable to the mortgagee by the mortgagor in his capacity as such, together with the interest, if any, due thereon. (4) Where the mortgagee has been in possession of only a portion of the property mortgaged to him for an aggregate period of less than thirty years, the mortgagor shall not be entitled to redceln the mortgage, unless he pays io the morigagce- (i) the ciiffcrence between the portion of the principal an~ount sccul-cd by thc mortgage which is ;ittribut;~blc: to llw portion of the property in thc possession of the nlo~ t grtgec and an rtxnount bearing to that portion of the princiy:il :lmount the same propor- tion as the pcriod durin~ which the mortgagee has been in p~sscssion bc:lss to thirty ycars; (ii) wherc :my interest has bectl blipslated for, i 11 ;\tldition to the u\ufi.uct Fi.0111 the propcrty, the asrcai.s of ilzterest on tllc p~rtion of the princip:!l ;umount rc- ft):-~-cC1 t ~ ) ~n cl:lu\c (I), such :~rrc.t~.i being scaled do~vn under scction S 'I*] rcad with scclion 12 or undcr sectjcxn 13, :IS t11c c : ! ~ III:~)' be : (ill) the h:lla~lcc (>I' the cl~bl ;IS scalcd dow~l uncler scction 8 '[*J read with sccrion 12, or under section 13, as thc cn\c may be ; and (iv) : ~ i l othcr c i ~ i ~ ~ s pny:thlc to the mortgagee by the morlg:;gor in his cnpnclty :IS such, togethcr with the inlcrcst, if :my, due tl~c~.cotl. (5) (a) Where thc iilorlgagee has been in posses- sion of. the whole of the propcrty mo~.lgaged to him for an aggregrtte perioti. of thirty )/cars or morc, then, . . - - - ---- ----- 1 The expression La or 9 *' was omitted by section 9 (i) of the Tamil Nadu Agricultu~.i~ts Relief (Amendment) Act, 1972 vatnil Nadu Act 8 of 1973). .+Grr ,:. " 2m% :? ?.? '*@" - > + I 582 Agriculturists Relief , [I938 : T.N. Act IV notwithstanding anything contained in sections 8, I[*], 12 and 13, the mortgage debt shall be deemed to have been wholly discharged with effect from the expiry of t h e e r i o d of thirty years or where such period expired before the 2[publication of the Tamil 6 Nadu Agriculturists Relief (Amendment) Act, 1972 in the Tantil Nadr Government Gazette with effect from the publication of that Act]- (i) if no interest has been stipulated for on the principal amount secured by the mortgage or any portion thereof, in addition to the usufruct from the property ; . ' (ii) where such interest ha? been stipulated for, if no arrznl s of interest are due from the mortgagor; and (iii) if no other sums or interest thereon are due to the mortgagee by the mortgagor in his capacity . as such. 1 (b) Where the mortgagee has been in possession - I t of the whole of the pt-operty m<)~-tg~gzd to him for i an aggrcgltc pcriod of thir~y years or more, thcn, in & case4 not gabel ncd bv claucc ( ( I ) , t l ~ c mortgagor sl~all i not be entitlcti to redccln the n101.15,152 unlc\s hc l>ays to the nlorig,igec-- ( r ) the arl.c.ir\ or^ ~n~ercst htipulatcd for in aclcl tion to t hc uiufrilc~ froin the pr-~)per~y, as ccaled down under wction S "[ 1 rend \\ith section 12, or . I under scct io tl 1 3, as [he c ~ \ c may bc : :I nil P . - --_ . __ -- 1 The fig~trc " 0 * wa, otnittcd bv .;ectio~i 9 (i) of the Tanlil Nadu rtculturirts Relief (Al~londtncnt) Act, 1972 (Tatnil Nnct~t Act 8 21 b71). 2 Tht\ c.;prc.\4on was \ub\l~tutcd rot the c\prss\totl ' colnmeclce- Inerlc t ) r tlw 'l'alnil N ~ d u ASI icirlt:~i.i\ts Kolief (A~nendment) Act, 1943 (Tdn~il N , I ~ Act XXtU of 1948). \v~ihelt'cct Ctnlil the commence- I I I Z ~ ~ of that AL*' by swtioll 0 (lii) of 111: 'ratnil Nadu Agri- culturist\ Relief (An~endtll:nt) Act, 1972 (T,unil N'tdu Act 8 of 1973), the worth " rdnlil N.IJLI" Itnvcng b:cn oorlier substituted for the wort! '. h.I rdra\ " by tho T 1n11l N tdu Adbrptation of Laws Order, 1969, A$ nm:ld.:d by 1111: I'nmil Nadu Adaptatioli of Laws , ( S s o n d Anmndment) Oixter, 1969. aThe evprevsioll " or 9 " was onlitted by stxtion 9(i) of the Tarllil Nadu Agriculturists Relief (Amendment) Act. 1972 (Tamil Nadu Act 8 of 1973). \ - - (ii) all other sums due to the mortgagee by t / 8 the mortgagor in his capacity as such and referred to in sub-clatlse (hi) of clause (a) together with any 1 I interest due thereon. E (6) Where the mortgagee has been in possession of only a portion of the property mortgaged to him for an aggregate period of thirty years or more, the mortgagor shall not be entitled to redeem the mort- gage unless he pays to the mortgagee (i) where, in addition to the usufruct from the property, any interest has been stipulated for, the arrears of interest on that portion of the principal amount secured by the mortgage which is attributable to the portion of the property in the possession of the mort- @gee, such arrears being scaled down under section 8 ] read with section 12, or under section 13, as the case may be ; (ii) the balance of the debt not attributable ,to such portion of the property as scaled down under section 8 '1' ] read with section 12, or under section 13, as the case may be ; ~tnd (iii) all other sums payable to the mortgagee by thc mortgagor in his capacity as such, together with the interest, if any, due thereon. (7) For the purposes of this section, the portion i +of the princip'll amount secured by the mortgage which :is attr~butable to the portion of the property in the possession of the mortgagee shall be determined in rhe manner prescribed by rules made under this Act. 1 (8) The mortgagor shall not be entitled to redeem a n1ortg:lgz under sub-section (2) or obtain possession of the inert gaged property by virtue of sub-section (5) (a), unless he pays to the mortgagee the-cost of the iniprovements, if any, effected by him to the morb , gaged property. Nadu Act a pf 1973). 584 Agridturhts Relief [1938.: T.N. Act IV (9) (a) (i) Except in cases falling under sub- section (5) (a). where the mortgaged property or, as the case may be, the portion thereof, in the possession of the mortgagee has been leased back to the mortgagor by the mortgagee, the sent due to the mortgagee under the lease (after deducting from such rent any revenue, tax or cess paid or payable by the mortgagee in respect of the property) shall be deemed to be the interest on the mortgage debt or the portion thereof attributable to the porrion of the property aforesaid and the provisions of section 8 '[ J read with section 12, or section 13, as the case may be, shall apply to the entire debt, (ii) Nothing contained in sub-section (3) or sub-section (4) shall apply to any debt falling under sub-clause (i). (b) In L'.~\L'\ f;ll!111g ~111dcr ~ u b - ~ e c l i ~ l l (5) (N), where the property has bee11 le'iaed back to the mort- gagor hy the In,)rtgagee. no:l~ing contained in that sub-sect~on shall i~fl'ea the sight of the morlgngec lo reco\ er any renth d ~ l i to hi~u under thu lease fcr any pcl.,ud bcfol e i11c d'~!? or1 \\ 11 c i ~ t tie mostgapc debt is dco~ncd to havc I?ct.n \.$holly tl.schurgcd by virtue of I hat 11 13-scc:ion. il' \.t~c.'-! rcnr ILILC no1 ~ C C O I I I C barred by 11mit:ttion u n ~ i z r '\ny la\\ 1.~11. the timc tjcing in fo see. ?L( 10, No~ts' 111\~.ind:ng :!nyl h'ng cont:tined in lhls sccl.on,- (0) Wi1~1.c. clus~ng 1 1 1 ~ 1>ci.:od nf~er the 30th Janu<~!) 1948 i t l ~ c i l:ifOtl: thv 1 ~ ~ 1 h'f:'..~fl 1973. the mort- gagct. 0;. L ~ ~ ~ ! 01' \ ~ u c c t . s s o ~ ~ ~ - ~ n-i nlcrc51 11as trans- k'cc~.cti c,thi',. \vl~olly ur in p !I.[ lllc morlg8gcc's right i n ;llc p s o p c r ~ ~ ~)O~I'IJI'L/'P and h s v:tluable consideration, tlleli. t l ~ e piov.s~ons of c,ub-scc~ions ( I ) to (9) shall I -- I Tl~a cupra\sio~~ "trr 9 " was ~ m i l tcd by section 9 (i) of the Tamil . Nadu Agiizulturl~ls Iizl~or (Atn:nttma~rt) Act, 1972 (Tamil Nadu Act X of 1073). 'rhi, ,ub.sxtioi~ \\~.rs bubstituted for thc original sub-section by sect ion 9 (IV), ibid 1938 : TN. Act, IV] Agriculturists Relief 585 apply to such mortgage and for purposes of sub-sec- ' tions (3) to (9) the period during which the last trans- feree was in possession of the property shall alone be taken into account : Provided that the transferee of a mortgage shall not be entitled to recover in respect of such mart. gage, anything more than the value oi' the considera- tion for the transfer ; but nothing therein contained shall, in cases where the property or por~ion thercof has been leased back to the mortgagor, affect the right of the transferee to ,recover the rents, if any, due under the lease, if such rents have not become barred by limitation under any law for the time being in force. (b) Notwithstallding anything containecl in clause (a), where the mortgagee's interest In the pro- perty subject to the n101.tgnge or any part of such inre- rest belonged to, or devolved on, two or more per- sons gnd during the period aforesaid, a partition has taken place among such persons, then nothing contain- ed in this section, exccpt sub-sections (1) and (2) shall apply to the whole or such part of the ~nlercst, as thc case Inay be.] ( I I ) Whcrc the equity of redemption in the property subject to the morlgage belongcd to, or devolved on, two or irore persons and any one of them or any person claiming under any one of them has, during thc period referred to in '[clause (a) of s u b section (lo)], redeemed the entire mortgag:, nothing contained in this section shall affcct the rlghts or the reliefs to which the person redeeming the mortgage might be entitled to under any other law for the time being in force as against the other persons aforesaid. - ----... _ _ 1 This expression was substituted for the expression s6 sub-section ,clause(ii)(a) " by section 9 (v) of the Tamil Nadu .Agriculturists ef (Amendment) Act, 1972 (Tarn11 Nadu Act 8 of 1973). \ 586 Agrinrl&iata BeIipf [I938 : T.N. Act IV F bec~fi~a9. E