West Virginia Code 55-21-25 – Effect of enforcement by mortgagee
(a) A request by a mortgagee for appointment of a receiver, the appointment of a receiver, or application by a mortgagee of receivership property or proceeds to the secured obligation does not:
Terms Used In West Virginia Code 55-21-25
- Judgment: includes decrees and orders for the payment of money, or the conveyance or delivery of land or personal property, or some interest therein, or any undertaking, bond or recognizance which has the legal effect of a judgment. See West Virginia Code 2-2-10
- Lien: A claim against real or personal property in satisfaction of a debt.
- Lien: means an interest in property which secures payment or performance of an obligation. See West Virginia Code 55-21-2
- Mortgagee: The person to whom property is mortgaged and who has loaned the money.
- Mortgagee: means a person entitled to enforce an obligation secured by a mortgage. See West Virginia Code 55-21-2
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Owner: means the person for whose property a receiver is appointed. See West Virginia Code 55-21-2
- Proceeds: means the following property:
(1) Whatever is acquired on the sale, lease, license, exchange, or other disposition of receivership property. See West Virginia Code 55-21-2
- Property: means all of a person's right, title, and interest, both legal and equitable, in real and personal property, tangible and intangible, wherever located and however acquired. See West Virginia Code 55-21-2
- Receiver: means a person appointed by the court as the court's agent, and subject to the court's direction, to take possession of, manage, and, if authorized by this article or court order, transfer, sell, lease, license, exchange, collect, or otherwise dispose of receivership property. See West Virginia Code 55-21-2
- Receivership: means a proceeding in which a receiver is appointed. See West Virginia Code 55-21-2
- Receivership property: means the property of an owner which is described in the order appointing a receiver or a subsequent order. See West Virginia Code 55-21-2
- Secured obligation: means an obligation the payment or performance of which is secured by a security agreement. See West Virginia Code 55-21-2
- State: means a state of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States. See West Virginia Code 55-21-2
(1) Make the mortgagee a mortgagee in possession of the real property;
(2) Make the mortgagee an agent of the owner;
(3) Constitute an election of remedies that precludes a later action to enforce the secured obligation;
(4) Make the secured obligation unenforceable;
(5) Limit any right available to the mortgagee with respect to the secured obligation; or
(6) Except as otherwise provided in subsection (b), bar a deficiency judgment pursuant to law of this state other than this article governing or relating to a deficiency judgment.
(b) If a receiver sells receivership property that pursuant to §55-10-16(c) of this code is free and clear of a lien, the ability of a creditor to enforce an obligation that had been secured by the lien is subject to law of this state other than this article relating to a deficiency judgment.