Mortgage securing another's obligation

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A person may establish a mortgage over his property to secure the obligations of another. In such a case, the mortgagor may assert against the mortgagee any defense to the obligation which the mortgage secures that the obligor could assert except lack of capacity or discharge in bankruptcy of the obligor.

Acts 1991, No. 652, §1, eff. Jan. 1, 1992.


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