Brown gave a mortgage to Doe on a parcel of land (located in Ontario)that he owned.Brown later sold the mortgaged land to Green.Green,some time later,sold the land to Hughes.Hughes defaulted on payment of the mortgage.
-If Doe forecloses on the land,and later sells it for less than the amount of the mortgage,he may then take action against Hughes for the deficiency.

Question

Quizplus · Accepted Answer

In Ontario, the original borrower (Brown) remains liable for the mortgage debt unless there is an assumption agreement. Doe cannot take action against Hughes for the deficiency unless Hughes explicitly assumed the mortgage debt.

Brown Gave a Mortgage to Doe on a Parcel of Land