250 Cancellation Of Charge On Payment Into Court

• 250 (1) If land that is subject to a charge, whether immediately payable or not, is sold under an order of a court directing the land to be sold, the court may, if it considers proper, on the application of a party to the sale, direct or allow payment into court,

• (a) if an annual sum is charged on the land or a capital sum is charged on a determinable interest in the land, of such amount as, when invested in securities approved by the court, the court considers will be sufficient to yield an income adequate to pay or otherwise provide for that charge, and
• (b) if capital money is charged on the land, of such amount as is sufficient to meet the charge and any interest due on it.

• (2) In either of the cases referred to in subsection (1) there must be paid into court such additional amount, not exceeding 10% of the original amount to be paid in, as the court considers will be sufficient to meet further costs, expenses and interest, excepting the depreciation of investments.
• (3) On compliance with subsections (1) and (2) the court must, if it considers proper, without notice to the owner of the charge or with such notice as the court considers proper,

• (a) declare the land to be freed from the charge,
• (b) make an order for conveyance, or a vesting order, proper for giving effect to the sale, and
• (c) give directions for the retention and investment of the money in court.

• (4) The court, on application and on satisfactory proof that the persons interested in or entitled to the money in court have been given adequate notice of the application, must

• (a) direct payment or transfer to the persons entitled to receive or give a discharge for the money, and
• (b) generally give directions respecting the application or distribution of the capital or the income on it.

• (5) Payment of money into court under this section satisfies the liability of the person making the payment.

1979-219-229.