PHILIPPINE SUPREME COURT CIRCULARS - CHAN ROBLES VIRTUAL LAW LIBRARY

SUBJECT: PROCEDURE IN EXTRAJUDICIAL FORECLOSURE OF MORTGAGE.

In line with the responsibility of an Executive Judge under Administrative Order No. 6 dated June 30, 1975, for the management of Courts within his administrative area, included in which is the task of supervising directly the work of the Clerk of Court, who is also the Ex Officio Sheriff and his staff, the undersigned, pursuant to a Resolution of this Court dated September 18, 1984, sets forth the procedure to be followed:

[1] All applications for extrajudicial foreclosure of mortgage under Act 3135, as amended by Act 4118 and Act 1508, as amended, shall be filed with the Executive Judge, through the Clerk of Court who is also the Ex Officio Sheriff;

[2] Upon receipt of an application for extrajudicial foreclosure of mortgage, it shall be the duty of the Office of the Sheriff to:

(a) receive and docket said application and to stamp the same with the corresponding file number and date of filing;

(b) collect the filing fees therefor and issue the corresponding official receipt;

(c) examine, in case of real estate mortgage foreclosure, whether the applicant has complied with all the requirements before the public auction is conducted under its direction or under the direction of a notary public, pursuant to Sec. 4 of Act 3135, as amended;

(d) sign and issue certificate of sale, subject to the approval of the Executive Judge or, in his absence, the Vice-Executive Judge; and

(e) turn over, after the certificate of sale has been issued to the highest bidder, the complete folder to the Records Section, Office of the Clerk of Court, while awaiting any redemption within a period of one [1] year from date of registration of the certificate of sale with the Register of Deeds concerned, after which, the records shall be archived.

[3] The notices of auction sale in extrajudicial foreclosure for publication by the Sheriff or by a notary public shall be published in a newspaper of general circulation pursuant to Section 1, Presidential Decree No.1709, dated January 26, 1977 and non-compliance therewith shall constitute a violation of Section 6 thereof;

[4] The Executive Judge shall assign with the assistance of the Clerk of Court and Ex Officio Sheriff, the cases by raffle among the Deputy Sheriffs, under whose direction the auction sale shall be made. Raffling shall be strictly enforced in order to avoid unequal distribution of cases and fraternization between the Sheriff and the applicant-mortgage, such as banking institutions, financing companies and others.

This procedure shall take effect as of this date and shall continue in full force and effect until further orders from this Court.

Copyright ©1998-2006 by ChanRobles Publishing Company *All Rights Reserved*	A production of The ChanRobles Group
Questions and comments mailto: cralaw@chanrobles.com	Designed & Maintained by: Harvard Computer Systems, Inc.
contents disclaimer e-mail restriction	[Our site works best at 800x600 resolution with Netscape]