We Hold Your Brief

Dear Counsel, How can I deal with this problem? My father took a loan facility from a bank using one of his houses as collateral. He had paid almost the entire mortgage when he eventually fell sick. He was hospitalized for over a year. This took a lot of money and it was a harrowing experience for the family financially.

When my father finally passed on, we were surprised that the bank wrote through their lawyer that they would possess the house. Before we could have a family meeting on the issue the bank had asked the tenant to move out of the building.

We acknowledge that our father was actually in default and we are therefore not prepared for any court action. But for a very small amount left as balance we feel that the bank was inconsiderate. Please advise. What can we do to reclaim this house? M. O. Ideh, Lagos Dear Mr. Ideh, I do not see how this can be resolved without a court action. I understand how you feel about court processes and the fact that litigation can be expensive and time consuming. The only way out of this is if the bank is ready to let go when you fulfill the legal and statutory conditions.

What avails you legally is what is known as Equity of redemption. It is the right of a mortgagor to redeem property after it has been forfeited by law because of a breach in the terms of the mortgage. This is accomplished by paying the debt, interest and costs.

So, if you and your siblings are prepared to forfeit these conditions, I am sure the bank will reverse its position. But you must as a matter of necessity see a counsel who would you guide you through these negotiations and advice you further.