Section 80 Stamp Duties Act

Section 80 of Stamp Duties Act 1939 is about Meaning of “mortgage” and “equitable mortgage”. It provides as follows:

(1) For the purposes of this Act, the expression “mortgage” means a security by way of mortgage for the payment of any definite and certain sum of money advanced or lent at the time, or previously due and owing, or forborne to be paid, being payable, or for the repayment of money to be thereafter lent, advanced, or paid, or which may become due upon an account current, together with any sum already advanced or due, or without, as the case may be; and includes-
(a) conditional surrender by way of mortgage, further charge or disposition;

(b) any conveyance of any lands, estate or property whatsoever in trust to be sold or otherwise converted into money, intended only as a security and redeemable before the sale or other disposal thereof, either by express stipulation or otherwise, except where the conveyance is made for the benefit of creditors generally, or for the benefit of creditors specified who accept the provision made for payment of their debts in full satisfaction thereof, or who exceed five in number;

(c) an defeasance, letter of reversion, declaration or other deed or writing for defeating or making redeemable or explaining or qualifying any conveyance, transfer or disposition of any lands, estate or property whatsoever, apparently absolute, but intended only as a security;

(d) any agreement (other than an agreement chargeable with duty as an equitable mortgage), contract, or bond accompanied with a deposit of title deeds for making a mortgage, or any other security or conveyance as aforesaid of any land, estate, or property comprised in title deeds, or for pledging or charging the same as a security; and

(e) any deed operating as a mortgage of any stock or marketable security.

(2) For the purposes of this Act, the expression “equitable mortgage” means an agreement or memorandum under hand only.
(a) relating to the deposit of any title deed or instrument constituting or being evidence of the title to any property whatever (other than stock or marketable security); or

(b) creating a charge on lands, tenements or hereditaments whether or not such charge is expressed to be created by “pledge” or otherwise.

(3) Where a mortgage gives a power of sale to the party taking the security or power to enter into receipt of rents and profits or declaring that he is to have the power conferred by law upon mortgagees, such mortgage shall be chargeable with duty as a legal mortgage notwithstanding that it would have been an equitable mortgage had it not contained the power of sale or other provisions specified in this subsection.

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