37.1002 On what property-Enforceability.

Cite as [A.S.C.A. § 37.1002]

(a) If the mortgage so provides, the lien of the mortgage may attach to additions, improvements, and purchases or substitutions made to supply the place of any real property or fixtures referred to in the mortgage when the mortgagor acquires an interest therein to the extent of the interest, but subject to existing liens and the lien of a purchase money mortgage given by the mortgagor of the after-acquired real property of fixtures.

(b) Any mortgage, except to the extent provided in this chapter, shall be enforceable against the mortgagor, creditors of the mortgagor, and against subsequent purchasers, mortgagees, assignees, and transferees, who take without valuable consideration or with notice, actual or constructive, even though the mortgaged real property or fixtures may have been detached or moved to a location different from that occupied by it at the time of the execution of the mortgage.

History: 1978, PL 15-83; 1979, PL 16-48 § 1.

Case Notes:

Territorial statute providing that court should set payments on a judgment in accordance with debtor’s ability to pay did not defeat creditor’s right to foreclose a chattel mortgage. A.S.C.A. §§ 37.1002, 37.1103, 43.1501. R.S.T.T.A.N. Hisatake, Inc., v. Dullabhbai K. Patel & Co., Ltd., 3 A.S.R.2d 99 (1986).