Preserving The Ability To Claim Deficiency Judgments In A Foreclosure Action

In Saskatchewan, the court exercises a supervisory role in foreclosure proceedings. This role is to ensure that the correct processes and law are followed, and to ensure a balance between borrowers and lenders. There is a distinct and nuanced process that must be followed and all subject to the court's supervision.

A lender's ability to enforce its interest under a mortgage also depends on the specific type of mortgage it holds. Under section 2 of The Limitations of Civil Rights Act, should the borrower default on the mortgage when a mortgage is a Purchase Money Mortgage, the lender's only remedy is to foreclose on the land. The lender is prevented from suing for any amounts owing over and above the value of the land foreclosed upon.