Legal Blog

Accelerated Mortgage Interest

First National Financial GP Corporation v. Golden Dragon Ho 10 Inc. 2022 Ont CA

There is no common law right to an acceleration of interest on a debt default. That right is either in the mortgage or it is not. In this case, the court interpreted the mortgage to limit the acceleration clause to situations in which the mortgagor wanted to redeem rather than a situation of default and a mortgage sale of the property.

Written by Jonathan Speigel, the founding partner of Speigel Nichols Fox LLP, leads the litigation and construction practices.