§ 34-25-12 - Discharge of open-end mortgage. - Rhode Island Statutes

SECTION 34-25-12

   § 34-25-12  Discharge of open-end mortgage.– (a) Notwithstanding the provisions of § 34-26-2, no mortgagee under anopen-end mortgage subject to this chapter shall be obligated to discharge themortgage until the mortgagee receives full satisfaction for the money duethereon and receives such written agreements as the mortgagee shall reasonablyrequest releasing the mortgagee from any further obligation to make futureadvances under any and all notes and agreements theretofore secured by themortgage deed.

   (b) Notwithstanding the provisions of any agreement by andbetween the mortgagee and the mortgagor or any other person, the mortgageeunder the mortgage shall have the option to discharge any mortgage if there hasexisted no outstanding indebtedness thereunder for a continuous period of notless than two (2) years, and effective upon the recording of the discharge, themortgagee shall be released and discharged from any further obligation to makeany loans or advances under any notes or agreements executed in connection withthe mortgage.