Legal Dictionary of Pakistan
Quick lookup for English, Urdu, and Latin legal terms used in Pakistani jurisprudence.
mortgage clause
An insurance-policy provision that protects the rights of a mortgagee when the insured property is subject to a mortgage. 0 Such a clause usu. provides that any insurance proceeds must be allocated between the named insured and the mortgagee "as their interests may appear." - Also termed mortgagee clause. See LOSS-PAYABLE CLAUSE; ATIMA.
open mortgage clause
A mortgage clause that does not protect the mortgagee if the insured mortgagor does something to invalidate the policy (such as committing fraud). 0 This type of clause has been largely superseded by the mortgage-loss clause, which affords the mortgagee more protection. - Also termed simple mortgage clause. Cf. MORTGAGE-LOSS CLAUSE.
simple mortgage clause
See open mortgage clause under MORTGAGE CLAUSE. simple negligence See NEGLIGENCE (1).
standard mortgage clause
A mortgage clause that protects the mortgagee's interest even if the insured mortgagor does something to invalidate the policy. 0 In effect, this clause creates a separate contract between the insurer and the mortgagee. - Also termed union mortgage clause.
union mortgage clause
See standard mortgage clause under MORTGAGE CLAUSE. union rate See RATE.