sec.138Provisions about entering into possession, and selling, lease

### sec.138 Provisions about entering into possession, and selling, lease This section applies if a mortgagee enters into possession of a lease granted over Torres Strait Islander land. The mortgagee must give the lessor for the lease notice of the fact within 28 days after entering into possession. The mortgagee must arrange to sell the lease within— 4 years after entering into possession of the lease; or the longer period agreed in writing between the mortgagee and lessor. For subsection (3) (b) — the period mentioned in subsection (3) (a) may be extended or further extended for not more than 2 years at a time; and an extension or further extension of the period must be agreed in writing before the period or further extended period would otherwise have ended. In considering whether to agree to an extension or further extension, the lessor must have regard to the measures the mortgagee has already taken to sell the lease. If the mortgagee does not sell the lease within the period mentioned in subsection (3) (a) , the lessor may sell the lease. The mortgagee or lessor may sell the lease only to a person who, under this Act, would be entitled to a grant of the lease. The lessor must not sell the lease for less than— the amount owing to the mortgagee by the lessee under the mortgage on the day the lease is sold; or if the lessor and the mortgagee agree the lease may be sold for an amount less than the amount mentioned in paragraph (a) —the agreed amount. In this section— lessee means— for a lease granted under a townsite lease—the lessee under the lease; or for another lease—the lessee under the lease. s 138 ins 2008 No. 29 s 87 sub 2011 No. 26 s 166 amd 2013 No. 23 s 352 sch 1 pt 1 ; 2014 No. 45 s 44 (sec.138-ssec.1) This section applies if a mortgagee enters into possession of a lease granted over Torres Strait Islander land. (sec.138-ssec.2) The mortgagee must give the lessor for the lease notice of the fact within 28 days after entering into possession. (sec.138-ssec.3) The mortgagee must arrange to sell the lease within— 4 years after entering into possession of the lease; or the longer period agreed in writing between the mortgagee and lessor. (sec.138-ssec.4) For subsection (3) (b) — the period mentioned in subsection (3) (a) may be extended or further extended for not more than 2 years at a time; and an extension or further extension of the period must be agreed in writing before the period or further extended period would otherwise have ended. (sec.138-ssec.5) In considering whether to agree to an extension or further extension, the lessor must have regard to the measures the mortgagee has already taken to sell the lease. (sec.138-ssec.6) If the mortgagee does not sell the lease within the period mentioned in subsection (3) (a) , the lessor may sell the lease. (sec.138-ssec.7) The mortgagee or lessor may sell the lease only to a person who, under this Act, would be entitled to a grant of the lease. (sec.138-ssec.8) The lessor must not sell the lease for less than— the amount owing to the mortgagee by the lessee under the mortgage on the day the lease is sold; or if the lessor and the mortgagee agree the lease may be sold for an amount less than the amount mentioned in paragraph (a) —the agreed amount. (sec.138-ssec.9) In this section— lessee means— for a lease granted under a townsite lease—the lessee under the lease; or for another lease—the lessee under the lease. - (a) 4 years after entering into possession of the lease; or - (b) the longer period agreed in writing between the mortgagee and lessor. - (a) the period mentioned in subsection (3) (a) may be extended or further extended for not more than 2 years at a time; and - (b) an extension or further extension of the period must be agreed in writing before the period or further extended period would otherwise have ended. - (a) the amount owing to the mortgagee by the lessee under the mortgage on the day the lease is sold; or - (b) if the lessor and the mortgagee agree the lease may be sold for an amount less than the amount mentioned in paragraph (a) —the agreed amount. - (a) for a lease granted under a townsite lease—the lessee under the lease; or - (b) for another lease—the lessee under the lease.