ACT NO.

1508
ACT NO. 1508 AN ACT PROVIDING FOR THE MORTGAGING OF
PERSONAL PROPERTY AND FOR THE REGISTRATION OF THE
MORTGAGES SO EXECUTED

Sec. 14. Sale of property at public auction; Officers return; Fees; Disposition of proceeds.
The mortgagee, his executor, administrator, or assign, may, after thirty days from the time of
condition broken, cause the mortgaged property, or any part thereof, to be sold at public auction
by a public officer at a public place in the municipality where the mortgagor resides, or where
the property is situated, provided at least ten days notice of the time, place, and purpose of
such sale has been posted at two or more public places in such municipality, and the
mortgagee, his executor, administrator, or assign, shall notify the mortgagor or person holding
under him and the persons holding subsequent mortgages of the time and place of sale, either
by notice in writing directed to him or left at his abode, if within the municipality, or sent by mail if
he does not reside in such municipality, at least ten days previous to the sale.

The officer making the sale shall, within thirty days thereafter, make in writing a return of
his doings and file the same in the office of the register of deeds where the mortgage is
recorded, and the register of deeds shall record the same. The fees of the officer for
selling the property shall be the same as in the case of sale on execution as provided in
Act Numbered One hundred and ninety, 4 and the amendments thereto, and the fees of
the register of deeds for registering the officers return shall be taxed as a part of the
costs of sale, which the officer shall pay to the register of deeds. The return shall
particularly describe the articles sold, and state the amount received for each article,
and shall operate as a discharge of the lien thereon created by the mortgage. The
proceeds of such sale shall be applied to the payment, first, of the costs and expenses
of keeping and sale, and then to the payment of the demand or obligation secured by
such mortgage, and the residue shall be paid to persons holding subsequent mortgages
in their order, and the balance, after paying the mortgages, shall be paid to the
mortgagor or person holding under him on demand.

If the sale includes any large cattle, a certificate of transfer as required by section
sixteen of Act Numbered Eleven hundred and forty-seven 5 shall be issued by the
treasurer of the municipality where the sale was held to the purchaser thereof.

(Petition for Extra Judicial Foreclosure of Chattel Mortgage under Act

1508)
The City/Provincial Sheriff
City/Province of _____________, Philippines
S I R:
GREETINGS:
Mortgagee _____________, of legal age, Filipino, (single / married / widow),
and a resident of _____________, Philippines, most respectfully alleges:
1. That on _____________, __Name of Mortgagor-Debtor__, of legal age,
Filipino, (single / married / widow), and a resident of _____________,
Philippines, executed a Chattel Mortgage in my favor, mortgaging the
property described in the Chattel Mortgage Contract hereto attached as
Annex "A" and forming an integral part hereof, to secure the payment of
loan in the amount which is shown in the promissory note executed by said
Mortgagor-Debtor dated _____________, a copy of which is hereto attached
as Annex "B"
2. That to the best of my knowledge, the mortgaged property is subject to
no prior mortgage or any lien whatsoever and is now in the possession and
full control of the above-named Mortgagor-Debtor;
3. That the Mortgagor-Debtor defaulted in his obligation under the
aforementioned Chattel Mortgage Contract andPromissory Note;

4.That under the terms and conditions of the Chattel Mortgage Contract,
the Mortgagee is entitled to foreclose extra-judicially the mortgaged
property, which is more particularly described as follows, to wit:

Make:____________Motor No.:_____________
Series:__________Chassis No.:____________
Type of Body:________Plate No.:___________
CR No.: _____________MVRR No.:____________
5.That by the terms and conditions of the Chattel Mortgage Contract hereinabove referred to, the principal obligation of the Mortgagor which has
become overdue as of _____________ is in the amount of
__________________________ (P___________), excluding penalties,
liquidated damages, past due interest, attorney's fee representing _______
% of the total obligation due, other charges and expenses of foreclosure.
WHEREFORE, I respectfully request you to take possession of the property
described in the aforementioned ChattelMortgage Contract and sell the same
at Public Auction in accordance with the provisions of Act 1508.Please
furnish the undersigned and the Mortgagor-Debtor with copies of your Notice
of Sale at least ten (10) days before the sale.
_____________, Philippines, __Date__.
MORTGAGEE
(VERIFICATION)