Legal encyclopedia. The letter AND

MORTGAGE CERTIFICATE

- a registered security that certifies the owner's share in the common ownership of the mortgage cover, the right to demand from the issuer of the proper trust management of the mortgage cover, the right to receive funds received in fulfillment of the obligations.

Certificates are issued by commercial organizations that have licenses for the management of investment funds, unit trusts

Investment funds and

Private pension funds.

Issuance of certificates is the basis for the emergence of the common share ownership of IS owners for the mortgage cover, under which they are issued. The common equity ownership arises simultaneously with the establishment of trust management of the mortgage cover.

Trust management is established

Conclusion of a trust management agreement for a mortgage.

The terms of the contract are determined by the person who issues ID in standard forms, and they can be accepted by the purchaser of certificates-the founder of trust management, for which IS is issued, only by joining the contract as a whole. Joining is by acquisition

Certificates issued by the mortgage manager.

The claims and property that make up the mortgage cover are the common property of IS owners and belong to them on the right of common shared ownership. It is not allowed to divide the property and divide it of a share in kind.

The condition of the contract is the refusal of a physical or legal person to exercise the pre-emptive right to acquire a share in the right of common shared ownership of the property making up the mortgage cover.

Owners of IS bear the risk of non-fulfillment or improper fulfillment of obligations.

The mortgage manager manages the trust

Receiving payments for obligations, transferring to the owners of IS money resources at the expense of these payments and ensuring proper performance of obligations.

The manager may file claims and act as a defendant in the claims in court in connection with the performance of his activities.

The term of the trust management agreement can not be less than one year and more than forty years.

IS certifies the same scope of rights that are fixed in a non-documentary form, is not an issuing security and does not have a nominal value.

IS freely circulate on the securities market.

The rights to IS are fixed on personal accounts in the register of IS holders and on deposit accounts by depositaries.

The registrar, who keeps the register at the request of the owner, the person authorized by him or the nominal holder, is obliged to confirm the rights of the said persons to IP by issuing an extract within 5 days.

It is not allowed to foreclose on the property constituting the mortgage cover.

If the mortgage manager

Have been declared bankrupt, the property making up the mortgage cover is subject to transfer to the trust management of the state management company.

The manager shall be liable to the owners of IS in the amount of actual damage in the event of causing losses to them.

The general meeting of IS owners is convened by the mortgage manager on their own initiative or at the request of the owners of not less than 10% of IS at the date of filing a request to convene a general meeting.

When voting, each IS gives the owner one vote. Decisions are made by a majority of votes.

IS issued to the person who owns the claims that make up the mortgage cover.

The remuneration to the manager is paid at the expense of the property that makes up the mortgage cover, and should not exceed 5% of the amount of the executed obligations.