A Borrows $50,000 from Bank and Pledges Real Property as Security

question 35

Multiple Choice

A borrows $50,000 from Bank and pledges real property as security. After the loan, A sells the property to B, who buys subject to the mortgage. B then defaults on the mortgage loan. Under the following example, which of the following statements is/are true?

• A) The bank may foreclose on the property.
• B) The bank can sue A to recover debt.
• C) The bank cannot sue B to recover debt.
• D) A cannot sue B for reimbursement if A pays the bank.
• E) All of the above.
• F) None of the above.

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Definitions:

Kraepelin

Emil Kraepelin was a German psychiatrist who made significant contributions to the classification of mental disorders.

Mental Disorders

Disorders characterized by significant disturbance in a person's cognition, emotional regulation, or behavior, indicative of a psychological or biological dysfunction.

Sakel

Refers to Manfred Sakel, a psychiatrist known for introducing insulin coma therapy as a treatment for schizophrenia in the 1930s.

Induce Coma

A medically induced state of deep unconsciousness used to protect the brain during major medical procedures or in response to severe illness.