Junior mortgages (those subject to others superior in lien) usually contain two appropriate clauses. The first is for the protection of the mortgagee and provides that if the mortgagor default in payment of interest on any prior mortgage, such interest may be paid by the mortgagee, added to the amount of his loan and he may forthwith declare a default and proceed to foreclose.

This is a very important matter to the junior mortgagee. Should the prior mortgage be foreclosed, he may be compelled either to abandon his lien or else purchase the property and replace the prior mortgage. This clause permits him to prevent a default in the prior mortgagee, while he forecloses his own mortgage. (Appendix form 53.)