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A Release Of Liability Mortgage is a crucial document in New Zealand's property finance sector, used when a borrower has fulfilled their mortgage obligations or when parties agree to discharge the mortgage liability. This document is essential for clearing property titles and formally ending mortgage arrangements under New Zealand law. It must comply with the Property Law Act 2007 and Land Transfer Act 2017, requiring proper execution and registration with the Land Title Office. The document includes vital information such as property details, original mortgage particulars, confirmation of debt satisfaction, and formal release terms. It's commonly used in property sales, refinancing situations, or when mortgages are fully paid off, providing legal certainty for both lenders and borrowers in the New Zealand property market.

1. Parties: Identifies and provides full legal details of the Mortgagor (borrower), Mortgagee (lender), and any guarantors

2. Background: Sets out the context of the original mortgage, including registration details, property information, and reason for release

3. Definitions: Defines key terms used throughout the document including 'Mortgage', 'Property', 'Release Date', and 'Secured Amounts'

4. Release and Discharge: Core section stating the lender's agreement to release the borrower from liability and discharge the mortgage

5. Confirmation of Payment: Acknowledgment that all secured amounts have been paid or satisfied

6. Return of Security Documents: Details the return or cancellation of mortgage documents and security instruments

7. Release Date and Effect: Specifies when the release takes effect and its legal implications

8. Representations and Warranties: Statements by both parties confirming the accuracy of information and authority to enter the release

9. Execution: Formal signing section including witness requirements and attestation clauses