Document background
A Board Resolution For Mortgage of Property is a crucial corporate document required when a company in Pakistan intends to create a mortgage over its property. This document is necessary to comply with both corporate governance requirements under the Companies Act 2017 and property law requirements under the Transfer of Property Act 1882. It is typically required when a company seeks financing from banks or financial institutions using its property as collateral, or when restructuring existing mortgage arrangements. The resolution must be passed in a properly convened board meeting with requisite quorum and should contain specific details about the property, mortgage terms, and authorized signatories. Financial institutions and property registration authorities in Pakistan require this document as evidence of proper corporate authorization before proceeding with the mortgage transaction.
