Kuwait Court of Cassation principle number 3013

Survival of a mortgage granted by an owner whose title deed has been declared annulled, rescinded or extinguished, for the benefit of a mortgagee acting in good faith at the time the mortgage was concluded. Its condition. That the mortgaged property be owned by the debtor. Absence thereof. Its effect. He may not invoke good faith. Article 975, Civil Code. - Absolute nullity of the registered sale contract constituting the mortgagor debtor’s title deed, because he sold the property to himself from his mortgagor debtor owing to non-payment of his debt by the latter, contrary to Article 992, Civil Code. Its implication. His lack of ownership of the disputed property. The mortgage he subsequently created over this property. Granted by a non-owner. Its effect. Its nullity in turn, irrespective of the creditor’s good or bad faith in the latter mortgage. Contravention thereof. An error requiring partial cassation of the judgment.