Property right refers to the right of natural persons and legal persons to directly control real estate or chattel, including ownership, usufructuary right and security right. Provisions of the Property Law on Mortgage Article 179 In order to guarantee the performance of debts, if the debtor or a third party mortgages the property to the creditor without transferring the possession of the property, if the debtor fails to perform the due debts or the mortgage right is realized as agreed by the parties, the creditor has the right to be paid in priority for the property. The debtor or the third party specified in the preceding paragraph is the mortgagor, the creditor is the mortgagee, and the property that provides guarantee is the mortgaged property. Article 18 The following properties that the debtor or a third party has the right to dispose of may be mortgaged: (1) buildings and other land attachments; (2) the right to use construction land; (3) the right to contracted management of wasteland and other land acquired by means of bidding, auction and public consultation; (4) production equipment, raw materials, semi-finished products and products; (5) buildings, ships and aircraft under construction; (6) means of transportation; and (7) laws. The mortgagor may mortgage the property listed in the preceding paragraph together. Article 181 With the written agreement of the parties, enterprises, individual industrial and commercial households and agricultural producers and operators may mortgage the existing and future production equipment, raw materials, semi-finished products and products. If the debtor fails to perform the due debts or the mortgage is realized as agreed by the parties, the creditor has the right to be paid in priority for the movable property when the mortgage is realized. Article 182 Where a building is mortgaged, the right to use the construction land within the occupied area of the building shall be mortgaged together. Where the right to use construction land is mortgaged, the buildings on the land shall be mortgaged together. If the mortgagor fails to mortgage together in accordance with the provisions of the preceding paragraph, the unsecured property shall be deemed to be mortgaged together. Article 183 The right to use the construction land of township and village enterprises shall not be mortgaged separately. Where buildings such as factories of township and village enterprises are mortgaged, the right to use the construction land occupied by them shall be mortgaged together. Article 184 The following properties shall not be mortgaged: (1) Land ownership; (2) Land use rights owned by collectives such as cultivated land, homestead, private plots and private hills, except those that can be mortgaged according to the law; (3) Educational facilities, medical and health facilities and other social public welfare facilities of public institutions and social organizations such as schools, kindergartens and hospitals; (4) Property with unclear or controversial ownership and use rights; (5). Article 185 To establish a mortgage, the parties shall conclude a mortgage contract in writing. A mortgage contract generally includes the following clauses: (1) the type and amount of the secured creditor's rights; (2) the time limit for the debtor to perform the debt; (3) the name, quantity, quality, condition, location, ownership or use right of the mortgaged property; and (4) the scope of the guarantee. Article 186 Before the maturity of the debt, the mortgagee shall not agree with the mortgagor that the mortgaged property shall be owned by the creditor when the debtor fails to perform the due debt. Article 187 Where the property specified in Items 1 to 3 of the first paragraph of Article 18 of this Law or the building under construction specified in Item 5 is mortgaged, the mortgage registration shall be handled. The mortgage is established at the time of registration. Article 188 Where the property specified in Items 4 and 6 of the first paragraph of Article 18 of this Law or the ship or aircraft under construction specified in Item 5 is mortgaged, the mortgage right shall be established when the mortgage contract comes into effect; Without registration, you may not confront a bona fide third party. Article 189 Where an enterprise, individual industrial and commercial household or agricultural producer or operator mortgages the chattels specified in Article 181 of this Law, it shall register with the administrative department for industry and commerce at the mortgagor's domicile. The mortgage right is established when the mortgage contract takes effect; Without registration, you may not confront a bona fide third party. Mortgaging in accordance with the provisions of Article 181 of this Law shall not be against the buyer who has paid a reasonable price in normal business activities and obtained the mortgaged property. Article 19 If the mortgaged property has been leased before the conclusion of the mortgage contract, the original lease relationship shall not be affected by the mortgage right. If the mortgaged property is leased after the mortgage is established, the lease relationship shall not be against the registered mortgage. Article 191 During the mortgage period, if the mortgagor transfers the mortgaged property with the consent of the mortgagee, he shall pay off the debts or deposit the proceeds from the transfer to the mortgagee in advance. The part of the transferred price exceeding the amount of creditor's rights belongs to the mortgagor, and the insufficient part is paid off by the debtor. During the mortgage period, the mortgagor shall not transfer the mortgaged property without the consent of the mortgagee, except that the transferee will pay off the debt and extinguish the mortgage on his behalf. Article 192 A mortgage right may not be transferred separately from the creditor's rights or used as a guarantee for other creditor's rights. Where the creditor's rights are transferred, the mortgage right guaranteeing the creditor's rights shall be transferred together, unless otherwise provided by law or agreed by the parties. Article 193 If the mortgagor's behavior is enough to reduce the value of the mortgaged property, the mortgagee has the right to demand the mortgagor to stop his behavior. If the value of the mortgaged property is reduced, the mortgagee has the right to demand the restoration of the value of the mortgaged property or provide a guarantee corresponding to the reduced value. If the mortgagor fails to restore the value of the mortgaged property or provide guarantee, the mortgagee has the right to require the debtor to pay off the debt in advance. Article 194 The mortgagee may give up the mortgage or the ranking of the mortgage. The mortgagee and the mortgagor may change the sequence of the mortgage and the amount of the secured creditor's rights by agreement, but the change of the mortgage shall not adversely affect other mortgagees without the written consent of other mortgagees. If the debtor mortgages his own property, and the mortgagee abandons the mortgage, the mortgage sequence or changes the mortgage, other guarantors shall be exempted from the guarantee liability within the scope of the mortgagee's loss of priority rights and interests, except that other guarantors promise to still provide the guarantee. Article 195 Where the debtor fails to perform the due debt or the mortgage is realized as agreed by the parties, the mortgagee may agree with the mortgagor to discount the mortgaged property or give priority to compensation with the proceeds from auction or sale of the mortgaged property. If the agreement harms the interests of other creditors, other creditors may request the people's court to cancel the agreement within one year from the date when they know or should know the reasons for cancellation. If the mortgagee and the mortgagor fail to reach an agreement on the way to realize the mortgage, the mortgagee may request the people's court to auction or sell the mortgaged property. Where the mortgaged property is discounted or sold, it shall refer to the market price. Article 196 Where a mortgage is established in accordance with the provisions of Article 181 of this Law, the mortgaged property shall be determined when one of the following circumstances occurs: (1) the debt performance period expires and the creditor's rights are not realized; (2) the mortgagor is declared bankrupt or revoked; (3) the realization of the mortgage rights agreed by the parties; and (4) other circumstances that seriously affect the realization of the creditor's rights. Article 197 Where the debtor fails to perform the due debts or the mortgage is realized as agreed by the parties, resulting in the mortgaged property being seized by the people's court according to law, the mortgagee has the right to collect the natural fruits or legal fruits of the mortgaged property from the date of seizure, unless the mortgagee fails to notify the obligor who should pay off the legal fruits. The fruits specified in the preceding paragraph shall first be offset against the fees for collecting fruits. Article 198 After the mortgaged property is discounted, auctioned or sold, the part of its price exceeding the amount of creditor's rights shall be owned by the mortgagor, and the insufficient part shall be paid off by the debtor. Article 199 Where the same property is mortgaged to more than two creditors, the proceeds from auction and sale of the mortgaged property shall be paid off in accordance with the following provisions: (1) If the mortgage right has been registered, it shall be paid off in the order of registration; If the order is the same, it shall be paid in proportion to the creditor's rights. (2) If the mortgage right is registered, it shall be paid in proportion to the creditor's rights. (3) If the mortgage right is unregistered, it shall be paid in proportion to the creditor's rights. Article 2 After the right to use the construction land is mortgaged, the new buildings on the land are not mortgaged property. When the right to use the construction land is mortgaged, the newly-added buildings on the land shall be disposed of together with the right to use the construction land, but the mortgagee shall not have the priority to be compensated for the proceeds from the newly-added buildings. Article 21 Where the right to contracted management of land is mortgaged in accordance with Item 3, Paragraph 1, Article 18 of this Law, or the right to use construction land within the occupied area of buildings such as factories of township and village enterprises is mortgaged in accordance with Article 183 of this Law, after the mortgage is realized, the nature of land ownership and land use shall not be changed without legal procedures. Article 22 The mortgagee shall exercise the mortgage right during the limitation of action for the principal creditor's rights. If it is not exercised, the people's court will not protect it. Legal objectivity:
Article 395 of the Civil Code of the People's Republic of China
The following properties that the debtor or a third party has the right to dispose of can be mortgaged:
(1) Buildings and other land attachments;
(2) the right to use construction land;
(3) the right to use the sea area;
(4) production equipment, raw materials, semi-finished products and products;
(5) Buildings, ships and aircraft under construction;
(6) means of transportation;
(7) other properties not prohibited by laws and administrative regulations.
the mortgagor may mortgage the property listed in the preceding paragraph together.