Dear PAO,

Andy obtained a loan from me and he mortgaged his property which he previously purchased from a certain government agency. Andy failed to pay his debt; hence, I foreclosed the mortgage and eventually emerged as the highest bidder during the public bidding. Andy now claims that the mortgage covering the property is void, because the consent of the proper government agency was not obtained when he executed the contract. The back of Andy’s Torrens Title contains an annotation that he shall not dispose, alienate, encumber or mortgage the property without the written consent of the government agency. Andy now claims that he cannot mortgage the property without the required written consent. He further claims that mortgage is void since the written consent is lacking. Is the mortgage contract void?

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