§ 34-25-8 - Open-end mortgages.
SECTION 34-25-8
§ 34-25-8 Open-end mortgages. – Whenever a mortgage deed in statutory form or other form mortgaging realproperty is clearly entitled at the beginning thereof "Open-end mortgage tosecure present and future loans under chapter 25 of title 34" and in all otherrespects complies with the requirements of § 34-25-9, the mortgage deedshall be security from the time of its recording in the records for recordingreal estate mortgages in the city or town in which the real property mortgagedtherein is located for all mortgage debt secured thereby at the time ofrecording and for all future advances secured thereby in an aggregate principalamount outstanding at any time not to exceed the stated amount of such mortgagedeed, whether or not the future advances are agreed to be made at the time ofrecording such mortgage deed and whether or not the mortgages readvancesprincipal sums repaid. The mortgage shall also be security for interest, taxes,insurance premiums and such other obligations as are undertaken by themortgagor in the mortgage deed or in the note or notes or agreement securedthereby, notwithstanding that the interest, taxes, insurance premiums and otherobligations, when added to the total principal amount of such loans outstandingat any time may cause the amount secured by the mortgage deed to exceed thestated maximum amount. The application of this section shall be retroactive toJune 1, 1983.