Subdivision 1 Enforcement against goods and securities

109   Effect of writ of execution on goods

(cf Act No 1 1923, section 29)

(1)  A writ of execution against goods binds the property in the goods as from the time the writ is delivered to the Sheriff.

(2)  Despite subsection (1), a writ of execution does not affect the title to goods acquired by a person in good faith and for valuable consideration unless, when the person acquires title, he or she has notice that such a writ has been delivered to the Sheriff and remains unexecuted.

110   How goods subject to conditional bill of sale to be dealt with

(cf Act No 8 1901, section 16)

(1)  If goods the subject of a writ for the levy of property (being goods in the possession of the judgment debtor) are the subject of a conditional bill of sale, the Sheriff may sell the judgment debtor’s interest in the goods without taking possession of them.

(2)  On receiving written notice of the purchase of the judgment debtor’s interest, the person having the benefit of the bill of sale (the holder of the bill) may take possession of the goods and, if he or she does so, is taken to hold them for the use of the purchaser, subject to the purchaser’s due payment of any amounts payable under the bill of sale.

(3)  If the goods are subsequently sold under the bill of sale, and there is any surplus remaining from the proceeds of sale after the debt to the holder of the bill is satisfied, the holder must pay the surplus to the purchaser, and, accordingly, the amount of that surplus is recoverable by the purchaser from the holder as a debt.

(4)  Nothing in this section affects the right of any judgment creditor to test the validity of any bill of sale by interpleader.

111   How securities to be dealt with

(cf Act No 8 1901, sections 6, 7 and 8)

(1)  The Sheriff may hold any cheque, bill of exchange, promissory note, bond, specialty or other security for money as a security for the amount outstanding under the judgment and, if payment thereof has become due, may sue in the name of the Sheriff for the recovery of the sum secured thereby.

(2)  The payment to the Sheriff by the person liable on any such security for money, or the recovery by the Sheriff against the person so liable, discharges the person from that liability to the extent of the payment or recovery.