The Mortgage Bill of Sale is a crucial document in Nigerian secured lending transactions, used when a borrower needs to create a security interest over property while maintaining possession and use rights. This document type is particularly important in the Nigerian context due to specific requirements under the Land Use Act 1978 and Bills of Sale Act 1923. It serves multiple purposes: establishing the security interest, detailing the loan terms, specifying parties' rights and obligations, and providing enforcement mechanisms. The document is commonly used in both commercial and residential property transactions, requiring careful attention to Nigerian registration requirements and legal formalities. It provides lenders with security while offering borrowers flexibility in property use, making it a valuable tool in various financing scenarios.

1. Parties: Identifies and defines the Mortgagor (borrower/property owner) and Mortgagee (lender), including their full legal names, addresses, and any registration numbers for corporate entities

2. Background: Sets out the context of the transaction, including the purpose of the loan and brief description of the secured property

3. Definitions: Defines key terms used throughout the document, including 'Property', 'Secured Amount', 'Security Interest', etc.

4. Property Description: Detailed description of the property being mortgaged, including all relevant registration and title details

5. Creation of Security Interest: Establishes the security interest being created over the property in favor of the Mortgagee

6. Loan Amount and Terms: Specifies the principal amount, interest rate, repayment terms, and payment schedule

7. Mortgagor's Covenants: Lists the promises and obligations of the Mortgagor, including maintenance of property, insurance, and payment obligations

8. Mortgagee's Rights: Details the rights of the Mortgagee, including right of inspection, sale, and appointment of receivers

9. Events of Default: Specifies circumstances that constitute default and their consequences

10. Enforcement: Details the Mortgagee's enforcement rights and remedies upon default

11. Governing Law: Specifies Nigerian law as the governing law and relevant jurisdiction