O.C.G.A. § 44-14-85 (2019)
Withdrawal of foreclosure proceedings after acceleration of maturity of indebtedness; effect on running of statute of limitations; rescission of acceleration
(a) The acceleration of the maturity of an indebtedness which is evidenced by a note or otherwise and secured by a deed to secure debt conveying real property and the commencement of foreclosure proceedings by the advertisement of a sale under the power contained in the deed or by an action shall not commence the running of the statute of limitations against the exercise of any right, power, or privilege authorized in the deed or the evidence of the indebtedness secured thereby or the right to bring an action to enforce any provision of the deed or to collect the indebtedness secured thereby if the foreclosure proceedings are withdrawn prior to their completion by sale or otherwise. Such withdrawal shall operate to rescind the acceleration of the maturity of the indebtedness and to reinstate the indebtedness upon the terms and conditions existing prior to the acceleration. Such withdrawal shall not prejudice the right of the holder of the indebtedness and deed securing same to exercise any and all rights to accelerate the maturity of the indebtedness and to exercise any right or power contained in the deed or the evidence of the indebtedness secured thereby or conferred by law should a subsequent default occur. (b) Nothing contained in subsection (a) of this Code section shall prevent, restrict, or otherwise impair the exercise of any other right or privilege conferred by law; but the rights contained in subsection (a) of this Code section shall be cumulative and in addition thereto.
History
Ga. L. 1956, p. 716, §§ 1, 2.
Annotations
Law reviews. For annual survey on commercial law, see 53 Mercer L. Rev. 153 (2001).
For survey article on real property law, see 67 Mercer L. Rev. 193 (2015).
JUDICIAL DECISIONS Withdrawal does not eliminate question of surety’s liability. - O.C.G.A. § 44-14-85 permits withdrawal of foreclosure proceedings prior to completion without prejudice to the right of the holder. However, that section does not eliminate fact questions as to whether a surety on the obligation foreclosed upon is discharged by reason of the withdrawal. Hart v. DeLowe Partners, Ltd., 147 Ga. App. 715, 250 S.E.2d 169, 1978 Ga. App. LEXIS 2918 (1978).
Foreclosure proceedings stated by bankruptcy court. - O.C.G.A. § 4414-85 applies only to those foreclosure proceedings that have been withdrawn and does not apply where foreclosure proceedings were stayed by the bankruptcy court as a result of action taken by the debtors. Rapps v. Cooke, 246 Ga. App. 251, 540 S.E.2d 241, 2000 Ga. App. LEXIS 1205 (2000).
RESEARCH REFERENCES Am. Jur. 2d. 55 Am. Jur. 2d, Mortgages, §§ 682, 689. C.J.S. 54 C.J.S., Limitations of Actions, § 153. ALR. Effect on acceleration clause in mortgage of delay in declaring mortgage due, 5 A.L.R. 437. Right to reasonable time in which to make payment required by mortgage after acceleration clause becomes effective, 21 A.L.R. 1547. Time within which taxes may be paid to prevent operation of acceleration clause in mortgage, 31 A.L.R. 731. Acceleration provision in note or mortgage as affecting the running of the statute of limitations, 34 A.L.R. 897; 161 A.L.R. 1211. Tender after acceleration clause has become operative as preventing foreclosure of mortgage, 41 A.L.R. 732. Part payment or acknowledgment of indebtedness on bond or note as tolling statute on mortgage securing same, 41 A.L.R. 822. Effect on note of acceleration of mortgage securing note, 66 A.L.R. 1311. Grounds of relief from acceleration clause in mortgage, 70 A.L.R. 993. Duty of creditor to apply funds so as to prevent operation of acceleration clause, 80 A.L.R. 246. Payment, acknowledgment, or new promise by mortgagor as tolling statute of limitations as against grantee of mortgaged premises, 101 A.L.R. 337. When “sale” deemed to have taken place
for purposes of statute of limitations which fixed commencement of period at time of foreclosure sale or other judicial sale, 101 A.L.R. 1348. Acceleration provision of mortgage or other instrument as affected by bankruptcy proceedings, 108 A.L.R. 1030. Posting of notice or other steps preliminary to nonjudicial foreclosure of mortgage or deed of trust as suspending statute of limitations, 122 A.L.R. 938. Acceleration clause as affected by cross indebtedness or obligation, 151 A.L.R. 896. Statute of limitations as affecting suit to enforce mortgage or lien securing debt payable in instalments, 153 A.L.R. 785. Acceleration of note or mortgage as automatic or optional, 159 A.L.R. 1077. Acceptance of past-due interest as waiver of acceleration clause in note or mortgage, 97 A.L.R.2d 997. Validity, construction, and application of clause entitling mortgagee to acceleration of balance due in case of conveyance or transfer or mortgaged property, 69 A.L.R.3d 713; 22 A.L.R.4th 1266; 61 A.L.R.4th 1070. Construction and effect as to interest due of real estate mortgager clause authorizing mortgagor to prepay principal debt, 86 A.L.R.3d 599. What transfers justify acceleration under “due-on-sale” clause of, 22 A.L.R.4th 1266. Validity and enforceability of due-onsale real-estate mortgage provisions, 61 A.L.R.4th 1070.
ARTICLE 4 SECURITY AGREEMENTS RELATING TO CROPS JUDICIAL DECISIONS Applicability of article. - O.C.G.A. § 44-14-100 et seq. discusses only liens on crop mortgages and bills of sale as they relate to crops grown within 12 months
from the date of such instruments. Citizens Bank v. J.L. Pilcher & Sons, 67 Ga. App. 395, 20 S.E.2d 442, 1942 Ga. App. LEXIS 426 (1942).
RESEARCH REFERENCES ALR. Chattel mortgage on livestock as covering animals subsequently acquired by
means other than natural increase by generation, 129 A.L.R. 899.