§2366 Conditions of Indemnity; Purchase of Property by Commission

Summary

The Commission will pay the indemnity in section 2365 only after the current owner tells the Commission they plan to sell the property for less than the unpaid balance of the real or hypothetical loan calculated under section 2365. The payment happens only if three things are met: the notice arrives when the conditions in section 2364 are satisfied; the sale is done in the time and manner the Commission sets to secure a fair price without excessive costs; and the Commission gets prior notice and a chance to buy under rules it sets. If those things occur, the Commission may buy the property, and any sale and payment under sections 2363 to 2366 ends the Commission’s obligation for that property.