A mortgage shall be extinguished by one of the following reasons: 1. The transfer of ownership of the mortgaged property to the mortgagee or the transfer of the right of mortgage to the mortgagor, provided that it shall be reinstated upon the cessation of the cause, if such cessation has a retroactive effect. 2. The waiver thereof by the mortgagee. 3. Perishing of the mortgaged property, subject to the provisions governing the perishing of the mortgaged property as set forth in this Law.
Interpretation and application must be checked against the official text and current version.