38(1)Where a mortgagor is entitled to redeem, he may require the mortgagee, instead of reconveying, and on the terms on which he would be bound to reconvey, to assign the mortgage debt and convey the mortgaged property to any third person as the mortgagor directs, and the mortgagee shall be bound to assign and convey accordingly.

38(2)This section does not apply in the case of a mortgagee being or having been in possession.

38(3)This section applies to all mortgages whenever made, and shall have effect notwithstanding any stipulation to the contrary.