§ 29-1-15-6 — Purchasers, mortgagees, pledgees, or lienors; allowance of claims

At any sale of real or personal property upon
which there is a mortgage, pledge or other lien, the holder thereof may
become the purchaser and may apply the amount of his lien on the
purchase price in the following manner. If no claim thereon has been
filed or allowed, the court, at the hearing on the report of sale and for
confirmation of the sale, may examine into the validity and
enforceability of the lien or charge and the amount due thereunder and
secured thereby and may authorize the personal representative to
accept the receipt of such purchaser for the amount due thereunder and
secured thereby as payment pro tanto. If such mortgage, pledge or other
lien is a valid claim against the estate and has been allowed, the receipt
of the purchaser for the amount due him from the proceeds of the sale
is a payment pro tanto. If the amount for which the property is
purchased, whether or not such claim was filed or allowed, is
insufficient to defray the expenses and discharge his mortgage, pledge
or other lien, the purchaser must pay an amount sufficient to pay the
balance of such expenses and the amount credited to the payment of his
claim shall be reduced accordingly. Nothing permitted under the terms
of this section shall be deemed to be an allowance of a claim based
upon such mortgage, pledge or other lien.
Formerly: Acts 1953, c.112, s.1506.