If two units are amalgamated into one, and only one has an ancillary real right, the entire new unit becomes subject to that right. In this case, the holder's approval for the amalgamation is not required. However, if both units carry separate ancil…
If two units are amalgamated into one, and only one has an ancillary real right, the entire new unit becomes subject to that right. In this case, the holder's approval for the amalgamation is not required. However, if both units carry separate ancillary real rights, the amalgamation cannot proceed without the express approval of both holders of those rights. This rule protects the interests of lenders and other right-holders, ensuring their security is not diluted or complicated by merging two different legal interests.
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