What rights are granted to a mortgagee under a property contract with a mortgagor?

The correct answer pertains to the specific rights and protections that a mortgagee—typically a lender—holds in relation to the mortgagor, who is the property owner or borrower. When a property is mortgaged, the mortgagee obtains certain rights that ensure they can recover the loan amount in the event of default by the mortgagor. These rights often include the ability to be notified of any changes to the property insurance, the right to request that insurance policies include the mortgagee as a loss payee, and potentially the right to take legal action in the event of foreclosure if the mortgagor fails to meet their obligations.

In this context, the "Mortgagee Rights" encapsulate the essential protections and privileges granted to the mortgagee by virtue of the mortgage agreement, which is critical for ensuring that the financial interests of the lender are safeguarded throughout the life of the loan.

The other options do not relate directly to the rights of the mortgagee in a property contract. For example, "Morale Hazard" refers to a type of risk or behavior that increases the likelihood of loss. "Named Insured" typically denotes the individual or entity specifically designated in an insurance policy, which does not capture the essence of mortgage