Assignment task:
Wang owned a caravan park at a beachside resort. The caravan park was mortgaged to the Ajax Finance Company. Wang defaulted in the repayment of the loan and the mortgagee decided to exercise the power of sale. The mortgagee engaged a firm of real estate agents to sell the property by public auction. The agents inserted several advertisements in the local newspaper. Two days before the date of the auction, they inserted an advertisement in one of the major newspapers in the city. However, it wasn't the edition that regularly features real estate auctions. The auction was conducted, and the property sold to the highest bidder. Wang was dissatisfied with the price obtained at the auction, claiming it was well below the true market value and that if the auction had been better and more widely advertised there would have been a greater likelihood of obtaining the true market value. Wang wants to bring an action against the mortgagee claiming compensation because the power of sale had been exercised without due regard for his rights and interests. The mortgagee claimed that by selling the property at auction it had satisfied any obligation it owed to Wang, and that if the auction did not result in the best possible price being obtained, that was the fault of the agents and not the mortgage company. Discuss.