Obligation to transfer mortgage

(1) Where a mortgagor desires to pay off the mortgage money then, subject to compliance with the terms on compliance with which he would be entitled to require a discharge of the mortgage, he shall be entitled to require the mortgagee, instead of discharging the mortgage, to assign the mortgage debt to any third person as the mortgagor directs, and the mortgagee shall be bound to assign accordingly. (2) This section shall apply to mortgages made either before or after the commencement of this Act, and take effect notwithstanding any stipulation to the contrary.