This Act comes into effect as of April 1, 1972.

Except where otherwise provided, the provisions of the Civil Code as amended by this Act (hereinafter referred to as the "New Act") also apply to mortgages that exist at the time this Act comes into effect and that are revolving mortgages (hereinafter referred to as "former revolving mortgages"); provided, however, that this does not preclude effects that arose under the provisions of the Civil Code before amendment (hereinafter referred to as the "Former Act").

①With regard to a former revolving mortgage whose provision on the maximum amount does not conform to the provisions of the New Act or for which registration of an increase of the maximum amount has been made otherwise than by annotation, a change of the maximum amount, a change of the scope of the claims to be secured or of the obligor under the provisions of Article 398-4 of the New Act, an assignment of a revolving mortgage under the provisions of Article 398-12 of the New Act, a partial assignment of a revolving mortgage under the provisions of Article 398-13 of the New Act, and a provision under the proviso to Article 398-14, paragraph (1) of the New Act may not be made.

②The provisions of the preceding paragraph apply mutatis mutandis to a former revolving mortgage other than the former revolving mortgage prescribed in that paragraph for which a disposition has been made under the provisions of Article 375, paragraph (1) of the Former Act; provided, however, that this does not preclude a change of the maximum amount or an assignment of a revolving mortgage under the provisions of Article 398-12, paragraph (2) of the New Act.

With regard to a former revolving mortgage whose provision on the maximum amount does not conform to the provisions of the New Act, that provision may be changed, only before the principal is fixed, so as to conform to the provisions of the New Act. In this case, it is not required to obtain the consent of a subordinated mortgagee or any other third party.

①With regard to a former revolving mortgage for which registration of an increase of the maximum amount has been made otherwise than by annotation, only before the principal is fixed, by agreement between the revolving mortgagee and the mortgagor of the revolving mortgage, the former revolving mortgage may be divided and the portion pertaining to the increase may be made an independent revolving mortgage under the provisions of the New Act. In this case, rights whose object is the former revolving mortgage are extinguished with respect to the portion pertaining to the increase.

②When a division under the preceding paragraph is effected, the approval of the persons holding rights whose object is the portion pertaining to the increase and of other persons having an interest must be obtained.

A provision on the time at which the principal secured is to be fixed, or its registration, that actually exists with respect to a former revolving mortgage when this Act comes into effect is deemed to be a provision or registration that specifies, as the date referred to in Article 398-6, paragraph (1) of the New Act, the day on which the principal is to be fixed pursuant to that provision; provided, however, that if the day on which the principal is to be fixed pursuant to that provision is later than the day on which five years have elapsed from the day this Act comes into effect, that provision or its registration is deemed to be a provision or registration that specifies, as the date referred to in that paragraph, the day on which those five years elapse.

With respect to subrogation where a person who has continuously had, from before this Act comes into effect, a legitimate interest in performing an obligation secured by a former revolving mortgage performs that obligation after this Act comes into effect and before the principal is fixed, the provisions then in force continue to govern.

With respect to a disposition under Article 375, paragraph (1) of the Former Act that was made before this Act comes into effect in relation to a former revolving mortgage for which the principal has not yet been fixed, the provisions then in force continue to govern.

①With respect to a former revolving mortgage on several immovable properties created to secure the same claim, only before the principal is fixed, by agreement between the revolving mortgagee and the mortgagor of the revolving mortgage, that former revolving mortgage may be separated as to one immovable property from the other immovable properties, and the provisions of Article 392 of the New Act may be made not to apply between those immovable properties; provided, however, that this does not apply if the approval of subordinated mortgagees and other persons having an interest has not been obtained.

②A separation under the preceding paragraph is deemed to be the creation of a revolving mortgage with respect to the application of the provisions of Article 398-16 of the New Act.

With respect to a former revolving mortgage for which, before this Act comes into effect, there has been a petition prescribed in Article 398-20, paragraph (1), item (i) of the New Act, an attachment prescribed in item (ii) of that paragraph, the commencement of auction procedures or a seizure prescribed in item (iii) of that paragraph, or an order commencing bankruptcy proceeding prescribed in item (iv) of that paragraph, and for which the principal secured has not been fixed, that paragraph applies on the basis that those grounds arose on the day this Act comes into effect.

With respect to a former revolving mortgage for which the provision on the maximum amount does not conform to the provisions of the New Act, the provisions of Article 398-22 of the New Act apply with the limit of the amount of its priority deemed to be the maximum amount.