Real And Personal Security Flashcards
1
Q
Two types of security:
A
Real and Personal security
2
Q
Real security:
A
It is the right to apply proceeds from debtor’s property in satisfaction of Creditors claim to the exclusion of the claims of other creditors.
3
Q
Types and sources of security:
A
1 formal act: real
Mortgage bond
Pledge
Motorola bond
Cession in securitatem debiti
2 operation of law: real
Lien
Landlords tacit hypothec
3 contract: personal
Surety
Lien
4
Q
Personal security:
A
Right to have third person carry out agreed performance.
5
Q
Invalid bond:
A
Kilburn v Estate Kilburn
6
Q
Case law: does invalidity of loan mean invalidity of mortgage loan?
A
Panamo Properties.
Mortgage was valid as the two contracts are separate and should be views as such.
7
Q
Parate executie clause
A
Immediate execution clause
