Assignments by way of security can take different forms and it is important to understand how they are created and their effect. Security over choses in action such as debts and other contractual rights is often taken by way of an equitable or statutory assignment by way of security.
This Practice Note explains:
- •
what assignments by way of security are
- •
which types of assets they are used for
- •
whether they take legal, statutory or equitable form and the advantages of the statutory form
- •
why it is important to serve notice of an assignment by way of security
What is an assignment by way of security?
Assignments by way of security are a type of mortgage. They involve:
- •
an assignment (ie transfer) of rights by the Assignor to the assignee
subject to:
- •
an obligation to reassign those rights back to the assignor upon the discharge of the obligations which have been secured
When the obligations that have been secured have been discharged, the assigned rights have
Access this content for free with a 7 day trial of LexisNexis and benefit from:
- Instant clarification on points of law
- Smart search
- Workflow tools
- 41 practice areas
Get your quote today and take step closer to being able to benefit from:
- Instant clarification on points of law
- Smart search
- Workflow tools
- 36 practice areas
Get a LexisNexis quote
* denotes a required field
To view the latest version of this document and thousands of others like it,
sign-in with LexisNexis or register for a free trial.
Powered by Lexis+®
Jurisdiction(s):
United Kingdom
CONTACT US
