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Commercial Law: Statutes

Resources for law students, bar examinees, and other researchers for Commercial Law


Useful Definitions

AgentOne who is authorized to act for or in place of another; a representative.

AttachmentThe creation of a security interest in property, occurring when the debtor agrees to the security, receives value from the secured party, and obtains rights in the collateral.

Equity of RedemptionThe right of a mortgagor in default to recover property before a foreclosure sale by paying the principal, interest, and other costs that are due.

EscrowA legal document or property delivered by a promisor to a third party to be held by the third party for a given amount of time or until the occurrence of a condition, at which time the third party is to hand over the document or property to the promisee.

ForeclosureA legal proceeding to terminate a mortgagor's interest in property, instituted by the lender (the mortgagee) either to gain title or to force a sale in order to satisfy the unpaid debt secured by the property.

GuarantyA promise to answer for the payment of some debt, or the performance of some duty, in case of the failure of another who is liable in the first instance.

InsolvencyThe condition of being unable to pay debts as they fall due or in the usual course of business.

Negotiable InstrumentA written instrument that (1) is signed by the maker or drawer, (2) includes an unconditional promise or order to pay a specified sum of money, (3) is payable on demand or at a definite time, and (4) is payable to order or to bearer.

Security InterestA property interest created by agreement or by operation of law to secure performance of an obligation (especially repayment of a debt).

All definitions come from Black’s Law Dictionary

Primary Source--Code

Primary Source--Case Law