Post-obit Bond (Noun)
Meaning
A bond made by a reversioner to secure a loan; payable out of his reversion.
Classification
Nouns denoting possession and transfer of possession.
Examples
- The reversioner issued a post-obit bond to secure the loan from the lender, ensuring repayment from his future inheritance.
- In exchange for the loan, the reversioner agreed to issue a post-obit bond, which would be paid off when he came into his inheritance.
- The lender required the reversioner to issue a post-obit bond as collateral for the loan, providing a guarantee of repayment.
- The reversioner's post-obit bond was secured against his future inheritance, providing the lender with assurance of repayment.
- The post-obit bond issued by the reversioner was payable out of his reversion, ensuring the lender would receive repayment when the reversioner inherited the estate.