Security Interest (Noun)
Meaning
Any interest in a property that secures the payment of an obligation.
Classification
Nouns denoting possession and transfer of possession.
Examples
- The bank held a security interest in the company's assets as collateral for the loan.
- The lender required a security interest in the borrower's property to secure the mortgage.
- The Uniform Commercial Code governs the creation and enforcement of security interests in personal property.
- The creditor's security interest in the debtor's equipment was perfected by filing a financing statement.
- The court ruled that the lien on the property was a valid security interest that took priority over other claims.