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Simple English definitions for legal terms
contractual lien
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A quick definition of contractual lien:
A contractual lien is a type of lien that comes from a contract. It means that one person has the right to keep someone else's property until they pay back money they owe. For example, if someone takes out a mortgage to buy a house, the bank has a contractual lien on the house until the person pays back the loan. Some people argue about whether a contractual lien is a "real" lien, but it's still an important concept in the law.
A more thorough explanation:
A contractual lien is a type of lien that comes from a contract and doesn't depend on common law or statutes. It's like a contract that gives someone a security interest in property. For example, a mortgage is a type of contractual lien.
Some people say that a "contractual lien" shouldn't be called a lien because a "true" lien happens without the property owner's agreement. But others think that the idea of contractual liens is important to talk about in the law.
For instance, if you take out a mortgage to buy a house, the bank has a contractual lien on the property. This means that if you don't pay back the loan, the bank can take possession of the house and sell it to get their money back.