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Simple English definitions for legal terms
hypothèque
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A quick definition of hypothèque:
Hypothèque is a legal term used in French law that refers to the right given to a creditor to use a property as collateral for a debt. This means that if the debtor fails to pay back the debt, the creditor has the right to take possession of the property. There are three types of hypothèque: légale, which is when the state or a married woman has a charge over a property; judiciaire, which is when a court orders the property to be used as collateral; and conventionelle, which is when the parties agree to use the property as collateral.
A more thorough explanation:
HYPOTHÈQUE
Hypothèque is a legal term used in French law. It refers to the right given to a creditor to claim ownership of a property that has been assigned to them as security for a debt. This right can be granted with or without possession of the property. There are three types of hypothèque: légale, judiciaire, and conventionelle.
- A married woman has the right to a légale hypothèque over her husband's property.
- A creditor can obtain a judiciaire hypothèque over a property if the debtor fails to pay their debt.
- Two parties can agree to a conventionelle hypothèque as part of a loan agreement.
These examples illustrate how hypothèque can be used in different situations. In the first example, a married woman has a legal right to claim ownership of her husband's property if he fails to pay his debts. In the second example, a creditor can obtain ownership of a property through a court order if the debtor fails to pay their debt. In the third example, two parties can agree to use a property as security for a loan, giving the creditor the right to claim ownership of the property if the debtor fails to pay back the loan.