legal mortgage

Definition:

a form of charge given as security for the performance of some obligation in which ownership but not possession of the charged property is transferred to the chargee (who is called the ‘mortgagee’) on condition that it will revert to the person giving the mortgage (who is called the ‘mortgagor’) when the obligation is fulfilled. In the law of England and Wales, it is not possible to create a legal mortgage over land but land can be charge in a very similar way using a ‘charge by way of legal mortgage’. Also called ‘mortgage’.



Contribute:

Add to or refine this definition | Discuss on our forum

Share: