730-347 Law of Security

Credit Points

Coordinator

Prerequisites

Torts and the Process of Law; History and Philosophy of Law.

Semester

Contact

Subject Description

The nature and purpose of security transactions. Fundamental types of real security: mortgage, pledge and charge. Legal and equitable mortgages of old title land; of land registered under the Torrens system; and of chattels. Creating a mortgage. The rights and powers of the parties during the mortgage. Redemption of the mortgage. Enforcement of the mortgage: foreclosure, sale and appointment of a receiver. Second and sub-mortgages. Priorities. Non-mortgage securities over land and chattels: pledge, charges and liens. The creation, nature, effect and enforcement of such securities. Extinguishment of security rights under the Chattel Securities Act. Security by means of reserving a title to goods bought and sold: the purpose and nature of `Romalpa' clauses. Legal and equitable mortgage of `choses in action'. Hypothecations of a `chose in action'. Securities created by corporations, particularly fixed and floating charges. Personal securities: the creation, nature and effect of suretyship. Security transactions in which consumer's are involved.

Assessment

Final Exam 2 hours (100%).

Prescribed Texts

Printed Materials will be issued by the Law School.

• Sykes & Walker, The Law of Securities. 5th ed. 1993.