As defined and explained in this ONLINE Encyclopedia
mortgage. “A mortgage is a real right [droit réel] over immovables [immeubles] encumbered for the performance of an obligation [obligation]”, C. Civ., art. 2114 (Quebec CC, art. 2660). A mortgage (i) “is, by nature, indivisible and exists as a whole over all the immovables encumbered, over each and every portion of the immovables.”; and (ii) provides a droit de suite whereby if the immovables are transferred, or otherwise alienated, the lender can follow them “into whatever hands they pass”, C. Civ., art. 2114. “A mortgage exists only in the cases and in the forms authorized by law”, C. Civ., art. 2115.
A mortgage is either legal (légale); judicial (judiciaire); or conventional (conventionelle) (C. Civ., art. 2116). A legal mortgage is one created by law. A judicial mortgage is that which is created by judgment. A conventional mortgage is created by agreement (C. Civ., art. 2117). A mortgage can only be created in respect of: (i) real property, or property that has become an accessory (fixture) thereto, used in commerce; (ii) a right of usufruct in respect of real property, or an accessory thereto, while that right exists (C. Civ., art. 2118). Personal property (meubles) cannot be the subject of a mortgage (C. Civ., art. 2119). In French law, a mortgage is similar to ‘charge’ as found in English law, or a ‘lien’ as recognized in lien theory states in the US. Thus, the mortgagee does not have a title to the property, but a right to satisfy his debt by a sale of the property at auction in the event of a default.
(bureau des hypothèques: mortgage registration office; land registry, which provides for the registration of all encumbrances to land including such rights as servitudes)
(conservation des hypothèques: mortgage registration office)
(grevé d’hypothèque: burdened by, or subject to, a mortgage)
(hypothèque avec amortissement cumulatif: amortization mortgage)
(hypothèque de premier rang: first (rank) mortgage)
(hypothèque générale: blanket mortgage)
(lever une hypothèque: to redeem a mortgage)
(libre d’hypothèque: unencumbered)
(mainlevée d’hypothèque: release or redemption of a mortgage)
(purger une hypothèque: to redeem a mortgage)
(saisie d’une hypothèque: foreclosure). See also forclusion).
Amos & Walton’s Introduction to French Law (3rd ed. Oxford: 1967), pp. 123–7.
Amos & Walton's Introduction to French Law (3rd ed. Oxford: 1967), pp. 123–7.
L. Bach. Droit Civil, Tome I, Introduction à l'étude du droit, Les personnes physiques, La famille, Les biens, Les obligations, Les sûretés (13ème éd. Paris: 1999), 5éme Partie, Titre 3 'Les Priviléges et les Hypothéques'.
G. Goubeaux et P. Voirin. Manuel de Droit Civil, Tome 1 (30ème éd. Paris: 2005), §§ 1423 et seq.
P. Simler et P. Delebecque. Droit Civil, Les Sûretés (3ème éd. Paris: 1999), §§ 260, 267 et seq.
H., L. et J. Mazeaud and F. Chabas. Leçons de Droit Civil, Sûretés (8ème éd. Paris: 1998), pp. 232–561.
J. Mestre, E. Putman et M. Billiau. Traité de Droit Civil (Paris: 1996), §§ 1049 et seq.
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More Real Estate Definitions
acceleration clause; bargain and sale; base fee; easement; emphyteotique lease; exclusive agency; fructus(Lat);
highest and best use; home valuation code of conduct (HVCC)(US); immeuble(F); leasehold enfranchisement; market value (MV); once a mortgage, always a mortgage; partial release (or the rule in Dumpor's Case); possession;
resecuritization; resulting trust (and Quistclose trust); strata title; tenantable repair; Torrens title; unjust enrichment; waste