HYPOTHECATION

hypothecation (hI-poth-<<schwa>>-kay-sh<<schwa>>n), n. The pledging of something as security without delivery of title or possession. [Cases: Pledges  1–21; Secured Transactions  1. C.J.S. Pledges §§ 2–21, 27; Secured Transactions§§ 3, 7–9, 23, 37.] — hypothecator (hI-poth-<<schwa>>-kay-t<<schwa>>r), n.

general hypothecation. 1. A debtor’s pledge to allow all the property named in the security instrument to serve as collateral and to be used to satisfy the outstanding debt. 2. See tacit hypothecation (1), (2).

tacit hypothecation. 1.Civil law. A type of lien or mortgage that is created by operation of law and without the parties’ express agreement. — Also termed tacit mortgage. 2. See maritime lien under LIEN.

[Blacks Law 8th]