Is there a disadvantage to pursuing collection action against a vessel in some way other than judicial foreclosure in federal court?
Yes. A sale pursuant to court order in a foreclosure action is the only way to clear a vessel of valid liens short of satisfying the underlying obligation. Potential buyers concerns about the presence of secret liens could inhibit sale of the vessel by other means, or could require a discount in price or an agreement to indemnify. Copyright 2001 Mark C.
Yes. A sale pursuant to court order in a foreclosure action is the only way to clear a vessel of valid liens short of satisfying the underlying obligation. Potential buyers concerns about the presence of secret liens could inhibit sale of the vessel by other means, or could require a discount in price or an agreement to indemnify. Copyright 2001 • Mark C.
Related Questions
- Is there a disadvantage to pursuing collection action against a vessel in some way other than judicial foreclosure in federal court?
- Does a foreclosure action in a court of equity substantially affect a lender’s right to enforce loan obligations against a borrower?
- Are there collection alternatives to foreclosure action in federal court?
