Attachment
The moment a security interest comes into existence against the grantor.
An interest attaches when the grantor has rights in the collateral and value has been given or the grantor has done something that creates the interest. For a supplier, that is usually when the customer takes possession of the goods under terms that contain the clause.
Related terms
- Perfection — The step that makes a security interest effective against third parties and insolvency practitioners, usually registration.
- Security interest — An interest in personal property that secures payment or performance of an obligation.
Need this registered, not just defined?
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