Perfection
Perfection of security interests means different things to lawyers in different jurisdictions.
- in English law, perfection has no defined statutory or judicial meaning, but academics have pressed the view that it refers to the attachment of the security interest to the underlying asset. Others have argued cogently that attachment is a separate legal concept, and that perfection refers to any steps required to ensure that the security interest is enforceable against third parties.
- in American law, perfection is generally taken to refer to any steps required to ensure that the security interest remains enforceable on the debtor's bankruptcy.
With the Americanization of the world's legal profession, the second definition is becoming more frequently used commercially, and arguably is to be preferred, as the traditional English legal usage has little purpose except in relation to the comparatively rare true legal mortgage (very few other security interests require additional steps to attach to the asset, but security interests frequently require some form of registration to be enforceable on the chargor's insolvency).
Read more about this topic: Security Interest
Famous quotes containing the word perfection:
“Our ego ideal is precious to us because it repairs a loss of our earlier childhood, the loss of our image of self as perfect and whole, the loss of a major portion of our infantile, limitless, ain’t-I-wonderful narcissism which we had to give up in the face of compelling reality. Modified and reshaped into ethical goals and moral standards and a vision of what at our finest we might be, our dream of perfection lives on—our lost narcissism lives on—in our ego ideal.”
—Judith Viorst (20th century)
“Swans in the winter air
A white perfection have,”
—W.H. (Wystan Hugh)
“I would with such perfection govern, sir,
T’excel the golden age.”
—William Shakespeare (1564–1616)