Secured Party
/ˈsɪkjʊrd ˈpɑːrti/
Definitions
- (n.) A creditor who holds a security interest in the debtor’s collateral under a security agreement.
The secured party has priority over unsecured creditors in repossessing the collateral.
Forms
- secured parties
Related terms
See also
Commentary
The term is primarily used within secured transactions law, especially under Article 9 of the UCC; clarity in drafting security agreements is key to defining the secured party’s rights.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.