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Marshalling Securities

Defined in 3 dictionaries — Cyclopedic (1922), Bouvier (1914), Black's (1891)

The Cyclopedic Law Dictionary

Walter A. Shumaker and George Foster Longsdorf; ed. James C. Cahill · 1922

An arrangement of creditors into classes with respect to their satisfaction out of the assets of the common debtor in such manner as to compel the creditor having a right of resort to two or more different funds to satisfy his claim first from the fund to which no other creditor has a right to resort. 1 Story, Eq. 633.

Bouvier's Law Dictionary and Concise Encyclopedia

John Bouvier; revised by Francis Rawle · 1914

See Mab- SHALLi No Assets.

A Dictionary of Law

Henry Campbell Black · 1891

An equitable practice, which consists in so ranking or arranging classes of creditors, with respect to the assets of the common debtor, as to provide for satisfaction of the greatest number of claims. The process is this: Where one class of creditors have liens or securities on éwo funds, while another class of creditors can resort to only one of those funds, equity will compel the doubly-secured creditors to first exhaust that fund which will leave the single security of the other creditors intact. See 1 Story, Eq. Jur. § 630.