A claim of a secured claimant shall not be allowed in a sum greater than the excess over the value of the security of the amount for which the claim would be allowable if unsecured, unless the claimant surrenders the security to the liquidator. Upon such surrender the claim may be allowed in the full amount for which it is valued.
Cal. Ins. Code § 1029
Proceedings in Cases of Insolvency and Delinquency
Applied in 1 court decision — leading case Gillespie v. California Standard Indemnity Co. (1989)
Most recently applied in Gillespie v. California Standard Indemnity Co. (May 1989)
Amended by Stats. 1935, Ch. 291.
Official source: California Legislative Information. Reproduced from public-domain California statutes; confirm against the official source for the current text. Not legal advice.