Securities

Question 1

What are the three types of SURETYSHIP contracts?

Answer 1

1) Legal suretyship

2) Commercial suretyship (most of the suretyships on the bar will be commerical!)

3) Original Suretyship

Question 2

What is required for a COMMERCIAL suretyship?

Answer 2

If any ONE of these elements are present, then it is a COMMERCIAL suretyship:

1) the SURETY IS PAID for giving promise to pay;

2) the surety OR the debtor is a BUSINESS ENTITY; or

3) the principal obligation (debt) OR the SURETYSHIP CONTRACT arises out of a COMMERCIAL TRANSACTION (business deal).

Question 3

What is a CONVENTIONAL MORTGAGE?

Answer 3

Aka, a SPECIAL mortgage.

A conventional mortgage is:

1) a SPECIAL mortgage (extending only to SPECIFIC, IDENTIFIED property); AND

2) CREATED by CONTRACT with the debtor.

Question 4

What are the three types of MORTGAGES?

Answer 4

1) Legal (not tested);

2) judicial;

3) conventional.

Question 5

What is a JUDICIAL MORTGAGE?

Answer 5

Aka, a GENERAL mortgage.

A judicial mortgage is when a CREDITOR on a MONEY JUDGMENT FILES A CERTIFIED COPY of the judgment in the MORTGAGE RECORDS of a parish where the debtor has/will have immovables.