Security Rights in Foreclosure and Insolvency Law

Abstract

The value of a security right is generally not revealed until foreclosure or insolvency occurs. This contribution comparatively examines the interdependencies between substantive civil law rules on the one hand and foreclosure and insolvency law on the other hand, with reference to German law and recently reformed Chinese law. In both jurisdictions, security rights can be primarily understood as enforcement privileges, with only minor differences in the privileged positions of secured creditors.