Vivum vadium is a form of pledge in which an estate is granted until a debt is paid off using its profits. It is referred to as a “live pledge” because the land’s profits continuously go towards paying off the debt. This differs from a mortgage, which is a “dead pledge” where an estate is given as security by the borrower and is lost if the money is not repaid at the specified time. Vivum vadium can also refer to wages or salary.
Vivum vadium, a Latin term meaning “live pledge,” refers to the granting of an estate until a debt is fully paid from its proceeds. The term “live pledge” signifies that the debt is continuously being repaid through the profits generated by the land. For instance, when a person borrows money and offers their property as collateral, the property is considered a vivum vadium. Although the borrower retains ownership of the property, the lender has the right to collect the profits until the debt is settled. This differs from a vadium mortuum, also known as a mortgage, where the borrower gives the lender an estate as security. In the event of loan default, the pledged estate becomes the property of the lender.
Vivum Vadium is a Latin term that translates to “living pledge” in English. It refers to a legal concept where a property is pledged as security for a debt, but the debtor retains possession and use of the property.
Under Vivum Vadium, the debtor transfers possession of the property to the creditor as security for a debt. However, the debtor continues to use and enjoy the property during the term of the debt.
The recognition and legality of Vivum Vadium may vary depending on the jurisdiction. It is important to consult with a local attorney to determine the specific laws and regulations governing Vivum Vadium in your jurisdiction.
Vivum Vadium allows debtors to retain possession and use of their property while providing security to the creditor. It can be a useful tool for borrowers who need to secure a loan but do not want to give up their property entirely.
In general, any type of property that has value and can be transferred can be used for Vivum Vadium. This can include real estate, vehicles, artwork, or other valuable assets.
Yes, Vivum Vadium can be used for both personal and business loans. It provides a flexible option for borrowers in various financial situations.
If the debtor fails to repay the loan or breaches the terms of the agreement, the creditor may have the right to take possession of the property and sell it to recover the outstanding debt.
In most cases, the debtor cannot sell the property without the consent of the creditor during the term of the Vivum Vadium agreement. The property remains as security for the debt until the loan is repaid.
Vivum Vadium can be used for various types of debts, including loans, mortgages, or other financial obligations. However, it is important to review the specific terms and conditions of the agreement to ensure it is suitable for the intended purpose.
Like any legal arrangement, there are potential risks involved with Vivum Vadium. It is crucial to seek legal advice and thoroughly review the terms of the agreement to understand the rights and obligations of both parties involved.
This site contains general legal information but does not constitute professional legal advice for your particular situation. Persuing this glossary does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.
This glossary post was last updated: 16th April 2024.
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