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ARTICLE · 10 JANUARY 2019

Egyptian Law: Collateral Securities

Youssry Saleh Law Firm
Youssry Saleh Law Firm
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Youssry Saleh Law Firm

Youssry Saleh Law Firm

Youssry Saleh Law Firm, based in Cairo, has been operating since 1985. During 40 years of practice...

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The subject of the pledge may be a guarantee of a debt that depends on a condition of a debt of the future or a possible debt.

EgyptCorporate/Commercial Law

The Egyptian legislator regulated the mortgages to be an insurance for the creditors' interest through the Egyptian Civil Code, Trade Law, and the Movable Securities Law.

Mortgages are defined as the debt instrument, loans in which obtained movable, or immovable is put up as collateral for the loan, wherein a debtor who defaults on a loan is subject to have his property pledged. The debtor is obliged to pay back with a predetermined set of payments.

There are different types of mortgages that guarantee the debtor's rights such as the mortgage of movables, immovable and commercial pledge.

According to the Egyptian Civil Law No. 131 of the year 1948, the pledge guarantees that the debt will be fulfilled by the debtor in accordance with a contract of pledge on a movable or immovable to be delivered to the creditor. In case of non-fulfillment of the debtor's obligations, the Pledge contract shall be notarized, which will determine the rights in rem of lenders, and

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