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subordinate lien |
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subordinate lien Any subsequent (second, third, fourth, etc.) mortgage lien. In the event of foreclosure, holders of such liens may resort to the property for payment only to the extent of any surplus after prior liens have been paid off. Priority is usually determined by the chronological sequence in which the mortgages were created, but may be varied by agreement among the parties. Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content. |
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