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A judicial hypothec is a legal mechanism established by a court that grants a creditor rights over a debtor's present and future property. This right becomes operative if the debtor fails to pay their debt. Unlike ownership, a judicial hypothec is a real right that allows the creditor, as a last resort, to seize and sell the debtor's property under court authorization to satisfy the outstanding debt. This concept originates from Roman law and is found in modern civil-law systems, similar in principle to a mortgage but without granting title or possession to the creditor.12

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  1. hypothec
  2. hypothecation
  3. foreclosure

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