Applying Well-Settled Law to Dismantle the Clogging of the Equities Argument for Dual Collateral Loans
Real estate and litigation attorneys Stuart Glick and Vivian Arias co-authored an article featured in The Real Estate Finance Journal discussing dual collateral loans, which are loans secured by both a mortgage on real property and a pledge of the ownership interests in the mortgagor entity that owns such property. In the article, the authors examine whether the defense of "clogging" the mortgagor's right of redemption can be used to derail a non-judicial Uniform Commercial Code foreclosure sale on dual collateral loans.