# Parity clause

- Canonical URL: https://www.gerhardmerk.de/parity-clause
- Post ID: 591112
- Modified: 2023-07-25T21:13:51+00:00
- Language: en

## Definition

In a mortgage financing transaction by several lenders, the contractual agreement that in the event of the debtor's default and any foreclosure (CH: Betreibung; levy upon property, compulsory enforcement) all creditors have the same claims (a provision in a mortgage contract declaring that all notes are equally secured and that no holder of the collateral will receive preferential treatment in the event of default or foreclosure). - See bond, subordinated, location judgment, priority rule, unconditional. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor Dr. Eckehard Krah, Dipl.rer.pol. E-mail address: info@ekrah.com https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk https://www.jung-stilling-gesellschaft.de/merk/ https://www.gerhardmerk.de/

## Machine-readable

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