Unpaid vendor’s lien: subrogation following release of security | Practical Law

Unpaid vendor’s lien: subrogation following release of security | Practical Law

The Supreme Court has confirmed that a lender may be subrogated to an unpaid vendor’s lien on the basis of security released, as opposed to monies advanced, if there is a sufficient causal connection between the lender’s agreement to release its security and the buyer’s unjust enrichment.

Unpaid vendor’s lien: subrogation following release of security

Practical Law UK Articles 6-620-3885 (Approx. 3 pages)

Unpaid vendor’s lien: subrogation following release of security

by Freshfields Bruckhaus Deringer LLP
Published on 26 Nov 2015United Kingdom
The Supreme Court has confirmed that a lender may be subrogated to an unpaid vendor’s lien on the basis of security released, as opposed to monies advanced, if there is a sufficient causal connection between the lender’s agreement to release its security and the buyer’s unjust enrichment.