Definition of encumbrance
Noun
encumbrance (plural encumbrances)
- Something that encumbers; a burden that must be carried.
- (law) an interest, right, burden, or liability attached to a title of land, such as a lien or mortgage.
Further reading
Encumbrance is legal technical terminology for anything that affects or limits the title of a property, such as mortgages, leases, easements, liens, or restrictions. Also, those considered as potentially making the title defeasible are encumbrances. For example, charging orders, building orders and structure alteration.
Jurisdictions (Hong Kong)
In Hong Kong, there is statutory definition of "encumbrance". In Conveyancing and Property Ordiance (Cap. 219) it reads: ""encumbrance" includes a legal and equitable mortgage, a trust for securing money, a lien, a charge of a portion, annuity, or other capital or annual sum; and "encumbrancer" has a meaning corresponding with that of "encumbrance" and includes every person entitled to the benefit of an encumbrance, or to require payment or discharge thereof".
References:
- Wiktionary. Published under the Creative Commons Attribution/Share-Alike License.
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