What Is Pledge?
"
Pledge
"Is a kind of security interest which is established to ensure the performance of debt, including the pledge of movable property and the right of pledge.
"The pledge of movables" means that the debtor or the third party takes possession of their movable property by the creditor. When the debtor fails to perform the obligation, the creditor enjoys the priority right of compensation for the movable property according to law, for example, the right to pledge by the quality of calligraphy and painting.
"Pledge of rights" means
debt
People or third people own it.
property
The right voucher shall be given to the creditor by the creditor's possession or through the registration system. When the debtor fails to fulfill the obligation, the creditor shall have the priority right to claim compensation for the property right, such as the pledge right of warehouse receipt and deposit receipt.
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