A cession of rights as security may include rights which only come into existence in future as in the cession of future book debts. The agreement to cede such rights requires no further action on the part of the cedent at the future time when those rights come into existence. They automatically form part of
A proper understanding of how security can be taken and how risk can be mitigated is of paramount importance to investors. Mozambican law allows lenders to take security over certain types of assets of a Mozambican borrower. As a general rule, any security created over property located in Mozambique in favour of a foreign entity
Every suretyship securing a company’s debts should specifically preserve the creditor’s rights to recover from the surety despite discharge of the principal debt in a business rescue plan. And every business rescue plan should, if possible, contain a provision preserving rights against sureties.
If a debtor company is in business rescue, its creditors may call