Counsel Tuomas Tikkanen has published an article in Defensor Legis N:o 2/2019. The article addresses the recently much debated issue of whether the contractual right of the pledgor to dispose of the pledged assets has an impact on the validity and enforceability of the granted pledge right. One of the key findings is that the validity and enforceability of the pledge right is generally subject to the requirement that the right can be considered to actually serve the purpose of receiving payment of the relevant debt from the proceeds of the pledged assets. However, there are or can be circumstances under which the contractual right of disposal should not be considered to jeopardise the validity and enforceability of the pledge right.
Defensor Legis is a legal journal published by the Finnish Bar Association. The publication dates back to 1920, which makes it the longest-running Nordic journal for attorneys.
Download the article (in Finnish) as a PDF here.