Common use of Hypothec Clause in Contracts

Hypothec. As security for the full and final satisfaction of the Obligations and of the expenses, if any, incurred by the Lender to obtain satisfaction of the Obligations or to conserve the Pledged Property, the Pledgor hereby hypothecates with delivery to and in favour of the Lender to the extent of the sum of $4,000,000 in lawful money of Canada, with interest thereon at the rate of 25% per annum, the Pledged Property.