Subordination Definition and Legal Meaning
On this page, you'll find the legal definition and meaning of Subordination, written in plain English, along with examples of how it is used.
What is Subordination?
(n) Subordination is the acceptance of new charges, claims or mortgages on a property held by the lender in priority to the claim, charge or mortgage held by him on that property. On subordination the first lender looses his priority on the property and is eligible for the residuary rights in the event the property is attached to recover the new claims