defeasance[dē fē′zəns, di-]
- the annulment of a contract or deed
- a clause stating a condition the fulfillment of which makes the deed, contract, etc. void in whole or in part
Origin of defeasanceMiddle English and amp; Anglo-French defesaunce ; from Old French defesance ; from defesant, present participle of defaire, desfaire: see defeat
- A rendering void; an annulment.
- a. The voiding of a contract or deed.b. A clause within a contract or deed providing for annulment.
Origin of defeasanceMiddle English defesaunce, from Anglo-Norman, from Old French defesance, from defesant, present participle of desfaire, to destroy; see defeat.
defeasance - Investment & Finance Definition
- The ability of a debtor to offset a liability by purchasing government securities or a specialized risk management contract.
- Voiding a contract or deed because a certain prohibited action has occurred.
defeasance - Legal Definition
The abrogation of an interest in real property.