ABSTRACT
This chapter discusses the relationship between insolvency, security and the protection of creditors' interests, asks what constitutes the essence of the procedures, known collectively as insolvency, and outlines the role of the creditor in the process. Insolvency is an old subject at law though its reputation has not always been savoury. The diversity of laws applicable to the transactions of a single company is nowhere more important than when their consequences are felt at the time of insolvency. There are two varieties of security in France which have traditionally been used by creditors to preserve their interests over particular assets belonging to their debtor and which are commonly found as a means of assisting business lending. These are the mortgage, commonly found in cases of specific protection of real property interests and the legal charge, which applies to all varieties of property.
