defeasance

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Related to Advance refunding: Pre-Refunding

defeasance

n. an antiquated word for a document which terminates the effect of an existing writing such as a deed, bond, or contract if some event occurs.

defeasance

noun abolishment, abolition, annulment, breakup, canceling, cancellation, cessation, close, conclusion, deprivation, disallowance, discharge, discontinuance, disendowment, disestablishment, dissolution, end, end of the matter, ending, expiration, finish, invalidation, limit, negation, nullification, ousting, recall, removal, repeal, rescindment, rescission, retractation, retraction, reversion, revocation, revokement, stoppage, suppression, undoing, vacation, voidance, windup, withdrawal
Associated concepts: condition, defeasance clause, defeaaance of contract, defeasance of title, defeasible estate
See also: abolition, annulment, countermand, discharge, discontinuance, dissolution, repudiation, rescision, revocation, termination

defeasance

the act or process of rendering null and void; annulment. May also refer to a condition, the fulfilment of which renders a deed void or the document containing such a condition. See more especially VESTING.

DEFEASANCE, contracts, conveyancing. An instrument which defeats the force or operation of some other deed or estate. That, which in the same deed is called a condition, in another deed is a defeasance.
     2. Every defeasance must contain proper words, as that the thing shall be void. 2 Salk. 575 Willes, 108; and vide Carth. 64. A defeasance must be made in eodem modo, and by, matter as high as the thing to be defeated; so that if one be by deed) the other must also be by deed. Touchs. 397.
     3. It is a general rule, that the defeasance shall be a part, of the same transaction with the conveyance; though the defeasance may be dated after the deed. 12 Mass. R. 13 Pie P. 413 1 N. 11. Rep. 41; but see 4 Yerg. 57, contra. Vide Bouv. Inst. Index, h.t.; Vin. Ab. h.t.; Com. Dig. h.t.; Id. Pleader, 2 W 35, 2 W 37; Lilly's Reg. h.t.; Nels. Ab. h.t.; 2 Saund. 47 n, note 1; Cruise, Dig. tit. 32, c. 7,, s. 25; 18 John. R. 45; 9 Wend. R. 538; 2 Mass. R. 493.

References in periodicals archive ?
Peter (MN), $5,045,000 elect revenue advance refunding bonds, series 2006B (insured: XL Capital Assurance Inc.
In the case of advance refunding bond escrows, the yield-restricted rate may be arrived at in either of two ways.
In July 1996, the IRS released Revenue Procedure 96-41, which outlined a voluntary closing agreement program for advance refunding escrows of state and local bonds.
Many issuers, on advice of counsel, followed the standard industry practice of obtaining fair market value certifications from securities providers who sold them open market Treasuries for advance refunding escrows.
Between 1990 and 1995, it is alleged by industry insiders and observers that Wall Street investment providers systematically and illegally overpriced advance refunding escrow investments.
The overpricing of open-market investments purchased for tax-exempt advance refunding bond escrows is commonly referred to as yield burning.
Like an advance refunding, a crossover refunding occurs when all or some of the bonds to be refunded are called more than 90 days from the date of issuance of the refunding bonds.
For an advance refunding, Mun-Ease sizes the escrow account where bond proceeds are to be placed until the refunded bonds are called.
A current refunding is less complicated and less costly than an advance refunding, since a current refunding does not require that the issuer establish an escrow account, hire a paying agent/registrar to administer the escrow account, obtain bond ratings on the refunded issue or verify the cash flow in the escrow account.
An advance refunding occurs when the refunded bonds are retired more than 90 days after the refunding bonds are sold.
5 million fee paid to Stifel by Sakura in connection with an advance refunding escrow for the 1992 bonds.
Bond proceeds will pay for an advance refunding of outstanding series 1995A and 1995B revenue bonds.