bottomry Sentence Examples
- Bottomry is a maritime term referring to a contract in which a ship or its cargo is pledged as security for a loan.
- The captain resorted to bottomry to secure funds for the voyage, using the ship itself as collateral.
- Bottomry agreements were common in ancient maritime trade, providing financial assistance to ship owners.
- The lender agreed to extend bottomry financing to the merchant in exchange for a lien on the ship's cargo.
- Bottomry contracts often included terms specifying the repayment schedule and conditions under which the lender could seize the pledged assets.
- Bottomry allowed merchants to undertake risky voyages without bearing the full financial burden themselves.
- The practice of bottomry played a significant role in facilitating global trade during the Age of Exploration.
- The lender assessed the seaworthiness of the vessel before agreeing to the bottomry arrangement.
- In cases of extreme peril, bottomry contracts sometimes allowed for the complete loss of the pledged assets.
- Despite its historical significance, the use of bottomry has declined in modern maritime finance, replaced by more conventional lending practices.
bottomry Meaning
bottomry (n.)
A contract in the nature of a mortgage, by which the owner of a ship, or the master as his agent, hypothecates and binds the ship (and sometimes the accruing freight) as security for the repayment of money advanced or lent for the use of the ship, if she terminates her voyage successfully. If the ship is lost by perils of the sea, the lender loses the money; but if the ship arrives safe, he is to receive the money lent, with the interest or premium stipulated, although it may, and usually does, exceed the legal rate of interest. See Hypothecation.
Synonyms & Antonyms of bottomry
No Synonyms and anytonyms found
FAQs About the word bottomry
A contract in the nature of a mortgage, by which the owner of a ship, or the master as his agent, hypothecates and binds the ship (and sometimes the accruing fr
No synonyms found.
No antonyms found.
Bottomry is a maritime term referring to a contract in which a ship or its cargo is pledged as security for a loan.
The captain resorted to bottomry to secure funds for the voyage, using the ship itself as collateral.
Bottomry agreements were common in ancient maritime trade, providing financial assistance to ship owners.
The lender agreed to extend bottomry financing to the merchant in exchange for a lien on the ship's cargo.
