Definition from Nolo’s Plain-English Law Dictionary
A contract, similar to a mortgage, in which a ship and/or its freight is pledged as security for a loan to finance repairs, equipment, or the cost of a journey. The contract is generally called a "bottomry bond." If the loan is not paid back, the lender can sell the ship and/or its freight.
Definition provided by Nolo’s Plain-English Law Dictionary.
August 19, 2010, 5:12 pm