COLLATERAL SECURITY, contracts. A separate obligation attached to another contract, to guaranty its performance. By this term is also meant the transfer of property or of other contracts to insure the performance of a principal engagement. The property or securities thus conveyed are also called collateral securities.
Printed copy · Anthology Volume 2, page 658Printed copy from The Tender For Law Anthology, Volume 2, page 658 (printed 14 June 2014). Added by this site; not part of the Facebook export.