A sale of a debtor's property which the creditor compels. A sale of this kind often brings a lesser price than the owner might realize by a more delayed method. The amount which property brings at such a sale is called its "forced sale value." The sale of mortgaged property to effect foreclosure to protect the debt which it secures is a "forced sale."
An attempt to obtain an unnatural level of prices by artificial means.
A method of enforcing payment of a debt secured by mortgage by taking and selling the property which it covers. This is done when the " mortgagor " has failed to pay the interest or principal of the debt which the mortgage secures, or to perform some other condition set out in the instrument. In most States, the property is sold under a power to sell contained in the mortgage itself, but in some States, where this is prohibited, an order to sell must be obtained from the court. The proceeds are applied to the indebtedness secured by the mortgage, other liens, and "foreclosure" expenses. Any balance must be returned to the property owner - the "mortgagor."
In buying bonds of any corporation one of the things always to be considered is what the value of the property would be in case the bonds should not be paid, and the holders should have to "foreclose" and take possession of the property. Of course, this same fact is to be considered in regard to a mortgage of any kind. The value of such property, or the probable price at which it can be sold, is called its "foreclosure value." If the mortgage on a property is $100,000, and the holders are obliged to "foreclose," and should afterwards sell the property for $50,000, the "foreclosure value" would be the last mentioned sum, representing a loss to the holders of half their investment.
In general this refers to " foreign exchange as explained under " Exchange; " but legally in this country, a " foreign bill " is any " bill of exchange " drawn outside of the State in which it is made payable. For example: One drawn in San Francisco and payable in Sacramento is an " inland bill," but one drawn in San Francisco and payable in Salt Lake City, or drawn in Salt Lake City and payable in San Francisco, is, in each instance, a " foreign bill " from this standpoint.
See " Exchange."
See " Finance Bills."