A pledgor is a debtor who gives a pledge on an asset to a creditor (pledgee) as a security for a debt of the pledgor. A right of pledge gives the pledgee a security until payment above other creditors by giving possession of assets. A pledgor is also referred to as grantor of a pledge.
Right of pledge under Dutch law
In the Netherlands, all assets can be encumbered by a pledge, apart from registered property. Often a pledge is established on movable property (such as inventory) or on accounts receivable.
According to Dutch law, a right of pledge on a movable good, a bearer right, or on a right of usufruct of such a good/right, is established by bringing the good or the bearer paper in possession of the pledgee (or of a third person if so agreed by parties).
A pledge on a right to order or on a right of usufruct thereof also requires an endorsement. A right of pledge on other goods is established in a similar manner as is required for the transfer of title of that good.
