Civil Code, Article 2248 — Satisfying Preferred Credits on Specific Immovables

What this article means

Credits enjoying preference in relation to specific real property or real rights exclude all others to the extent of the value of the immovable.

This is the real-property counterpart to the rule on movables: a credit that enjoys preference over a specific parcel of land or a specific real right is paid out of that property's value ahead of any other creditor, but only up to what the property is actually worth. Anything the debt exceeds that value becomes an ordinary claim against the debtor's other assets. Keeping movable and immovable preferences in separate, parallel articles reflects how differently the two kinds of property are typically valued and liquidated.

Questions about this provision

• Does my preferred claim on a specific piece of real property get satisfied ahead of other creditors out of that property?

Related provisions

• Article 2247 — Two or More Credits on the Same Movable.
• Article 2249 — Two or More Credits on the Same Immovable.

Cases interpreting this article

• Authorities on this article will be added here as each is verified against primary sources.