Practice question
After default a creditor proposes retaining collateral in partial satisfaction. Every required addressee remains silent for twenty days. Is silence alone the required approval under Section 54(b)(2)?
- Yes, partial and full satisfaction always use identical consent rules
- Yes, every silence is consent
- Yes, if the creditor sends a reminder
- No, partial-satisfaction retention requires each addressee’s affirmative written consent within the statutory period
- No retention can ever be lawful
Legal references
- RA 11057, Section 54(b)(2): https://lawphil.net/statutes/repacts/ra2018/ra_11057_2018.html
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