Also known as:in rem right · rights in rem · in rem · ius in re
Written by attorneys — see sources below.
Rights enforceable directly against specific property rather than against any particular person. Such rights survive discharge of personal liability and permit recovery from the property itself.
See Our Sources· 17 primary sources
Cases
Statutes
Federal Rules
How its tested
Common Examples
2
Unrelated Property Attachment Attempt
Ismael Ibrahim sued Ivy Investments in Delaware state court over a contract dispute that arose entirely in California. Ibrahim obtained an order attaching Ivy's shares in a Delaware corporation. The court dismissed the action because the shares bore no relation to the claim and Ivy lacked minimum contacts with Delaware.
Retained Collateral Rights After Discharge
Imperial Motors financed equipment for Indigo Textiles. After Indigo filed bankruptcy and received a discharge of its personal debt, Imperial retained its security interest. Imperial later foreclosed on the equipment to recover the outstanding balance from the collateral itself.
Put it into practice
Test Yourself
9
Practice Questions5
Uniform Acts
Restatements
Insurance Co. of the State of Penn. v. HSBC Bank of USA829 N.Y.S.2d 511 (N.Y. App. Div. 2007), rev’d on other grounds, 882 N.E.2d 381 (N.Y. 2008)
Do in rem rights survive a debtor's bankruptcy discharge?
Yes. A secured party's in rem rights in collateral remain enforceable even after the debtor's personal liability is discharged in bankruptcy.
Can a court exercise quasi in rem jurisdiction based solely on the presence of unrelated property?
No. The minimum contacts standard applies to all exercises of state-court jurisdiction. Mere presence of a defendant's property in the forum does not establish sufficient contacts when the dispute is unrelated to that property.
Civil ProcedureJurisdiction and venue · Personal jurisdictionNEXTGENIntermediate