Partial Release Clause

Definition: A partial release clause states the conditions under which a lender will release part of the collateral while retaining its lien on the rest.

Example

A blanket mortgage covers four lots. After the agreed payment and conditions are met, one lot is released.

Keep the distinction clear

A partial payment alone does not automatically release a parcel. The required amount comes from the agreement, not simply debt divided by lot count.

Related terms

Blanket Mortgage · Lien · Satisfaction of Mortgage

Keep studying

Mortgages: Borrower, Lender, Ownership, and Key Clauses

References: FREC Course I syllabus: mortgage instruments and clauses

Pronunciation (US): PAR-shuhl rih-LEES KLAWZ (capitals show stress)

Pronunciation reference: Merriam-Webster