Part IV Priorities, 13 General Priority Rule: Nemo Dat (First in Time to be Created Wins)
Hugh Beale, Michael Bridge, Louise Gullifer, Eva Lomnicka
- Security interest — Mortgage
13.01 The basic principle of priority between all kinds of interest is that of nemo dat quod non habet. In the context of priority disputes this is often referred to as the principle that the first in time to be created wins. There are various justifications for this rule in addition to longevity. First, there is the intuitive idea that one cannot give what one has not got. If one owns an asset and gives it to another, one no longer owns it and has nothing to give to someone else. Strictly speaking, the nemo dat formulation only applies to successive legal...