Lebanese legislation grants personal and in rem guarantees to secure an obligation. All the assets in the patrimony of the grantor can be subject to a personal or in rem guarantee, and they are divided into two categories:

• movable assets, corporal or incorporeal (eg, vehicles, vessels, aircraft, equipment, products, cash, shares, bank accounts, licences, insurance, jewellery and valuable goods and IP rights); and

• immovable assets (eg, real estate, land and buildings).

However, as per article 130 of the Property Ownership Act, future assets cannot be subject to a security interest in favour of creditors. Creditors will only have a security right on present assets.

In this context, it should be noted that the right related to movable assets takes the form of pledges while the right related to immovable assets takes the form of mortgages.

Based on the above, the following collateral are applicable:

• to assign payouts, royalties or insurance rights to ensure that the creditor is paid in the event that the debtor fails to do so;