defeasance

American  

[dih-fee-zuhns] / dɪˈfi zəns /

noun

Law.

1. a rendering null and void.

2. a condition on the performance of which a deed or other instrument is defeated or rendered void.

3. a collateral deed or other writing embodying such a condition.

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defeasance British  

/ dɪˈfiːzəns /

noun

1. the act or process of rendering null and void; annulment

2. 1. a condition, the fulfilment of which renders a deed void

   2. the document containing such a condition

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Other Word Forms

• nondefeasance noun

Etymology

Origin of defeasance

1400–50; late Middle English defesance < Anglo-French defesaunce, Old French defesance, equivalent to desfes- (past participle stem of desfaire to undo; see defeat) + -ance -ance

Example Sentences

The defeasance transaction involves no “uncompensated taking” and doesn’t generate a financial loss for a mortgage lender.

From The Wall Street Journal • Dec. 26, 2025

The defeasance account manager collects this market value at settlement, and invests the proceeds in the appropriate U.S.

From The Wall Street Journal • Dec. 26, 2025

The defeasance manager provides the seller or settlement agent with a fair-market valuation of the remaining payments on a home’s outstanding mortgage, determined using the current market prices of a portfolio of Treasury securities.

From The Wall Street Journal • Dec. 26, 2025

The federal government appoints a financial agent—the Treasury or the Department of Housing and Urban Development—to manage mortgage defeasance accounts.

From The Wall Street Journal • Dec. 26, 2025

Even if Queen Mary, as a drama, had many more than its actual faults, this fact alone—this extraordinary defeasance by the poet of his familiar identity—would make it a remarkable work.

From Views and Reviews by James, Henry