certain security interests by the debtor. The advantage is that a lender can quickly see which assets of the debtor are encumbered and which are not. However, because many registration systems do not require all types of security interest to be registered gaps can remain. Also, systems which register security against the debtor do not act as a check that the debtor actually has title to any of the relevant assets, merely that he has not created any security interest over them. However, the position is complicated by the fact that many legal systems employ both, interchangeably. A security interest granted by a debtor over a particular asset in any given country may need to be registered against the debtor, against the asset, both or neither. Notice In some legal systems, perfection of a security interest requires notice to be given to a relevant third party. This most commonly arises in relation to security over a debt or other chose in action, notice being required to be given to the party owing the debt or holding the fund. Under English law, an often cited example is the well-known rule in Dearle v Hall. Under the rule if A is owed money by X, and then A grants an equitable charge over that debt to B, and then grants a second equitable charge over the same debt to C, then the ability to enforce the charge by either B or C against the money in X's hands is dependent upon the giving of notice to X. The controversy in the rule relates to the fact that it is also a rule of priority, meaning that (if their rights are otherwise equal) the first one to give notice to X has the prior claim, irrespective of the order in which the equitable charges were granted. Similarly, in many common law legal systems, where there is an assignment of a debt, the assignee cannot enforce the rights of the assigning creditor against the debtor unless notice of the assignment has been given, and until notice of the assignment has been given, the debtor can still discharge the debt by paying the money to the creditor, notwithstanding the assignment. See also Security interest: perfection Tacking (law) Footnotes Property law Business law Legal terminology