HomeDefinitionsCompareDebt Legal defeasanceThe financial definition for Legal defeasance:The deposit of cash and permitted securities, as specified in the bond indenture, into an irrevocable trust sufficient to enable the issuer to fully discharge its obligations under the bond indenture. Similar MatchesEconomic defeasanceEconomic defeasanceSee: In-substance defeasance In substance defeasanceIn substance defeasanceProcess through which debt is removed from the balance sheet but not canceled. Click to compare definitions of Legal defeasance Click to view definitions beginning le |