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RA 11057 (Personal Property Security Act) Section 52

Application of Proceeds.

Section 52

SEC. 52. Application of Proceeds. - (a) The proceeds of disposition shall be applied in the following order: (1) The reasonable expenses of taking, holding, preparing for disposition, and disposing of the collateral, including reasonable attorneys' fees and legal expenses incurred by the secured creditor; (2) The satisfaction of the obligation secured by the security interest of the enforcing secured creditor; and (3) The satisfaction of obligations secured by any subordinate security interest or lien in the collateral if a written demand and proof of the interest are received before distribution of the proceeds is completed. (b) The secured creditor shall account to the grantor for any surplus, and. unless otherwise agreed., the debtor is liable for any deficiency.

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Other provisions in CHAPTER 6

Compiled from an official source version. Later amendments or repeals may not be reflected; the official text prevails. · Read the official text ↗ · Data as of July 4, 2026

CitationRA 11057 (Personal Property Security Act) Section 52 (LawPlayer, data as of July 4, 2026)

Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).

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