bottomry

POS

Noun

HYPHEN

bot=tom=ry

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CIDE DICTIONARY

bottomry, n. [From 1st Bottom in sense 8: cf. D. bodemerij. Cf. Bummery.].

A contract in the nature of a mortgage, by which the owner of a ship, or the master as his agent, hypothecates and binds the ship (and sometimes the accruing freight) as security for the repayment of money advanced or lent for the use of the ship, if she terminates her voyage successfully. If the ship is lost by perils of the sea, the lender loses the money; but if the ship arrives safe, he is to receive the money lent, with the interest or premium stipulated, although it may, and usually does, exceed the legal rate of interest. See Hypothecation. [1913 Webster]

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OXFORD DICTIONARY

bottomry, n. & v. Naut.
--n. a system of using a ship as security against a loan to finance a voyage, the lender losing his or her money if the ship sinks.
--v.tr. (-ies, -ied) pledge (a ship) in this way.

Etymology

BOTTOM = ship + -RY, after Du. bodemerij

For further exploring for "bottomry" in Webster Dictionary Online

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