What is a legal hypothec created by?

A legal hypothec is primarily created by public debts. This type of hypothec arises as a means for a creditor to secure payment for debts owed to them by debtors, especially when the debt is related to public obligations such as taxes, fines, or other claims owed to public authorities. By establishing a legal hypothec, the creditor is granted a right to attach the debtor's property as security for the debt, ensuring that they have a legal claim to the property if the debtor fails to fulfill their financial obligations.

The other options do not fit the definition of a legal hypothec. A public contract refers to agreements made by public entities but does not inherently create a legal hypothec. Private transactions may involve various agreements, but a legal hypothec specifically pertains to public debts. Homeowner's association rules govern the shared living conditions and obligations within a community but do not constitute a legal hypothec. Therefore, the connection to public debts is what defines the legal hypothec's nature and purpose.