Letter A
bankruptcy

Absolute Priority Rule

A principle requiring that senior creditor classes be paid in full before junior classes receive any distribution under a Chapter 11 plan.

Related terms

More legal terms starting with A

See all letter-A terms →

Looking for citation help? How to cite law · Citation methodology

See also: Full glossary index

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.