Bankruptcy terms starting with A

21 terms

  1. abandonment Process by which the debtors estate would not benefit by the sale of certain property so the trustee will turn it back over to the debtor.
  2. abandonment of property Trustees declaration that the trustee has no interest in certain property because of lack of value, debtors exemption, or because it is burdensome to the…
  3. absolute priority rule Requirement that a certain class of creditors be satisfied before payment to another class of creditors.
  4. acceleration clause A clause that allows a lender to declare the entire outstanding balance of a loan immediately due and payable should a borrower violate specific loan…
  5. adequate protection The standard of protection of the interest of a creditor which must be provided by the trustee or debtor in possession before the creditors interest can…
  6. administrative claim Claims for reasonable and necessary expenses and fees incurred in the administration of an estate.
  7. adversary proceeding A lawsuit arising in or related to a bankruptcy case that is commenced by filing a complaint with the court.
  8. Affidavit A sworn statement in writing before a proper official, such as a notary public.
  9. affiliate (1) Entity with voting power that directly or indirectly owns 20% of debtors voting securities; (2) Corporation in which the debtor owns 20% of voting…
  10. Affirmation A declaration, oath or promise made by a person.
  11. Agent Agent means any individual, other than a broker-dealer, who represents a broker-dealer or issuer in effecting or attempting to effect purchases or sales…
  12. amortize To satisfy a debt in installments or recovery of an investment over a period of time.
  13. Answer The defendant may file a written answer, notifying both the Court and the plaintiff exactly what the defendant’s response is to the facts in the…
  14. Appeal To call for a review of an IRS decision or proposed adjustment.
  15. Appellant Party who files the appeal.
  16. Appellee Party to whom the appeal is filed against.
  17. Assets What a firm or individual owns.
  18. assume An agreement to continue performing duties under a contract or lease.
  19. automatic stay An injunction that automatically stops lawsuits, foreclosures, garnishments, and all collection activity against the debtor the moment a bankruptcy…
  20. automatic stay provision Goes into effect the minute a bankruptcy case is filed; stops most creditors from suing or foreclosing against a debtor without prior permission of the…
  21. avoidance powers The powers used by a trustee to undo transfers of the debtors property.