Best-Interests-of-Creditors Test

0.01 sec.

Best-interests-of-creditors test

The requirement that a claim holder voting against a plan of reorganization must receive at least as much as if the debtor were liquidated.

In Chapter 13 bankruptcy, a requirement that unsecured creditors receive at least as much as they would have in Chapter 7 bankruptcy. Chapter 7 bankruptcy is complete liquidation of assets while Chapter 13 bankruptcy allows the bankrupt person or business to continue operations so long as they submit a plan to repay debts over three to five years. It is usually used by persons or sole proprietorships with a heavy debt load but still significant income. The best-interest-of-creditors test exists to ensure that the person or business filing Chapter 13 is not simply trying evade liquidation or to escape repaying necessary debts. See also: Best Efforts Test.

Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content.

?Page tools

Printer friendly
Cite / link

Feedback
Add definition

Mentioned in	?		Financial browser	?		Full browser	?
No references found			Bernard Madoff Berne Convention Berne Union Bernoulli Box Bernoulli Trial Berry Gordy Jr. Berth Bertrand Duopoly Beslaglegging Besloten Vennootschap Best Ask Best Bid Best Efforts Best Efforts Test Best Execution Best Fit Best in Class Best Interest Best Practices Best Time Available Best's Rating Best, Alfred M. and Company Best-Efforts Basis Best-Efforts Sale best-execution requirement Best-Interests-of-Creditors Test Best-of-Two Option Best-Price Rule Bestens Beta Beta Alpha Psi Beta Equation Beta Error Beta Test Betaalbaar op zicht Beteiligungskapital Better Business Bureau betterment Betterment Insurance Beveridge Report Bezier Drawing Tool Bezittingen BF BFP BG BGL BGN BH BHC BHD BI			Best-Ask Best-Ask Best-Ask best-ball best-before date Best-Bid Best-Bid Best-Bid Best-Bid Best-Bids Best-Bids Best-Bids Best-Bids best-case best-case scenario Best-Corrected Distance Visual Acuity Best-Corrected Visual Acuity Best-Effort Connection Best-effort service best-efforts basis best-efforts basis Best-efforts sale Best-Efforts Sales Best-Efforts Test Best-Efforts Underwriting Best-Evidence Retrieval and Delivery best-execution requirement Best-first search best-if-used-by date best-in-class Best-Interests-of-Creditors Test best-known Best-Known Recipe best-laid plans of mice and men oft go astray best-laid schemes o' mice an' men gang aft a-gley best-loved Best-of-breed best-of-class Best-Of-Two Best-of-Two Option Best-of-Two Options BEST-PM Best-Price Rule Best-seller Best-sellers best-selling Best’s Disease Best’s Macular Degeneration Bestad Bestain BESTAP Bestar Bestbridalprices.com BESTCO Beste Beste Beste Beste

Financial Dictionary

Free Tools:	For surfers: Free toolbar & extensions \| Word of the Day \| Help For webmasters: Free content \| Linking \| Lookup box \| Double-click lookup

Disclaimer
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.