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LSDefine

Simple English definitions for legal terms

best interests of creditors

Read a random definition: negligent homicide

A quick definition of best interests of creditors:

Best Interests of Creditors: A term used in bankruptcy cases to determine if a reorganization plan is fair to the creditors. The court checks if the plan ensures that each creditor gets at least the same amount they would receive if the debtor's assets were sold in a Chapter 7 case. The court cannot approve a plan in Chapter 9, 12, or 13 cases unless it is in the best interests of the creditors. In Chapter 11 cases, the court can approve a plan even if some creditors do not agree with it, as long as it is in the best interests of the creditors.

A more thorough explanation:

Definition: Best interests of creditors is a test used in bankruptcy cases to determine if a reorganization plan ensures that each creditor receives at least the same amount they would receive if the debtor's assets were liquidated in a Chapter 7 case.

In simpler terms, it means that in a bankruptcy case, the court wants to make sure that the creditors are being treated fairly and are receiving the maximum amount possible.

For example, if a company owes money to several creditors and files for bankruptcy, the court will examine the reorganization plan to ensure that each creditor is receiving a fair share of the company's assets. If the plan does not meet the best interests of creditors test, it may not be approved by the court.

The best interests of creditors test is used in Chapter 9, Chapter 12, and Chapter 13 cases, and in Chapter 11 cases where some creditors do not vote to accept the plan. In these cases, the court must find that the plan is still in the best interests of the creditors before it can be approved.

best endeavors | best-interests-of-the-child doctrine

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Dkk
18:50
Med law easy done
medicine is a scam
join the ethically ambiguous legal field instead
Dkk
18:57
I want to meet an attorney that defends clients who run into flat earth problems. I want an attorney that knows and believes in flat earth theory.
19:05
i want a flat earther for president. i want a guy who posts on 4chan for president. i want someone who mogs for president.
Dkk
19:18
Exactly. My version of that awful poem.
Dkk
19:19
I can accept a president with maybe one or two of the poems traits hut good God, all of them??? No ty.
windyMagician
19:20
president who respects sex is crazy
windyMagician
19:20
we had bill clinton already
Dkk
19:21
Bill Clinton, first and last black president
windyMagician
19:23
I want to go running but my leg feels weird
windyMagician
19:23
it doesn't hurt its just tingly
Dkk
19:26
It needs more alcohol. You tingle when your nerves need watering.
19:27
try stretching it maybe to see what's up
windyMagician
19:27
stretches make me think it's just soreness
windyMagician
19:27
I'm sober lol
Dkk
19:38
Anyone else get the google notification that your LSD password has been compromised lol. LSD got hacked.
20:48
what.jpg @Dkk
CynicalOops
21:03
You think you just fell out of a coconut tree?
jackfrost11770
21:10
nope dk
CynicalOops
22:37
Calvinamala Harris
jackfrost11770
23:16
should i start using letterboxed again
Dkk
23:25
@jackfrost11770: if you want but like it aint for me
dk do u ever eat at bk
Dkk
23:48
@chickenburgahfart: I would do that in the Army if really desperate for food or if I had to work through lunch. One of the few fast food places I go to.
bk so slept on
Dkk
0:23
I will take In N Out everyday over it when I can though.
texaslawhopefully
1:22
In N Out is not only the best fast food place, but the prices too are fantastic
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