Allocation Priority
/ˌæl.əˈkeɪ.ʃən praɪˈɒr.ɪ.ti/
Definitions
- (n.) The legal precedence assigned to claims or demands for payment, determining the sequence and priority of distribution of funds or assets among creditors or beneficiaries.
The court upheld the allocation priority of secured creditors before distributing remaining assets to unsecured creditors.
Forms
- allocation priority
Related terms
See also
Commentary
Allocation priority is critical in contexts such as bankruptcy and debt enforcement to establish the order in which claims are satisfied, often influencing litigation strategy and settlement outcomes.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.