Security & Collateral · glossary
The order in which money from the assets is paid out, each claim in full before the next. From a fixed-charge asset, the costs of sale come first, then the Bank. From the floating-charge assets, three claims come first: expenses, preferential debts and the prescribed part. Debenture §11.1 · Chapter 9
Explained in Chapter 9, Enforcement and the Waterfall, of Security & Collateral.
The waterfall is the order in which money from the assets is paid out. Each claim is paid in full before the next one gets anything.Read Chapter 9, Enforcement and the Waterfall →
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