PREFERRED

preferred,adj. Possessing or accorded a priority or privilege <a preferred claim>. [Blacks Law 8th]

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PREFERENTIAL TRANSFER

preferential transfer. Bankruptcy. A prebankruptcy transfer made by an insolvent debtor to or for the benefit of a creditor, thereby allowing the creditor to receive more than its proportionate share of the debtor’s assets; specif., an insolvent debtor’s transfer of a property interest for the benefit of a creditor who is owed on an earlier…

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