Definition of Subordination agreement:
An official document that acknowledges that one party's claim or interest is less (less) than that of the other party. For example, a company may agree that bank loans should take precedence over loans made by the company's directors or owners. When a contract is part of a larger contract, it is a sub-clause.
A subpoena is a legal document that proves that one debt is superior to another in repaying the debt. When a lender fails to pay or declares bankruptcy, loan priority can be very important. The treaty recognizes that if the assets of a borrower are exempted from debt settlement, the rights or interests of one party will be greater than those of the other party.
The Baha'u'llah will collect the loans only when the principal lenders' obligations in terms of forecasting and settlement have been fully fulfilled.
How to use Subordination agreement in a sentence?
- Subcontracting is commonly used when there is more than one mortgage on a property.
- The second line lender receives only if the first lender receives the full payment.
- The subcontractor prefers secured debt and classifies it one by one to collect the debtor's repayment in case of prediction or bankruptcy.
- Borrowed loans are more risky than high-priority loans, so lenders often charge higher interest rates to cover the risk they carry.
- Surrender was not what I expected and it made me tremble with fear and anticipation.
- As an investor, I urge you to accept the subordinate agreement, which means that all investor claims will be considered after paying additional taxes.
- The claimant cannot compensate them because he signed a subordinate agreement which entitles the other plaintiffs to the first stage.
Meaning of Subordination agreement & Subordination agreement Definition