| Commentary

247 Order of priority

| Commentary

4: PRIORITY OF DEBTS

247 Order of priority

After satisfying (or leaving out of account), the claims of secured creditors, the trustee must distribute the remaining assets in accordance with the prescribed order of payment, which is as follows:

  1. 247.1

        the costs and expenses of the bankruptcy1;

  2. 247.2

        debts with pre-preferential priority2;

  3. 247.3

        the debts of ordinary preferential creditors3;

  4. 247.4

        the debts of secondary preferential creditors4;

  5. 247.5

        the debts of ordinary creditors5;

  6. 247.6

        interest arising on the debts of both preferential and ordinary creditors since the commencement of the bankruptcy6;

  7. 247.7

        any debts due to the

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