Legal Dictionary of Pakistan

Quick lookup for English, Urdu, and Latin legal terms used in Pakistani jurisprudence.

Preference

1. The act of favoring one person or thing over another; the person or thing so favored. 2. Priority of payment given to one or more creditors by a debtor; a creditor's right to receive such priority. 3. Bankruptcy. PREFERENTIAL TRANSFER.

cumulative preference share

See cumulative preferred stock under STOCK. cumulative preferred stock See STOCK.

dividend preference

The right of a holder of preferred shares to receive a dividend before the company pays dividends to holders of common shares. See preferred stock under STOCK.

insider preference

A transfer of property by a bankruptcy debtor to an insider more than 90 days before but within one year after the filing of the bankruptcy petition.

liquidation preference

A preferred shareholder's right, once the corporation is liquidated, to receive a -specified distribution before common shareholders receive anything. voidable preference See PREFERENTIAL TRANSFER.

parental-preference doctrine

The principle that a fit parent, who is willing and able to care for a minor child, should be granted custody instead of someone who is not the child's parent. - Also termed parental-presumption rule.

preference shares

See preferred stock under STOCK.

surrender of a preference

Bankruptcy. The yielding of a voidable conveyance, transfer, assignment, or encumbrance by a creditor to the trustee as a condition of allowing the creditor's claim.

tax-preference items

Certain items that, even though deducted in arriving at taxable income for regular tax purposes, must be considered in calculating a taxpayer's alternative minimum tax. See alternative minimum tax under TAX.

trial-setting preference

See special setting under SETTING.

voidable preference

See PREFERENTIAL TRANSFER