Legal Dictionary of Pakistan

priority claim

Bankruptcy. An unsecured claim that, under bankruptcy law, must be paid before other unsecured claims. ( The Bankruptcy Code sets forth eight classes of claims, to be paid in order of priority: (1) administrative expenses of the bankruptcy estate, (2) involuntary gap claims, (3) wage claims, (4) contributions to employee benefit plans, (5) claims of grain farmers and fishermen, (6) consumer deposits, (7) tax claims, and (8) capital requirements of an insured depository institution.