This preference is significant when it comes to the payment of dividends and voluntary liquidation of assets, but is essential in bankruptcy situations. (investopedia.com)
In effect, creditors agree to accept just a portion of what they're owed (which is more than they might get if someone is forced into a personal bankruptcy situation). (canadianbusiness.com)
In effect, creditors agree to accept just a portion of what they're owed (which is more than they might get if someone is forced into a personal bankruptcy situation). (moneysense.ca)