Bankruptcy Security

Bankruptcy Security refers to measures taken to protect a debtor's assets or interests during bankruptcy proceedings, ensuring fair treatment for creditors and the debtor. It involves establishing security interests, such as liens or collateral, that secure repayment of debts. These security interests provide creditors with a legal claim to specific assets, offering a level of priority in repayment if the debtor defaults or declares bankruptcy. The goal is to balance the interests of all parties, facilitate an organized process to resolve debts, and maximize the value of assets available for distribution.