Secured Claim

A claim against the debtor secured by collateral or by a right of setoff against the debtor. A secured creditor retains its prepetition lien or right of setoff notwithstanding the bankruptcy filing, and the debtor must provide adequate protection to the lender as a condition of using the lender’s collateral during the bankruptcy case. A Chapter 11 plan must provide for payment in full of all secured claims, with interest, as a condition of confirmation, and a secured creditor is entitled to credit bid if there is a sale of its collateral either during the case or under the plan.

Bankruptcy Code § 506(a). See also 363 Auction, 363 Sale, Adequate Protection, Allowed Claim, Avoidance Action, Credit Bid Right, Oversecured Creditor, Preference, Recoupment, Setoff, Strong Arm Powers, Surcharge, Undersecured Creditor, Valuation of Collateral.

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