Priming Lien

A lien securing a postpetition loan that is senior or equal to a lien that is already attached to a debtor’s assets. Approval of priming liens are sought under Bankruptcy Code § 364(d), and will not be authorized unless a bankruptcy court finds that the debtor cannot obtain credit elsewhere, and that the existing lienholder’s interest in its collateral is adequately protected, regardless of whether the priming lien is granted.

For more context, click here.