Sec. 302. (1) An obligation may be issued as subordinated to performance of another obligation of the person obligated, or a creditor may subordinate the creditor’s right to performance of an obligation by agreement with either the person obligated or another creditor of the person obligated.

lawyer at desk

Ask a business law question, get an answer ASAP!
Thousands of highly rated, verified business lawyers.
Click here to chat with a lawyer about your rights.

Terms Used In Indiana Code 26-1-1-302

  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
     (2) Subordination does not create a security interest as against either the common debtor or a subordinated creditor.

As added by P.L.143-2007, SEC.6.

  Previous section
Next section  
 Chapter 1 Contents