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SourceLaw Dictionary Browse Letter S

Substantive Consolidation

Legal definition for Indian law research

Definition

substantive consolidation


Putting the assets and liabilities of two or more related debtors into a single pool to pay creditors. (Courts are reluctant to allow substantive consolidation since the action must not only justify the benefit that one set of creditors receives, but also the harm that other creditors suffer as a result.)



Source: Administrative Office of the U.S. Courts


Definitions are for legal research. Always verify meaning in the context of the statute, judgment, or jurisdiction cited.

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