Concurrent schuldeiser
ordinary creditor
An ordinary creditor is a creditor without a security interest or statutory priority who, in bankruptcy, participates pari passu in the estate.
In Dutch insolvency law, a creditor is regarded as an ordinary creditor where the creditor holds neither a pledge nor a mortgage and has no statutory preference. Such creditors share in the proceeds of the estate only after the secured creditors and preferential creditors have been satisfied.
The position of ordinary creditors is significant because this group is typically the largest and frequently recovers only a small percentage of its claims. This affects the assessment of risk when entering into agreements and collecting outstanding amounts.
In practice, creditors therefore often seek to obtain security or to stipulate terms conferring preferential status, so as to avoid being classified as ordinary creditors.
“Because the supplier had not created a pledge, he was treated as an unsecured creditor in the bankruptcy and received only a small percentage of his claim.”
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