Subordinated claim (efterstillet krav)
Also known as § 98 claim, subordinated claims, last rank
A subordinated claim sits last in the bankruptcy queue — interest accrued after the order, fines and promised gifts are paid only if everything else has been paid in full.
- Rank
- Konkursloven § 98 (the Danish Bankruptcy Act)
- Typically
- Interest accrued after the order
- Paid
- Almost never
In practice
The order of priority in bankruptcy ends at § 98. Here sit the claims the law has placed behind all others: interest accrued after the bankruptcy order, fines, and claims for gifts that were promised but never given.
In practice it is an almost theoretical category. Recovery here presupposes that the estate claims, the preferential claims and every unsecured claim have been paid in full — and that happens rarely enough that most creditors never see it.
The category still has a consequence worth knowing: interest on your claim effectively stops on the date of the order. Everything accruing after that is subordinated.
Where it commonly goes wrong
- The claim is filed with interest up to today. Interest after the order belongs in § 98 and does not lift the dividend. State the claim as at the date of the order.
- Subordinated is confused with unsecured. The unsecured claim under § 97 often gets something. The subordinated one almost never does.