debtor in possession

noun

A natural person or corporation that has filed a bankruptcy petition, but remains in possession of property upon which a creditor has a lien or similar security interest. Such a business may continue to operate its business under Chapter 11 bankruptcy protection.

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Meanings

noundebtor in possession (plural debtors in possession)

plural debtors in possession

  1. USbusinessA natural person or corporation that has filed a bankruptcy petition, but remains in possession of property upon which a creditor has a lien or similar security interest. Such a business may continue to operate its business under Chapter 11 bankruptcy protection.
Cite this entry
APA

debtor in possession. (n.d.). In WatkinsX Dictionary. Retrieved November 5, 2026, from https://dictionary.watkinsx.com/word/debtor%20in%20possession

MLA

“debtor in possession.” WatkinsX Dictionary, https://dictionary.watkinsx.com/word/debtor%20in%20possession. Accessed November 5, 2026.

Chicago

WatkinsX Dictionary, s.v. “debtor in possession,” accessed November 5, 2026, https://dictionary.watkinsx.com/word/debtor%20in%20possession.

Source: debtor in possession on Wiktionary, CC BY-SA 4.0.