An obligation may be issued as subordinated to performance of another obligation of the person obligated, or a creditor may subordinate its right to performance of an obligation by agreement with either the person obligated or another creditor of the person obligated. Subordination does not create a security interest as against either the common debtor or a subordinated creditor.
Minn. Stat. § 336.1
-310 SUBORDINATED OBLIGATIONS.
Applied in 2 court decisions — leading case Valspar Refinish, Inc. v. Gaylord's, Inc. (2009)
Most recently applied in Valspar Refinish, Inc. v. Gaylord's, Inc. (April 2009)
2004 c 162 art 1 s 25
Official source: Minnesota Office of the Revisor of Statutes. Reproduced from public-domain Minnesota statutes; confirm against the official source for the current text. Not legal advice.