An Intercreditor Agreement is an agreement among two or more creditor groups that governs their relative rights, priorities, and remedies with respect to a borrower, including lien priority, payment subordination, standstill periods, enforcement control, and turnover provisions. In leveraged finance, venture debt, and restructurings, an Intercreditor Agreement is critical to determining who can foreclose, who gets paid first, and how proceeds are shared in a downside scenario.
