Priming Lien

Last Updated: Jun 7, 2019

Created By :

Last Edited By :

Created On :

A Priming Lien has Priority Rights over a senior secured lien and thus should be reserved for on the borrowing base. For example, a tax lien or landlord lien can prime lenders in court if taxes or rent are not paid. Priming Liens can occur after a senior secured lien is already in place and still “prime” the senior secured lender (receive preferential payment rights prior to the senior secured lender getting paid).