bona fide (not comparable) 1  In good faith. 2  Genuine; not counterfeit.
What is a 'Debtor in Possession (DIP)' A debtor in possession (DIP) is a person or corporation who has filed for bankruptcy protection but still holds property that a creditor has a right to.  It is part of U.S. bankruptcy law and is the term used to describe a corporation that continues to do business while under Chapter 11 bankruptcy proceedings.
Tweet. Hypothecation is a pledge of property as collateral for a debt when the debtor holds back the right of possession of the collateral. The debtor retains legal title to the collateral but grants the lender a lien on it. This is the case in many security interest situations, like home mortgages and car loans. Terms like hypothecation are no longer used in Article 9 of the U.C.C.âthe term âsecurity interestâ is now used.