Interest Adverse to the Estate Law and Legal Definition

Interest adverse to the estate is defined as (1) “to possess or assert any economic interest that would tend to lessen the value of the bankruptcy estate or that would create either an actual or potential dispute in which the estate is a rival claimant; or (2) to possess a predisposition under the circumstances that render such a bias against the estate.” In re Platinum Oil Props., L.L.C., 2009 Bankr. LEXIS 4191 (Bankr. D.N.M. Dec. 23, 2009)