Article 784 — Partial Payment of Secured Creditors

Where secured creditors have received partial payment from the distribution of the proceeds of the sale of encumbered assets: 1/ The remaining unsecured portion of their pre- insolvency claims shall be finally settled after the sale of the other assets, including unencumbered in the final distributions. 2/ Any residue which they have received over such amount in the prior distribution shall be withheld from the amount of their secured dividend and allocated to the unencumbered assets.