What type of claims are categorized as priority claimants in bankruptcy?

Support obligations and wages are categorized as priority claims in bankruptcy because bankruptcy laws are designed to protect individuals and families by ensuring that certain debts are prioritized for repayment. Priority claims are those that must be paid in full before other classes of creditors receive any payment. This typically includes obligations such as alimony and child support, as well as unpaid wages owed to employees, which reflect personal rights and welfare of individuals rather than commercial debts.

This prioritization acknowledges the importance of supporting dependents and ensuring that workers receive compensation for their labor. Given that these obligations directly impact the well-being of individuals and families, the bankruptcy system places a higher value on these claims compared to others, such as mortgages or business loans, which fall into different categories within the hierarchy of claims in bankruptcy proceedings.