ADVERSARY PROCEEDING adversary proceeding. 1.

A hearing involving a dispute between opposing parties <Judge Adams presided over the adversary proceeding between the landlord and tenant>. 2.Bankruptcy. A lawsuit that is brought within a bankruptcy proceeding, governed by special procedural rules, and based on conflicting claims usu. between the debtor (or the trustee) and a creditor or other interested party <the Chapter 7 trustee filed an adversary proceeding against the party who received $100,000 from the debtor one week before the bankruptcy filing>. [Cases: Bankruptcy 2156. C.J.S. Bankruptcy 26.] adverse. 1. Against; opposed (to).2. Having an opposing or contrary interest, concern, or position. 3. Contrary (to) or in opposition (to).4.HOSTILE.