bond - recovery rate

If company file bankrupcy, the bond default. But if bond has recovery rate, say 20%, who will pay this money to the bondholder?


The estate of the bankrupt company

Recovery rate is not contractual number… correct?

Its just an expected recovery rate. Actual rate might be different.

It depends on how much the assets of the company sell for?


(this is a separate concept from CDS recovery rates, to be clear)