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Chapter 11 of bankruptcy is part of the United States Bankruptcy Code. The law establishes the fundamental process and rules regarding reorganization anywhere under the authority of the United States law. This option is available to businesses of all types and individuals. The most common use of this chapter is in regard to corporate... more »
Bankruptcy is a legal process that is invoked when an individual or business is unable to pay its creditors. Several types of bankruptcy are permitted under the U.S. Code, all of which work to find mutually beneficial arrangements between debtors and creditors. Chapter 13 bankruptcy provides for the reorganization instead of... more »
Corporation bankruptcy laws are similar to personal bankruptcy regulations, but offer a major difference. Businesses can file for Chapter 7 bankruptcy, as many individuals do. But, they also may file bankruptcy under Chapter 11, which allows companies to continue operating while providing them with protection from creditors' actions.... more »
A fair and efficient system for business bankruptcy is essential for a capitalist economy. If bankruptcy was too harsh on the debtor, if would be a disincentive to valuable entrepreneurial risk-taking. But, if bankruptcy is too lax, lenders would be wary of financing business. Thus, bankruptcy law attempts to strike a balance between... more »
California is considered to have some of the most restrictive gun laws in the United States. There are nevertheless many types of firearms, including semiautomatic rifles, that it is legal to own. And though it is difficult to obtain a concealed carry permit in much of the state, some counties are much more permissive than others. Gun... more »
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Liquidation value is often referred to as fair market value. It is the value of an asset that is reflective of immediate sale. As a result, the... more »
Liquidation is the method many businesses use to get rid of their surplus inventory. After inventory has been in stock for a long time, it costs... more »
Liquidation sales are events--often "everything must go" sales--designed to raise money to pay off debt as a business is closing, or to move... more »
Liquidation is usually the last stage of a workout plan or bankruptcy proceeding for a company. It occurs when it has been determined that a... more »
Liquidation is a form of bankruptcy. Liquidating a business may be forced or voluntary. It is done when the business owners, or the court,... more »
In law, liquidation is the process by which a company (or part of a company) is brought to an end, and the assets and property of the company redistributed. Liquidation can also be referred to as winding-up or dissolution, although dissolution technically refers to the last stage of liquidation. The process of liquidation also arises when customs, an authority or agency in a country responsible for collecting and safeguarding customs duties, determines the final computation or ascertainment of the duties or drawback accruing on an entry.19 CFR ยง159.1
Liquidation may either be compulsory (sometimes referred to as a creditors liquidation) or voluntary (sometimes referred to as a shareholders liquidation, although some voluntary liquidations are controlled by the creditors, see below).
Compulsory liquidation
The parties who are entitled by law to petition for the compulsory liquidation of a company vary from jurisdiction to jurisdiction, but generally, a petition may be lodged with the court for the compulsory liquidation of a company by:
# the company itself
# any creditor who establishes a prima facie case
# contributoriesThose shareholders who may be required to contribute to the companys assets on liquidation, for example, in the United Kingdom, see sections 74 and 75 of the Insolvency Act 1986
# the Secretary of State (or equivalent)
# the Official Receiver
Grounds
The grounds upon which one can apply for a compulsory liquidation also vary between jurisdictions, but the normal grounds to enable an application to the court for an order to compulsorily wind-up the company are:
# the company has so resolved
# the company was incorporated as a public company, and has not been issued with a trading certificate (or equivalent) within 12 months of registration
# it is an "old public company" (i.e., one that has not re-registered as a public company or become a private company under more recent companies legislation requ read more at » http://en.wikipedia.org/wiki/Liquidation
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