liquidation

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Related to Members voluntary liquidation: Creditors voluntary liquidation

Liquidation

The collection of assets belonging to a debtor to be applied to the discharge of his or her outstanding debts.

A type of proceeding pursuant to federal Bankruptcy law by which certain property of a debtor is taken into custody by a trustee to be sold, the proceeds to be distributed to the debtor's creditors in satisfaction of their claims.

The settlement of the financial affairs of a business or individual through the sale of all assets and the distribution of the proceeds to creditors, heirs, or other parties with a legal claim.

The liquidation of a corporation is not the same as its dissolution (the termination of its existence as a legal entity). Depending upon statute, liquidation can precede or follow dissolution.

When a corporation undergoes liquidation, the money received by stockholders in lieu of their stock is usually treated as a sale or exchange of the stock resulting in its treatment as a capital gain or loss for Income Tax purposes.

See: aberemurder, assassination, cancellation, composition, discharge, dispatch, dissolution, homicide, killing, murder, payment, termination

liquidation

the procedure under which a company is dissolved (or wound up). Liquidation maybe voluntary (where the company is solvent but where the purposes for which it was set up have been achieved or no longer exist) or compulsory (usually where the company is insolvent). The function of a liquidator is to convert the assets of the company into cash, which is then distributed among the creditors to pay off (so far as possible) the debts of the company. Any surplus is then distributed among the members.

LIQUIDATION. A fixed and determinate valuation of things which before were uncertain.

References in periodicals archive ?
The final part of the dissolution process will be the liquidation of Glasgow 2014 Limited through a Members Voluntary Liquidation of the company, which will need to be performed by a suitably qualified liquidation professional.
A Members Voluntary Liquidation, known as an MVL, is possible where the directors and members of a solvent company, for any number of reasons, decide that a business should be wound up in an orderly manner.
41 Central Chambers, Dame Court, Dublin 2, the Liquidator of the company, and if so required to by notice in writing from him or by their solicitor or personally , to come in and prove their said debts or claims at such time and place as shall be specified in such notice or in default thereof they will be excluded from the benefit of any distribution made before such debts are proved Dated the 24th Day of April 2015 David Kearney, Liquidator Note: this is a Members Voluntary liquidation All admitted creditors have been or will be paid.

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