Insolvency Assessment
/ɪnˈsɒlvənsi əˈsɛsmənt/
Definitions
- (n.) A formal evaluation process to determine a debtor's inability to meet financial obligations and the extent of liabilities exceeding assets.
The insolvency assessment revealed that the company was unable to pay its debts as they fell due.
Forms
- insolvency assessment
- insolvency assessments
Related terms
See also
Commentary
Insolvency assessments are critical for initiating formal insolvency proceedings and often require detailed financial analysis aligned with statutory criteria.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.