Insolvency Plan
/ɪnˈsɒlvənsi plæn/
Definitions
- (n.) A formal, court-approved arrangement to restructure or liquidate a debtor’s assets and liabilities during insolvency proceedings.
The company submitted an insolvency plan to avoid bankruptcy and satisfy its creditors.
Forms
- insolvency plan
- insolvency plans
Related terms
See also
Commentary
An insolvency plan must typically gain creditor and court approval; clear drafting can facilitate smoother implementation and reduce dispute risks.
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.