Insolvent liquidation

insolvent liquidation: the process of winding up a company’s affairs on the basis that it is insolvent, ie. unable to meet its debts; a company can be placed into insolvent liquidation by one of its creditors or its directors, at which point a liquidator will be appointed to wind down the affairs of the company in an orderly manner, including realising all assets in order to maximise the return to the company’s creditors.