Liquidating assets before

The liquidator is then usually required to send final accounts to the Registrar and to notify the court. However, in common jurisdictions, the court has a discretion for a period of time after dissolution to declare the dissolution void to enable the completion of any unfinished business.

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In most legal systems, only fixed security takes precedence over all claims; security by way of floating charge may be postponed to the preferential creditors.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).In addition, the term "liquidation" is sometimes used when a company wants to divest itself of some of its assets.The main purpose of a liquidation where the company is insolvent is to collect its assets, determine the outstanding claims against the company, and satisfy those claims in the manner and order prescribed by law.The liquidator must determine the company's title to property in its possession.

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