What can I do when logged in?

You can submit new articles, so we can make unique versions of them and distribute them for you.
If you want to simply publish the same article on 800 websites, you can tell us to do that.
You can see the archive and current status of all your article distributions.
You can order any number of high-quality articles - just let us know your keywords.
You can browse the archive of all the articles we have written for you.
You can order our Complete Service (10 high-quality articles plus 10 article distributions).
You can purchase more credits for our services and check your affiliate earnings.
Much more ...

SpinDistribute.com Article Directory

The following article was published in our article directory on December 3, 2009.
Learn more about SpinDistribute Article Distribution System.

Do The Courts Need To Be Involved With A Member Voluntary Liquidation?

Article Category: Finances

British judicial system is considered amongst the best in the world. Indeed, the judiciary system is regarded for its strict upholding of law under any situation. Moreover, there are some instances where this court participation can give rise to more problems instead of granting a solution.

Member Involuntary liquidation, for example, is an arrangement that is generally carried out under the management of a court. Critics guess that this involvement might prove cumbersome and even unfavourable while the supporters of court intervention say that it is essential to have a legal validation to the entire process.

Before elaborating the details of voluntary liquidation, it is apposite to explain what actually liquidation is. As the name shows, liquidation is the dissolution or reorganization of a company after it fails to carry out its business in a normal manner. Defaults or bankruptcies play a key role in this regard. Fights among the shareholders, and litigations and losses also include to the malfunctioning of a company, along with other things.

There are three fundamental types of liquidation. These are:

Compulsory liquidation

This type of liquidation is oftenly conducted under orders of a court. Paradoxically, the liquidation itself is accomplished because of a court proceeding. Normally, a person or group of persons files a case in a banking court regarding the financial or administrative failure of a company. The court hears the arguments of both sides and settles the case after reviewing the overall scenario of a company.

This type of liquidation is the unfortunate one as the company might lose its name as well as market value, because of arduous battles in the court.

Member Voluntary Liquidation

The shareholders of the company execute member Voluntary Liquidation. Shareholders press for liquidation if the company is unable to perform its business and is falling under debts. The total debts, yet, remain lower than the total value and assets of a company. A company remains solvent even after liquidation is accomplished and everyone gets some monetary gains, including the shareholders.

Courts are not normally involved in this type of liquidation. As the shareholders carry out the proceedings, courts remain aside from the whole process until a shareholder enters a formal appeal in the court. There are cases when some shareholders and interest groups are not satisfied with the whole process and consider that a court can settle out the deals in a more appropriate manner. Courts will finally be involved in that case as they have to hear the petitions. Otherwise, they should not be involved in Member Voluntary Liquidation cases. It all depends on the relationship between the shareholder groups and the overall financial position of a company.

Creditors' Voluntary Liquidation

The members of a company that is buried deep under debts carry out this type of liquidation. The debts are higher than the entire worth and assets of the company. Hence, the company becomes bankrupt after liquidation.

Keywords: company voluntary arrangement, Member voluntary liquidation, Business Debtline

Learn more about SpinDistribute Article Distribution System. We also offer one of the Best Article Writing Services out there - give us a try if you need great articles on various topics!

SpinDistribute.com Network

Each article you submit at SpinDistribute.com is sent through our innovative Article Distribution System to our network of more than 1840 publishers - about 55% of them are high-quality article directories, 30% of them are niche blogs and 15% of them are other content-rich websites.

To achieve the best possible success we only publish your article to most related websites. This means your article will show up on approximately 640 - 880 most related websites which will give you great SEO results.

We also offer a separate Professional Article Writing Service to everyone who's looking for high quality web content and well researched unique articles.