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Terms in italics are defined elsewhere
AdministrationAdministration is designed to protect a company or partnership whilst plans are formulated to achieve one of the statutory objectives.
AdministratorA licensed insolvency practitioner  appointed to manage the affairs of a company in administration.
BankruptcyBankruptcy is used to deal with an individual who is unable to pay their debts.
BondMandatory insurance cover to protect the uncharged assets of an estate, required by legislation for a licensed insolvency practitioner once formally appointed to act.
BordereauAnother name for a bond.
CDDACompany Directors Disqualification Act (1986).
Company Directors Disqualification Act 1986An act concerned with the disqualification of persons from being directors or otherwise concerned with a company’s affairs.  This act is triggered when a company is placed into administration, receivership or insolvent liquidation.
Company Voluntary ArrangementA Company Voluntary Arrangement is a procedure which enables an insolvent company to reach an agreement with its creditors to delay or compromise the payment of its debts.
Compulsory Winding-upCompulsory liquidation is a process where the court orders that the company is wound up, following a winding-up petition being presented to the court.  It is the only way an unsecured creditor can directly bring about the liquidation of a company
Creditors’ Voluntary LiquidationCreditors’ Voluntary Liquidation is a procedure whereby the directors of an insolvent company can voluntarily take steps to wind up the company.
CVACompany Voluntary Arrangement.
CVLCreditors’ Voluntary Liquidation.
Decision ProcedureA method by which the views of creditors are sought.
Individual Voluntary ArrangementAn Individual Voluntary Arrangement is a legally binding agreement between an individual and their creditors.  The agreement sets out a payment plan to repay creditors either in full or an agreed percentage of their debts.
IPInsolvency Practitioner – see licensed insolvency practitioner.
IVAIndividual Voluntary Arrangement.
Licensed Insolvency PractitionerA person licensed by one of the Chartered Accountancy bodies, Law Society or the Insolvency Practitioners’ Association.  They are the only people able to act as an administrative receiver, administrator, liquidator, supervisor or trustee in bankruptcy.
LiquidationThe process whereby a company has its assets realised and distributed to creditors (insofar as funds permit).  There are three types: members’ voluntary liquidation, creditors’ voluntary liquidation and compulsory winding-up.
LiquidatorA licensed insolvency practitioner appointed for the liquidation of a company.
Members’ Voluntary LiquidationMembers’ Voluntary Liquidation is a procedure whereby directors wish to wind up the affairs of a company and the company is in a position to pay creditors in full.
MVLMembers’ Voluntary Liquidation.
NomineeA licensed insolvency practitioner nominated in a proposal for any type of voluntary arrangement.  It is the duty of the nominee to convene the decision procedure (and shareholders for companies) for the purpose of considering the proposed voluntary arrangement.
Official ReceiverAn agent of the Insolvency Service who primarily deals with bankruptcy and compulsory winding-up.
OROfficial Receiver.
ProxyA document by which a creditor authorises another person to represent him at a meeting of creditors.  The proxy may either be a general proxy (giving the proxy holder discretion as to how he votes) or a special proxy (requiring the proxy holder to vote as instructed. Corporate entities must be represented at a meeting by a proxy holder.
Proxy HolderA person who attends a meeting on behalf of the party entitled to vote.
Retention (or Reservation) of TitleA provision under a contract for the supply of goods which purports to reserve ownership of the goods with the supplier until the goods have been paid for.
ROTRetention (or reservation) of title.
SIPStatements of Insolvency Practice.
Statements of Insolvency PracticeA series of best practice guidelines issued by The Association of Business Recovery Professionals which promote how licensed insolvency practitioners should act.
SupervisorA licensed insolvency practitioner appointed by creditors to supervise a voluntary arrangement in terms of the insolvent party meeting their obligations.
Trustee (in Bankruptcy)A licensed insolvency practitioner appointed over a bankruptcy estate.
Winding upAn alternative name for liquidation.
WUCCompulsory winding-up.