COM112020 - Pursuit: enforcement: insolvency

The term insolvency is used to describe:

  • a company liquidation
  • an administrative receivership, known in Scotland as a receivership.
  • an administration order
  • a company Voluntary Arrangement (VA).

It is also possible for a company to cease trading without there being a formal insolvency process. When this happens the company is struck off the companies register at Companies House and ceases to exist, unless later restored to the companies register which is usually by court order.

The Insolvency Claims Handling Unit (ICHU) issues claims for the following insolvency types.

  • Compulsory liquidation
  • Creditors’ voluntary liquidation
  • Bankruptcy
  • Administrative receiverships
  • Scottish trust deeds

The Enforcement and Insolvency Service (EIS) issues claims for:

  • administrations
  • members’ voluntary liquidations

For details on how to deal with a claim under Rule 14.44 please see COM130050