Liquidations in the British Virgin Islands can be either an insolvent liquidation governed by the Insolvency Act 2003 (as amended), or a solvent liquidation governed by the BVI Business Companies Act (as amended). This article provides a brief overview of insolvent liquidations.
Insolvent liquidation
The purpose of an insolvent liquidation is to bring a company’s affairs to an orderly end by settling the company’s debts and other affairs, as well as taking possession of any company assets and distributing them. An appointed liquidator can also bring claims to set aside certain transactions entered into by the insolvent company before it went into liquidation.
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