Glossary
Members Voluntary Liquidation
A Members Voluntary Arrangement is a liquidation where the company was asset rich. It is a way for shareholders to receive the funds that the company has amassed as a capital distribution when the company has closed.
Merger
A merger is where two (or more) organisations agree to work together in a situation where neither can be regarded as having acquired the other.
Misfeasance
If it is found that the director(s) have not acted in the best interest of the company or the creditors, the Insolvency Practitioner could bring an action (at Court) under Section 212 of the Insolvency Act 1986. This will apply to monies that have been paid improperly, assets that have been misapplied or general breaches of a directors duties.
Moratorium
A moratorium results in a set period of time where all insolvency and legal proceedings cannot be taken against a company (or individual). In an administration , no legal proceedings can be commenced without the Administrators permission or that of the Court.
Mortgage
A mortgage is a legal agreement, where a lender has the rights to the amounts outstanding when the property is sold, before anybody else.
Mortgagee
The mortgagee is the lender, i.e. the bank or building society, where there is a mortgage in place.
