ABSTRACT
This part of the text deals with the formal regimes applicable to an insolvent debtor incapable of rescue. It explains the procedures by which such regimes are initiated, the conduct of the regimes and the consequences for the insolvent of being subject to such regimes.1 The mere fact of being in a state of insolvency does not have any legal consequences until either the debtor or a creditor relies on that state to invoke one of the formal regimes provided by the insolvency legislation.
