ABSTRACT
This chapter considers corporate insolvency and the way in which companies, in effect, die. It divides between a discussion of winding up solvent companies and, its principal focus, winding up insolvent companies. The principal legislation governing law on corporate insolvency is the Insolvency Act 1986 (IA) and the Enterprise Act 2002. The IA 1986 reforms the position that was previously based on the Bankruptcy Act 1914. The principal legislation is reinforced by the Insolvency Rules 1986 and other regulations. The law of receivership has existed for many centuries, and reaches outside corporate insolvency. Importantly, receivership is dependent upon a court order due to its significant ramifications for the operation of a company. Much of insolvency law policy after 1985 has been concerned with finding alternatives to insolvent winding up of companies by means of other legal procedures that would both protect the interests of creditors while also keeping the company's activities hirpling on so far as is possible or desirable.
