ABSTRACT
This book has considered, from a legal perspective, the problems of banks in financial difficulties with attention being focused on the system of laws which currently exist in the U.K., with international comparisons being made where appropriate. The subjects of banking crises and bank insolvency raise many complex issues which are of fundamental importance because of the special position of banks within the economy of a country. Any system which is designed to deal effectively with bank insolvency must address both the prevention of banking crises and also the action to be taken when a crisis arises and insolvency looms. It may be possible in some circumstances to manage to achieve a rescue of a financially distressed bank, either in whole or in part, by the use of various formal and informal means. It may sometimes be the position that there is no alternative but to liquidate the bank because it is hopelessly insolvent.
