The liquidator supervises the liquidation, which involves collecting and realising the company's assets (turning them into cash), discharging the company's liabilities, and distributing any funds left over among the shareholders in accordance with the company's constitution (or the COMPANIES ACT 1993 if there is no constitution).
After these steps have been carried out, the company is formally dissolved.
For example, there may be several different creditors vying for priority in the distribution chain, in which case the intervention of the court may be necessary.
For example, members of the company may file for compulsory liquidation if some of the members feel that the voluntary liquidation decisions are yielding unfair distribution results.
Any proceeds from the liquidation are required to be distributed to various parties in a certain order, called the “priority of claims." The liquidated assets must be distributed in this order: The priority of claims is one of the areas that gives rise to the most legal claims and lawsuits.
If voluntary liquidation has already begun, it is sometimes still possible for a party to file for compulsory liquidation.
This can occur if there is a legal dispute over the current liquidation process.
First, a liquidator is appointed, either by the shareholders or the court.
The liquidator represents the interests of all creditors. 3077]§ 2304 - Contracts: competition requirements§ 2304a - Task and delivery order contracts: general authority§ 2304b - Task order contracts: advisory and assistance services§ 2304c - Task and delivery order contracts: orders§ 2304d - Task and delivery order contracts: definitions§ 2304e - Contracts: prohibition on competition between Department of Defense and small businesses and certain other entities§ 2305 - Contracts: planning, solicitation, evaluation, and award procedures§ 2305a - Design-build selection procedures§ 2306 - Kinds of contracts§ 2306a - Cost or pricing data: truth in negotiations§ 2306b - Multiyear contracts: acquisition of property§ 2306c - Multiyear contracts: acquisition of services§ 2307 - Contract financing§ 2308 - Buy-to-budget acquisition: end items§ 2309 - Allocation of appropriations§ 2310 - Determinations and decisions§ 2311 - Assignment and delegation of procurement functions and responsibilities§ 2312 - Remission of liquidated damages§ 2313 - Examination of records of contractor§ 2313a - Defense Contract Audit Agency: annual report§ 2314 - Laws inapplicable to agencies named in section 2303 of this title§ 2315 - Law inapplicable to the procurement of automatic data processing equipment and services for certain defense purposes§ 2316 - Disclosure of identity of contractor§ 2317 - Repealed. 1704]§ 2318 - Advocates for competition§ 2319 - Encouragement of new competitors§ 2320 - Rights in technical data§ 2321 - Validation of proprietary data restrictions§ 2322 - Repealed. This is a list of United States Code sections, Statutes at Large, Public Laws, and Presidential Documents, which provide rulemaking authority for this CFR Part.This list is taken from the Parallel Table of Authorities and Rules provided by GPO [Government Printing Office]. 2500]§ 2323 - Contract goal for small disadvantaged businesses and certain institutions of higher education§ 2323a - Credit for Indian contracting in meeting certain subcontracting goals for small disadvantaged businesses and certain institutions of higher education§ 2324 - Allowable costs under defense contracts§ 2325 - Restructuring costs§ 2326 - Undefinitized contractual actions: restrictions§ 2327 - Contracts: consideration of national security objectives§ 2328 - Release of technical data under Freedom of Information Act: recovery of costs§ 2329 - Repealed.