receivership

/rɪˈsiːvərʃɪp/
noun
  1. A legal process in which a court appoints a person (a receiver) to manage the property or business of a company or person that is in financial trouble, usually to pay off debts.
    • The judge ordered receivership to protect the company's remaining value.
    • During receivership, the receiver sold off assets to repay the creditors.
    • The company went into receivership after failing to pay its loans.
  2. The state or condition of being managed by a receiver.
    • The business has been in receivership for six months now.
    • The hotel was placed under receivership after its owner declared bankruptcy.
    • Many employees lost their jobs when the firm entered receivership.
Synonyms