My company is being placed into liquidation. What happens from here?
Lawyer Answers (1): Answers from lawyers are general preliminary responses. They are not formal legal advice and cannot taken account of all your circumstances. They do not create a lawyer–client relationship.
Answer by Kelly Angus, Adelaide 5000 SA
- Liquidation affects your company’s status by transferring your powers of management and control from the company’s directors and members to the liquidator and creditors in general meeting.
- Liquidation also involves the discharge of your company’s employees subject to any decision of the liquidator to trade on for a short period in order to maximise asset realisation.