Insolvent
What is insolvent?
If you or your company are in a financial situation where creditors cannot be paid, it is called insolvent. You or your company can only be declared insolvent by the small claims court.
If you have been declared insolvent, you have a conservation period. This is a period of 6 months during which your creditors cannot take you to small claims court. The conservation period is there for you or your company to get a handle on the financial problems that underlie the insolvent declaration.
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