oa De Rebus - The appointment of provisional liquidators and trustees

Abstract

Insolvency law has, in essence, been in existence - although intermittently - for as long as credit. Credit was created by commerce. Commerce demands and creates the limitations on what creditors can claim in law from their debtors and determines the procedures to be adopted when a debtor has insufficient assets to settle all creditors' claims. The role of liquidator or trustee is to act collectively on behalf of creditors in a uniform and civil manner to realise the assets of a delinquent debtor and to distribute the proceeds equitably among creditors.