Insolvency

Insolvency is the state whereby a legal or natural person is unable to repay its creditors due to having insufficient assets. In the event of prolonged insolvency, a company then declares itself bankrupt, whereas a private individual is directed towards a collective debt settlement procedure.

Updated 26/06/2017

Definitions provided under this section refer to the Belgian situation; unless specified otherwise. The texts are meant to summarize concepts in daily language and should not be considered as comprehensive or definite. We welcome suggestions for modifications or additions at glossary@tcm.be.