Insolvent is when you are unable to pay your bills.
According to gov.uk, there is currently one case filed against Modal Electronics. Note this does not necessarily mean the end of Modal Electronics. I'm not crazy about sharing dirty laundry as this case could go away, but the news is being shared and synth news is definitely part of this site.
According to gov.uk's guidence:
"‘Insolvency’ describes both the situation an insolvent company is in, and also the various legal procedures for dealing with this situation under the Insolvency Act 1986.
There are 3 options that allow an insolvent company to continue trading. Directors can:
contact all your creditors to see if you can reach an informal agreement
enter into a company voluntary arrangement
put the company into administration, offering some respite from creditor action and enabling:
the company to continue
property to be sold
You also have the option of liquidating (‘winding up’) your company. This means the company is closed down and its assets are sold and distributed to its creditors."
Under US law bankruptcy chapter 11 and 7 apply to companies and other business entities. As I read under UK law bankruptcy is only applicable to individuals. But, then again, in the US corporations are (perversely) considered to be people (the great mistake of the 19th Century that is destroying everything, allowing the corporations to become the dictators of America while lulling the population into believing that democracy is still functioning. Don't believe it.)
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