No Match Found
If a company fails to repay its debts, one enforcement remedy available to secured creditors is receivership. When an independent third party is appointed as receiver they can recover outstanding amounts by taking possession of any secured assets and realising them, in order to repay the outstanding debts of secured creditors.
A receiver can be appointed by either the secured creditor, acting under the terms of a security agreement, or by the Court under an application by the secured creditor.
If considered appropriate, a secured creditor or the Court may also appoint a receiver manager to run the business and preserve its value until it is sold as a going concern.