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[lik-wi-dey-shuh n] /ˌlɪk wɪˈdeɪ ʃən/
the process of realizing upon assets and of discharging liabilities in concluding the affairs of a business, estate, etc.
the process of converting securities or commodities into cash.
the state of being liquidated:
an estate in liquidation.
1565-75; liquidate + -ion
Related forms
nonliquidation, noun
preliquidation, noun
reliquidation, noun Unabridged
Based on the Random House Dictionary, © Random House, Inc. 2015.
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Examples from the web for liquidation
  • In particular, it imagines how its expanded powers under the newly established non-bank liquidation authority would have helped.
  • It suspended operations that day and went into closure and liquidation the next month.
  • As everything spun out of control, everyone wanted out: a full liquidation.
  • If that does not work, they may go into liquidation.
  • Funds will also be allowed to suspend withdrawals if they break the buck, to allow for more orderly liquidation.
  • Worse, firms that default are likelier to end up in full liquidation.
  • They sold as many of their best players as they could last month and are still teetering on the edge of liquidation.
  • And that is absolutely the case for automakers, which are worth next to nothing in liquidation.
  • The company's brief statement offered no reason for the liquidation.
  • Courtesy notices of liquidation provide informal, advanced notice of the liquidation date and are not required by statute.
British Dictionary definitions for liquidation


  1. the process of terminating the affairs of a business firm, etc, by realizing its assets to discharge its liabilities
  2. the state of a business firm, etc, having its affairs so terminated (esp in the phrase to go into liquidation)
destruction; elimination
Collins English Dictionary - Complete & Unabridged 2012 Digital Edition
© William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins
Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012
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Word Origin and History for liquidation

1570s, noun of action from Late Latin liquidare (see liquidate); originally as a legal term in reference to assets; of inconvenient groups of persons, 1925 in communist writings.

Online Etymology Dictionary, © 2010 Douglas Harper
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liquidation in Culture

liquidation definition

The conversion of the assets of a firm into cash, often just before the firm goes out of business.

The American Heritage® New Dictionary of Cultural Literacy, Third Edition
Copyright © 2005 by Houghton Mifflin Company.
Published by Houghton Mifflin Company. All rights reserved.
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Encyclopedia Article for liquidation

discharge of a debt or the determination by agreement or litigation of the amount of a previously unliquidated claim. One important legal meaning is the distribution of the assets of an enterprise among its creditors and proprietors. At the dissolution of a solvent corporation or unincorporated association, the assets are usually liquidated (turned into money) rather than distributed in kind. An insolvent concern, on the other hand, may be liquidated in a receivership (q.v.), in which a court-appointed receiver sells the assets and distributes the proceeds; in general assignments for the benefit of creditors; in bankruptcy; or in the administration of a decedent's estate

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Encyclopedia Britannica, 2008. Encyclopedia Britannica Online.
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