[ri-see-ver-ship] 
| 1. | the condition of being in the hands of a receiver. |
| 2. | the position or function of being a receiver in charge of administering the property of others. |
| re·ceiv·er·ship (rĭ-sē'vər-shĭp') n. Law
|
Receivership
A type of bankruptcy a company enters when a receiver is appointed by bankruptcy courts or creditors to run the company.
Investopedia Commentary
The responsibility of the receiver is to recoup as much of the unpaid loans as possible.
Being in receivership is not an enviable situation for a company. Often receivers find that the best way to pay back loans is to liquidate the company's assets, which would effectively put it out of business.
Related Links
An Overview Of Corporate Bankruptcy
See also: Bankruptcy, Bankruptcy Risk, Debt, Discharge in Bankruptcy, Receiver
vərˌʃɪp