Judical management in practice : case studies

Abstract

Judicial management was introduced on 17 May 1988 as an alternative to existing insolvency procedures. As a form of corporate rescue, judicial management was conceptualised to remedy the inadequacies of insolvency procedures such as liquidation and receivership. Through the imposition of a mandatory moratorium on creditors' rights, an otherwise healthy and viable company is allowed a brief respite to sort out its temporary financial difficulties.