Liquidation clause: Copy, customize, and use instantly
Introduction
A liquidation clause defines the terms and conditions governing the sale, distribution, or dissolution of assets during the winding-up process of an entity or agreement. It provides clarity on how assets and liabilities are handled, ensuring a fair and orderly process.
Below are templates for liquidation clauses tailored to different scenarios. Copy, customize, and insert them into your agreement.
Distribution of proceeds upon liquidation
This variation defines how proceeds from liquidation will be distributed.
In the event of liquidation, all proceeds from the sale of assets shall be distributed as follows: (i) first, to settle outstanding liabilities and obligations; (ii) second, to distribute any remaining amounts to shareholders or stakeholders based on their proportional ownership or entitlement.
Appointment of a liquidator
This variation addresses the appointment of a liquidator to oversee the process.
Upon the occurrence of liquidation, the parties shall appoint a qualified liquidator to oversee the winding-up process, including the valuation, sale, and distribution of assets, and the settlement of outstanding liabilities.
Order of priority for liquidation
This variation establishes the priority of payments during liquidation.
In the event of liquidation, assets shall be liquidated and proceeds applied in the following order of priority: (i) secured creditors, (ii) unsecured creditors, (iii) preferred shareholders, and (iv) common shareholders or stakeholders.
Trigger events for liquidation
This variation defines specific events that trigger liquidation.
Liquidation may be triggered upon the occurrence of any of the following events: (i) a unanimous decision by the shareholders or partners, (ii) insolvency or inability to meet financial obligations, or (iii) the expiration of the entity’s term as stated in its governing documents.
Liquidation costs clause
This variation specifies how costs related to liquidation will be handled.
All costs and expenses incurred during the liquidation process, including legal, administrative, and valuation fees, shall be deducted from the proceeds of the liquidation prior to distribution to creditors and stakeholders.
Non-compete obligations during liquidation
This variation restricts parties from competing during the liquidation process.
During the liquidation process, no party involved shall engage in competing activities that could adversely affect the value or sale of the assets being liquidated, unless expressly agreed in writing.
Pre-liquidation asset valuation clause
This variation mandates asset valuation before liquidation.
Prior to liquidation, all assets subject to liquidation shall be appraised by an independent valuer to determine their fair market value. The valuation report shall form the basis for asset distribution and settlement of obligations.
Prohibition of preferential treatment in liquidation
This variation ensures fair treatment of creditors and stakeholders.
No preferential treatment shall be granted to any creditor, shareholder, or stakeholder during the liquidation process, unless such preference is required by law or explicitly agreed by all parties.
Liquidation of intellectual property
This variation addresses the liquidation of intellectual property assets.
In the event of liquidation, all intellectual property owned by the entity shall be valued and sold in accordance with applicable laws, with proceeds distributed as outlined in Section [insert section].
Bankruptcy-driven liquidation clause
This variation applies when liquidation results from bankruptcy.
If liquidation occurs due to bankruptcy, the process shall be conducted in compliance with the bankruptcy laws of [jurisdiction], including the appointment of a trustee to oversee the proceedings.
Dispute resolution during liquidation
This variation governs the resolution of disputes during liquidation.
Any disputes arising during the liquidation process shall be resolved through arbitration in accordance with the rules of [arbitration body], with the decision of the arbitrator being final and binding on all parties.
Liquidation of partnership assets
This variation applies to partnerships undergoing liquidation.
Upon liquidation of the partnership, all partnership assets shall be sold, and proceeds distributed in accordance with the partnership agreement, subject to settlement of outstanding debts and liabilities.
Payment timelines during liquidation
This variation sets deadlines for payments during the liquidation process.
All payments to creditors, stakeholders, and other entitled parties shall be made within [specified time frame] following the sale of assets during the liquidation process.
Regulatory compliance during liquidation
This variation ensures adherence to legal and regulatory requirements.
The liquidation process shall be conducted in compliance with all applicable laws and regulations, including filing required notices with relevant authorities and obtaining necessary approvals.
Surplus funds after liquidation
This variation governs the handling of surplus funds.
Any surplus funds remaining after the settlement of debts and obligations during liquidation shall be distributed to the stakeholders in proportion to their ownership or entitlements.
Joint liquidation committee clause
This variation establishes a joint committee to oversee the liquidation.
A joint liquidation committee comprising representatives from all key stakeholders shall be formed to oversee the liquidation process, ensure transparency, and address any concerns arising during the proceedings.
Liquidation in the event of force majeure
This variation addresses liquidation resulting from force majeure events.
If liquidation occurs due to force majeure, the process shall be expedited in accordance with this Agreement, with priority given to safeguarding the interests of all stakeholders.
Liquidation contingency reserve clause
This variation establishes a reserve fund for unexpected expenses.
A contingency reserve fund of [specified amount or percentage] shall be maintained during the liquidation process to address unforeseen expenses or obligations that may arise.
Liquidation of joint venture assets
This variation applies to the liquidation of joint venture assets.
Upon the termination of this joint venture and subsequent liquidation, all assets shall be liquidated and proceeds distributed to the parties in accordance with their respective ownership percentages or as agreed in writing.
Sale of goodwill during liquidation
This variation addresses the liquidation of goodwill.
During liquidation, any goodwill associated with the business or entity shall be valued and sold as part of the overall asset liquidation process, with proceeds distributed in accordance with Section [insert section].
Liquidation of real estate assets
This variation addresses the liquidation of real estate properties.
In the event of liquidation, all real estate properties owned by the entity shall be appraised by a licensed appraiser and sold at fair market value, with proceeds applied in accordance with the priorities set out in Section [insert section].
Liquidation escrow account clause
This variation establishes an escrow account for liquidation proceeds.
All proceeds from the liquidation process shall be deposited into a designated escrow account, to be disbursed only upon resolution of all claims and obligations in accordance with this Agreement.
Partial liquidation clause
This variation allows for the liquidation of specific assets while the entity remains operational.
The parties may agree to a partial liquidation of assets under this Agreement, wherein specified assets are sold and proceeds are distributed in accordance with the terms outlined in Section [insert section], without affecting the entity’s overall operations.
Liquidation due to merger or acquisition
This variation applies to liquidation triggered by a merger or acquisition.
If liquidation is triggered by a merger or acquisition, all assets shall be transferred or sold in accordance with the merger terms, with any proceeds distributed as per the agreed priorities.
Preemptive rights in liquidation
This variation grants preemptive rights to stakeholders.
During the liquidation process, stakeholders with preemptive rights under this Agreement shall have the first opportunity to purchase liquidated assets, provided their offers match or exceed the appraised value.
Liquidation notice period
This variation establishes a notice period prior to liquidation.
The party initiating liquidation shall provide written notice to all stakeholders at least [specified number of days] prior to the commencement of the liquidation process, outlining the rationale and timeline.
Cross-border liquidation clause
This variation addresses liquidation involving international assets.
In the event of liquidation involving cross-border assets, the process shall comply with the laws and regulations of all relevant jurisdictions, including taxation and reporting obligations.
Liquidation liability limitations clause
This variation limits liability during the liquidation process.
Neither party shall be held liable for losses incurred during the liquidation process, provided they acted in good faith and adhered to the terms of this Agreement.
Allocation of liquidation responsibilities
This variation defines the roles and responsibilities of parties during liquidation.
Each party shall fulfill its specific responsibilities during the liquidation process, as outlined in Section [insert section], including asset valuation, creditor communication, and regulatory compliance.
Liquidation contingency planning clause
This variation requires a contingency plan for potential liquidation.
The parties agree to maintain a liquidation contingency plan, including detailed procedures for asset valuation, creditor prioritization, and stakeholder communication, to ensure a seamless process if liquidation becomes necessary.
Asset transfer agreements during liquidation
This variation governs asset transfers to third parties.
During liquidation, all asset transfers to third parties must be executed through formal agreements, ensuring compliance with this Agreement and applicable laws.
Liquidation of restricted assets
This variation addresses restrictions on certain assets during liquidation.
Any restricted assets under this Agreement shall be liquidated in compliance with the terms of their governing agreements or applicable laws, with proceeds distributed as specified in Section [insert section].
Distribution of losses in liquidation
This variation defines the handling of losses during liquidation.
If the liquidation process results in a shortfall, all losses shall be distributed among the stakeholders in proportion to their respective ownership or contribution percentages.
Accelerated liquidation clause
This variation allows for an expedited liquidation process.
The parties may agree to an accelerated liquidation process under this Agreement, wherein specific timelines for asset sales and distributions are shortened to meet urgent requirements.
Stakeholder meeting during liquidation
This variation requires stakeholder meetings during the process.
Regular stakeholder meetings shall be held during the liquidation process to review progress, address concerns, and ensure transparency in the distribution of assets.
Liquidation of intangible assets
This variation governs the handling of intangible assets.
All intangible assets, including trademarks, patents, and goodwill, shall be valued and liquidated in accordance with this Agreement, with proceeds distributed to stakeholders as outlined in Section [insert section].
Post-liquidation obligations clause
This variation addresses obligations that continue after liquidation.
Any obligations that survive the liquidation process, including warranties or indemnities, shall be fulfilled in accordance with the terms of this Agreement or applicable laws.
Use of liquidation proceeds for debt settlement
This variation prioritizes the use of proceeds for settling debts.
Proceeds from the liquidation process shall first be applied to settle all outstanding debts, including secured and unsecured obligations, before any distributions to shareholders or other stakeholders.
Public auction for liquidation assets
This variation mandates public auctions for asset sales.
All assets subject to liquidation shall be sold through a public auction process, ensuring transparency and maximizing value for stakeholders, with results documented and distributed as per this Agreement.
Voluntary liquidation clause
This variation applies to voluntary liquidation initiated by stakeholders.
The parties may initiate voluntary liquidation upon a majority vote of the stakeholders, provided that written notice is given to all creditors and relevant authorities in compliance with the terms of this Agreement.
Liquidation reserve fund clause
This variation establishes a reserve fund for outstanding obligations.
A reserve fund of [specified amount or percentage] shall be retained from the liquidation proceeds to cover any unresolved claims, disputes, or outstanding liabilities during the winding-up process.
Creditor approval for liquidation
This variation requires creditor consent before liquidation proceeds.
Liquidation may not commence until the creditors holding [specified percentage] of the total debt approve the proposed liquidation plan in writing.
Asset pooling during liquidation
This variation allows pooling of certain assets for efficiency.
The parties agree that specific assets may be pooled during the liquidation process to enhance value or streamline distribution, with proceeds allocated in accordance with the priorities outlined in Section [insert section].
Liquidation timelines clause
This variation establishes specific deadlines for the liquidation process.
The liquidation process must be completed within [specified time frame] from the date of initiation, including the sale of assets, settlement of debts, and distribution of proceeds.
Allocation of unsellable assets
This variation governs the treatment of assets that cannot be sold.
Any assets deemed unsellable during liquidation shall be distributed in kind among the stakeholders in proportion to their ownership or contribution percentages, unless otherwise agreed in writing.
Employee compensation during liquidation
This variation addresses employee rights during liquidation.
All employee wages, benefits, and severance payments shall be prioritized during the liquidation process and settled in full before distributing proceeds to other stakeholders.
Notification to regulators during liquidation
This variation ensures timely communication with regulatory bodies.
The liquidator must notify all relevant regulatory bodies within [specified time frame] of initiating the liquidation process and comply with any reporting obligations.
Treatment of secured loans in liquidation
This variation governs the handling of secured debts.
Secured loans shall be satisfied in full from the proceeds of the liquidation of pledged assets before any distributions are made to unsecured creditors or stakeholders.
Liquidation surplus reinvestment clause
This variation allows reinvestment of surplus proceeds.
Any surplus funds remaining after the liquidation process may be reinvested into a new or existing venture, subject to unanimous approval by all stakeholders.
Valuation disputes during liquidation
This variation establishes procedures for resolving valuation disputes.
Any disputes regarding the valuation of assets during liquidation shall be resolved through independent appraisal by a neutral third party, whose determination shall be final and binding.
Prohibited transfers during liquidation
This variation restricts certain transfers during the process.
No assets subject to liquidation may be transferred, sold, or encumbered without the prior written approval of the liquidator or as specified in this Agreement.
Allocation of legal expenses in liquidation
This variation addresses legal costs incurred during liquidation.
All legal expenses associated with the liquidation process shall be deducted from the proceeds before any distributions are made to creditors or stakeholders.
Proceeds from intellectual property liquidation
This variation governs the sale of IP assets.
Any proceeds from the sale of intellectual property assets during liquidation shall be distributed according to the priorities outlined in Section [insert section].
Appointment of independent auditors for liquidation
This variation mandates third-party audits during liquidation.
Independent auditors shall be appointed to oversee the liquidation process, ensuring accuracy in asset valuation, debt settlement, and proceeds distribution.
Handling of disputed claims during liquidation
This variation governs the treatment of disputed claims.
Any disputed claims arising during the liquidation process shall be resolved through arbitration or as directed by the liquidator, with funds reserved to address such claims if unresolved.
Liquidation of joint assets clause
This variation applies to jointly held assets during liquidation.
Jointly held assets shall be liquidated and the proceeds distributed among the owners in accordance with their respective ownership shares or as agreed in writing.
Use of third-party liquidation services
This variation allows for outsourcing the liquidation process.
The liquidation process may be conducted by a third-party liquidation service provider, whose fees and expenses shall be deducted from the proceeds prior to distribution.
Asset retention clause during liquidation
This variation permits retention of certain assets.
Specific assets identified in Schedule [insert schedule] may be retained by the entity or its successors during liquidation, provided that all obligations are satisfied from the remaining proceeds.
Approval of liquidation plan by shareholders
This variation requires shareholder consent for the liquidation plan.
The liquidation plan must be approved by shareholders holding at least [specified percentage] of voting rights before the process may proceed.
Conversion of assets during liquidation
This variation addresses the conversion of non-liquid assets.
Non-liquid assets, including physical properties and long-term investments, shall be converted to cash or other negotiable instruments during the liquidation process to facilitate equitable distribution.
Confidentiality obligations during liquidation
This variation ensures confidentiality throughout the process.
All parties involved in the liquidation process must maintain the confidentiality of sensitive information, including valuation reports, creditor lists, and internal communications.
Allocation of tax liabilities in liquidation
This variation governs tax obligations during liquidation.
Tax liabilities arising from the liquidation process shall be settled from the proceeds before any distributions are made to creditors or stakeholders.
Liquidation clauses for affiliated entities
This variation applies to liquidation of assets held by affiliated entities.
If the liquidation involves affiliated entities, the process shall account for intercompany obligations and ensure fair treatment across all related parties.
Digital assets liquidation clause
This variation addresses the handling of digital assets.
Digital assets, including cryptocurrencies and domain names, shall be valued and liquidated in compliance with applicable laws, with proceeds distributed as specified in Section [insert section].
Liquidation of inventory assets
This variation applies to the sale of inventory during liquidation.
All inventory assets shall be liquidated at market value or through auction, with proceeds distributed in accordance with Section [insert section]. Unsold inventory may be donated or disposed of with stakeholder approval.
Dividend distribution in liquidation
This variation governs the distribution of dividends during liquidation.
Any dividends declared but unpaid before liquidation shall be paid from the proceeds of liquidation, subject to the settlement of outstanding debts and obligations.
Priority of employee pension funds in liquidation
This variation ensures the protection of employee pension funds.
Employee pension funds shall be prioritized and fully funded from the proceeds of liquidation before any distributions are made to creditors or shareholders.
Liquidation triggered by shareholder deadlock
This variation addresses liquidation caused by governance impasses.
In the event of a shareholder deadlock that cannot be resolved within [specified time frame], the entity shall enter liquidation, and assets shall be distributed as outlined in this Agreement.
Liquidation costs reimbursement clause
This variation addresses reimbursement of liquidation expenses.
Any party incurring reasonable and necessary expenses during the liquidation process shall be reimbursed from the proceeds prior to distribution to other stakeholders.
Retention of critical contracts during liquidation
This variation permits the continuation of essential contracts.
Essential contracts identified in Schedule [insert schedule] shall remain in effect during the liquidation process to maintain operations critical to asset value preservation.
Adjustment of stakeholder distributions
This variation allows for adjustments based on unforeseen claims.
Stakeholder distributions may be adjusted post-liquidation to account for unforeseen claims or obligations identified during the process, with reserves maintained for such purposes.
Liquidation for restructuring purposes
This variation allows for liquidation during organizational restructuring.
Liquidation may be initiated as part of an approved restructuring plan, with proceeds reinvested or allocated to new entities as specified in Section [insert section].
Asset holding during phased liquidation
This variation governs phased liquidation processes.
During a phased liquidation, specific assets may be held temporarily to maximize value or ensure strategic disposal, with a timeline agreed upon by all stakeholders.
Liquidation thresholds clause
This variation establishes financial thresholds for triggering liquidation.
Liquidation shall not proceed unless the entity’s liabilities exceed [specified threshold] or asset valuations fall below [specified threshold], as determined by independent auditors.
Equity conversion during liquidation
This variation permits equity conversion for stakeholders.
Stakeholders may opt to convert their equity holdings into other forms of consideration during liquidation, subject to approval and the terms of this Agreement.
Liquidation reporting obligations
This variation mandates periodic reports on liquidation progress.
The liquidator shall provide periodic reports to all stakeholders detailing progress, asset sales, debt settlements, and anticipated distribution timelines.
Proceeds allocation to charitable causes
This variation allows for contributions to charity during liquidation.
A portion of the proceeds from liquidation, as determined by stakeholder consensus, may be allocated to charitable causes or community initiatives.
Liquidation safeguards clause
This variation ensures safeguards to protect asset value.
During liquidation, all parties must take reasonable steps to safeguard the value of assets, including securing physical and digital properties, until the sale or distribution is complete.
Liquidation of joint-stock companies
This variation applies to joint-stock entities undergoing liquidation.
For joint-stock companies, liquidation proceeds shall be distributed based on the proportion of shares held, after settling all outstanding obligations.
Disposal of hazardous materials in liquidation
This variation governs the handling of hazardous assets.
Any hazardous materials identified during liquidation shall be disposed of in compliance with environmental laws, with costs deducted from the liquidation proceeds.
Forfeiture of unclaimed distributions
This variation applies to unclaimed proceeds after liquidation.
Any distributions unclaimed by stakeholders within [specified time frame] following the liquidation process shall be forfeited and reallocated to remaining stakeholders proportionally.
Provisions for minority shareholders during liquidation
This variation protects minority shareholder interests.
Minority shareholders shall receive distributions proportionate to their holdings, with additional protections to prevent dilution or unfair treatment during liquidation.
Liquidation in multi-jurisdictional agreements
This variation addresses liquidation in multiple legal territories.
For entities operating in multiple jurisdictions, liquidation shall comply with the laws and regulations of each relevant territory, ensuring equitable treatment across all regions.
Handling of leased assets during liquidation
This variation governs leased asset obligations.
Leased assets shall be returned to the lessor during liquidation, unless stakeholders agree to purchase the assets for further sale or distribution.
Tax withholdings from liquidation proceeds
This variation ensures proper tax compliance.
All applicable taxes shall be withheld from liquidation proceeds and remitted to the relevant authorities prior to distribution to stakeholders.
Liquidation triggered by regulatory action
This variation applies to liquidation mandated by regulators.
If liquidation is required due to regulatory action, the process shall comply with all directives issued by the relevant authorities, including timelines and reporting requirements.
Allocation of liquidation funds for legal disputes
This variation reserves funds for ongoing legal cases.
A portion of the liquidation proceeds shall be reserved to address ongoing legal disputes, with any remaining funds distributed upon resolution of the cases.
Liquidation of subsidiary entities
This variation governs the treatment of subsidiaries during liquidation.
If the entity undergoing liquidation owns subsidiary entities, the liquidation process shall extend to those subsidiaries, with proceeds consolidated and distributed in accordance with this Agreement.
Public disclosure requirements for liquidation
This variation ensures transparency during liquidation.
The liquidator shall issue public disclosures detailing the progress and outcomes of the liquidation process, ensuring transparency for stakeholders and regulatory compliance.
Sale of underperforming assets during liquidation
This variation addresses the liquidation of assets that are not generating revenue.
All underperforming assets identified during the liquidation process shall be sold at fair market value or through auction, with proceeds allocated as outlined in Section [insert section].
Contingent liabilities in liquidation
This variation governs how contingent liabilities are managed.
A reserve fund shall be established to cover contingent liabilities identified during the liquidation process, with any unused funds distributed to stakeholders upon resolution.
Liquidation of perishable goods
This variation applies to the sale or disposal of perishable assets.
Perishable goods shall be liquidated promptly to prevent loss of value, with proceeds distributed as specified in this Agreement. Any unsold items may be donated or disposed of in compliance with local laws.
Stakeholder arbitration during liquidation
This variation establishes arbitration for disputes among stakeholders.
Any disputes among stakeholders regarding liquidation proceeds or processes shall be resolved through arbitration, with the arbitrator’s decision being final and binding.
Conversion of receivables during liquidation
This variation addresses the treatment of outstanding receivables.
All outstanding receivables shall be collected or sold to a third party during the liquidation process, with proceeds added to the liquidation pool for distribution.
Allocation of unsold fixed assets
This variation governs the handling of fixed assets that cannot be sold.
Unsold fixed assets, such as machinery or equipment, shall be distributed in kind among the stakeholders based on their proportional ownership unless otherwise agreed in writing.
Non-compete clause during liquidation
This variation restricts certain activities during liquidation.
Stakeholders and officers of the entity undergoing liquidation shall not engage in activities that compete with the liquidation process or diminish the value of the assets being sold.
Liquidation proceeds for secured creditors
This variation ensures secured creditors are prioritized.
Secured creditors shall receive payment from the proceeds of liquidated secured assets before any funds are distributed to unsecured creditors or stakeholders.
Handling intellectual property disputes in liquidation
This variation addresses conflicts over intellectual property.
Any disputes regarding the ownership or valuation of intellectual property assets during liquidation shall be resolved by an independent expert, whose decision shall be final.
Proceeds allocation to priority claims
This variation establishes priority for certain claims.
Liquidation proceeds shall first be allocated to settle priority claims, including taxes, employee wages, and secured debts, before addressing general creditor claims.
Transitional service agreements during liquidation
This variation governs transitional services to maintain operations.
The liquidator may enter into transitional service agreements to ensure critical operations continue during the liquidation process, with costs deducted from proceeds.
Payment of outstanding taxes in liquidation
This variation addresses tax liabilities during liquidation.
All outstanding tax obligations, including penalties and interest, shall be settled from the proceeds of liquidation before any distributions to stakeholders.
Public asset auctions in liquidation
This variation mandates public auctions for selling assets.
All assets subject to liquidation shall be sold through public auction, ensuring transparency and maximizing returns, with detailed records maintained for stakeholder review.
Liquidation of jointly owned assets
This variation addresses jointly owned assets in the liquidation process.
Jointly owned assets shall be liquidated with proceeds distributed among the co-owners based on their ownership shares, as outlined in Section [insert section].
Compliance with international liquidation standards
This variation applies to liquidation involving international regulations.
The liquidation process shall adhere to all applicable international standards and agreements, ensuring compliance with cross-border legal and financial obligations.
Restrictions on insider transactions during liquidation
This variation restricts transactions by insiders.
Insiders, including officers and directors, are prohibited from purchasing liquidated assets unless expressly approved by the stakeholders or liquidator.
Interim distributions during liquidation
This variation allows for partial distributions before completion.
The liquidator may authorize interim distributions of proceeds to stakeholders during the liquidation process, provided sufficient reserves are maintained for unresolved obligations.
Handling leased equipment in liquidation
This variation governs leased equipment during the process.
Leased equipment shall be returned to the lessor upon termination of the lease, unless the liquidator negotiates a purchase or transfer agreement with the lessor.
Successor entity establishment in liquidation
This variation addresses the creation of a successor entity.
Proceeds from the liquidation process may be used to establish a successor entity, subject to unanimous approval by all stakeholders.
Environmental remediation costs in liquidation
This variation governs cleanup or remediation costs.
Any environmental remediation costs associated with liquidated assets shall be deducted from the proceeds before distributions are made to stakeholders.
Allocation of surplus to non-profit initiatives
This variation allows for surplus distribution to charitable causes.
Any surplus funds remaining after liquidation and the settlement of obligations may be allocated to approved non-profit initiatives, as agreed by stakeholders.
Liquidation schedule transparency clause
This variation mandates a clear timeline for stakeholders.
The liquidator shall publish a detailed liquidation schedule, including key milestones, timelines, and expected distribution dates, to ensure transparency for all stakeholders.
Treatment of disputed creditor claims
This variation addresses how disputed claims are handled.
Funds equal to the disputed amount shall be held in escrow until the claim is resolved, with any remaining funds distributed based on the final decision.
Reconciliation of intercompany accounts in liquidation
This variation applies to entities with intercompany transactions.
All intercompany accounts shall be reconciled during the liquidation process, with net balances settled prior to the distribution of proceeds.
Liquidation of digital assets and cryptocurrencies
This variation governs the sale of digital assets.
Digital assets, including cryptocurrencies, shall be liquidated through secure and compliant exchanges, with proceeds distributed in accordance with this Agreement.
Final stakeholder report in liquidation
This variation mandates a comprehensive report at completion.
The liquidator shall prepare a final report detailing the liquidation process, including asset sales, proceeds distribution, and resolution of claims, to be shared with all stakeholders.
This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.