The Ordinary, Simplified, or Out-of-Court Liquidation Proceedings are alternatives available when the company faces irremediable insolvency, and are processed before the Courts of Justice.

Some of the causes for a company’s insolvency include adverse conditions in the national or international economy, market changes, high fixed costs, lack of financing or working capital, erroneous decisions, or poor management by partners or controllers, among others.

When undertaking any liquidation procedure provided by law, it is essential to be meticulous in their preparation and implementation, as the decisions taken may affect partners, legal representatives or related people.