Examples of insolvency in a Sentence
unless the economy improves, many resorts in the area face insolvency
Recent Examples of insolvency from the Web
Since 2008, Congress has transferred more than $140 billion from the general fund (i.e., taxes everyone pays) into Highway Trust Fund, which teeters on insolvency because the federal gas tax hasn’t increased since 1993.
Thomas Nyhan issued the insolvency notice in a session aimed at getting those 400,000 members to bombard senators and representatives to save the fund.
The authorities, tired of recurring bail-outs, are forcing them to recognise which loans are unlikely to be repaid, and to initiate insolvency proceedings in double-quick time.
Spending will top 20 percent of the country’s gross domestic product by 2020, and elements of Medicare face insolvency later in the decade, posing challenges for both government finances and access to care.
Receivership is a state-court method of resolving an insolvency that has few protections for creditors.
Many banks are on the brink of insolvency, in part because of pyramid schemes that swindled millions of poor Iranians.
Their owners filed for state court insolvency, which is similar to a Chapter 7 bankruptcy in federal court.
But because of the frailty of multiemployer plans, this could lead to insolvency for the PBGC's multiemployer pension pool.
These example sentences are selected automatically from various online news sources to reflect current usage of the word 'insolvency.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
Financial Definition of INSOLVENCY
What It Is
In most usages, insolvency is the inability of a company or individual to meet its financial obligations as they come due. In the legal sense of the word, an entity is considered insolvent if its total liabilities exceed its total assets.
How It Works
In this case, the company must raise capital to pay its obligations via selling assets, borrowing, or somehow raising capital and/or reducing expenses.
If a company cannot meet its obligations, it may be forced to file for bankruptcy.
Seen and Heard
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