Home » Administrative Receivership
Administrative receivership is a procedure whereby a creditor can enforce security against a company's assets in an effort to obtain repayment of the secured debt. It was once the most popular method used by secured creditors, but recent reforms in many jurisdictions has reduced its significance considerably [1]
Administrative receivership differs from simple receivership in that an administrative receiver is appointed over all of the assets and undertaking of the company. This means that an administrative receiver can normally only be appointed by the holder of a floating charge. Because of this unusual role, insolvency legislation usually grants wider powers to administrative receivers.
