CultureJuly 15, 2026

receivership

/rɪˈsiːvərʃɪp/

Definition

A legal state where a court appoints a custodian to manage a company’s affairs, typically when it is insolvent or facing severe financial trouble.

Etymology

The word combines the Middle English 'receiver' (from Old French 'receveur') with the suffix '-ship,' which denotes a state or condition. It has been used in legal contexts since the 19th century to describe the appointment of an official to protect property during a dispute or bankruptcy.

In the news

The article uses the term to describe the financial crisis of a seniors' housing society that is currently facing legal action and potential insolvency. It highlights the organization's inability to pay back residents, necessitating court-ordered oversight.

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