Winding Up Definition and Legal Meaning
On this page, you'll find the legal definition and meaning of Winding Up, written in plain English, along with examples of how it is used.
What is Winding Up?
(n) Winding up is the process by which the normal activities of the corporation or association of person is stopped and the assets and liabilities of the association is assessed and distributed among the shareholders as per the existing agreement. On winding up the organization cease to be a going concern. The owners are eligible to get the share of residual property and may require to compensate in the event the assets are insufficient and the existing agreement so specifies.