The Collaborative International Dictionary
Insolvent \In*sol"vent\, a. [Pref. in- not + solvent: cf. OF. insolvent.] (Law)
Not solvent; not having sufficient estate to pay one's debts; unable to pay one's debts as they fall due, in the ordinary course of trade and business; as, in insolvent debtor.
Not sufficient to pay all the debts of the owner; as, an insolvent estate.
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Relating to persons unable to pay their debts.
Insolvent law, or Act of insolvency, a law affording relief, -- subject to various modifications in different States, -- to insolvent debtors, upon their delivering up their property for the benefit of their creditors; bankruptcy law. See Bankrupt law, under Bankrupt, a.
Insolvency \In*sol"ven*cy\, n.; pl. Insolvencies. (Law)
The condition of being insolvent; the state or condition of a person who is insolvent; the condition of one who is unable to pay his debts as they fall due, or in the usual course of trade and business; as, a merchant's insolvency.
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Insufficiency to discharge all debts of the owner; as, the insolvency of an estate.
Act of insolvency. See Insolvent law under Insolvent, a.
Usage examples of "act of insolvency".
After lingering there many years, he was released under an act of insolvency, in consequence of which he made over the kingdom of Corsica for the use of his creditors, and died shortly after his deliverance.