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Simple English definitions for legal terms
readjustment
Read a random definition: old business
A quick definition of readjustment:
Term: READJUSTMENT
Definition: Readjustment is when a company that is having money problems decides to make changes to fix the problem. The people who own the company do this on their own, without someone else coming in to help. They make changes to the way the company works so that it can become financially stable again.
Verb: Readjust
A more thorough explanation:
Definition: Readjustment is when a company that is having financial problems decides to reorganize itself without the help of a trustee or receiver. This is done voluntarily by the shareholders of the company.
Example: ABC Corporation is struggling financially and its shareholders decide to come together and make changes to the company's structure and operations to improve its financial situation. This is an example of readjustment.
Explanation: Readjustment is a way for a company to avoid bankruptcy and financial ruin by taking control of its own reorganization. Instead of relying on outside help, the shareholders work together to make changes that will hopefully improve the company's financial situation. This can include things like cutting costs, restructuring debt, or changing the company's business model.