Source : Webster's Revised Unabridged Dictionary (1913)
Insolvency \In*sol"ven*cy\, n.; pl. {Insolvencies}. (Law)
(a) 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.
(b) Insufficiency to discharge all debts of the owner; as,
the insolvency of an estate.
{Act of insolvency}. See {Insolvent law} under {Insolvent},
a.
Insolvent \In*sol"vent\, a. [Pref. in- not + solvent: cf. OF.
insolvent.] (Law)
(a) 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.
(b) Not sufficient to pay all the debts of the owner; as,
an insolvent estate.
(c) 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. See
{Bankrupt law}, under {Bankrupt}, a.