VOLUNTARY LIQUIDATION OF COMPANIES
Abstract
Voluntary liquidation is a regular manner of termination of companies. Liquidation of the company begins on the date of registration of the liquidation decision and announcement on initiating the liquidation of companies in the Register maintained by the Agency of Business Registers in accordance with the Law on process of registration in the Business Register Agency and stops by deleting the company from the Register. A liquidator shall represent the company in a liquidation process and he is responsible for managing the company and payment of claims to creditors. During the liquidation process company has a limited legal capacity. When liquidation is initiated all employees will be sacked.
This paper presents the legal aspects of the voluntary liquidation of companies – basic concepts, powers, duties and responsibilities of the liquidation trustee, the legal consequences of the initiation of liquidation process; consequences for employees and creditors, rights and responsibilities of the founders of the company being liquidated. By using the case law, the author particularly illuminated the incident situations and disputes.
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