Act of Insolvency after January 1, 2012

23. 2. 2012

As of January 1st, 2012 businessmen (individuals and legal entities) has a new duty to file for insolvency if market value of their assets is lower than the value of their payable and non payable liabilities even in cases when they are able to pay their liabilities continuously.

Not only statutory body like executive director, board of directors or an individual-businessman but also management of business entity takes over the resposibility to file for insolvency (e.g. head of accounts department).

Management is obliged to follow and evaluate market value of their assets, liabilities and other liabilities out of the balance sheet .

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