Notification of the creditor on the liquidation of the company

Contents:

• Who needs to be notified?
• Deadline for notification and repayment of debt
• Notification Form
• Preparation of a notification

Notification of creditors about the liquidation of a legal entity is a mandatory procedure, but the law does not provide a uniform form for this case. If the creditors are not informed, they will have the right to appeal against the legality of the liquidation of the company in court.

Who needs to be notified?

Creditors are all organizations and individuals to whom the company has debts:

• employees.
• counterparties.
• tax authorities and other government agencies.

It is necessary to document the debt: submit a reconciliation of calculations, a court decision that has entered into force. Primary documents, such as contracts, acts of work performed, will not be enough.

Deadline for notification and repayment of debt

Notification of the creditor about the liquidation of a legal entity is of great importance for all parties because the repayment period of the debt comes immediately after the decision on liquidation is made. According to the Civil Code, this does not depend on the conditions specified in the contract.

Because obligation to creditors in liquidation comes ahead of schedule, the legislation establishes norms that protect creditors. This is necessary for them to be able to make claims for payment of the debt. Because liquidation terminates the company’s activities without continuity. In other words, after the organization is abolished, there will be no one to demand repayment of debts.

The obligation to notify creditors of the liquidation of a legal entity falls on the liquidation commission. The commission is also obliged to publish a message in the “Bulletin of State Registration” – information on the procedure for resolving issues on debts is posted in this journal.

The period during which creditors can demand repayment of the debt is counted from the moment of publication in the journal. According to the letter of the law, they must have at least two and a half months to declare their interests.

Notification Form

Creditors must be notified in writing, both in the form of a public notice in the relevant publication, and in person at the location of the company or the residence of a private person.

At the same time, the registration authorities do not check whether the creditors have received the message – the authorities demand to confirm only the publication in the “Bulletin”. However, this does not mean that a creditor who has not been notified of the abolition of the organization individually will not be able to challenge the liquidation through the court. On the contrary, the courts in most cases take the side of lenders. Therefore, to avoid litigation in the future, it is better to notify each creditor in writing.

The notification can be sent by registered mail, and the liquidation commission must retain confirmation that each creditor has received such a letter. Therefore, do not rush to get rid of receipts. However, you can additionally contact the lenders by e-mail, via messenger or by phone.

Preparation of a notification

Formally, there are no strict requirements in the Civil Code for what a notification should look like. Therefore, you can compose it in a free form. Nevertheless, all essential information should be indicated in the message:

• Information about the organization that is being liquidated: name, address, form of management.
• Data from the minutes of the meeting at which the decision on liquidation was made, date, number, list of participants.
• The address at which the lender can contact the debtor, and the period during which this can be done.
• Signatures of the members of the liquidation commission: the chairman and the liquidator.

VALEN lawyers have extensive practice in liquidation processes and know exactly what actions should be taken. Ask for advice and order legal support by phone or via the website. We will help you to draw up notices on the liquidation of the company and contact all creditors. If necessary, we will also protect your interests in court and pre-trial.