It’s not uncommon for a company undergoing liquidation to fail to complete the process, eventually facing blocked accounts and no assets to settle debts. As debts accumulate, such companies often become "paralyzed," typically due to:

• Permanent insolvency
• Over-indebtedness

In such cases, bankruptcy proceedings may be initiated. The advantage of this process is its efficiency and the ability to reach the goal of closing the company in a relatively short time.

A key aspect of the bankruptcy procedure is proving that the company’s liabilities exceed its assets, which prevents it from meeting its obligations to creditors.

Since the procedure requires cooperation across various professions, hiring a lawyer can help ensure the successful completion of the process, leading to the company’s closure and removal from the Business Registers Agency. The result is the company being freed from its obligations to creditors.

Questions such as whether the bankruptcy can be concluded at the first creditors' hearing, whether the founder can influence the process, how many claims are needed to prevent suspension, and the consequences of pre-bankruptcy actions that may harm creditors are issues that our office, with its extensive experience, can help answer.

For all additional information, feel free to contact our partner from the litigation department Ivan Ljubisavljević, via e-mail address ivan.ljubisavljevic@zslaw.rs, or via our regular contact address office@zslaw.rs.