Our law office has significant experience in representing clients in both insolvency and enforcement proceedings and providing complex legal services in the field of restructuring.
We provide full legal assistance to clients in enforcing receivables in executive or insolvency proceedings and evaluating companies' restructuring projects before bankruptcy.
We represent qualified clients who have gone or are facing bankruptcy or have been ordered or are facing the execution of their property.
Insolvency proceedings are a type of civil litigation that deals with bankruptcy. In the Czech Republic, insolvency proceedings are governed by insolvency law. It includes both the management procedure and the enforcement procedure. The aim of insolvency proceedings is to achieve a property arrangement among a larger number of subjects. The par conditio creditorium principle = equal conditions for the creditor applies here.
Entities of insolvency proceedings
- Insolvency court - is a regional court with jurisdiction over the dual role - supervising the activities of other entities and securing the proceedings
- Debtor and creditors
- Creditors' authorities - in most cases, there is a lot of creditors and it is not possible to deal with each other separately. The creditor authorities thus represent their interests, overseeing the activities of the administrator and submitting procedural proposals
- Insolvency administrator - is appointed and eventually exempt from office by a court. He has a completely independent position vis-à-vis creditors and the debtor, and bias may be the reason for exclusion from the insolvency proceedings
- The Public prosecutor's office - may appeal against the decision of the insolvency court
- The Liquidator of the debtor - exercises jurisdiction to the extent that it did not go to the insolvent administrator
There are two different types of executions: executions performed by court bailiffs (on the basis of prior court review) and judgments made by the courts themselves.
An application for the opening of proceedings is lodged with the district court. This court can enforce the decision and at the same time also have to take care of its execution.
In each case, it is possible to suggest only one type of enforcement:
- deductions from wage,
- command of the claim,
- a payment order from an account at a monetary institution,
- sale of movable property or real estate,
- sale of business,
- the establishment of a judicial lien on real estate,
- removal of things, division of a common object,
- execution of works and performances,
- a fine to enforce fulfilment of another obligation.
The application for the commencement of the execution shall be filed by the authorized person to the court bailiff whom he/she wants to execute. This court bailiff submits it to the execution court (the district court in which the obligor lives). By order, the executing court orders the execution and entrusts the relevant court executor to execute.
The costs of execution shall be enforced in the course of the enforced enforcement proceedings.
If you are interested in our legal services and representation in insolvency or enforcement proceedings, do not hesitate to contact us at any time.