Bankruptcy Petition for a Limited Liability Company (sp. z o.o.)
A bankruptcy petition for a limited liability company (sp. z o.o.) is a key step in the process of managing insolvency, and preparing it is the duty of each management board member of the sp. z o.o. The main purpose of bankruptcy proceedings against a sp. z o.o. is to satisfy the creditors from the company's assets, which the bankruptcy trustee liquidates (sells).
Summary:
- The management board is obliged to file a bankruptcy petition with the bankruptcy court within 30 days of the date on which the grounds for declaring bankruptcy arose.
- The ground for declaring bankruptcy is the company's insolvency, meaning the loss of its ability to perform its due monetary obligations.
- The petition is filed through an IT system, the National Debtors Register (KRZ). A number of documents specified by law, which show the legal and financial situation of the insolvent company, are attached to the petition.
- The provisions of bankruptcy law state that the management board is liable, on a fault basis, for damage caused by failing to file the petition on time when the conditions for filing were met.
Note:
This article explains what a bankruptcy petition looks like and how to file it. To find out more, read the other articles in the series:
Opening Proceedings for the Declaration of a Company's Bankruptcy
Proceedings for the declaration of bankruptcy are opened on application, never by the court of its own motion. A bankruptcy petition may be filed by the debtor or by any of its creditors. The debtor, however, is not only entitled but also obliged to file such a petition where the ground for declaring bankruptcy (the company's insolvency) has arisen.
See also: Legal Services for Companies
The management board opens proceedings for the declaration of bankruptcy by filing a bankruptcy petition with the bankruptcy court having jurisdiction by reference to the company's registered office, within 30 days of the date on which the grounds for declaring bankruptcy arose. The petition is filed through the IT system that handles court proceedings, the National Debtors Register.
Screenshot of the KRZ portal (available in Polish only).
The bankruptcy petition should meet all statutory requirements, which are discussed in more detail below.
Elements of the Bankruptcy Petition
A company's bankruptcy petition is filed with the District Court having local jurisdiction (determined by the company's registered office). Depending on the court, it goes to the commercial division for bankruptcy and restructuring matters or, where no such division has been established, to the commercial division.
Screenshot of the KRZ portal (available in Polish only).
Where the bankruptcy petition is filed by the company's management board, the debtor files the petition itself.
Screenshot of the KRZ portal (available in Polish only).
The debtor is obliged to provide all data that allow the company to be identified, including: National Court Register (KRS) number, tax identification number (NIP), company name, centre of main interests, registered office, correspondence address and details of its representatives.
See also: Legal Services for Businesses
