How to deal with the company s dissolution of creditor s rights and debts, and how to deal with cred

What happens to the debts after the company is dissolved?

The company resolves to dissolve the debts and is handled by the liquidation group. The company shall establish a liquidation group within 15 days from the date of occurrence of the cause of dissolution and commence liquidation. During the liquidation period, the liquidation team liquidates the company's property, prepares the balance sheet and property list respectively, clears the creditor's rights and debts, and disposes of the company's remaining property after paying off the debts.

[Legal basis].Article 184 of the Company Law of the People's Republic of China.

The liquidation team shall exercise the following functions and powers during the liquidation period:

1) Liquidate the company's property, prepare the balance sheet and property list respectively;

2) Notify and announce creditors;

3) To deal with the unsettled business of the company in connection with the liquidation;

4) To settle the taxes owed and the taxes incurred in the process of liquidation;

5) Liquidation of creditor's rights and debts;

6) Dispose of the remaining property of the company after paying off its debts;

7) Participate in civil litigation activities on behalf of the company.

The treatment of claims and debts after the dissolution of the company is as follows:

When the company is dissolved, according to Article 184 of the Company Law, the liquidation group shall exercise the following functions and powers during the liquidation period: (1) clean up the company's property and prepare a balance sheet and property list respectively; (2) Notifying or announcing rough banquet creditors; 3) To deal with the unsettled business of the company in connection with the liquidation; (4) Settle the outstanding taxes and taxes incurred in the process of liquidation; 5) Liquidation of creditor's rights and debts; 6) Dispose of the remaining property of the company after paying off its debts; 7) Participate in civil litigation activities on behalf of the company.

The liquidation group shall notify the creditors within 10 days from the date of establishment and make an announcement in the newspaper within 60 days. The creditor shall, within 30 days from the date of receipt of the notice, and within 45 days from the date of announcement if it has not received the notice, declare its creditor's rights to the liquidation group. When a creditor declares a creditor's right, it shall explain the relevant matters of the creditor's right and provide supporting materials.

The liquidation group shall register the creditor's rights. During the declaration of creditor's rights, the liquidation group shall not pay off the creditors.

1. What are the circumstances under which a legal person is dissolved as provided for in the Civil Code?

Article 69 of the Civil Code of the People's Republic of China stipulates that a legal person shall be dissolved under any of the following circumstances:

1. The expiration of the period of existence stipulated in the articles of association of the legal person or the occurrence of other reasons for dissolution as stipulated in the articles of association of the legal person;

2. The power organ of the legal person resolves to dissolve;

3. Dissolution is required due to the merger or division of a legal person;

4. The legal person has had its business license or registration certificate revoked in accordance with the law, and has been ordered to close down or be revoked;

5. Other circumstances stipulated by law.

2. How to deal with the creditor's rights and debts after the dissolution of the company.

Article 70 of the Civil Code of the People's Republic of China stipulates that where a legal person is dissolved, except in the case of merger or division, the liquidation obligor shall form a liquidation team for liquidation in a timely manner. The directors, directors and other members of the executive or decision-making body of the legal person are liquidation obligors. Where laws and administrative regulations provide otherwise, follow those provisions.

Where the liquidation obligor fails to perform the liquidation obligation in a timely manner and causes damage, it shall bear civil liability; The competent authority or interested parties may apply to the people's court to appoint relevant personnel to form a liquidation team to conduct liquidation.

Article 71 stipulates that the liquidation procedures of legal persons and the functions and powers of the liquidation team shall be in accordance with the provisions of the relevant laws; If there are no provisions, refer to the relevant provisions of the company law.

If the liquidation group finds that the company's assets are insufficient to pay off its debts after cleaning up the company's property and compiling the balance sheet and property list, it shall apply to the people's court for a declaration of bankruptcy in accordance with the law. After the company is declared bankrupt by the ruling of the people's court, the liquidation group shall transfer the liquidation affairs to the people's court.

When the liquidation is completed and the cancellation of the registration of the legal person is completed, the legal person shall be terminated; Where it is not necessary to register as a legal person in accordance with the law, the legal person shall be terminated at the end of the liquidation.

3. What is the compensation standard for employees who are dissolved by the company?

China's Civil Code clearly stipulates the compensation standard for employees after the dissolution of the company: economic compensation shall be paid to the employee according to the number of years of service in the employer and the standard of one month's salary for each full year. where it is more than six months but less than one year, it is calculated as one year; If it is less than six months, the worker shall be paid half a month's salary.

If the monthly wage of a worker is three times higher than the average monthly wage of the employee in the previous year announced by the people of the municipality directly under the Central Government or the city divided into districts where the employer is located, the standard of severance shall be paid to him at the rate of three times the average monthly wage of the employee, and the maximum period of payment of severance shall not exceed 12 years.

The term "monthly wage" mentioned in this article refers to the average salary of an employee in the 12 months prior to the termination or dissolution of the labor contract.