likvidaci

Likvidace is a term used in Czech and Slovak to denote the process of liquidation or dissolution. It is commonly applied to the formal winding up of a legal entity, organization, or business, and can also refer more generally to the act of eliminating remaining operations or assets.

In a corporate context, likvidace means terminating the existence of a company and settling its affairs in an orderly way. This can occur voluntarily, through a decision by shareholders or a court-appointed reason, or as a result of insolvency or bankruptcy proceedings. A liquidator (likvidátor) is appointed to manage the process, cease business activities, inventory and sell assets, settle debts with creditors, and distribute any remaining assets to shareholders before the company is removed from the commercial register.

Key steps typically include appointing a liquidator, notifying authorities and creditors, preparing a final financial statement, realizing assets, paying or proofing claims, and completing legal deregistration. The duration of likvidace depends on the complexity of the company’s affairs, asset realisation, and any disputes with creditors or shareholders.

Insolvency often intersects with likvidace, as financial distress can lead to court-supervised liquidation when assets are insufficient to cover liabilities. Beyond business use, likvidace can appear in historical or colloquial contexts to describe the elimination or removal of a person, organization, or operation, though such usage is typically non-technical and sometimes restricted or illegal.

See also: liquidation, corporate dissolution, insolvency proceedings, liquidation agent.