Video: Reorganization is a merger, joining, splitting, separating
2024 Author: Henry Conors | [email protected]. Last modified: 2024-02-12 02:40
There are a lot of legal entities in our country. They appear and disappear daily. How is a new firm formed? It may appear after registration, that is, a process whose stages are prescribed by law or as a result of the reorganization of some other legal entities.
Reorganization is what is often confused with liquidation. In fact, such confusion is misplaced. Why? The reason is that in liquidation there is no succession, but in reorganization there is always succession. What is succession? This is the transfer of duties and rights that were previously owned by a particular legal entity (or individuals). In the case of liquidation, they simply disappear immediately after the company settles with creditors, and information about it is removed from the register, that is, from the Unified State Register of Legal Entities. Reorganization is something in which neither one nor the other disappears completely, but continues to exist.
There are several varieties of this process. Each of them has its own characteristics. Consider it all.
Reorganization of an enterprise is an accession, division, separation, merger. Somewhere it is easier to do everything, but somewhere it is much more difficult.
Reorganization-attachment from other similar processesdiffers in that another organization joins one large organization, which is smaller than it in terms of rights, obligations, and so on. As a result of this process, a small business will cease to exist, information about it will be deleted from the Unified State Register of Legal Entities, and duties and rights will be transferred to the organization to which it was attached.
A merger combines two identical or relatively identical legal entities. Their rights and obligations are merged, both old organizations cease to exist, and one appears in their place, which is relatively new.
Reorganization is a process that can be carried out in the form of separation. In this case, one legal entity, ceasing to exist, leaves behind two new organizations that did not previously exist. Of course, it is they who remain his duties and rights.
The last kind of process under consideration is selection. Here, part of the duties and rights of the legal entity is transferred to the new organization. The primary organization, however, does not cease to exist.
Reorganization is a process in which it is important to understand what position the founders and shareholders will be in after its completion. Of course, it is important to take into account the interests of each of them. How to do it all right? Initially, it is necessary to notify people about the beginning of the process. Both registered letters and publications in the press are used for this. In the future, each of them willthere is an opportunity to get everything that is due (or take shares / shares in the authorized capital of the legal entity that appeared instead of the reorganized one). In fact, in this case, these people are granted quite a lot of rights at the legislative level.
Now you know the basics about a process like reorganization!
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