Continuation of operations

If a company becomes insolvent , the fundamental question arises as to what the continuation of operations should look like. When a company goes bankrupt , all of the company's assets fall into the bankruptcy estate . For a successful continuation of operations, all assets would have to be bought up from the masses, whereby the purchase price cannot be offset against the receivables. Furthermore, when a business is transferred, existing employment relationships with all rights and obligations are transferred in accordance with Art. 333 OR.

However, Art. 333 Para. III OR does not apply if the company is taken over from the bankruptcy estate of the previous employer. As a result, the transferee is not liable for open wage claims that became due before the takeover in the event of a business acquisition from the bankruptcy estate. Nevertheless, there is also an obligation to take over all employment relationships.