Register of Insolvent Debtors

The best way to maintain liquidity is to prevent payment arrears. The verification of the contractor in the Register of Insolvent Debtors (DAM) undoubtedly reduces the risk of cooperation with an unreliable partner.

The Register of Insolvent Debtors (DAM) is part of the National Court Register and should not be confused with private registers such as the National Debt Register. It was introduced by the Act of August 20, 1997 on the National Court Register (KRS).

An entry in the register of insolvent debtors

bank

May be made at the request of a creditor with an enforceable title against a natural person who has not paid the required amount within 30 days of requesting fulfillment. In addition, the court shall enter ex officio into the register of insolvent debtors, among others:

Natural persons conducting economic activity, if their bankruptcy or bankruptcy petition has been legally dismissed due to the fact that the assets of the insolvent debtor are not sufficient to cover the costs of the proceedings, or the judicial or administrative enforcement against them has been discontinued due to the fact that no more than the enforcement costs will be obtained from enforcement;

Partners who are liable with all assets for the company’s obligations

Partners who are liable with all assets for the company

Excluding limited partners in a limited partnership, if the company’s bankruptcy or bankruptcy petition has been declared legally dismissed, because the assets of the insolvent debtor are not sufficient to meet the costs of the proceedings, or judicial or administrative enforcement against him has been discontinued against him due to the fact that no greater than the enforcement costs will be obtained from enforcement;

Debtors who were required to disclose assets in accordance with the provisions of the Code of Civil Procedure on enforcement proceedings;

Persons who have been deprived by the bankruptcy court of the right to conduct business activities on their own account and to perform the function of a member of the supervisory board, representative or representative in a commercial company, state enterprise or cooperative; persons with a maintenance obligation who are in arrears for more than 12 months.

The register of insolvent debtors

bank

Is public and everyone has the right to access the data contained therein. Entries in the register of insolvent debtors are not subject to the obligation to publish in the Court and Economic Monitor. They are removed from office after 10 years of making the entry or in the event of the repeal or amendment of the order on the basis of which the entries were made.

The debtor may also apply for early removal from the register provided he has removed the reasons justifying the entry. To this end, he should submit an appropriate application to the registry court for an appropriate entry (deletion is also an entry). A creditor, when submitting an application for entry into the DAM, must pay PLN 300. However, often an entry into the DAM encourages the debtor to pay the liability and if the amount of the debt is significant it is worth bearing such a cost.