Holding company management personally liable

Legal defence in proceedings to impose personal financial liability on management bodies

Liability for insolvency is governed by Article 169 of Law No. 85/2014, amended in December 2025. Proceedings may be brought by the judicial administrator, judicial liquidator and any interested creditor, subject to the law. Liability may extend to members of administrative, management or supervisory bodies, persons exercising de facto control over financial or operational decisions, and other persons who contributed to insolvency through the acts specified in the provision. Not every business loss gives rise to liability: continuing operations under point (c) requires a personal interest and activity manifestly leading to cessation of payments. The act, damage and causal link must be examined, without exceeding the damage attributable to the conduct concerned. A lawyer helps build your defence on the documents and the law’s current requirements.

Challenging unlawful conduct, establishing absence of causation and defence strategies

The defence examines actual responsibilities, the period of involvement in the company and the specific contribution to insolvency, rather than merely formal status as a director. We analyse accounting records, cash flows, management decisions and external factors. Point (d) contains rebuttable presumptions concerning fault and causation where accounting documents are not handed over, and failure to keep compliant accounts where financial statements or tax returns are culpably not filed; these must be rebutted with appropriate evidence, not ignored. We also examine the new point (e¹), concerning transfers to closely connected persons under the statutory conditions, with the intention of continuing operations through the new entity and placing assets beyond creditors’ reach. Through an individualised accounting and legal analysis, we argue the absence of the conditions for liability, applicable exemptions, limitation or the limits of proven damage.

Legal assistance and representation in Focșani and Vrancea County

Extending the company’s debts to your own assets can endanger your home, bank accounts and your family’s entire financial stability. Basuc Cosmin Law Office in Focșani provides specialised legal assistance and representation at every stage of proceedings concerning personal financial liability. We thoroughly analyse the company’s accounting documents, draft robust defences and represent you firmly before the insolvency judge at Vrancea Tribunal and at Galați Court of Appeal, seeking to protect your personal assets and obtain dismissal of the claim for liability.