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Impacts of the pandemic on the (in)solvency of businesses in the Czech Republic and insolvency law

Publication at Central Library of Charles University, Faculty of Law |
2023

Abstract

The chapter focuses on the laws referred to as Leges Covid Justitia I, II and III and provides the reader with a comprehensive analysis of the impact of the COVID pandemic on the insolvency environment in the Czech Republic, as well as an analysis of ad hoc legislation adopted to mitigate these impacts. The authors perform an analysis of legislative changes in the context of the circumstances and reasons for their adoption, and subsequently perform a partial analysis of their impacts (post-RIA) with elements of quantitative research and including the formulation of different scenarios of the development of the insolvency situation assuming different regulatory settings (especially the evaluation effects on consumer and corporate bankruptcies).

The attention of the chapter is also devoted to selected application problems of the aforementioned legislation, in particular the decision-making practice of the courts in relation to the extraordinary remuneration of medical personnel, the evaluation of the suitability of the extension of measures in relation to corporate insolvencies, and the impact on the current insolvency-related court workload.