Protection of the Rights of a Creditor in Case of Liquidation of a Legal Entity

This study is devoted to mechanisms of protection of the rights of the creditor in case of liquidation of a legal entity. The first part examines the institution of liquidation of a legal entity. The forms of liquidation are described in detail, particularly, voluntary liquidation, compulsory liquidation, as well as liquidation in the bankruptcy procedure. The second part directly describes the mechanisms of protection of the rights of the creditor. Relevant legislation and relevant judicial precedents are examined. The sequence of satisfaction of creditors' claims during liquidation, as well as the procedure for notifying creditors, has been investigated. Attention is drawn to the possibility of recognizing an invalid liquidation record in the unified state register of legal entities and to the possibility of distributing unaccounted property. Particular emphasis is placed on the lack of general provisions on the timing of liquidation, as well as on the specifics and problems of enforcement of Article 64.1 of the Civil Code of the Russian Federation. The institution of challenging the debtor's transactions in bankruptcy, as well as the institution of bringing to responsibility of controlling persons in bankruptcy are studied.