Dissolution or liquidation of a company, i.e. of a private or public limited company, takes place as follows.
Dissolution of a private limited company
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By a resolution of the shareholders
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By a court judgment
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On other bases prescribed by law or the articles of association
Dissolution of a public limited company
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By a resolution of the general meeting
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By a court judgment
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On other bases prescribed by law or the articles of association
Dissolution of a company commences by preparing a balance sheet and publishing a notice of the liquidation proceedings in the official publication Ametlikud Teadaanded. The creditors shall submit all their claims against the company within four months after publication of the last notice. Liquidation of a company is completed by preparation of the final balance sheet and a distribution plan for the assets remaining upon liquidation. After completion of liquidation but not earlier than six months after publication of the last notice of liquidation and three months after presentation of the final balance sheet to the shareholders for examination, the liquidators shall submit a petition for deletion of the company from the Commercial Register. Liquidation of a company takes seven months at the most.
