If the new owners purchased the assets, name, and technology and not the company itself, then it’s beholden on the remains of the old company to honour the deal…
Good luck with that.
Within most(or all) EU countries this would count as a continuation of business and all previous liabilities (e.g. employees contracts, customers contracts, etc.) would need to be honored.
Why it is done this way? To prevent people from doing exact that.
If the new owners purchased the assets, name, and technology and not the company itself, then it’s beholden on the remains of the old company to honour the deal… Good luck with that.
Which is a problem of the legal system around it.
Within most(or all) EU countries this would count as a continuation of business and all previous liabilities (e.g. employees contracts, customers contracts, etc.) would need to be honored.
Why it is done this way? To prevent people from doing exact that.
How many people start companies, rack up a bunch of debt, then create another company that buys everything except the debt?
This is the exact reason GM still exists.
NOW you’re getting it.