Recent law offers partners protection: New right of opposition for uninvolved parties in judicial proceedings
Traditionally, the company and its partners are regarded as one indivisible whole. As a result, a judicial ruling against the company automatically applies to the partners as well, even if they were not involved in the proceedings.
In addition, general law also creates an unequal situation between a partner who was not summoned to appear and a partner who was summoned but fails to appear. For instance, a partner who was not summoned has no recourse against the judgment convicting their company.
The law of 21 April 2024 adds a right of opposition to the Code of Companies and Associations for partners of the general partnership (maatschap), the general partnership under firm name (VOF) and the limited partnership (CommV). As a result, partners who were not a party to judicial proceedings in which their company was convicted can lodge opposition.
With the introduction of this law, an end has come to judgments being enforced against uninvolved partners, without their knowledge and without them having any legal remedy available to challenge them.
Was a judicial decision taken against your company without your direct involvement, and do you wish to contest it? Do not hesitate to contact our firm.