What is subsidiary liability?

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29.01.2024 20:29 548

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Photo of lorina200215 Lorina Fedan

Subsidiary liability is the additional liability of persons who, together with the debtor, are liable in cases provided for by law or contract. Before presenting a claim to a person who bears subsidiary responsibility, the creditor must present a claim to the principal debtor.

The legal nature of subsidiary liability is that the subsidiary liability of the additional debtor arises in cases of insufficient property of the main debtor, established by court order.

29.01.2024 20:29

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