If companies are over-indebted or threatened with insolvency, insolvency proceedings often is initiated after an application for insolvency. An insolvency procedure is primarily intended to restore the solvency of an insolvent company. Alternatively, an insolvent company is unwinded via worksharing procedure in orderly fashion. The insolvency creditors are either completely satisfied from the insolvency estate of a liquidated company, which is rarely the case, or receive a percentage quota from the insolvency estate formed under the supervision of the insolvency administrator, which is the rule. The insolvency administrator tries to achieve the highest possible insolvency assets.
IT systems are now available in many enterprises. An insolvency administrator usually discovers large computer systems with thin clients or standard computer workstations, notebooks, printers and scanners at an insolvent enterprise.
In the case of the discontinuance of an insolvent company, an insolvency administrator is obliged to sell the entire assets which can be achieved in the best possible way, taking into account the interests of the insolvency creditors. Assets are to be sold according to their economic value. If a sale of goods is below the realizable value, claims for damages may be incurred against the insolvency administrator.
According to the relevant literature and court practice, an under-value sale constitutes a breach of duty by the insolvency administrator. Insolvency administrators can rule out such breaches of duty before the sale by letting the economic value of an object to be sold be established by an independent expert.
The German Association for Data Protection takes over for the insolvency administrator an independent valuation for computer and electronic systems. The estimation of the value is made by means of judicially recognized methods and is documented in an expert opinion. The German Association for Data Protection determines the economic value of different types of computer and electronic systems on the basis of scientifically recognized valuation methods, both for small businesses and for large-scale insolvencies. We also assist insolvency administrators in selling IT equipment and have contacts with companies specializing in the purchase of IT equipment.
The German Association for Data Protection bills expert services for an insolvency administrator on the basis of the rates of the JVEG.
In addition, the entire commerzialisation of IT legacy systems may be taken over against an agreed percentage of the revenue generated.