On 16 December 2024, the Prague City Council approved the revocation of Resolution No. 409 from March of the same year, concerning the management of the City's receivables from third parties. The changes focus on modifications to Article 3, which specifies the methods of handling receivables.
The new rules clearly define when the City may write off receivables. These include situations where the debtor has died and the inheritance proceedings have been terminated, where the legal entity has been dissolved without a legal successor, or where the receivable does not exceed CZK 10 000. Other conditions include the debtor's exemption from payments by the insolvency court or cases where the proceeds of the execution do not cover even the costs of the proceedings.
The amendments are scheduled to take effect on 1 February 2025. Updating the rules will allow for more efficient administration of claims, while ensuring that processes are in line with current legal and economic conditions. This step will contribute to better management of the City's assets and ensure transparency in the management of public finances.