Ascites and portosystemic encephalopathy portosystemic encephalopathy are the main clinical signs of decompensated liver cirrhosis and indicate a poor prognosis in these patients. Aside from the decreased function of the hepatic cells, the presence of portal hypertension with portosystemic anastomoses is important for the development of portosystemic encephalopathy. Chemically, portosystemic encephalopathy is caused by toxins produced in the colon. The treatment is aimed primarily at rducing the formation of these toxins in the colon. Therefore, a suitable diet and administration of lactulose still constitute the most important therapeutic measures. In the treatment of ascites, paracentesis and replacement of albumin have been increasingly used, in addition to the classical measures.