Phases of the Enforcement Procedure

1. Motion for Commencement of Enforcement Proceedings

 

Enforcement proceedings shall be initiated by the creditor (the entitled party) by filing a motion for commencement of enforcement proceedings with a judicial officer of the creditor’s choice. Enforcement proceedings shall be deemed commenced on the date, hour, and minute on which the motion for commencement of enforcement proceedings is delivered to the judicial officer.

 

Details on the methods of filing a motion for commencement of enforcement proceedings are set out here.

Details on the requirements of a motion for commencement of enforcement proceedings are set out here.

 

2. Request by the Judicial Officer for Appointment by the Court

 

A judicial officer to whom a defect-free motion for commencement of enforcement proceedings has been delivered shall request the enforcement court (no later than 15 days from the date of delivery of the motion) to appoint the judicial officer to conduct the enforcement procedure.

The court shall grant the creditor’s motion by appointing the judicial officer to conduct the enforcement procedure for the enforcement of the obligation set out in the enforcement title. The court shall issue the appointment within 15 days, provided that all statutory requirements are met.

The appointment is not a court decision and is not served on the parties to the proceedings.

 

3. Identification and Securing of the Debtor’s Assets

 

After the court issues the appointment, the judicial officer shall begin identifying the debtor’s assets. The judicial officer shall then assess the manner in which the enforcement procedure will be carried out and issue enforcement order(s) concerning the assets to be affected.

The judicial officer is obliged to select in the enforcement order a method of enforcement that is not manifestly inappropriate, in particular having regard to the disproportion between the amount of the debt and the value of the asset from which satisfaction of the debtor’s obligations is to be obtained.

Enforcement on the basis of issued enforcement orders shall be carried out successively using the methods laid down in Section 58(2) of the Enforcement Code.

Whether and in what form the issued enforcement orders will be executed may be influenced by the debtor through active cooperation.

 

4. Notification of the Debtor on the Enforcement Procedure

 

Without undue delay after the issuance of the first enforcement order, the judicial officer shall serve on the debtor a notice of commencement of the enforcement procedure, the motion for commencement of enforcement proceedings, and a copy of the enforcement title.

Upon service of the notice of commencement of the enforcement procedure, the debtor is prohibited from disposing of his or her assets, including immovable property and assets forming part of the matrimonial property regime, except for ordinary business and operational activities, the satisfaction of basic living needs of the debtor and persons to whom the debtor has a maintenance obligation, and the maintenance and administration of assets (so-called general prohibition on disposal of assets).

In the notice, the judicial officer informs the debtor that if the enforced obligation is satisfied within 30 days from service of the notice, the debtor will be obliged to pay reduced enforcement costs. The debtor is also instructed on the possibility of filing a motion to terminate the enforcement procedure or a motion to stay the enforcement procedure, among others.

The notice contains only simplified instructions on procedural rights and obligations in accordance with the law. Full procedural instructions for debtors are set out here.

 

5. Compulsory Enforcement, Collection, and Distribution of Proceeds

 

Upon expiry of 30 days from service of the notice of commencement of the enforcement procedure without satisfaction of the obligation, or on the date on which the decision on a motion to terminate the enforcement procedure filed within that period becomes final, the enforcement procedure becomes enforceable.

Information on the enforcement procedure shall be entered into the Central Register of Enforcement Proceedings, and the judicial officer shall, on the basis of enforcement orders and the court-issued appointment, proceed with compulsory enforcement of the obligation set out in the enforcement title.

 

6. Termination of the Enforcement Procedure

 

Enforcement proceedings are generally terminated upon satisfaction of the enforced obligation, enforcement costs, and the creditor’s costs.

After termination of the enforcement procedure, the judicial officer shall send a notice of termination of the enforcement procedure to all authorities and persons who maintain records of ongoing enforcement proceedings or who have been imposed obligations in the enforcement procedure.

Upon request, the judicial officer shall also send this notice to the parties to the proceedings.