Law on Enforcement and Security Interest

Competence for conducting enforcement

According to the provisions of the Law on Enforcement and Security Interest competence for conducting enforcement is divided between court and public enforcement officer.

Court has exclusive jurisdiction for the enforcement of joint sale of real estate and movable property, acts, omissions or sufferance and the enforcement of enforceable documents in connection with family relations and reinstatement of an employee.

Public enforcement officers has exclusive jurisdiction for the enforcement of other enforceable documents, writs of enforcement based on a credible document, writs on adopting the motion for counter-enforcement and writs on enforcement of writs on enforcement of the court-imposed penalties. 

Provisions of the Law on Enforcement and Security Interest that only regulate the powers of public enforcement officers, and not of courts, only apply to powers of a court if a court has exclusive jurisdiction to conduct enforcement (stay of the proceedings, on multiple enforcement instruments and subjects of enforcement, amending and adding enforcement instruments and subjects, objection of a third party, postponing enforcement, discontinuance of the enforcement proceedings, etc.).

When deciding on the motion for enforcement, the court and the public enforcement officer are bound by the enforceable and credible document and the court is not authorized to examine the legality and correctness of the enforceable document.

Subject-Matter Jurisdiction of Courts for Deciding on Enforcement or Security Interest Motion

The ruling on enforcement or security interest motion is rendered by basic or commercial court in the first instance.

The decision on the appeal against the ruling of the basic or commercial court is rendered by a superior court or the Commercial Appellate Court, depending on which court passed the contested ruling.

General Territorial Jurisdiction for Deciding on Enforcement or Security Interest Motion

The court in whose territory the enforcement debtor has permanent or temporary residence, i.e. registered headquarters, has general territorial jurisdiction for deciding on enforcement or security interest motions.

Territorial Jurisdiction if Enforcement or Security Interest Motion Specifies Multiple Instruments or Subjects of Enforcement or Security Interest

If the motion for enforcement or security interest on a monetary claim specifies multiple instruments or subjects of enforcement or security interest, the court that has the jurisdiction to decide on the instrument of enforcement or security interest that is indicated first, has the territorial jurisdiction to decide on the enforcement motion, i.e. security interest motion.

If an immovable property is specified among other instruments or subjects, the court in whose territory the immovable property is located has the exclusive territorial jurisdiction to decide on the enforcement, i.e. security motion.

Territorial Jurisdiction of the Court for Ruling during the Implementation of Enforcement

In the course of the enforcement carried out by the public enforcement officer, the court that rendered the writ of execution based on the enforceable or credible document, has the territorial jurisdiction to make rulings on imposing fines, rulings on replacing fines with imprisonment, rulings on a motion for disqualification of a public enforcement officers, and rulings on objections, except on the third party objection.

If the enforcement is effected by court, the exclusive territorial jurisdiction for ruling in the course of the enforcement implementation is vested in the court effecting the enforcement.

Territorial Jurisdiction of the Public Enforcement Officer

Public enforcement officers enforce the writ of executions based on enforceable title or credible document and the rulings on preliminary or interim measure rendered by a court in whose territory he was appointed (territorial jurisdiction of the public enforcement officer). He may undertake actions outside the territory of the court for which he was appointed, alone or through a public enforcement officer from another territory.

Prohibition of the Party’s Motion for Delegation of the Territorial Jurisdiction of the Court

Party’s motion for delegation of territorial jurisdiction of the court is not permitted.

Composition of the Court

In enforcement proceedings and security interest proceedings, single judge issues writs and adopt conclusions in the first instance.

A panel of three judges renders decisions on an objection or appeal.

A judicial assistant may undertake certain court actions in the course of enforcement or security interest proceedings.

Recusal of a Judge

When the enforcement is effected by a public enforcement officer, a motion for recusal of the judge may be filed at the latest by the expiry of the term for ruling on the appeal against the writ issued on the motion for enforcement based on enforceable document, or of the term for objection or appeal in the process of deciding on the legality and correctness of the writ of execution based on a credible document.

When the enforcement is effected by a court, as well as in the security interest proceedings, the motion for disqualification of the judge may be filed before the completion of the enforcement proceedings, i.e. security interest proceedings.

Decision on the motion for recusal of the judge is rendered within five days from the receipt of the motion. An objection may be filed against the ruling on dismissal or rejection of the motion for disqualification of the judge. The motion for recusal of the judge does not stay the enforcement or security interest proceedings.

The motion for recusal of the court enforcement officer is not permitted.

Read more:
Legal remedies in enforcement proceedings »
Enforceable and credible document as ground for rendering of decision on execution »
Reorganisation plan as a enforceable document »

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