Appeal and objection

Legal remedies in enforcement proceedings

Legal remedies in enforcement proceedings are the appeal and objection.

The appeal is used to contest the writ of the first instance court or the writ of the public enforcement officer, unless it is stipulated in the Law on enforcement and security interest the appeal is not permitted or that such writ is to be contested by objection.

The objection is filed against the writ on the motion for enforcement based on credible document, against other writs of the first instance court or public enforcement officer defined by the Law on enforcement and security interest, and in the form of the third party objection.

Only in case of objection of the third party an objection is permitted against the writ issued on the objection to the writ, and the appeal only against the writ issued on the objection to the writ of execution based on a credible document.

A conclusion is not subject to objection or appeal. The objection or appeal filed against a conclusion is dismissed by a writ or conclusion which completes the enforcement proceedings.

Deadline for Appeal and Objection and Absence of Suspensive Effect of Appeal and Objection

Appeal is filed within eight days from the serving of the writ. Objection is filed within the same deadline, except for the third party objection.

The appeal and the objection stay the enforcement only if so provided by the Law on enforcement and security interest.

Prohibition of Repealing of First Instance Ruling and Referral of Cases for Review

When deciding on objections and appeals, the court may not repeal the first instance writ and refer the case for review.

Illicitness of Extraordinary Legal Remedies

Writ issued on the appeal is final. When writ may be contested exclusively by an objection, the writ issued on the objection is final.

A review or new proceedings is not permitted against the final ruling.

Reinstatement

Reinstatement is permitted in case of a failure to comply with the deadline for objection or appeal in the proceedings of contesting the writ of execution based on a credible document.

The appeal is not permitted against the writ that adopts the reinstatement motion.

Objection is permitted against a writ on dismissal or rejection of the reinstatement motion.

Third Party Objection

Requirements for Objection and Contents of Objection

Third party asserting to have a right over the subject of enforcement, which prevents the enforcement, may file an objection to the public enforcement officer requesting to declare the enforcement against such subject illicit.

Third party objection may be filed until the completion of the enforcement proceedings.

Third party shall state in the objection the reasons for objection and to enclose the documents that evidence the existence of his right; otherwise the objection is dismissed as incomplete, without prior returning to the amendments.

The objection is delivered to the enforcement creditor in order to make declaration thereupon within the term of eight days, with the warning on the default consequences, and is also delivered to the enforcement debtor.

Decisions on Third Party Objection

If the enforcement creditor fails to make declaration on the objection in due time, or fails to challenge the objection, or if a third party proves the objection by a final decision, or an official or a legally certified document, a writ is passed to adopt the objection, and the enforcement proceedings with respect to the subject of enforcement is discontinued, along with repealing of the writ of execution and all the actions taken.

In other cases, a writ is passed on rejecting the objection.

Legal Remedies

The objection against the writ on dismissal or adoption of the objection is permitted.

The appeal against the writ on rejection of the objection is not permitted.

If the panel adopts the objection against the writ on the dismissal of the objection, it immediately decides on the merits of the objection.

Civil Lawsuit to Determine Illicitness of Enforcement

Within 30 days from the date of the receipt of the final writ on the rejection of the objection, a third party may initiate civil lawsuit against the enforcement creditor with the aim of determining that the enforcement against the subject is illicit. Civil lawsuit does not stay the enforcement. The enforcement debtor challenging the right of a third party must be included in the complaint.

Provisions on civil lawsuit procedure for determining the illicitness of the enforcement apply to the civil lawsuit.

If the enforcement proceedings has not yet been completed, and the court has determined by a final ruling that enforcement against the subject is illicit, the public enforcement officer, at the motion of a third party, discontinues the enforcement proceedings with respect to such subject, and repeals the writ of execution and all implemented actions.

When it Cannot be Requested to Determine the Enforcement Illicit

Co-owner, whose stake in a movable asset does not exceed the half of its value, may not request that the enforcement against the subject, with respect to his or her stake, is declared illicit.

He is entitled to request payment of the share of the proceeds generated by sale of the assets, proportional to his stake, prior to other persons entitled to be satisfied and prior to settlement of the costs of the enforcement proceedings, or to request that the asset is assigned to him upon payment of the deposit in the amount of the enforcement debtor’s stake in the asset.

If his stake in the asset has been challenged, he may file a complaint against the enforcement creditor with the aim of determining the existence of his stake.

Read more:
Enforceable and credible document as ground for rendering of decision on execution »
Issuing a payment order »
Contract of Assumption of Debt »

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