Counter-Enforcement

Counter-enforcement is a set of actions that return to the debtor what the creditor received during the enforcement procedure if there was no basis for it at the time the enforcement procedure was initiated or if the basis ceased to exist during the further course of the enforcement procedure.

The reasons for counter-enforcement, as well as the counter-enforcement procedure, are regulated by the provisions of the Law on enforcement and security interest (“Off. Herald of RS”, Nos. 106/2015, 106/2016 – authentic interpretation,113/2017 – authentic interpretation, 54/2019 and 9/2020 – authentic interpretation).

Motion for Counter-Enforcement

After the enforcement has already been carried out, the enforcement debtor may file a motion with the court for counter-enforcement.

The motion for counter-enforcement contains the request to the court to pass the writ which shall compel the enforcement creditor to return to the enforcement debtor, within the term of eight days, everything he received by enforcement and to specify the instrument and the motion for enforcement if the enforcement creditor fails to return what he received within the set deadline. Continue reading Counter-Enforcement

Refuting debtor’s legal acts (actio Pauliana)

The rule is that the obligatory relations between the debtor and third parties for the creditor are res inter alios acta. An exception to this rule is the possibility for a creditor to, under certain conditions, refute legal actions taken by his debtor with a third party.

The creditor refutes such actions by filing a lawsuit (actio Pauliana) against a third party i.e. by pointing out an objection against the third party’s claim against the creditor’s debtor or his legal successors, to whom the debtor has transferred certain rights.

Terms of Refuting debtor’s legal acts

The basic general premise for refutation is

  • that there is a creditor’s claim against the debtor due for collection (regardless of when it arose) and
  • that the debtor is insolvent (which the creditor is obliged to prove).

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Instruments and subject of enforcement

By the provisions of the Law on Enforcement and Security Interest  (“Off. Herald of RS”, Nos. 106/2015, 106/2016 – authentic interpretation,113/2017 – authentic interpretation, 54/2019 and 9/2020 – authentic interpretation) were regulated terms and types instruments of enforcement and enforcement subjects, as well as issues related to the application of the principle of proportionality,multiple instruments and subjects of enforcement, amending and adding instruments and subjects of enforcement.

Instruments of Enforcement

Actions used to settle a claim of an enforcement creditor are instruments of enforcement.

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