Attorney Dragana Djordjevic » "debtor"

General rules of fulfilment of obligations

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An obligation shall be terminated after being fulfilled, as well as in other cases provided by law. According to provisions of the Law of Contract and Torts, other cases of termination of obligations are offsetting (compensation), remission of debt, substitution (innovation), integration (merger), the impossibility of fulfilment, flow of time, notice and death.

The termination of the principal obligation shall also extinguish the pledge, mortgage, and other accessory rights.

Who can fulfill obligations and expenses of the fulfillment of obligations?

An obligation may be fulfilled not only by a debtor but also by a third person. A creditor shall be bound to accept fulfilment by every person having a legal interest in fulfilling the obligation, even should the debtor be opposed to such fulfilment. Continue reading General rules of fulfilment of obligations →

Issuing a payment order

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Payment order shall be issued in special proceeding which is governed by the provisions of Articles from 455 to 466 of Civil Procedure Law.

Conditions for Issuing Payment Orders

When a civil claim is related to a pecuniary claim which is due, this claim shall be proven by a credible document enclosed with the complaint either as an original document or a certified transcript, the court shall issue an order to the respondent to settle the claim (payment order) on condition that it is accompanied by a proof on delivered request for payment due receivables.

The following shall be considered as credible documents:

  • public documents
  • private documents where the signature of the debtor is certified by a competent body
  • promissory notes and cheques with protest and return accounts if these are required for the foundation of the claim
  • extracts from business accounts
  • invoices
  • documents which are deemed as public documents pursuant to specific provisions Continue reading Issuing a payment order →

Collection of receivables from debtors in the blockade

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Under conditions of the global financial crisis increases the risk of debt uncollectability. The risk of this type primarily depends on the individual claims, payment terms, economic and political conditions in the country, as well as the solvency and creditworthiness of the debtor.

The occurence of the debtor’s inability to fulfill its financial obligations due to blockage of business accounts is one of the biggest risks, whose implementation may result in a debtor’s bankruptcy, but in some cases may represent a cause of the creditor’s bankruptcy.

Answers on some questions, concerning with the possibility of the collection of receivables from a debtor who has in the blockade you can find in this article.

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Legal consequences of a blocked accounts are regulated by the Law on performing payment of legal persons, entrepreneurs and natural persons who do not perform activities. Continue reading Collection of receivables from debtors in the blockade →