A creditor and a debtor may stipulate that the debtor shall pay to the creditor a specific sum or supply him with some other property benefit, should he fail to perform his non-monetary obligation, or delay in performing it (liquidated damages).
Unless something else results from contract, liquidated damages shall be considered as stipulated for the case of a debtor becoming late in performance.
Liquidated damages shall not be stipulated in relation to monetary obligations.
Method of Calculation
Contracting parties may determine the amount of liquidated damages as they please, either in form of a lump sum or as a percentage, or for each day of delay, or in some other way. Continue reading Liquidated damages
Enforcement proceedings and security interest proceedings are initiated by a judgment creditor filing a motion for the enforcement based on enforceable or credible document or a motion for a security interest or ex officio only when provided by the law.
A court decides on the motion for enforcement based on enforceable or credible document and a security interest motion.
A public enforcement officer decides on the motion for enforcement based on the enforceable or credible document for settling monetary claims arising from utility services and related activities.
A public enforcement officer decides on the motion for enforcement for settlement of a pecuniary claim against the enforcement debtors such as the Republic of Serbia, autonomous province or a unit of the local government, an indirect beneficiary of the budget funds which has been indicated in the motion for enforcement as the enforcement debtor, against whom the enforcement collection is carried out in terms of the regulations governing the execution of the budget in the same manner as against the direct beneficiaries of the budget funds and indirect beneficiary of the budget funds.
The enforcement proceedings are conducted upon adoption of the writ on enforcement or on security interest.
Continue reading Enforcement motion and writ of execution
All contracts to be considered legal and produce legal effects must meet certain conditions:
- the declaration of the intention must be given by a person who has the necessary legal capacity, serious – made to produce the legal effect, and not for any other purpose, free (that there is no defect of consent) – delusion, fraud and/or the threat, in the necessary form, that the desired legal actions are per law and morality
- that the basis of the contract exists
- that the condition is allowed and possible.
The sanction for non-fulfilment of these conditions is the invalidity of the contract, which can be different, depending on the type of defect.
For the most serious defects, the sanction is the nullity of the contract (absolute nullity), while for those who have a lower degree of violation, it is annulment – destruction (relative nullity). There is also a third sanction under contracts, recognized by legal science, which consists of non-existent contracts. Continue reading Invalidity of the Contracts