Enforcement procedures in Romania. Litigation lawyer.
Enforcement procedures are legal processes through which creditors can recover debts from debtors when they fail to fulfill their contractual or legal payment obligations. In enforcement, the creditor utilizes the authority of the state to compel the debtor to settle the debt.
In Romania, enforcement procedures are regulated by the Civil Procedure Code and involve several legally mandated steps carried out by a bailiff. They are generally preceded by litigation to acknowledge the creditor's claim through a court judgment.Learn more about enforcement procedures in this article:
Enforcement procedures – general aspects. Ask a lawyer online.
Enforcement procedures – general aspects. Ask a lawyer online.
What is enforcement? Litigation lawyer.
Enforcement represents the final stage in the debt recovery process, where creditors resort to this procedure when the debtor refuses to voluntarily pay the debt. Most creditors first attempt to resolve the dispute amicably by formally notifying the debtor to pay the due amount within a specified deadline.
What assets can be enforced? Litigation lawyer.
The procedure may include the enforcement of the debtor’s movable or immovable assets, garnishment of wages or other income, and other forms of enforcement provided by law.
Who can initiate enforcement procedures? Enforcement lawyer.
To initiate enforcement procedures, the creditor must hold a writ of execution, such as:
A final court ruling.
Most enforcement cases follow litigation procedures for debt recovery, such as payment order proceedings or contractual liability lawsuits (ask a lawyer online). Final court rulings issued in debt recovery cases are always enforceable titles. This means they provide the creditor with the legal right to request enforcement. The enforceable nature of these rulings guarantees that the rights recognized through the judicial process can be effectively applied via a bailiff.
For example, if a court determines that a debtor must pay a sum of money to a creditor, the final ruling serves as the basis for initiating enforcement. The creditor can turn to a bailiff to recover the owed amount through measures such as garnishing bank accounts or selling the debtor’s assets.
A notarized contract.
Contracts signed privately (e.g., with handwritten or electronic signatures) are not – with some exceptions – enforceable titles. Therefore, when a debtor refuses to pay under a contractual claim, the creditor must file a lawsuit in the competent court to obtain a judgment recognizing the existence, amount, and enforceability of the debt.
On the other hand, some contracts authenticated by a public notary acquire enforceable title status. Thus, the creditor can request the initiation of enforcement procedures for debts arising from such contracts without the need for prior litigation. A common example is an apartment rental agreement: a lease contract signed by the parties does not constitute an enforceable title for recovering unpaid rent, but a notarized or tax-registered lease acquires such legal effect (read more about apartment rental).
Other writs of executions.
Certain legal documents constitute writs of execution by their mere existence, without requiring additional formalities to obtain enforceable status – for example, promissory notes or bills of exchange. Such legal documents can be enforced immediately without prior court intervention.
Writs of execution serves as the legal foundation for initiating the procedure, and the creditor contacts a bailiff to implement it.
Stages of Enforcement. Debt recovery lawyer.
Filing an enforcement request. Order enforcement request.
The creditor files a request with the bailiff, attaching the enforceable title. The bailiff reviews the legality of the request and initiates the procedure if all conditions are met.
Approval of enforcement.
The request is sent to the competent court (the court with territorial jurisdiction as defined by law) for approval. The enforcement court examines the request, supporting documents, and issues a ruling either approving or rejecting the enforcement.
Notification of the debtor.
The bailiff notifies the debtor about the initiation of the procedure and grants a grace period for voluntary payment of the debt.
Implementation of enforcement measures:
Depending on the nature of the debt and the debtor's assets, various measures can be applied, such as:
Execution of movable assets (e.g., cars, equipment);
Execution of immovable assets (e.g., apartments, land);
Garnishment of income (e.g., salaries, pensions);
Enforcement of obligations to perform specific actions.
The role of the bailiff in the enforcement process.
The bailiff plays a critical role in the enforcement process. As a state-authorized professional, the executor is responsible for implementing enforceable titles while adhering to legal requirements. Key responsibilities include:
Notification of the debtor.
The bailiff sends a summons informing the debtor of the payment obligation and offering a timeframe for voluntary compliance. This step can prevent the need for further coercive measures.
Asset investigations.
The executor uses official databases and collaborates with relevant institutions (e.g., banks, public registries) to identify the debtor's assets and income.
Garnishment of income and bank accounts:
The executor can garnish wages, pensions, or other sources of income within the legal limits. Additionally, bank accounts may be frozen to secure debt recovery.
Sale of movable and immovable assets.
If the debtor owns enforceable assets, these are evaluated and auctioned publicly through the bailiff.
Monitoring and reporting.
The executor ensures that all steps are conducted correctly and informs the creditor about the progress of the procedure, including recovered amounts and any obstacles encountered.
The bailiff's actions ensure the effective implementation of enforceable titles, balancing the rights and obligations of both creditors and debtors.
Rights and Obligations of the Debtor
The debtor has the right to challenge the enforcement procedure by filing an enforcement objection (order claim) if they believe the enforcement process is flawed or if enforcement actions have not been carried out in accordance with the law.
Frequently Asked Questions About Enforcement
What happens if the bailiff refuses to enforce the procedure?
The bailiff is required to provide written reasons for the refusal. This response must be legally justified and specify the grounds for which enforcement cannot proceed (e.g., lack of a valid enforceable title, the request does not comply with legal provisions, etc.). If there are no legal grounds for the refusal, the bailiff is obligated to initiate the procedure.
What happens if the debtor refuses to open the door for the bailiff?
The executor may request authorization from the court to enter the premises, accompanied by law enforcement representatives.
Can joint property of a married couple be enforced if only one spouse has debts?
Yes, the debtor’s share of the joint property can be enforced, according to the applicable matrimonial regime.
What happens if the debtor hides their assets?
The bailiff can request information from institutions such as banks, tax authorities, or the Trade Registry to identify hidden assets. If the debtor fraudulently transfers assets to evade enforcement, various procedures can be initiated to annul the fraudulent transactions.
Can the debtor’s entire salary be garnished?
No, salary garnishment is legally limited to half of the debtor’s net monthly income for amounts owed as maintenance or child support and one-third for other types of debts.
What happens if the debtor challenges the enforcement?
The debtor's objection to enforcement is given priority in court, and the procedure will resume based on the court’s decision after resolving the objection.
Can the auction of a property be stopped if the debtor pays the debt before the sale?
Yes, full payment of the debt cancels the enforcement, including the auction process
How are enforced assets sold?
Enforced assets are appraised and auctioned publicly, following the applicable legal procedures.
Can essential goods for daily living be enforced?
No, the law exempts essential goods, such as basic clothing and food, from enforcement.
What happens if the debtor does not attend the auction of their assets?
The auction proceeds regardless, and the debtor is notified of the outcome.
Can the executor make decisions without court approval?
Some measures, such as garnishing bank accounts, can be ordered directly by the executor, but major enforcement actions require court approval.
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