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How do we pay our debts with the help of others?
In the Republic of Moldova, there is a so-called "indirect enforcement", which can protect your money or pay back your debts. What is it and how can it be used?
A first example of "indirect enforcement" is when you have debts to the budget and the State Tax Service (STS) insistently asks you to pay them, and you accumulate penalties because you have no money. At the same time, suppose you have a debtor who should have paid back long ago, but for various reasons has not done so.
SOLUTION
Solution? Submit your debtor's information to the State Tax Service with details of the debt, deadlines, completed documents and wait. Without any further ado, according to legal proceedings, after 10 days the tax authority can collect the money directly from your debtor.
Interesting, isn't it?
On the one hand, you pay your debt to the budget, on the other hand, you finally get the payment from the person who owes you and you do not have to worry about complicated legal proceedings to collect the money.
As another example, suppose a bailiff for certain debts is pursuing you. Lack of funds threatens your assets, which can be auctioned off and sold at ridiculously low prices.
At the same time, a company owes you an amount that may cover the full amount sought by the bailiff, but which for various reasons has not been paid, even though the deadline for payment expired some time ago.
At the same time, a company owes you an amount that may cover the full amount sought by the bailiff, but which for various reasons has not been paid, even though the deadline for payment expired some time ago.
SOLUTION
Solution? Submit the information about the debt to the bailiff, which refers to the amount, deadlines, etc. Through the bailiff's care, your debtor is summoned to pay the debt while being warned that she/he cannot make the payment directly to you. After 15 days from the summons, the debtor has to make the payment to the bailiff.
In this situation, on the one hand, you can escape from the pursuit started by the bailiff and save your assets; on the other hand, you get your money back from the person who is late in paying you.
Note:
The Law also provides for a simplified court proceeding for situations where the debtor does not make payment, which is carried out on short notice with the presentation of a minimum set of documents.
Another example is found in bankruptcy and insolvency proceedings. We point out that a bankrupt company can more easily collect the money you owe it than you might imagine.
Since 2013, the term garnishment has appeared in the national space, which means the same enforcement from the debtor's debtor, but with a specific applicability only to insolvency proceedings.
Let us say you owe a company a sum of money, and due to some disagreement about the quality of services and/or products, you have not paid the counter value, reaching a temporary agreement with the director of the company.
At a later stage, you find out that the company is in bankruptcy proceedings and you are summoned by the insolvency administrator for the so-called "establishment of the garnishment".
What happened?
Once the insolvency proceedings are started, the management of the company is removed and the authorized administrator whose function includes the preservation of the debtor's assets carries out its administration. In this respect, she/he is given extensive powers to pursue the debtors of the insolvent company.
Since 2013, the term garnishment has appeared in the national space, which means the same enforcement from the debtor's debtor, but with a specific applicability only to insolvency proceedings.
Let us say you owe a company a sum of money, and due to some disagreement about the quality of services and/or products, you have not paid the counter value, reaching a temporary agreement with the director of the company.
At a later stage, you find out that the company is in bankruptcy proceedings and you are summoned by the insolvency administrator for the so-called "establishment of the garnishment".
What happened?
Once the insolvency proceedings are started, the management of the company is removed and the authorized administrator whose function includes the preservation of the debtor's assets carries out its administration. In this respect, she/he is given extensive powers to pursue the debtors of the insolvent company.
Garnishment is essentially a procedure for collecting money from those who owe the insolvent company
The so-called garnishment is essentially a procedure for collecting money from those who owe the insolvent company, including with the help of the insolvency court. Thus, if you are debtor to an insolvent company you can be summoned about the establishment of the garnishment. Failure to pay the debt within 5 days of the summons leads to the initiation of a simplified court proceeding in the insolvency court that will confirm the debt and allow the forced collection of the amounts. The process will happen in short terms, with minimal formalities, and you will keep only one appeal, with the proceedings ultimately leading to a quick and simple recovery of the money.
Note: Enforcement methods exist in all legislations under different names and a straightforward purpose of giving creditors another way to recover their debts, by pursuing people who owe their own debtors.
Note:
Enforcement methods exist in all legislations under different names and a straightforward purpose of giving creditors another way to recover their debts, by pursuing people who owe their own debtors.
Moldova, mun. Chișinău
str. București 31
str. București 31
Contacte
gheorghe.macovei@macovei.legal
Moldova, mun. Chișinău
str. București 31
str. București 31
Contacte
gheorghe.macovei@macovei.legal