Adopted European account preservation order procedure in order to facilitate cross-border debt recovery in civil and commercial matters
On 26.01.2017, the National Assembly adopted on second reading the Act for Supplement to the Civil Procedure Code, which was promulgated on 07.02.2017. The adopted amendments shall enter into force on 11.02.2017.
The Act establishes a European account preservation order procedure aiming to facilitate cross-border debt recovery in civil and commercial matters on the basis of Regulation (EU) № 655/2014 of the European Parliament and of the Council of 15 May 2014 establishing a European Account Preservation Order procedure to facilitate cross-border debt recovery in civil and commercial matters.
Competent authority to issue a European account preservation order
Issuance of a European account preservation order may be requested before bringing a claim from the competent to resolve the dispute on the merits first-instance court.
Issuance of a European account preservation order may be requested from the competent first-instance court after the drafting of the authentic instrument within the meaning of Regulation (EU) № 655/2014. Authentic instrument means a document which has been formally drawn up or registered as an authentic instrument in a Member State and the authenticity of which: relates to the signature and the content of the instrument; and has been established by a public authority or other authority empowered for that purpose.
In every stage of the case until the completion of the court proceedings the plaintiff may request from the court before which the case is pending, to issue a European account preservation order. In the event that the request for issuance of a European account preservation order be brought in the cassation proceedings, the order is issued by the appellate court.
Issuance of a European account preservation order may be requested after rendition of the judgment from the first-instance court which has examined the dispute on the merits or after approval of the court settlement.
Appealing the refusal for issuance of a European account preservation order
The court ruling, refusing fully or partially issuance of a European account preservation order, is subject to appeal by an interlocutory appeal. When the ruling is rendered by an appellate instance, it is subject to appeal before the Supreme Court of Cassation.
Direct recognition and enforcement of a European account preservation order
Competent authority to execute the preservation order is the enforcement agent.
The declaration on the preservation of the funds to the account of the debtor is issued by the bank to which the preservation order has been addressed.
The applicant takes the necessary measures to secure the release of the funds which funds after the implementation of the European account preservation order exceed the amount specified in it.
If the applicant does not fulfill his obligation, the enforcement agent ex officio takes the necessary measures to release those funds.
Cancellation and amendment of the European account preservation order and its implementation
The respondent and the applicant may request cancellation or amendment of a European account preservation order as well as restriction or termination of its execution in the presence of the grounds provided for in Regulation (EU) № 655/2014.
