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2. 9. 2021

  • Writer: Martin Bedrna
    Martin Bedrna
  • Sep 2, 2021
  • 1 min read

From beginning of 2022, an amendment to the Czech Civil Procedure Code and to the Act on Execution (Enforcement) of Claims shall come into force, bringing biggest changes to enforcement of claims in the Czech Republic in many years. Generally, the changes aim at strengthening the debtor's position. Ongoing enforcements, which did not bring any proceeds for more than 6 years, shall be stayed, unless the creditor pays an appropriate deposit on enforcement costs. In total, the enforcement can be prolonged for up to 12 years. Any collected proceeds shall be used to redeem the principal amount of the claim first, and – only after its full coverage – interest and creditor's costs. This makes an important difference compared to the default rules of the Civil Code. On the other hand, employers will be entitled to a fixed compensation for fulfilment of duties related to administration of attachments of the debtors' earnings. The amount of the compensation should be CZK 50 per month for each employee subject to an attachment.

 
 
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