{"id":12357,"date":"2023-09-24T14:00:33","date_gmt":"2023-09-24T14:00:33","guid":{"rendered":"https:\/\/solvdebt-gem.pcinfo.work\/2023\/09\/24\/defence-against-the-payment-order\/"},"modified":"2023-09-24T14:00:33","modified_gmt":"2023-09-24T14:00:33","slug":"defence-against-the-payment-order","status":"publish","type":"post","link":"https:\/\/www.solvdebt.com\/en\/defence-against-the-payment-order\/","title":{"rendered":"DEFENCE AGAINST THE PAYMENT ORDER"},"content":{"rendered":"

Introduction<\/strong><\/h2>\n

Banks or funds-servicers have two main options to enforce their claims against borrowers for loans and credits.<\/p>\n

The first option is to file a lawsuit, by which, after it becomes final (decided in the second instance), the Banks – Loan Administrators can start the process of enforcement by seizing and auctioning the borrower’s assets. However, the option of filing a lawsuit has the significant disadvantage that its adjudication may be delayed for up to some years and that the borrower is required from the outset to participate in the process by raising any objections and objections.<\/p>\n

The second option, which is discussed in this article because it is chosen in the majority of cases by the legal departments of the Banks – Funds, is the option of issuing a Payment Order.<\/p>\n

What is a Payment Order?<\/strong><\/h1>\n

A payment order is a fast-issuing court decision that constitutes an enforceable title, with which the creditor can “put up” movable and immovable property for auction and impose seizures on claims (e.g. rents) and bank accounts of the debtor and guarantors.<\/p>\n

The creditor can be an individual, a company, the State, the Insurance Funds, the Banks or the Loan Managers (e.g. Dovalue, Intrum, Cepal, Qquant etc.).<\/p>\n

At the request of the creditor who has a claim against the debtor, the payment order is issued by the Magistrate’s Court for claims up to \u20ac20k. and by the single-member Court of First Instance for claims over \u20ac 20k.<\/p>\n

An important element is that the debtor is not invited to attend the trial to present his objections (as in the case of a lawsuit) and only learns about it when he is notified of the judgment by a bailiff.<\/p>\n

It is also noted that the creditor must inform the debtor of the issuance of the Payment Order within 2 months of its issuance, through service by bailiff (any other method of service such as email, post, message, is invalid). If this deadline is not met, the payment order becomes invalid.<\/p>\n

Can I defend myself against the Payment Order?<\/strong><\/h2>\n

You can and should do so to avoid the seizure and auction of your property.<\/p>\n

The only remedy available against the payment order is an appeal requesting the annulment of the Payment Order (Art.632 of the Civil Code).<\/p>\n

However, the opposition does not prevent the Bank or the fund (Loan Management Company) from initiating enforcement proceedings against your assets, as the date of the opposition hearing and the issuing of the decision can be delayed by up to 2 years.<\/p>\n

Therefore, if the debtor wishes immediate protection, he should simultaneously with the opposition apply for the suspension of the execution of the payment order, however, because the adjudication is usually delayed, it is advisable to submit to the court, together with the suspension application, a request for a temporary injunction of the suspension application, immediately stopping any coercive actions of the creditor.<\/p>\n

However, it should be stressed that respecting the deadlines is very important so that the debtor does not lose any of his rights. In particular, both the opposition to the payment order and the application for suspension of the payment order and their service on the opposing party must be completed within 15 working days from the day following the service of the payment order on you.<\/p>\n

Grounds for Interruption<\/strong><\/h2>\n

The grounds for opposition may be either a) formal grounds, such as deficiencies-objections in service, in the content of the payment order, etc., or b) substantive grounds, which may relate to a dispute about the amount of the debt indicated in the payment order.<\/p>\n

\"Defence<\/p>\n

What happens if I do not appeal against the Payment Order?<\/strong><\/h2>\n

If you fail or fail to file an opposition to the payment order, then you are in principle “exposed” to the creditor’s desire to take enforcement measures against your property.<\/p>\n

There is another opportunity to appeal against the payment order within the same time limit and that is at the second service of the Payment Order by the creditor, with a view to its finality.<\/p>\n

However, at this stage you will not be given the opportunity to request a stay of enforcement measures, as you could have done at the first service, so the creditor can start enforcement measures undisturbed.<\/p>\n

What happens if the opposition application is rejected?<\/strong><\/h2>\n

If the court issues a judgment rejecting your appeal, you have the right to appeal the rejection within 30 days (or 60 days if you are a resident abroad) from the day you are served with the judgment by a bailiff.<\/p>\n

Once the appeal is lodged, a date is set for a hearing with a competent court (Court of Appeal).<\/p>\n

There are indications that the Bank or the <\/strong>Fund will issue a Payment Order?<\/strong><\/h2>\n

The issuance of the Payment Order does not require you to be informed or present as a debtor, as you will find out after a holiday, with service by the bailiff.<\/p>\n

However, there are clear signs of this development that can give you a warning.<\/p>\n

In other words, a period of limited or no payments should have preceded the loan, while you should have been served (by a bailiff) with an extrajudicial termination of the loan agreement by the bank or the fund, requesting immediate repayment of the entire debt.<\/p>\n

Therefore, after the termination of the contract, the next step for the creditor is to issue a Payment Order.<\/p>\n

Out-of-Court Settlement – The Best Solution<\/strong><\/h2>\n

The timely legal reaction of the borrower against the legal actions of the Bank or the Servicer or Fund is very important for the protection of the borrower. However, let’s not forget that the preferred option for both sides, because of the time, cost and uncertainty of the outcome, is the out-of-court solution.<\/p>\n

In fact, the out-of-court settlement<\/a> is the most effective solution for the debtor’s defence, since, apart from the fact that the enforcement of the final application on the platform of the Extra-Judicial Mechanism, the creditor’s coercive actions are suspended, and the positive outcome of the application stops these actions.<\/p>\n

Our office has specialized in the solution of the Extrajudicial Mechanism, successfully completing 10s of applications and helping individuals & businesses to give a realistic solution to their debt problem.<\/p>\n

Contact for your case<\/a><\/p>\n

Read HERE<\/a> for indicative successes of our office.<\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

Introduction Banks or funds-servicers have two main options to enforce their claims against borrowers for loans and credits. The first…<\/p>\n","protected":false},"author":3,"featured_media":12291,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"single-fullwidth.php","format":"standard","meta":{"footnotes":""},"categories":[23],"tags":[],"class_list":{"0":"post-12357","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-articles"},"menu_order":0,"_links":{"self":[{"href":"https:\/\/www.solvdebt.com\/en\/wp-json\/wp\/v2\/posts\/12357","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.solvdebt.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.solvdebt.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.solvdebt.com\/en\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.solvdebt.com\/en\/wp-json\/wp\/v2\/comments?post=12357"}],"version-history":[{"count":0,"href":"https:\/\/www.solvdebt.com\/en\/wp-json\/wp\/v2\/posts\/12357\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.solvdebt.com\/en\/wp-json\/wp\/v2\/media\/12291"}],"wp:attachment":[{"href":"https:\/\/www.solvdebt.com\/en\/wp-json\/wp\/v2\/media?parent=12357"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.solvdebt.com\/en\/wp-json\/wp\/v2\/categories?post=12357"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.solvdebt.com\/en\/wp-json\/wp\/v2\/tags?post=12357"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}