The seizure of assets belonging to a person or to a corporate body can start at the moment when a debtor can’t make a payment to his or her creditor; the procedure is started when a court decision is issued in this sense. The seizure of assets in Slovakia can be composed by both the immovable and movable property of the respective debtor. A comprehensive presentation regarding the legal procedure can be presented by our debt collection lawyers in Slovakia, who have the necessary legal expertise to represent clients in front of a local court.
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What is the Slovakian law for seizing assets of foreign entities?
The legislation in Slovakia provides a legal framework on the seizure of assets belonging to foreign persons who own various types of assets on the Slovakian territory. The main procedures are described by the Criminal Procedure Code No. 301/2005 Coll. and the Section 551 presents the authorities which have the right to enforce the seizure of assets. Our debt collection agency in Slovakia can assist foreign persons on the procedure applicable in this case, but it is necessary to know that the following will apply:
- prior to seizing the assets of a foreign entity, the main procedure is to order the provisional seizure of assets, which can refer to bank accounts, real estate properties, stocks and any other types of assets;
- the provisional seizure of assets is completed based on the international treaties signed by Slovakia with the given jurisdiction where the debtor is a resident;
- the Slovakian courts can start the procedure on the request of a foreign authority, which must also contain a motion issued by a prosecutor in the respective country;
- the main institution which will handle the case is the Slovakian District Court located in the region where the respective property is held;
- the District Court can revoke the provisional seizure only if the foreign authority issued a motion regarding this issue;
- the District Court can also revoke the procedure if the foreign authority does not request the execution of the seized assets in a given period of time.
When can the provisional seizure of property take place in Slovakia?
There are several conditions under which the provisional seizure of property can be enforced in Slovakia. As we presented above, it can take place provided that there is an international treaty signed in this sense or if a foreign authority requests the execution of the procedure.
At the same time, Slovakian authorities are entitled to start the provisional seizure of assets in the case in which the respective property is used as a means to commit a criminal offence. Once the decision to seize the assets of a debtor was issued, the storage of the respective assets can be held by specific entities, generally a police officer or a public prosecutor.
Who can administer seized property in Slovakia?
When referring to real estate properties that were seized in Slovakia, the public prosecutor can authorize a person with the right of performing the real estate management applicable in this case. Regarding seized real estate properties in Slovakia, a resolution must be submitted with the competent authorities operating under the Land Registry. In the case in which we refer to financial assets, the main entity that will handle them until the resolution is passed is the bank where the accounts are held (branch offices operating here also have this right).
In the case of seized assets in Slovakia in the form of real estate properties, the main rule of law is the Act No. 278/1993 – Administration of State Property. The procedure of debt collection in this case has to be reported as well to the Department of Public Administration, operating under the Ministry of Interior. The disposal of the confiscated assets can take the form of the following: the sale of goods, the transfer of ownership, lending or through liquidation.
In the situation in which the court enforces a decision to seize the assets (in the form of real estate property) of a debtor in Slovakia, and the respective assets will be sold with the purpose of repaying the given debt, the general amount of time spent with the ownership transfer lasts approximately one year (calculated since the court decision was issued). However, the Slovakian law on this matter, available under the State Property Administration Act, does not stipulate any specific amount of time in which this procedure should be completed.
Persons who are involved in a case regarding the procedure of debt collection in Slovakia (local or foreign entities) can request for further information on the applicable law from our lawyers. Our debt collection lawyers in Slovakia can assist with more details the legislation regulating the seizure of assets located in this country.