Saturday, April 11, 2009

Enforcement - writ of seizure and sale

A writ of seizure and sale is used to seize assets belonging to the debtor for later sale.

A court official (a bailiff or sheriff, for the Subordinate Courts and High Court respectively), together with the creditor or his representative will go to premises occupied by the debtor. If the premises are locked, then another appointment will have to be made. At the second appointment, the creditor can bring along a locksmith to open any locked premises.

On the premises, the creditor will point out assets which he thinks belong to the debtor. The court official will then affix official stickers to show that the assets are under control of the court, and must not be sold or otherwise disposed off.

At a later date, an auction will be held. (Note, that auction fees must be paid first by the creditor). From any auction proceeds, after deduction of expenses of the auctioneer and court official, and any legal costs, the balance is used to pay the judgment creditor. Any surplus will then belong to the debtor.

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