How does post‑judgment enforcement work in debt collection Dubai?
Once you’ve obtained a court judgment in your favour, the next crucial phase in debt collection Dubai is enforcement. This process turns a favourable judgment into actual recovery of funds or assets. Here’s how it typically unfolds:
-
Obtaining an Execution Order
After the judgment is issued, your legal representative applies for a writ of execution (also known as an execution order) at the Court of Execution. This document authorises enforcement officers to act on behalf of the creditor. -
Identification of Debtor Assets
The Execution Court will use the information provided—bank details, real estate records, vehicle registrations—to locate assets belonging to the debtor. Common targets include:-
Bank Accounts: Freezing and garnishing balances.
-
Real Estate: Placing liens or initiating forced sale of property.
-
Vehicles and Equipment: Seizing movable assets for auction.
-
-
Asset Seizure and Auction
Enforcement officers (bailiffs) physically seize identified assets. Seized movable property is stored and then auctioned under court supervision. Proceeds from the sale are applied directly against the outstanding debt, minus enforcement costs. -
Third‑Party Garnishment
If direct asset seizure is insufficient, a debt collection Dubai agency can pursue garnishment orders against third parties who owe money to the debtor—such as tenants (for rent arrears) or corporate receivables. Those third parties must remit funds directly to the Execution Court. -
Enforcement Costs and Prioritisation
Enforcement actions incur additional fees—typically a percentage of the recovered amount plus fixed court charges. These costs are added to the debtor’s liability. The Court of Execution prioritises secured creditors and government claims over unsecured debts. -
Duration and Follow‑Up
Post‑judgment enforcement can take 1–3 months, depending on asset availability and debtor cooperation. Regular follow‑up by your debt collection Dubai agency ensures timely action, re‑application for orders if assets are hidden, and prompt auction scheduling.
By engaging a specialist in debt collection Dubai, you leverage their expertise in navigating enforcement procedures, maximising asset recovery, and ensuring compliance with UAE laws throughout the post‑judgment phase
Comments
Post a Comment