Professional paper

QUO VADIS, FINA? DIFFICULTIES IN AGENCY ENFORCEMENT

Ema Menđušić Škugor ; Divjak, Topić & Bahtijarević odvjetničko društvo d.o.o.

Abstract

The Financial Agency (FINA) is recognized in the local legal system as a signifi cant player in enforcement proceedings. For the majority of creditors, enforcement against monetary assets, and the possibility of direct collection, represent the quickest and cheapest way of forceful collection of their claims. However, this does not mean that execution of enforcement against monetary assets is free from faults. The reason behind the research presented in this paper lies precisely in practical experiences with FINA’s conduct in direct collection. Experiences of attorneys representing parties in socalled agency enforcement indicate the existence of certain shortcomings in the execution of such enforcement. These shortcomings generally arise from the excessively formal interpretation of applicable norms and the unwillingness to apply rules of general enforcement law. Their emergence and perpetuation is favoured by the impossibility of using legal remedies and the consequent absence of direct judicial control over FINA’s work. Creditors have, therefore, largely embraced the “trial and error” method and accept the practical shortcomings guided by the goal of quick and effortless collection, without much regard for legal security and functioning of the system as a whole. This is not surprising, as enforcement for creditors is largely the last step of an expensive and long collection process. But, if we look at the broader perspective, an excessive frequency of practical difficulties in direct collection can adversely aff ect legal certainty and reduce the efficiency of enforcement against monetary assets as a whole. Following this, we consider there are reasons for a more thorough analysis of FINA’s work in enforcement, specifically direct collection. In this paper, we present and analyse those shortcomings in enforcement against monetary assets we identified as the most common and, where possible, suggest solutions for their elimination.

Keywords

enforcement over monetary funds; direct collection; Financial Agency; lawyers; right to recourse

Hrčak ID:

198598

URI

https://hrcak.srce.hr/198598

Publication date:

13.4.2018.

Article data in other languages: croatian

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