New regulations for notification in enforcement proceedings, a new system for calculating enforcement expenses — Deputy Minister Levon Balyan presents the draft Law "On enforcement proceedings" to the National Assembly

Deputy Minister of Justice Levon Balyan presented to the Standing Committee on State and Legal Affairs of the National Assembly the package of drafts of the new Law "On enforcement proceedings" and about 30 related laws. The purpose of the drafts package is to establish simpler regulations through the use of common legal concepts; this will lead to the introduction of effective and comprehensive tools for protection of the rights of participants of enforcement proceedings and interested parties and the establishment of legal grounds required for effective compulsory enforcement system. Under the draft, it is envisaged to:

1. Introduce a new system for calculation of enforcement expenses. For example, if currently 5% of enforcement expenses are always calculated for monetary obligations, regardless of the actions actually performed, the draft envisages that if a citizen pays the sum within 2 weeks after institution of proceedings on a voluntary basis, then only 2% enforcement fee will be charged.
2. To introduce a new mechanism, according to which, if both parties agree, they may, upon mutual consent, defer, postpone fulfilment of the obligation, or change the procedure or method for fulfilment of the obligation. In the past, this was only possible via a separate court decision, which required additional costs and more time from the particular citizen.
3. From this point forth, in certain cases, a citizen in proceedings will be able to manage the attached property, lease it or sell it, without an auction, paying the rent and the sale price to the Compulsory Enforcement Service. This will provide the citizen in proceedings with the opportunity to repay the debt on his or her own.
4. To introduce a completely innovative and ambitious idea of renouncing the outdated institution of a writ of execution, helping the court and citizen move from the phase of issuance of a writ of execution that lacked substance.
5. To introduce an electronic notification system for natural and legal persons within the scope of enforcement proceedings through which citizens registered in the "personal office" for enforcement proceedings will, upon their consent, be notified of the proceedings via the office and the e-mail attached to the proceedings, all electronically, and notification for legal persons and state bodies will all be carried out electronically.

Thus, adoption of the drafts will make it possible to convey new quality to compulsory enforcement, to introduce predictable and clear regulations, to increase the efficiency of enforcement, to provide a comprehensive toolkit for protection of the rights of interested parties, which will lead to the introduction of the necessary legal foundations for having a compulsory enforcement system that citizens will really trust.