Enforcement and Bankruptcy Law

Execution and bankruptcy law is an important branch of law regulated to enable creditors to collect their receivables and to protect the legal rights of debtors. Debt relations are inevitable in business and individual life, but in some cases, creditors may have difficulty in collecting their receivables and debtors may be unable to pay their debts. At this point, enforcement and bankruptcy law comes into play. Senkur Law and Attorney Pelşin Senkur, operating in Izmir, provides professional legal support to its clients in the field of enforcement and bankruptcy law.

 

What is Execution and Bankruptcy Law?

Execution and bankruptcy law is a branch of law that aims to regulate the debt-credit relations between the debtor and the creditor, to enable the creditor to collect its rights and to protect the rights of the debtor. This field covers the enforcement proceedings applied for the collection of debts by legal means and the processes of requesting the debtor's bankruptcy. In Turkey, this branch of law is regulated by the Enforcement and Bankruptcy Law (EBL).

 

Enforcement Proceedings

Enforcement proceedings refer to the legal process initiated by the creditor in order to collect its receivables. When the debtor fails to fulfill its payment obligation, the creditor may initiate enforcement proceedings by applying to the enforcement directorate. Execution proceedings are divided into two as proceedings with and without judgment:

 

Enforced Execution Proceedings: It is the type of enforcement proceeding initiated when it is necessary to collect the debt with a court decision (judgment).

Execution Proceedings without Judgment: It can be initiated by the creditor without a court decision. Such proceedings are usually supported by documents such as promissory notes, checks or invoices.

Initiation of Enforcement Proceedings

When enforcement proceedings are initiated, the enforcement office sends a payment order to the debtor. The payment order states that the debtor must pay the debt within a certain period of time or object to the debt. The debtor can object to the debt within 7 days after receiving the payment order. If no objection is made or the debt is not paid, the enforcement proceedings are finalized and foreclosure proceedings are initiated.

 

Foreclosure Procedures

Seizure is the process of confiscating the assets of the debtor in order to collect the debt. The seized goods are sold by auction and the proceeds are paid to the creditor. The debtor has some rights during the seizure process. For example, the debtor may object to the enforcement proceedings or, in some cases, request the annulment of the attachment.

 

Bankruptcy Process

Bankruptcy is the process that begins when it is legally determined that a person or company is unable to pay its debts. In this case, all of the debtor's assets are liquidated for distribution to creditors. The bankruptcy process can work in two ways:

 

Ordinary Bankruptcy: In the bankruptcy process, the debtor applies to the court and requests bankruptcy.

Concordat: It is a process that the debtor can apply to agree with its creditors and restructure its debts. Concordat is preferred to prevent bankruptcy.

Bankruptcy Postponement and Concordat

Postponement of bankruptcy is a situation where businesses ask the court to postpone the bankruptcy process in order to prevent bankruptcy. Concordat allows the debtor to restructure its debts in agreement with its creditors in order to improve its financial situation. If the concordat request is accepted, the debtor is given a certain period of time to restructure its debts according to the payment plan.

 

Seizure Procedures and Seizable Goods

Foreclosure proceedings are transactions carried out by the creditor through the executive directorate in order to collect its receivables from the debtor. Seizure is realized by confiscating the debtor's assets. The goods that may be seized may be movable and immovable assets of the debtor.

 

Which goods can be seized?

The goods that can be seized include the debtor's movable and immovable properties, bank accounts, vehicles and valuable assets. However, some goods cannot be seized by law. For example, in order to protect the debtor's minimum level of living, some goods and social security income cannot be seized. Furthermore, not all workers' wages can be garnished; only a certain portion can be garnished.

 

Alternative Solutions in Debt Collection

Execution and bankruptcy processes can be lengthy and costly. Therefore, in some cases, alternative solutions may be preferred for debt collection. These solutions include mediation and conciliation processes.

 

Mediation: The mediation process comes into play for the parties to reach an agreement in resolving disputes between creditors and debtors. Mediation ensures that disputes between the parties are resolved quickly.

Settlement: A solution can also be achieved through compromise-based methods such as restructuring the debt between the creditor and the debtor, reorganizing the debt payment plan.

Professional Support in Enforcement and Bankruptcy Law with Senkur Law in Izmir

Senkur Law, an expert in the field of enforcement and bankruptcy law in Izmir, provides comprehensive legal support to employers and individuals in debt collection and debt restructuring processes. The main services offered by Senkur Law include the following:

 

Enforcement Proceedings Services: Legal support is provided to creditors in matters such as initiating enforcement proceedings, sending payment orders, managing objection processes and foreclosure procedures.

Protection of Debtors' Rights: Legal support is provided in matters such as protecting the rights of clients who are debtors, managing objection processes and canceling foreclosure proceedings.

Concordat and Bankruptcy Processes: Guidance on concordat applications, bankruptcy postponement and bankruptcy process management for businesses.

Lawyer Pelşin Senkur provides reliable support to her clients with her experience to ensure that the execution and bankruptcy processes are carried out in accordance with legal requirements by protecting the rights of both parties.

 

Debtors' Rights and Debtor Protection Legislation

Enforcement and bankruptcy law protects the rights of not only the creditor but also the debtor. Debtors have the right to object to a payment order, to request debt restructuring and, in certain circumstances, to seek protection against foreclosure. Here are the main rights provided by debtor protection legislation:

 

Right of Objection: The debtor may object to the debt within seven days after receiving the payment order. In this case, the enforcement proceedings will be suspended and the creditor will have to file a lawsuit to resolve the objection.

Goods that cannot be seized: Some assets of the debtor, such as social security income and necessities, cannot be seized.

Debt Restructuring: Debtors may agree with creditors to restructure or restructure their debts in installments.

Reliable Execution and Bankruptcy Law Services with Senkur Law

Senkur Law, operating in Izmir, provides reliable, effective and solution-oriented legal services in the field of enforcement and bankruptcy law for individuals and companies in Izmir. Attorney Pelşin Senkur develops strategic solutions to protect the legal rights of her clients and help them collect their receivables in the fastest and most efficient way. Senkur Law's services in the field of enforcement and bankruptcy law offer a comprehensive approach for clients not only to collect their receivables, but also to protect the rights of debtors.

 

Conscious and Professional Support in Execution and Bankruptcy Law

Execution and bankruptcy law is a branch of law regulated to protect the rights of both parties in debt-credit relations. It is extremely important for creditors to collect debts and for debtors to protect their rights. As the enforcement and bankruptcy process is a complex and detailed procedure, the guidance of an experienced law firm is invaluable.

 

Senkur Law and Attorney Pelşin Senkur guides its clients with its expertise and experience in the field of enforcement and bankruptcy law in Izmir. Providing a wide range of legal support from enforcement proceedings to foreclosure proceedings, from bankruptcy proceedings to concordat applications, Senkur Law is a strong solution partner in collecting receivables, protecting the rights of debtors and carrying out the legal process in a healthy way.

 

Providing reliable and strategic counseling by informing her clients at every stage of the process, Attorney Pelşin Senkur ensures that the legal relations between the creditor and debtor are carried out safely. For those seeking professional support in the field of enforcement and bankruptcy law in Izmir, Senkur Law is one of the most reliable choices with its solid legal knowledge and result-oriented solutions.