What is Execution Proceedings Without a Court Judgment? How are Fees and Expenses Calculated?

A type of enforcement proceeding initiated through the enforcement office without requiring a court order for monetary or collateral claims is called non-judgmental enforcement. While this method aims for the rapid collection of debt, there are fees and operational costs collected by the state at the initiation stage of the proceeding.

 

1. What are the costs of initiating enforcement proceedings without a court order?

The basic items that need to be paid when initiating debt collection proceedings are as follows:

• Application Fee: This is a fixed fee paid to initiate proceedings, determined annually by the General Circular on Fees Law.

• Advance Fee: This is a fee collected at a rate of 0.5% (5 per mille) of the debt amount. It is deducted from the "Collection Fee" collected from the debtor at the end of the proceedings.

• Attorney's Fee and Bar Association Stamp Duty: These are legal fees paid when legal proceedings are initiated through a lawyer.

• Advance Payment (Postage/Notification Costs): Covers the postage costs necessary for sending the "Payment Order" to the debtor and subsequent procedures.

 

2. How does the process work?

After an application is made to the enforcement office, a Payment Order is sent to the debtor. The debtor has 7 days to object to this order.

• If the debtor does not object within 7 days, the enforcement proceedings become final and the seizure phase begins.

• If the debtor objects to the debt, the enforcement proceedings are suspended. In this case, the creditor must file a lawsuit for "Cancellation of Objection" or "Removal of Objection".

 

3. Collection Fee and Prison Fee

When the enforcement proceedings are successfully completed and the money is collected, a portion of the collected amount is deducted by the state as a Collection Fee (the rate varies depending on the stage of collection) and a Prison Fee (2%). As a rule, enforcement costs and fees ultimately remain with the debtor; that is, the creditor recovers the costs paid to initiate the process from the debtor.

 

4. Tanyeri Law & Consulting Perspective

Execution law is not just about filling out a form; it's a rigorous process that extends from asset investigations to seizure of assets. At Tanyeri Law, with 37 years of experience, we take a professional approach to collecting your receivables. Our expert team of four lawyers meticulously investigates the debtor's assets and ensures the most efficient management of fees and expenses. With our transparent process management, we are here to help you collect your receivables as quickly and cost-effectively as possible.

 

Note: The calculation tool above provides an estimated opening fee based on the current fee schedule for that year, using the amount you enter. Differences in procedures between enforcement offices, additional notification costs, and other expenses incurred during the collection process may alter the final amount. For a smooth enforcement process and faster collection, we recommend seeking the support of a professional lawyer.