The effect of the insurance seizure in order to repair the damage ceases after the asset has been capitalized through an execution procedure, including under the rule of Law no. 85/2006 Cover Image

Efectul sechestrului asigurător în vederea reparării prejudiciului încetează ulterior valorificării bunului printr-o procedură execuțională, inclusiv sub imperiul Legii nr. 85/2006
The effect of the insurance seizure in order to repair the damage ceases after the asset has been capitalized through an execution procedure, including under the rule of Law no. 85/2006

Author(s): Stan Tîrnoveanu, Viorica Clima
Subject(s): Law, Constitution, Jurisprudence, Criminal Law, Civil Law
Published by: Universul Juridic
Keywords: distraint upon property; compensation for damages; criminal proceedings; deletion of encumbrances; seizure; preferential right; right of disposition; unsecured creditor; future; and potential claim;

Summary/Abstract: The seizure measure instituted in criminal proceedings, aimed at repairing damage, should not be conflated with a legal mortgage. It doesn't alter the legal status of the property, nor does it grant the beneficiary of the measure any preferential rights over other creditors. Consequently, the sale of the property upon which the distraint is imposed leads to the cessation of the distraint's effect. The beneficiary of the measure is then prohibited from pursuing the property after it has been awarded. From the perspective of enforcement proceedings, whether individual or collective, the sale of an asset effectively removes all burdens imposed on it. However, this does not apply if the burden directly affects the debtor's property rights, as is the case with the seizure measure intended for confiscation. The removal of the land registry's reference to a seizure aimed at repairing damage, which follows the sale of the property within an enforcement proceeding, should not and cannot be contingent on obtaining a court order that annuls the distraint measure. This is in accordance with the process stipulated by Article 250 of the Criminal Procedure Code1.

  • Issue Year: 2023
  • Issue No: 2
  • Page Range: 17-26
  • Page Count: 10
  • Language: Romanian
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