Have you ever heard of asset seizure? This is a precautionary measure that occurs when a creditor fears that the debtor will dispose of their assets, thus preventing the debt from being paid.

Learn all about this legal tool throughout this article from Lawyers in Braga! 

What is the seizure of assets?

The seizure of assets is a precautionary measure where a debtor's assets are seized before a... judicial enforcement. The purpose of seizing assets is to prevent the debtor from disposing of their assets before being charged. debt. 

What law applies to the seizure of assets?

A Law No. 5/2002, of January 11 This is the main law governing the seizure of assets. This document allows assets to be seized and made available for future attachments. 

In what situations is attachment applicable?

Asset seizure situations occur when a creditor fears that the debtor will dispose of their assets, making it impossible to use them to settle a debt. 

In cases of counterfeiting Asset seizure may also be used.

What is the difference between arrest and inventory?

The seizure of assets and the inventory of assets may be quite similar in their execution method, but they serve different purposes. 

In the case of asset seizure, this occurs when the intention is to preserve assets so that they can be seized later. When an inventory takes place, the assets or documents are preserved while there is some kind of dispute between them. 

What is the difference between attachment and seizure?

Despite being very similar, the Seizure The seizure of assets and the attachment of assets are not the same thing.

The seizure of assets occurs as a precautionary measure, that is, before a judicial execution to settle the debt is carried out through the... Seizure Regarding assets. In the case of asset seizure, this is already the judicial execution itself, which aims to take possession of the debtor's assets so that they can settle a debt to a creditor. 

What are the legal requirements for seizure?

A seizure of assets is not always justified. For this to happen, the creditor must prove that a debt exists and that there are reasons to fear that the debtor is deliberately disposing of their assets to avoid using them to settle the debt. 

How does the asset seizure process work?

An asset seizure process is carried out in several stages. These stages are:

• The creditor presents to the court the need for an asset seizure;
• The court will analyze whether there is a real need to proceed with an attachment order;
• If such a need arises, the assets are seized and placed under the jurisdiction of the court;
• If the debtor provides security, or if the creditor changes their mind and opts for an out-of-court settlement, for example, the seizure is lifted. 

What assets cannot be seized?

Most of the debtor's assets can be subject to seizure. However, there are some that have specific characteristics and cannot be seized, such as:

• Essential goods for the debtor's life, such as stoves or goods that are indispensable in situations of illness or disability;
• Goods of low economic value;
• Tools and machines that are essential for the professional activity;
• Assets belonging to a company, where only one of the partners has the order for seizure;
• Pensions;
• Tombs and graves;
• Property belonging to the State. 

Precautionary attachment order: is it possible?

Yes, there is a possibility of a precautionary measure seizure of assets. However, this can only happen if there are requirements such as the existence of a debt to the creditor, and the creditor's fear of not being able to pay the debt being real. 

What are the rights and responsibilities of the parties involved?

Both parties involved in an asset seizure situation have rights and obligations that must be fulfilled, such as:

Creditor

Rights:

• To request the seizure of assets so that the debt can be paid;
• Request a lien if the debt is not settled. 

Duties: 

• Notify the debtor about the existence of the attachment;
• To prove that there are grounds for an arrest. 

Debtor

 Rights:

• To be informed about the existence of a seizure;
• To use the seized goods, but with limitations;
• To defend oneself in this case.

Duties:

• Do not transfer seized assets without notifying the court;
• If ordered to do so, comply with the settlement of the debt. 

Is a lawyer necessary to proceed with the seizure of assets?

For a process of asset seizure, the existence of a... Solicitor.

To proceed with the request for attachment, and for it to be requested correctly, and to manage the entire legal situation in the best way, it is important that it be done by a Solicitor to do it. 

How can lawyers assist in an attachment process?

A lawyer is an essential element in an attachment process for several reasons. From drafting an attachment request, which involves bureaucracy, to defending disputes in court. 

No Lawyers in Braga The firm has experienced and properly trained lawyers to assist in the entire asset seizure process, whether you are the creditor or the debtor. 

Conclusion 

A process of asset seizure occurs when a creditor fears that the debtor will dispose of their assets and that they may no longer have enough to pay a debt. After the court determines that there are grounds for seizure, the debtor's assets are taken into its possession.

Seizure is a precautionary measure, preceding the attachment of assets, which is an enforcement measure that puts into practice the use of assets to pay a debt.