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Teksta versija
LEGAL ACTS OF THE REPUBLIC OF LATVIA
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The translation of this document is outdated.
Translation validity: 04.01.2017.–30.06.2017.
Amendments not included: 01.06.2017., 22.06.2017., 19.10.2017., 14.12.2017.
Text consolidated by Valsts valodas centrs (State Language Centre) with amending laws of:

20 June 2001[shall come into force from 1 July 2001];
31 October 2002 [shall come into force from 1 January 2003];
19 June 2003 [shall come into force from 24 July 2003];
27 June 2003 [shall come into force from 1 July 2003];
6 November 2003 [shall come into force from 7 November 2003];
12 February 2004 [shall come into force from 10 March 2004];
7 April 2004 [shall come into force from 1 May 2004];
17 June 2004 [shall come into force from 1 July 2004];
2 September 2004 [shall come into force from 7 October 2004];
17 February 2005 [shall come into force from 10 March 2005];
9 June 2005 [shall come into force from 23 June 2005];
1 December 2005 [shall come into force from 31 December 2005];
14 March 2006 [shall come into force from 21 March 2006];
25 May 2006 [shall come into force from 28 June 2006];
7 September 2006 [shall come into force from 11 October 2006];
26 October 2006 [shall come into force from 1 January 2007];
14 December 2006 [shall come into force from 1 March 2007];
1 November 2007 [shall come into force from 1 January 2008];
22 May 2008 [shall come into force from 25 June 2008];
2 June 2008 [shall come into force from 10 June 2008];
11 December 2008 [shall come into force from 31 December 2008];
5 February 2009 [shall come into force from 1 March 2009];
12 February 2009 [shall come into force from 19 February 2009];
11 June 2009 [shall come into force from 1 July 2009];
12 June 2009 [shall come into force from 1 July 2009];
12 June 2009 [shall come into force from 1 July 2009];
17 December 2009 [shall come into force from 1 February 2010];
30 March 2010 [shall come into force from 1 April 2010];
30 September 2010 [shall come into force from 1 November 2010];
28 October 2010 [shall come into force from 1 February 2011];
24 November 2010 [shall come into force from 25 November 2010];
20 December 2010 [shall come into force from 1 January 2011];
20 January 2011 [shall come into force from 1 February 2011];
9 June 2011 [shall come into force from 18 June 2011];
4 August 2011 [shall come into force from 1 October 2011];
8 September 2011 [shall come into force from 30 September 2011];
15 March 2012 [shall come into force from 1 April 2012];
20 April 2012 [shall come into force from 24 April 2012];
21 June 2012 [shall come into force from 1 July 2012];
15 November 2012 [shall come into force from 1 January 2013];
29 November 2012 [shall come into force from 1 January 2013];
18 April 2013 [shall come into force from 22 May 2013];
14 May 2013 (Constitutional Court Judgment) [shall come into force from 14 May 2013];
23 May 2013 [shall come into force from 1 November 2013];
12 September 2013 [shall come into force from 1 January 2014];
19 December 2013 [shall come into force from 4 January 2014];
13 February 2014 [shall come into force from 31 March 2014];
20 March 2014 [shall come into force from 11 April 2014];
22 May 2014 [shall come into force from 5 June 2014];
22 May 2014 [shall come into force from 18 June 2014];
11 September 2014 [shall come into force from 1 November 2014];
30 October 2014 [shall come into force from 1 March 2015];
30 October 2014 [shall come into force from 1 January 2015];
28 November 2014 (Constitutional Court Judgment) [shall come into force from 28 November 2014];
12 February 2015 [shall come into force from 1 March 2015];
16 April 2015 (Constitutional Court Judgment) [shall come into force from 20 April 2015];
23 April 2015 [shall come into force from 26 May 2015];
28 May 2015 [shall come into force from 2 July 2015];
29 October 2015 [shall come into force from 3 December 2015];
10 December 2015 [shall come into force from 1 January 2016];
4 February 2016 [shall come into force from 29 February 2016];
9 June 2016 [shall come into force from 13 July 2016];
23 November 2016 [shall come into force from 1 January 2017];
8 December 2016 [shall come into force from 4 January 2017].

If a whole or part of a section has been amended, the date of the amending law appears in square brackets at the end of the section. If a whole section, paragraph or clause has been deleted, the date of the deletion appears in square brackets beside the deleted section, paragraph or clause.

The Saeima1 has adopted and
the President has proclaimed the following law:

Civil Procedure Law

Part A
General Provisions

Division One
Basic Provisions of Civil Court Proceedings

Chapter 1
Principles of Civil Procedure

Section 1. Rights of a Person to Court Protection

(1) Every natural or legal person (hereinafter - the person) has the right to protection of their infringed or disputed civil rights or interests protected by law in court.

(2) The person who has applied to a court has the right to have their case examined by a court in accordance with the procedures laid down in law.

Section 2. Court Trial of Civil Cases

Courts shall try civil cases in accordance with the procedures laid down in this Law and the Law On Judicial Power.

Section 3. Time when Legal Norms Regulating Court Proceedings in Civil Cases are in Force

Court proceedings in civil cases shall be regulated by the civil procedural legal norms, which are in force during the examination of the case, performance of individual procedural actions or execution of a court judgment.

[7 April 2004]

Section 4. Court Instances Involved in Civil Proceedings

(1) Civil cases shall be examined on the merits by a court of first instance, but pursuant to a complaint of the participants in the case regarding the judgment of such court, also by a court of second instance in accordance with appeal procedure, unless otherwise provided for by law.

(2) A civil case shall not be examined on the merits in a court of higher instance before it has been examined in a court of lower instance, unless otherwise provided for in this Law.

(3) The judgment of a court of second instance may be appealed by the participants in the case in accordance with cassation procedures.

[8 September 2011]

Section 5. Application of Legal Norms

(1) Courts shall try civil cases in accordance with laws and other regulatory enactments, international agreements binding upon the Republic of Latvia and the legal norms of the European Union.

(2) If the provisions provided for in an international agreement, which has been ratified by the Saeima, differ from the ones in Latvian laws, the provisions of the international agreement shall prevail.

(3) If the relevant issue is regulated by legal norms of the European Union, which are directly applicable in Latvia, the Latvian law shall apply insofar as the legal norms of the European Union allow.

(4) In the cases provided for by laws or agreements, a court shall also apply the laws of other states or principles of international law.

(5) If there is no law governing the contested relation, a court shall apply a law governing similar legal relations, but if no such law exists, a court shall act in accordance with general legal principles and meaning.

(6) In applying legal norms, a court shall take into account the case law.

[7 April 2004]

Section 5.1 Request to the Court of Justice of the European Union

In accordance with the European Union legal norms a court shall make requests to the Court of Justice of the European Union regarding the interpretation or validity of legal norms for the giving of a preliminary ruling.

[7 April 2004; 8 September 2011]

Section 6. Commencement of Civil Proceedings in Court

(1) A judge shall commence a civil proceeding pursuant to an application of the persons to whom such case concerns.

(2) A judge shall also commence a civil proceeding upon an application of the State or local government institutions or persons, to whom the right to defend the rights and lawful interests of other persons in court has been granted by law.

(3) A statement of claim shall be submitted for cases of court proceedings by way of action, but for the cases of special forms of procedure - an application.

Section 7. Civil Claims in Criminal Cases

(1) Civil claims for compensation of financial losses or moral damages in criminal cases may be brought in accordance with the procedures laid down in the Criminal Procedure Law.

(2) If a civil claim has not been submitted or tried in a criminal case, an action may be brought in accordance with the procedures laid down in this Law.

Section 8. Determination of Circumstances in a Civil Case

(1) A court shall determine the circumstances of a case by examining the evidence, which has been obtained in accordance with the procedures laid down in law.

(2) A court shall explain to the participants in the case their rights and obligations, and the consequences of the performance or non-performance of procedural actions.

[25 May 2006]

Section 9. Equality of Parties in the Civil Procedure

(1) The parties shall have equal procedural rights.

(2) A court shall ensure that the parties have equal opportunities to exercise their rights for the protection of their interests.

Section 9.1 Obligation to Tell the Truth

Parties, third persons and representatives on behalf of the person to be represented shall provide to a court true information regarding facts and circumstances of a case.

[23 April 2015]

Section 10. Adversarial Proceedings in Civil Procedure

(1) Parties shall exercise their procedural rights by way of adversarial proceedings.

(2) Adversarial proceedings shall take place through the parties providing explanations, submitting evidence and applications addressed to the court, participating in the examination of witnesses and experts, in the examination and assessment of other evidence and in court argument, and performing other procedural actions in accordance with the procedures laid down in this Law.

Section 11. Open Examination of Civil Cases

(1) Civil cases shall be examined in an open court, except for cases regarding:

1) determination of the parentage of children;

2) confirmation and revocation of adoption;

3) annulment of a marriage or divorce;

4) restricting the capacity to act of a person due to mental disorders or other health disorders;

41) establishment of a temporary trusteeship;

42) revocation of the rights of a future authorised person;

5) wrongful removal of a child across the border to a foreign state or detention in a foreign state and wrongful removal of a child across the border to Latvia or detention in Latvia;

6) custody rights and access rights;

7) provisional protection against violence.

(2) Persons under the age of 15 who are not participants or witnesses in the case may only be present at court hearings with the permission of the court.

(3) Upon a reasoned request of a participant in the case or at the discretion of the court the court hearing or part thereof may be declared as closed:

1) if it is necessary to protect official secrets or commercial secrets;

2) if it is necessary to protect the private life of persons and confidentiality of correspondence;

3) in the interests of minors;

4) if it is necessary to examine a person who has not reached 15 years of age;

5) in the interests of court trial.

(31) A court shall notify persons, who are participating in examination of the case, in the materials of which the official secret or commercial secret object has been included, and who have the right to acquaint themselves with the materials of the case, in writing regarding the obligation to keep an official secret or commercial secret and regarding the liability provided for disclosing an official secret or commercial secret. Making of derivatives of the documents containing the official secret is not permissible.

(4) The participants in the case and, if necessary, experts and interpreters, shall participate at a closed court hearing.

(5) If none of the participants in the case objects, with the permission of the chairperson of the court hearing persons who have a special reason to do so may participate in a closed court hearing.

(6) A case shall be examined in a closed court hearing in conformity with all the provisions applicable to court proceedings.

(7) Court rulings in cases, which are examined in an open court, shall be publicly declared.

(8) In cases, which are examined in a closed court hearing, the operative part of the court ruling shall be publicly declared. In cases regarding confirmation or revocation of adoption the ruling shall be declared in a closed court hearing.

[31 October 2002; 5 February 2009; 4 August 2011; 29 November 2012; 13 February 2014; 23 April 2015]

Section 12. Examination of a Civil Case by a Judge Sitting Alone and Collegially

(1) In a court of first instance a civil case shall be examined by a judge sitting alone.

(2) In an appellate or cassation court a civil case shall be examined collegially.

Section 13. Language of Court Proceedings

(1) Court proceedings shall take place in the official language.

(2) The participants in the case shall submit foreign language documents by attaching a translation thereof into the official language certified in accordance with the specified procedures.

(3) Court may also allow certain procedural actions to take place in another language, if it is requested by a participant in the case and all participants in the case agree. The minutes of the court hearing and court rulings shall be written in the official language.

(4) For the participants in the case who receive State ensured legal aid or are released from the payment of court expenses, a court shall ensure the right to get acquainted with materials of the case and to participate in procedural actions, by using assistance of an interpreter, if they do not understand the language of the court proceedings.

[4 February 2016 / Amendment made regarding the interpreters to Paragraph four shall come into force on 31 July 2016. See Paragraph 114 of Transitional Provisions]

Section 14. Unchangeability of the Composition of a Court

(1) Examination of a case on the merits shall take place without a change in composition of a court.

(2) Replacement of a judge during the course of the trial of the case shall only be permitted if he or she cannot complete examination of the case due to taking up a different position, illness or another objective reason.

(3) If a judge is replaced by another judge during the course of the trial of the case until drawing up a full judgment, the trial of the case shall be commenced anew. A chief judge shall decide on the replacement of the judge in accordance with the procedures laid down in the Law On Judicial Power.

[31 October 2002; 23 April 2015]

Section 15. Direct Review and Oral Hearing of a Civil Case Examination

(1) When examining a civil case, courts of first instance and appellate courts shall examine evidence in the case themselves.

(2) Persons summoned and summonsed to a court shall provide explanations and testimony orally. The testimony of previously examined witnesses as recorded in the minutes, written evidence and other materials shall be read out upon a request of the parties. A court can leave the documents in the case unread, if the parties consent thereto.

(3) In the cases provided for in this Law or legal norms of the European Union a court shall examine applications, complaints and issues in the written procedure without organising a court hearing. If the court recognises it as necessary to find out additional circumstances that may be important for deciding on an application, complaint and issue, the court may examine it in a court hearing, previously notifying the participants in the case of its time and place. Failure of such persons to attend shall not constitute a bar for the examination of the application, complaint and issue.

[31 October 2002; 25 May 2006; 5 February 2009; 8 September 2011]

Chapter 2
Composition of a Court

Section 16. Judges

A case shall be examined in a court by judges who have been appointed or confirmed to office in accordance with the procedures laid down in the Law On Judicial Power.

Section 17. Deciding on Issues in Court

(1) All issues arising in the course of a case being examined collegially shall be decided by a majority vote of the judges. None of the judges is entitled to abstain from voting.

(2) In cases provided for in this Law issues shall be decided by a judge sitting alone.

Section 18. Prohibition to a Judge to Participate in Repeated Examination of a Case

(1) A judge who has participated in the examination of a case in a court of first instance, may not participate in the examination of the same case in appellate or cassation courts, or in a repeated examination of the case in a court of first instance, if the judgment or decision on the termination of the court proceedings or leaving the action without examination, made with participation of the judge, has been revoked.

(2) A judge who has participated in the examination of a case in an appellate or cassation court may not participate in the examination of the same case in a court of first instance or appellate court.

Section 19. Recusal or Removal of a Judge

(1) A judge does is not entitled to participate in the examination of a case if the judge:

1) has been a participant, witness, expert, interpreter, or the court recorder of the court hearing in the previous examination of the case;

2) is in a relationship of kinship to the third degree, or relationship of affinity to the second degree, with any participant in the case;

3) is in a relationship of kinship to the third degree, or relationship of affinity to the second degree, with any judge, who is a member of the composition of the court examining the case;

4) has a direct or indirect personal interest in the outcome of the case, or if there are other circumstances creating reasonable doubt regarding his or her objectivity.

(2) If the circumstances referred to in Paragraph one of this Section or in Section 18 of this Law exist, the judge shall recuse himself or herself before the trial of the case commences.

(3) If any of the circumstances referred to in Paragraph one of this Section are ascertained by a judge in the course of trial of the case, the judge shall recuse himself or herself during the court hearing, stating the reasons for such recusal. In such case the court shall adjourn the examination of the case.

(4) If a judge has not recused himself or herself, any participant in the case may, on the grounds referred to in this Section, apply for removal of a judge or several judges concurrently, stating the reasons for the recusal of each judge.

[31 October 2002]

Section 20. Application for Removal

(1) A participant in a case may apply for a removal in writing or orally, and regarding such application an entry shall be made in the minutes of the court hearing.

(2) An application for removal shall be submitted before the examination of the case on the merits has commenced. Removal may be applied for subsequently if the grounds therefor become known during the trial of the case.

[31 October 2002]

Section 21. Procedures by Which the Application for Removal is Examined

(1) If removal is applied for, the court shall hear the opinion of other participants in the case and hear the judge whose removal is applied for.

(2) The removal applied for during a court hearing shall be decided by the court in the deliberation room.

(3) In a case examined by a judge sitting alone, the application for removal shall be decided by the judge sitting alone.

(4) In a case examined collegially, the application for removal shall be decided in accordance with the following procedure:

1) if the application for removal is in regard to one judge, it shall be decided by the rest of the composition of the court. If there is an equal distribution of votes, the judge shall be removed;

2) if the application for removal is in regard to more than one judge, it shall be decided by a majority vote of the same court in full composition.

[31 October 2002]

Section 22. Consequences of a Successful Removal Application

(1) If a judge or several judges have been removed, the case shall be examined by the same court in different composition.

(2) If it is impossible to form a different composition of the court in the relevant court, the case shall be transferred to another district (city) court or to another regional court.

[31 October 2002]

Chapter 3
Allocation and Jurisdiction of Civil Legal Disputes

Section 23. Allocation

(1) All civil legal disputes shall be allocated to the court, unless otherwise provided for in law. This shall not deprive the parties of the right to apply, upon mutual agreement, to an arbitration court or to use mediation in order to settle a dispute.

(2) The issue of the allocation of a dispute shall be decided by a court or a judge. If a court or a judge finds that a dispute is not to be allocated to the court, the institution within whose competence the deciding of such dispute lies must be indicated in such decision.

(3) The court shall also examine applications of natural or legal persons that do not have the nature of civil legal disputes, if examination thereof is laid down in law.

[22 May 2014]

Section 24. Jurisdiction

(1) A district (city) court shall examine civil cases as a court of first instance. The Vidzeme Suburb Court of Riga City shall examine the cases in the materials of which the official secret object is included and the cases regarding protection of patent rights, topography of semiconductor products, designs, trademarks and geographical indications. The Land Registry Office of a district (city) court shall examine applications for the undisputed enforcement of obligations and compulsory enforcement of obligations in accordance with the warning procedures and also applications for the confirmation of statements of auction, except for the confirmation thereof in the cases regarding insolvency proceedings.

(2) A regional court as an appellate court shall examine cases in accordance with appeal procedure.

(3) The Supreme Court as a cassation court shall examine cases in accordance with cassation procedure.

[30 October 2014]

Section 25. Jurisdiction of a Regional Court

[30 October 2014]

Section 26. Bringing of Actions Based on the Declared Place of Residence or Legal Address of the Defendant

(1) Actions against natural persons shall be brought before a court based on their declared place of residence.

(2) Actions against legal persons shall be brought before a court based on their legal address.

[29 November 2012]

Section 27. Bringing of an Action if the Defendant does not have a Declared Place of Residence

(1) An action against a defendant who do not have a declared place of residence shall be brought based on their place of residence.

(2) An action against a defendant whose place of residence is unknown or who have no permanent place of residence in Latvia shall be brought before a court based on the location of their immovable property or their last known place of residence.

[29 November 2012]

Section 28. Jurisdiction Based on the Choice of the Plaintiff

(1) An action arising in relation to the action of a subsidiary or representative office of a legal person may also be brought before a court based on the legal address of the subsidiary or representative office.

(2) An action for the recovery of child maintenance or parent support or determination of paternity may also be brought based on the declared place of residence of the plaintiff.

(3) A plaintiff may bring an action arising out of private delicts (Sections 1635, 2347-2353 of The Civil Law) also based on his or her declared place of residence or the location where the delicts were inflicted.

(4) An action for the damage inflicted to the property of a natural or legal person may also be brought based on the location where such damage was inflicted.

(5) An action for the recovery of property or compensation for the value thereof may also be brought based on the declared place of residence of the plaintiff.

(6) Maritime claims may also be brought based on the location of the arrest of the defendant ship.

(7) An action against several defendants, who reside at or are located in various places, may be brought based on the declared place of residence or legal address of one defendant.

(8) An action for divorce or annulment of marriage, may be brought before a court based on the choice of the plaintiff, in accordance with the provisions of Section 234 of this Law.

(9) An action arising from employment legal relations may also be brought based on the declared place of residence or place of work of the plaintiff.

(10) If a plaintiff does not have a declared place of residence in the cases referred to in this Section, he or she may bring an action according to his or her place of residence.

[19 June 2003; 7 April 2004; 28 October 2010; 9 June 2011; 29 November 2012]

Section 29. Exclusive Jurisdiction

(1) An action for the ownership rights or any other property rights to immovable property or accessories thereof, or an action for registration of such rights in the Land register or extinguishment of such rights and exclusion of property from the inventory statement shall be brought based on the location of the property.

(2) Where the confirmed heirs to an inheritance or the heirs who have accepted an inheritance are unknown, jurisdiction with respect to actions of creditors regarding the whole estate lies in the court based on the declared place of residence or place of residence of the estate-leaver, but, if the declared place of residence or place of residence of the estate-leaver is not in Latvia or is unknown - in the court based on the location of the property of the estate or a part thereof.

(3) Exclusive jurisdiction may also be laid down in other laws.

[29 November 2012]

Section 30. Jurisdiction by Agreement

(1) When entering into a contract, the contracting parties may determine the court of first instance where potential disputes regarding such a contract or its performance shall be decided.

(2) Exclusive jurisdiction laid down in law may not be altered by a mutual agreement between the parties.

Section 31. Jurisdiction of Closely Connected Cases

(1) A counterclaim shall be brought before a court based on the place where the initial claim is to be examined, irrespective of the jurisdiction of the counterclaim.

(2) A civil claim arising from a criminal case, if such claim has not been submitted or tried during examination of the criminal case, shall, in accordance with the civil procedure, be brought pursuant to the general provisions regarding jurisdiction.

Section 31.1 Bringing an Action in Accordance with the International Agreements Binding upon the Republic of Latvia and Legal Norms of the European Union, if the Case is within the Jurisdiction of a Latvian Court

If in accordance with international agreements binding upon the Republic of Latvia and legal norms of the European Union a case is within the jurisdiction of a Latvian court, however, the provisions of this Law regarding jurisdiction do not provide for the court before which an action should be brought, a plaintiff may bring an action before any Latvian court of his or her choice in conformity with the provisions of Sections 23 and 24 of this Law.

[29 November 2012; 30 October 2014]

Section 32. Transfer of Cases Accepted for Examination to Another Court

(1) Cases which a court has accepted for examination in conformity with the provisions regarding jurisdiction, shall be examined on the merits by such court, notwithstanding that jurisdiction may have changed in the course of the examination of the case.

(2) A court may transfer a case to another court for the examination thereof, if:

1) during the examination of the case in the court it becomes apparent that the case has been accepted in breach of provisions regarding jurisdiction;

2) after recusal or removal of one or more judges their replacement in the same court is impossible;

3) [29 November 2012].

(3) [30 October 2014].

(4) A decision to transfer a case for examination to another court may be appealed by participants in the case in accordance with the procedures laid down in this Law.

(5) A case shall be transferred for examination to another court when the time period for notice of appeal has expired, but if the decision is appealed, after the appeal is dismissed.

(6) A case, which has been sent from one court to another, shall be accepted for examination by the court to which the case has been sent.

[31 October 2002; 29 November 2012; 30 October 2014]

Section 32.1 Transfer of a Case Accepted for Examination to Another Court to Ensure Faster Examination of a Case

(1) A court of first instance may initiate a transfer of a case of court proceedings by way of action present in its examination to another court of the same instance for examination, except in the case the jurisdiction of which is laid down in accordance with Section 30 of this Law, if examination of the case on the merits has not been commenced and if faster examination thereof may be reached, by transferring the case to another court.

(2) A regional court may initiate a transfer of a case of appeal, which has been initiated regarding a judgement (supplementary judgment) of the court of first instance, present in its examination to another regional court for examination, if examination of the case on merits has not been commenced and if faster examination thereof may be reached, by transferring the case to another court.

(3) The court of such instance, in the examination of which is the case, may initiate a transfer of a case, the jurisdiction of which is determined in accordance with Section 28 or 29 of this Law, for examination to other court of the same instance only upon a written request from the plaintiff.

(4) The chief judge of a court one level higher shall take a decision on transferring a case from one court to another upon initiation of the chief judge of the court within the jurisdiction of which the case is. If the case present in the examination of a district (city) court is to be transferred to a court located in another court region, the case shall be decided by the chief judge of such regional court, in the territory of operation of which the court initiating the transfer of the case to another court is located. A decision shall be taken in a manner of resolution and shall not be subject to appeal.

(5) The court initiating the transfer of the case to another court shall inform the participants in the case about the taking of the decision referred to in Paragraph four of this Section.

(6) If a case has been transferred to other court to ensure faster examination thereof in any of instances of court proceedings, a repeated transfer of the case may not be permissible in accordance with the procedures laid down in this Section.

[23 April 2015 / See Paragraph 23 of the Transitional Provisions]

Chapter 4
Expenses for Trial

Section 33. Expenses for Trial

(1) Expenses for trial are court expenses and expenses necessarily incurred for the purposes of conducting a case.

(2) Court expenses are:

1) State fees;

2) office fees;

3) expenses necessarily incurred for the purposes of examining a case.

(3) Expenses necessarily incurred for the purposes of conducting a case are:

1) expenses for the assistance of advocates;

2) expenses related to attending court hearings;

3) expenses related to gathering evidence;

4) expenses for the State ensured legal aid;

5) expenses for the assistance of an interpreter in a court hearing.

[20 June 2001; 10 December 2015; 4 February 2016 / Amendment made regarding the interpreters to Paragraph three, by supplementing it with Clause 5, shall come into force on 31 July 2016. See Paragraphs 112 and 114 of Transitional Provisions]

Section 34. State Fee

(1) For each statement of claim - original claim or counterclaim, application of a third person with a separate claim for the subject-matter of the dispute, submitted in a procedure already commenced, application in cases of special forms of procedure and other applications provided for in this Section submitted to the court - a State fee shall be paid in the following amount:

1) for claims assessable as a monetary amount:

a) up to EUR 2134 - 15 per cent from the amount claimed but not less than EUR 71.14;

b) from EUR 2135 to EUR 7114 - EUR 320.10 plus 4 per cent of the amount claimed exceeding EUR 2134;

c) from EUR 7115 to EUR 28 457 - EUR 519.30 plus 3.2 per cent of the amount claimed exceeding EUR 7114,

d) from EUR 28 458 to EUR 142 287 - EUR 1202.28 plus 1.6 per cent of the amount claimed exceeding EUR 28 457,

e) from EUR 142 288 to EUR 711 435 - EUR 3023.56 plus 1 per cent of the amount claimed exceeding EUR 142 287,

f) exceeding EUR 711 435 - EUR 8715.04 plus 0.6 per cent of the amount claimed exceeding EUR 711 435;

2) for a statement of claim in a case of divorce - EUR 142.29, but for a statement of claim in a case of divorce from a person who has been declared missing in accordance with the relevant procedures or has been sentenced to a term of deprivation of liberty for a period of not less than three years - EUR 14.23;

3) for an application in a case of special forms of procedures - EUR 42.69, for an application in a case regarding insolvency proceedings of a legal person submitted by a creditor - EUR 355.72, for an application in a case regarding insolvency proceedings of a legal person or natural person submitted by a debtor- EUR 71.14, for an application in a case regarding legal protection proceedings - EUR 142.29, for an application in a case regarding insolvency or liquidation of a credit institution - EUR 355.72;

4) for other claims which are not financial in nature or are not required to be assessed - EUR 71.14;

41) for a statement of claim regarding recognition of the arbitration court agreement to be null and void - EUR 500;

5) for an application for the infringements and protection of copyrights and related rights, database protection (sui generis), trade marks and geographical indications, patents, designs, species, topography of semiconductor products (hereinafter - the intellectual property rights), and also an application in cases in respect of which a dispute has been examined in the Board of Appeal for Industrial Property - EUR 213.43;

6) for a statement of claim in a case regarding recognition of decisions of the meeting of shareholders (stockholders) of capital companies to be null and void (Chapter 30.4) - EUR 142.29;

7) for an application for the securing a claim or provisional measures - 0.5 per cent of the amount claimed, but not less than EUR 71.14;

71) for an application for the European Account Preservation Order in accordance with the Regulation (EU) No 655/2014 of the European Parliament and of the Council of 15 May 2014 establishing a European Account Preservation Order procedure to facilitate cross-border debt recovery in civil and commercial matters (hereinafter - the Regulation (EU) No 655/2014 of the European Parliament and of the Council) - 0.5 per cent of the amount claimed, but not less than EUR 71.14;

8) for an application for the securing of evidence, if such application is submitted prior to bringing of a claim - EUR 28.46;

9) in regard to an application regarding an undisputed enforcement, in regard to an application regarding European order for payment in accordance with Regulation (EC) No 1896/2006 of the European Parliament and of the Council of 12 December 2006 creating a European order for payment procedure (hereinafter - Regulation No 1896/2006 of the European Parliament and Council) or voluntary sale of immovable property by auction through the court - 2 per cent of the amount of the debt or value of the property to be returned or voluntarily auctioned, but not exceeding EUR 498.01;

91) for an application for the compulsory enforcement of obligations according to the warning procedures - 2 per cent of the amount of the debt;

10) for an application for the issuing a writ of execution on the basis of a ruling of a permanent arbitration court or the recognition and enforcement of a ruling of a foreign arbitration court - 1 per cent of the amount of the debt, but not exceeding EUR 284.57;

11) for an application for the renewal of a court proceeding and new examination of the case for which a default judgment has been given - in the same amount as for a statement of claim;

12) for a statement of claim regarding division of joint property - in the same amount as for the statement of claim according to general procedure;

13) in regard to complaints in cases of legal protection proceedings, for complaints in cases of insolvency proceedings in relation to a decision of the meeting of creditors, in regard to complaints in relation to a decision or actions of an administrator of insolvency proceedings (hereinafter - administrator), in regard to complaints regarding decisions of the Insolvency Administration, also the performance of the activities laid down in Articles 33 and 37 of Council Regulation (EC) No 1346/2000 of 29 May 2000 on insolvency proceedings (hereinafter - Council Regulation No 1346/2000) - EUR 21.34;

14) in regard to complaints in relation to decisions or actions of a bailiff or sworn notary - EUR 21.34;

15) for an application for the corroboration of the immovable property in the name of the acquirer - EUR 71.14;

16) for an application for the subrogation of the procedural rights of a party, if such application has been submitted to a court after the final ruling has come into effect in the case - EUR 30.

(2) [4 August 2011]

1) [31 October 2002];

2) [31 October 2002];

3) [31 October 2002].

(3) [31 October 2002].

(4) The State fee for a notice of appeal shall be paid in conformity with the rate to be paid upon submitting a statement of claim (an application in a case of special forms of procedure), but in regard to disputes of a financial nature - the rate calculated in conformity with the disputed amount in a court of first instance.

(5) When submitting an ancillary complaint regarding a court decision, except the decision by which release from payment of the court expenses in the State income is refused, a State fee shall be paid - EUR 28.46.

(6) When submitting a writ of enforcement or another enforcement document for enforcement a State fee shall be paid - EUR 2.85.

(7) When submitting an application for the recognition and enforcement of a ruling of a foreign court and adaptation of the rights and obligations laid down in the ruling of a foreign court for the implementation thereof in Latvia, a State fee shall be paid - EUR 28.46.

[31 October 2002; 7 April 2004; 2 September 2004; 17 February 2005; 25 May 2006; 14 December 2006; 1 November 2007; 5 February 2009; 30 September 2010; 28 October 2010; 20 December 2010; 8 September 2011; 4 August 2011; 15 November 2012; 29 November 2012; 18 April 2013; 12 September 2013; 19 December 2013; 23 April 2015; 28 May 2015; 29 October 2015; 10 December 2015; 8 December 2016. Paragraph one, Clause 7.1 regarding the European Account Preservation Order shall come into force on 18 January 2017. See Paragraph 121 of Transitional Provisions]

Section 35. Amount Claimed

(1) The amount claimed shall be:

1) in claims regarding the recovery of money - the amount to be recovered;

2) in claims regarding the recovery of property - the value of the property to be recovered;

3) in claims regarding the recovery of the maintenance - the total amount to be paid within one year;

4) in claims for periodic payments and remittances - the total amount of all payments and remittances, but for not more than three years;

5) in claims for payments and remittances without term or for life - the total amount of all payments and remittances for a three year period;

6) in claims for reduction or increase of payments or remittances - the amount by which the payments or remittances are reduced or increased, but for not more than one year;

7) in claims for termination of payments or remittances - total amount of the remaining payments or remittances, but for not more than one year;

8) in claims for early termination of lease and rental agreements - total amount of payments for the remaining period of the agreement, but for not more than three years;

9) in claims for property rights with respect to immovable property - the value thereof, but not less than the cadastral value;

10) in claims consisting of several separate financial claims - the total sum of all claims;

11) in claims for termination or recognition of a transaction as null and void - the amount of the transaction in dispute.

(2) The amount claimed shall be indicated by the plaintiff. If the indicated amount claimed manifestly does not correspond to the actual value of the property, the amount claimed shall be determined by the court.

[2 September 2004]

Section 36. Supplement to the State Fee

(1) For a claim, which is difficult to assess at the time of submission, the judge shall initially determine the amount of the State fee. The final amount of the State fee shall be determined by the court upon the examination of the case.

(2) If the amount claimed is increased, except for the adding of interest and increments, a supplementary State fee shall be paid accordingly.

Section 36.1 Inclusion of the State Fee

A fee paid in accordance with the Regulation No 1896/2006 of the European Parliament and of the Council for the application for an European order for payment shall be included in the State fee for the claim, if the defendant has submitted a statement of opposition to the European order for payment and court proceedings by way of action are proceeded with.

[8 September 2011]

Section 37. Repayment of the State Fee

(1) State fees paid shall be repaid fully or partly in the following cases:

1) if the fee paid exceeds the fee laid down in law;

2) if a court refuses to accept an application;

3) if the court proceedings in a case are terminated on the grounds that examination of the case is not allocated to the court;

4) if a claim is left without examination on the grounds that the interested party, who has brought the case before the court, has not complied with the extrajudicial examination procedures set out for the respective type of case, or the claim has been submitted by a person lacking capacity to act according to civil procedure;

5) if a court has approved an amicable settlement - in the amount of 50 per cent from the State fee paid in for the court proceedings in the court of the relevant instance;

6) if in accordance with Section 440.8, Paragraph seven of this Law a court refuses to initiate appeal proceedings - in the amount of 50 per cent from the State fee paid in;

7) if the basis for terminating court proceedings is withdrawal of the claim by a plaintiff, because the agreement resulting from mediation is reached, which is certified by a written certification regarding the result of mediation issued by the mediator - in the amount of 50 per cent from the State fee paid in.

(2) The State fee shall be repaid on the condition that an application requesting its repayment has been submitted to the court within three years from the date when the sum was paid into the State budget.

(3) The State fee shall be repaid from the funds of the State budget on the basis of a decision of a court or a judge.

[31 October 2002; 19 June 2003; 20 December 2010; 8 September 2011; 29 November 2012; 20 March 2014; 22 May 2014; 29 October 2015]

Section 38. Office Fees

(1) Office fees shall be paid as follows:

1) for issuing a true copy of a document in a case, also for reissuing a court judgment or decision - EUR 7.11;

2) for issuing a certificate - EUR 2.85;

3) for issuing a duplicate of a writ of execution - EUR 14.23;

4) for certifying the coming into effect of a court ruling, if such ruling is to be submitted to a foreign institution- EUR 4.27;

5) for summoning witnesses - EUR 4.27 for each person.

(2) Office fees shall be paid into the State basic budget.

[2 September 2004; 5 February 2009; 12 September 2013]

Section 39. Expenses Related to Examination of a Case

(1) Expenses related to examination of a case are:

1) amounts, which must be paid to witnesses and experts;

2) expenses related to the examination of witnesses or conducting of inspections on-site;

3) expenses related to searching for defendants;

4) expenses related to enforcement of court judgments;

5) expenses related to the delivery, service and translation of court summonses and other judicial documents;

6) expenses related to publication of notices in newspapers;

7) expenses related to securing a claim;

8) [1 January 2012].

(2) The procedures by which the sums to be paid to witnesses and experts shall be calculated, as well as the amount of expenses related to examination of witnesses or conducting of inspections on-site, searching for defendants, delivery, service and translation of court summonses and other judicial documents, publication of notices in newspapers and securing a claim shall be stipulated by the Cabinet.

[31 October 2002 / See Paragraph 12 of Transitional Provisions]

Section 40. Procedures for Paying the Expenses Related to Examination of a Case

(1) Amounts of expenses to be paid to witnesses and experts or also amounts necessary to pay the expenses for examination of witnesses or inspections on-site, delivery, service and translation of court summonses and other judicial documents, publication of notices in newspapers and securing a claim shall be paid in prior to examination of a case, by the party that made the relevant request.

(2) If upon a request of Latvia evidence is obtained for or judicial documents are served to a person in a foreign country, the amount of expenses, which a competent authority of a foreign country requires to pay in prior to or repay after fulfilment of the request, shall be paid by the party that made the relevant request.

(3) If the request referred to in Paragraph one or two of this Section has been submitted by both parties, they shall pay the required amount equally.

(4) If the request referred to in Paragraph one or two of this Section has been submitted by a court or judge upon his or her own initiative in cases provided for by this Law, the required sum shall be paid in by the State.

(5) The sums referred to in this Section need not be paid in by a party which is exempted from the payment of court expenses.

[5 February 2009]

Section 41. Reimbursement of Court Expenses

(1) The court shall adjudge the reimbursement of all court expenses paid by the party for the benefit of which the judgment is given from the opposing party to the former party. If a claim has been satisfied in part, the reimbursement of sums laid down in this Section shall be adjudged to the plaintiff in proportion to the extent of the claims satisfied by the court, but to the defendant in proportion to the part of the claims dismissed. State fee for an ancillary complaint regarding a decision of the court, application for the renewal of court proceedings and examination of the case anew where a default judgment has been given shall not be reimbursed.

(2) If a plaintiff withdraws a claim, he or she shall reimburse the court expenses incurred by the defendant. In this case the defendant shall not reimburse the court expenses paid by the plaintiff. However, if a plaintiff withdraws his or her claims because the defendant has voluntarily satisfied such claims after their submission, the court shall, upon a request of the plaintiff, adjudge the reimbursement of court expenses paid by the plaintiff to the defendant.

(3) If an action is left without examination, the court shall, upon a request of the defendant, adjudge the reimbursement of court expenses paid by the defendant to the plaintiff, except in the case laid down in Section 219, Paragraph one, Clause 2 of this Law.

[31 October 2002; 8 September 2011]

Section 42. Reimbursement of Court Expenses to the State

(1) If a plaintiff is exempted from paying the court expenses, the reimbursement of such court expenses in the State income in proportion to the part of the claim that has been satisfied shall be adjudged to the defendant.

(2) If a claim is dismissed, left without examination or if the plaintiff discontinues the claim, the reimbursement of court expenses, which have not been paid previously, in the State income shall be adjudged to the plaintiff. However, if a plaintiff withdraws his or her claims because the defendant has voluntarily satisfied such claims after their submission, the court expenses shall be recovered from the defendant for payment in the State income.

(3) If a claim has been satisfied in part, but the defendant is exempted from payment of court expenses, such expenses, in proportion to the part of the claim that has been dismissed, shall be recovered from the plaintiff, who is not exempt from the payment of court expenses, for payment in the State income.

(4) If both parties are exempt from payment of the court expenses, the State shall bear the court expenses.

(5) If a court approves an amicable agreement and terminates legal proceedings in a case, the reimbursement of court expenses, that have not been paid previously, in the State income shall be adjudged to both parties in equal amount, unless otherwise provided for by the amicable agreement.

[8 September 2011; 23 April 2015]

Section 43. Exceptions to General Provisions Regarding Court Expenses

(1) The following persons shall be exempt from the payment of court expenses in the State income:

1) plaintiffs - in claims regarding the recovery of work remuneration and other claims of employees arising from legal employment relations or related to such;

11) plaintiffs - in claims arising from agreement on performance of work, if the plaintiff is a person who serves his or her sentence at a place of imprisonment;

2) plaintiffs - in claims arising from personal injuries that have resulted in mutilation or other damage to health, or the death of a person;

3) plaintiffs - in claims regarding the recovery of child maintenance or parent support, as well as in claims regarding the determination of paternity, if the action is brought concurrently with the claim regarding the recovery of child maintenance;

31) applicants - in regard to recognition or recognition and enforcement of a ruling of a foreign country on the recovery of child maintenance or parent support;

4) plaintiffs - in claims regarding compensation for financial losses and moral damages resulting from criminal offences;

5) public prosecutors, the State or local government institutions to whom the right to defend the rights and lawful interests of other persons in court has been granted by law;

6) applicants - in cases regarding restricting the capacity to act of a person due to mental disorders or other health disorders, revision of the restriction of capacity to act or restoration of capacity to act;

61) applicants - in regard to establishment and termination of temporary trusteeship;

7) applicants - in regard to restricting the capacity to act of a person or establishment of trusteeship for a person due to a dissolute or spendthrift lifestyle, as well as excessive use of alcohol or other intoxicating substances;

8) defendants - in cases regarding reduction of child or parent support adjudged by a court, and reduction of such payments as the court has assessed in claims arising from personal injuries resulting in mutilation or other damage to health, or the death of a person;

9) [1 January 2012];

91) applicants - in cases regarding the wrongful removal of children across borders or detention;

10) administrators - in claims that are brought for the benefit of persons in respect of which insolvency proceedings of a legal person and insolvency proceedings of a natural person have been announced, as well as when submitting an application in a case regarding insolvency proceedings of a legal person in the case specified in Section 51, Paragraph three of the Insolvency Law;

11) creditors - in enforcement cases regarding recoveries for payment into State revenues;

111) creditors - in enforcement cases when recovery should be performed according to the uniform instrument permitting enforcement of claims in the requested Member State;

12) tax (fee) administration - in applications of cases regarding insolvency proceedings of a legal person;

13) the Office of Citizenship and Migration Affairs - in cases regarding revocation of Latvian citizenship;

14) the State Social Insurance Agency - in cases regarding the recovery of financial resources in the part of the State budget regarding overpayment of social insurance services or State social allowances or disbursement of social insurance services or State social allowances due to road traffic accidents;

15) applicants - regarding provisional protection against violence;

16) the party receiving the State-ensured legal aid in the case.

(2) If a public prosecutor or State or local government institutions or persons to whom the right to defend the rights and lawful interests of other persons in court has been granted by law, withdraws from an application, which has been submitted on behalf of another person, but such person demands examination of the case on the merits, the court expenses shall be paid in accordance with generally applicable provisions.

(3) The parties may also be exempted from the payment of court expenses in the State income in other cases provided for by law.

(4) A court or a judge, upon consideration of the material situation of a natural person, shall exempt him or her partly or fully from the payment of court expenses in the State income, as well as postpone the adjudged payment of court expenses in the State income, or divide the payment thereof into instalments.

(5) In claims for divorce the judge shall, upon a request of the plaintiff, postpone the payment of State fees or divide the payment thereof into instalments, if a minor child is in the care of the plaintiff.

[20 June 2001; 31 October 2002; 19 June 2003; 7 September 2006; 1 November 2007; 5 February 2009; 30 September 2010; 9 June 2011; 8 September 2011; 15 March 2012; 29 November 2012; 13 February 2014; 29 October 2015; 10 December 2015; 8 December 2016]

Section 44. Expenses Related to Conducting a Case and Reimbursement Thereof

(1) Expenses related to conducting a case shall be reimbursed in the following amounts:

1) expenses for the assistance of an advocate:

a) reimbursable expenses for paying for the assistance of an advocate in claims, which are financial in nature and the claim sum of which does not exceed EUR 8500 - in the actual amount thereof, but not exceeding 30 per cent of the satisfied part of the claim;

b) reimbursable expenses for paying for the assistance of an advocate in claims, which are financial in nature and the claim sum of which is EUR 8501-57 000 - in the actual amount thereof, but not exceeding EUR 2850;

c) reimbursable expenses for paying for the assistance of an advocate in claims, which are financial in nature and the claim sum of which exceeds EUR 57 001 - in the actual amount thereof, but not exceeding 5 per cent of the satisfied part of the claim;

d) reimbursable expenses for paying for the assistance of an advocate in claims, which are not financial in nature - in the actual amount thereof, but not exceeding EUR 2850;

e) reimbursable expenses for paying for the assistance of an advocate in claims, which are not financial in nature, and in cases, which have been recognised as complex by a court - in the actual amount thereof, but not exceeding EUR 4275;

2) travel and accommodation expenses related to attending a court hearing, as well as related to the presence or participation of parties or representatives thereof in obtaining of evidence when upon the request of Latvia the evidence is obtained abroad - in accordance with the rates determined by the Cabinet for reimbursing official travel expenses;

3) expenses related to obtaining documentary evidence - the actual amount of expenses;

4) expenses for an interpreter related to the presence or participation of parties or representatives thereof in obtaining of evidence when upon the request of Latvia evidence is obtained abroad - in the amount of actual expenses, however not more than the rates laid down by the Cabinet;

5) expenses for an interpreter related to the participation of parties in the court hearing - in the amount of actual expenses, however not more than the rates laid down by the Cabinet.

(2) The recovery of expenses related to conducting of a case shall be adjudged in favour of the plaintiff to the defendant, if the plaintiff's claim has been satisfied in whole or in part or if the plaintiff does not maintain the claims because the defendant has voluntarily satisfied them after submission thereof.

(3) If a claim is dismissed, the recovery of expenses related to conducting of the case shall be adjudged in favour of the defendant to the plaintiff.

(4) If a claim has been examined only at a court of first instance, the reimbursable expenses for paying for the assistance of an advocate shall not exceed 50 per cent of the maximum amount of remuneration laid down in Paragraph one of this Section.

(5) A court may determine a smaller amount for reimbursable expenses for paying for the assistance of an advocate in conformity with the principle of justice and proportionality, as well as by assessing objective circumstances related to a case, particularly - the level of complexity and volume of the case, the number of court hearing during examination of the case and the court instance in which the claim is examined.

(6) A court may refuse to reimburse expenses for an interpreter, if the party in the favour of which such expenses are to be adjudged, understands the language of the court proceedings.

[20 June 2001; 5 February 2009; 29 November 2012; 12 September 2013; 4 February 2016 / Amendment made regarding the interpreters to Paragraph one, Clause 4, and also amendment regarding supplementing of Paragraph one with Clause 5 and amendment regarding supplementing of Section with Paragraph six shall come into force on 31 July 2016. See Paragraph 114 of Transitional Provisions]

Section 44.1 Expenses for the State Ensured Legal Aid and Reimbursement Thereof to the State

(1) Expenses for the State ensured legal aid are as follows:

1) expenses for the provision of the State ensured legal aid;

2) reimbursable expenses related to provision of the State ensured legal aid.

(2) When giving a ruling a court shall recover expenses for the State ensured legal aid in conformity with the provisions referred to in Section 42 of this Law.

(3) A court shall obtain information on the amount of expenses for the State-ensured legal aid from the Register of the State ensured Legal Aid and from the notification submitted by the State ensured legal aid provider regarding provision of the State ensured legal aid in civil cases, if such information is not included in the Register of the State ensure Legal Aid.

(4) If the party, from which in accordance with Paragraph two of this Section expenses for the State ensured legal aid are to be recovered, is exempt from payment of court expenses, then the expenses for the provision of the State ensured legal aid shall be covered by the State.

[10 December 2015 / See Paragraph 112 of Transitional Provisions]

Section 45. Appeal of Decisions on Court Expenses

The person to whom it applies may appeal a decision on the issue of court expenses.

[19 June 2003]

Chapter 5
Procedural Terms

Section 46. Determination of Procedural Terms

(1) Procedural actions shall be carried out within the terms laid down in law. If the law does not prescribe the procedural terms, a court or a judge shall determine them. The length of the term specified by a court or a judge must be such that the procedural action could be carried out.

(2) A precise date, term ending on a set date or period of time (expressed in years, months, days or hours) shall be determined for the execution of a procedural action. If the procedural action need not to be executed on a specific date, it may be carried out at any time during the set term.

(3) The term may also be determined by indicating an event, which shall occur in any case.

(4) If terms for the examination of cases or for the execution of other procedural actions are laid down in law for a court or judge and a participant in the case is notified regarding the execution of the relevant procedural action in accordance with Section 56.2 of this Law, but the execution of the relevant procedural action is not possible within the time period determined in law, a court or a judge is entitled to specify a more reasonable and longer term.

[31 October 2002; 5 February 2009]

Section 47. Commencement of the Calculation of Procedural Terms

(1) The procedural term to be calculated in years, months or days shall commence on the day following the date or event indicating its commencement.

(2) A procedural term to be calculated in hours commences from the next hour following the event indicating its commencement.

[31 October 2002]

Section 48. Termination of Procedural Terms

(1) A term to be calculated in years shall expire on the respective month and date of the final year of the term. A term to be calculated in months shall expire on the respective date of the final month of the term. If a term to be calculated in months terminates on a month that does not have the respective date, it shall expire on the last day of such month. A set term extending until a particular date shall expire on such date.

(2) If the final day of a term is Saturday, Sunday or a holiday laid down in law, the following working day shall be considered as the final day of the term.

(3) A procedural action term of which expires may be carried out until 12 o'clock midnight on the final day of the term.

(4) If a procedural action is to be carried out in court, the term shall expire at the hour when the court ceases work. If a statement of claim, appeal or other postal items are delivered to a communications institution on the final date of the time period by 12 o'clock midnight, they shall be considered to have been submitted within the time period.

[31 October 2002]

Section 49. Consequences of Default Regarding Procedural Terms

The right to perform procedural actions shall lapse after expiration of the term laid down by law or by a court. Appeals and documents submitted after expiration of a procedural term shall not be accepted.

[31 October 2002]

Section 50. Staying of Procedural Terms

If a proceeding in a case is stayed, the calculation of a time period is stayed. The calculation of a time period is stayed from the moment when the circumstance, which is the cause for staying the proceeding, has occurred. The calculation of a procedural term shall be continued from the day when proceeding in the case is renewed.

[31 October 2002]

Section 51. Renewal of Procedural Terms

(1) Upon an application of a participant in the case, the court shall renew procedural terms regarding which there has been default, if it finds the reasons for default justified.

(2) In renewing the term regarding which there has been default, the court shall at the same time allow the delayed procedural action to be carried out.

[31 October 2002]

Section 52. Extension of Procedural Terms

The terms determined by a court or a judge may be extended pursuant to an application of a participant in the case.

Section 53. Procedures for Extending and Renewing Procedural Terms

(1) An application for the extension of a term or renewal of delayed time period shall be submitted to the court where the delayed action had to be performed, and it shall be examined in the written procedure. The participants in the case shall be notified in advance regarding examination of the application in the written procedure, concurrently sending them an application for the extension of the term or renewal of a delayed term.

(2) An application for the renewal of a procedural time period shall be accompanied by documents required for the performance of the procedural action, and the grounds for renewal of the term.

(3) A term laid down by a judge may be extended by a judge sitting alone.

(4) An ancillary complaint may be submitted regarding a refusal by a court or a judge to extend or renew a term.

[8 September 2011]

Chapter 6
Court Notifications, Summonses and Delivery and Service of Judicial Documents

[5 February 2009]

Section 54. Summons to Court

(1) Participants in a case shall be summoned to the court by notifying sufficiently in advance the time and place of the court hearing or individual procedural actions.

(2) Participants in a case shall be summoned to the court by a court summons. In the cases laid down in this Law a defendant may be summoned to the court by a publication in the official gazette Latvijas Vēstnesis.

(3) Witnesses and experts shall be summoned to the court by court summons.

[29 November 2012; 4 February 2016 / Amendment made regarding the interpreters to Paragraph three shall come into force on 31 July 2016. See Paragraph 114 of Transitional Provisions]

Section 54.1 Ascertaining of the Place of Residence of a Defendant

(1) If a defendant does not have a declared place of residence in Latvia, the plaintiff has an obligation to indicate the address of the place of residence of the defendant to the court, if he or she knows it.

(2) If due to objective reasons the plaintiff has not been able to determine the place of residence of the defendant, which is not in Latvia, the court upon a reasoned request from the plaintiff may use the procedures provided for in international agreements binding to the Republic of Latvia or legal acts of the European Union for ascertaining the address of the defendant.

[29 November 2012]

Section 55. Court Summons

The following shall be indicated in a summons:

1) the given name, surname and address of a natural person or the name and legal address of a legal person to be summoned or summonsed;

2) the name and address of the court;

3) the time and place of attendance;

4) the name of the case to which the person is summoned or summonsed;

5) a statement of reasons upon which the addressee is summoned or summonsed;

51) an indication that a video conference will be used;

6) a notice that it is the obligation of the person, who has received the summons on account of the absence of the addressee, to pass it on to the addressee;

7) the consequences of a failure to attend;

8) a statement that the court proceeding shall be carried out in the official language and that a participant in the case, who does not understand the official language, has an obligation to ensure the assistance of an interpreter by himself or herself, except in cases provided for in this Law. A participant to the case has an obligation to ensure the assistance of an interpreter also for experts or witnesses summonsed upon his or her request, if the expert or witness does not understand the language of the court proceedings.

[5 February 2009; 8 September 2011; 29 November 2012; 4 February 2016 / Amendment made regarding the interpreters by supplementing Section with Clause 8, shall come into force on 31 July 2016. See Paragraph 114 of Transitional Provisions]

Section 56. Delivery and Service of a Summons and Other Judicial Documents

(1) [23 November 2016]

(2) The drawn up judicial documents (judgments, decisions, notifications, summons etc.), as well as documents (true copies of applications in a case of special forms of procedure, appeal, cassation complaints, written explanations etc.), which are drawn up and submitted to the court by participants in the case but which are further issued by the court, shall be sent as an ordinary postal item, by an electronic mail or delivered by a messenger.

(21) A summons shall be sent to an advocate, a notary, a bailiff, State and local government institutions by an electronic mail.

(22) A court shall notify an advocate of the drawn up judicial documents, as well as other documents drawn up electronically in the online system.

(23) A notary, a bailiff, State and local government institutions shall be notified of the drawn up judicial documents, as well as other documents drawn up electronically by an electronic mail, unless the person referred to in this Paragraph has notified the court of his or her registration in the online system.

(3) Judicial documents may be served to an addressee in person upon signature, if necessary, by summoning the addressee upon a summons to arrive to a court in order to receive the documents to be served.

(4) A participant in a case may, with a consent of a judge, receive judicial documents for delivery to another addressee in the case.

(5) Judicial documents shall be delivered to a natural person based on the address of the declared place of residence, but in cases when additional address is indicated in the declaration - based on the additional address, unless the natural person has not indicated his or her address to the court for correspondence with the court shall be carried out. The natural person has an obligation to be located at the address of his or her declared place of residence, at the additional address indicated in the declaration or at the address indicated by such person for correspondence with the court. If the defendant does not have an address of declared place of residence and he or she has not indicated his or her address for correspondence with the court, the judicial documents shall be delivered based on the address indicated by the participant of the case in accordance with Section 54.1, Paragraph one of this Law. The judicial documents may also be delivered to the workplace of the person.

(51) In executing a request of a foreign country for service of documents (Sections 672 and 681), documents shall be delivered to the addressee based on the address indicated in the request, but if the addressee cannot be located at such address, they may be delivered in accordance with the procedures laid down in this Section.

(6) Judicial documents shall be delivered to a legal person based on the legal address thereof.

(61) Judicial documents shall be delivered by electronic mail, if a participant in the case has notified the court that he or she agrees to use electronic mail for correspondence with the court. In such case judicial documents shall be sent to the electronic mail address indicated by the participant in the case. If the court finds technical obstacles for the delivery of judicial documents by electronic mail, they shall be delivered by other method referred to in Paragraph two of this Section.

(62) If the participant in the case has notified the court of the fact that he or she agrees to electronic correspondence with the court, as well as of registration of his or her participation in the online system, judicial documents shall be communicated in the online system. If the court finds technical obstacles for the communication of judicial documents in the online system, they shall be delivered in other way referred to in Paragraph two of this Section, but the court summons shall be sent to the electronic mail address indicated by the participant in the case.

(7) Judicial documents delivered by a messenger or a participant in the case shall be served to the addressee in person upon signature, by indicating the time and date of service of the document in the signature part and returning the signature part to the court.

(8) If the person serving the judicial documents does not meet the addressee, he or she shall serve the judicial documents to any adult family member residing with such person. If the person serving the judicial documents does not meet the addressee at his or her workplace, he or she shall leave the documents to be served with the workplace administration for them to be given to the addressee. In the abovementioned cases the recipient of the judicial documents shall set out his or her given name and surname, the time and date of service of the document in the signature part, as well as indicate his or her relationship to the addressee or his or her work position, and shall give the judicial documents to the addressee without a delay.

(9) If the addressee of the judicial documents cannot be located, the person serving the judicial documents shall make an appropriate notation in the signature part of the document. The person serving the judicial documents shall also indicate in this part of the document the place to which the addressee has gone, and the time when the addressee is expected to return, if he or she has ascertained this.

(10) In respect of certain judicial documents the law may provide for sending thereof by registered mail or other types of delivery or service thereof.

[5 February 2009; 8 September 2011; 29 November 2012; 12 February 2015; 23 November 2016]

Section 56.1 Date of Delivery and Service of Judicial Documents

(1) If judicial documents have been delivered in accordance with the procedures laid down in Section 56 of this Law, except in the case provided for in Paragraph nine thereof, it shall be considered that a person has been notified of the time and place of a court hearing or procedural action or of the contents of the relevant document and that the judicial documents have been served:

1) on the date when the addressee or another person has accepted them in accordance with Section 56, Paragraph three, seven or eight of this Law;

2) on the date when the person has refused to accept them (Section 57);

3) on the seventh day from the day of sending, if the documents have been sent by mail;

4) on the third day from the day of sending, if the documents have been sent by electronic mail;

5) on the third day after sending by communicating in the online system.

(2) The fact per se that judicial documents have been delivered based on the address of the declared place of residence of a natural person, based on the additional address indicated in the declaration, based on the address indicated by the natural person for correspondence with the court or the legal address of a legal person and a statement is received from the post office regarding delivery of the postal item or documents are returned shall not affect the fact that the documents have been notified. The addressee may refute the presumption that documents have been issued on the seventh day from the day of sending if documents have been sent as a postal item, or on the third day from the day of sending if documents have been sent as an electronic mail item or by communicating in the online system indicating to objective circumstances which have served as an obstacle for the receipt of the documents based on the indicated address regardless of his or her will.

[5 February 2009; 8 September 2011; 29 November 2012; 23 November 2016]

Section 56.2 Delivery and Service of Judicial Documents to a Person whose Place of Residence or Location is not in Latvia

(1) Judicial documents shall be delivered in the following ways to a person whose place of residence, location or legal address is not in Latvia and whose address is known:

1) in accordance with the procedures provided for in Regulation (EC) No 1393/2007 of the European Parliament and of the Council of 13 November 2007 on the service in the Member States of judicial and extrajudicial documents in civil or commercial matters (service of documents), and repealing Council Regulation (EC) No 1348/2000 (hereinafter - Regulation No 1393/2007 of the European Parliament and of the Council) (Chapter 81);

2) in accordance with the procedures provided for in Article 13 of Regulation (EC) No 861/2007 of the European Parliament and of the Council of 11 July 2007 establishing a European Small Claims Procedure (hereinafter - Regulation No 861/2007 of the European Parliament and of the Council);

3) in accordance with the procedures provided for in international agreements (Chapter 82) binding on Latvia;

4) in accordance with the procedures provided for in Chapter 83 of this Law.

(2) If judicial documents have been delivered to a person in accordance with the procedures laid down in Paragraph one of this Section, it shall be considered that the person has been notified of the time and place of procedural action or regarding the contents of the relevant document only in such case, if the confirmation regarding service of the document has been received. Documents shall be considered as served on the date indicated in the confirmation regarding service of documents.

(21) If judicial documents have been delivered to a person in accordance with the procedures laid down in Paragraph one of this Section and a confirmation regarding non-delivery thereof has been received, the court shall consider the reasons for non-delivery of the documents and determine the impact of non-delivery of the documents on court proceedings in accordance with the provisions of this Law. After considering the reasons for non-delivery of the documents the court may repeat the delivery of documents or use another method for the service thereof. If repeat issuance of documents is unsuccessful, Section 59 of this Law shall be applied.

(3) This Section shall not be applied, if a person, whose place of residence, location or legal address is not in Latvia, conducts a case through the mediation of a representative authorised in Latvia. In such case judicial documents shall be served only to the representative according to the general procedure.

[5 February 2009; 29 November 2012]

Section 57. Consequences Caused by Refusing to Accept Judicial Documents

(1) If an addressee refuses to accept judicial documents, the person delivering the documents shall make a relevant notation in the document, specifying also reasons for refusal, date and time thereof.

(2) Refusal to accept judicial documents shall not constitute a bar for the examination of a case.

[5 February 2009]

Section 58. Change of Address during a Court Proceeding

(1) A participant in a case shall notify the court regarding any change in his or her address during the court proceeding. In the absence of such notice, a summons shall be sent based on the last known address of the person. In such case it shall be considered that the participant in the case has been notified of the time and place of the examination of the case.

(2) If a participant in the case does not notify the court regarding a change of their address during the proceeding, a court or a judge may impose on such participant a fine of up to EUR 50.

[30 September 2010; 12 September 2013]

Section 59. Summoning to Court through a Publication in a Newspaper

(1) A defendant, whose address could not be ascertained in accordance with Section 54.1 of this Law or to whom documents could not be delivered based on the address which was indicated by the participant in the case in accordance with Section 54.1, Paragraph one of this Law, or to whom judicial documents could not be delivered in accordance with Section 56.2 of this Law, shall be summoned to the court through a publication in the official gazette Latvijas Vēstnesis.

(2) Irrespective of the publication of a summoning notice in the official gazette Latvijas Vēstnesis, plaintiffs are entitled to publish the text of the court summons in other newspapers at their own expense.

(3) The text of the summons published in a newspaper shall correspond to the contents of the summons.

(4) A court may examine a case without the participation of the defendant, if not less than one month has passed from the day the summons was published in the official gazette Latvijas Vēstnesis.

(5) Alongside summoning of the defendant through a newspaper publication, the summons shall also be sent based on the location of the defendant's immovable property, if the plaintiff has indicated such location.

[29 November 2012]

Section 60. Search for a Defendant if his or her Place of Residence is Unknown

If the place of residence of a defendant is unknown, the court, upon a request of the plaintiff, is entitled to announce a search for the defendant.

Chapter 7
Minutes of the hearing

Section 61. Recording the Course of a Court Hearing

(1) Minutes of the hearing shall be written at every hearing of a court. The course of a court hearing shall be recorded in full amount through the use of technical means. A notation regarding this fact shall be made in the minutes of the hearing.

(2) The material obtained in the result of using a sound recording or other technical means shall be attached to a case and kept together with it, or entered into the Judicial Informative System and stored therein.

(3) In cases provided for in this Law, minutes shall also be kept regarding separate procedural actions performed outside a court hearing.

(4) The course of a court hearing shall not be recorded through the use of technical means, if none of the participants in the case has arrived.

(5) If the course of a court hearing has been recorded through the use of a sound recording, the relevant sound recording shall be accessible for persons having the right to become familiar with materials of the case on the next working day after the day of the court hearing.

[19 December 2013; 22 May 2014]

Section 62. Contents of the Minutes

(1) The following shall be indicated in the minutes of a court hearing:

1) the year, day, month and place of the court hearing;

2) the name of the court which examines the case, the composition of the court, the court recorder of the court hearing, advocates and public prosecutors who participate in the case;

3) the fact that the course of the court hearing is being recorded through technical means;

4) the time of opening of the court hearing;

5) the name of the case;

6) information about the attendance of participants in the case, witnesses, experts and interpreters;

7) information that the procedural rights and obligations of the participants in the case have been explained to such participants;

8) information that the witnesses, experts and interpreters have been warned regarding criminal liability;

9) information concerning the examination of material and written evidence;

10) court orders and decisions that have not been taken in the manner of separate procedural documents;

11) information on the retiring of the court in order to take a decision or give judgment;

12) information on the declaring of judgments or decisions taken as separate procedural documents;

13) information on the explaining of the contents of a judgment or decision, appeal procedures and time periods;

14) information as to when the participants in the case may acquaint themselves with the minutes of the hearing, sound recording and the complete text of the judgment;

15) the time when the court hearing is closed;

16) the time when the minutes of the hearing are signed.

(2) A notation shall be made in the minutes of the hearing regarding the withdrawal of a claim by a plaintiff, as well as regarding the admitting of a claim by a defendant and the admitting of legal facts by the participants in the case, and the defendant, the plaintiff or both parties shall respectively certify it by signing on a separate certification drawn up by the court.

(3) The minutes of the hearing shall be signed by the chairperson of the court hearing and the court recorder of the court hearing.

(4) Minutes of separate procedural actions performed outside a court hearing shall conform to the requirements of this Section.

[19 December 2013]

Section 63. Writing of Minutes of a Hearing

(1) Minutes of a hearing shall be written by a court recorder of a court hearing.

(2) Minutes of a hearing shall be signed not later than three days after termination of a court hearing or implementation of separate procedural actions, but in complex cases - not later than five days thereafter.

(3) All additions and amendments to the minutes shall be justified before the chairperson of the court hearing and the court recorder of the court hearing sign the minutes. Incomplete lines and other blank spaces in the minutes shall be crossed out. Erasures or blocking out shall not be permitted in the text of minutes.

Section 64. Notes Regarding Minutes

[19 December 2013]

Chapter 8
Procedural Sanctions

Section 65. Types of Procedural Sanctions

In cases laid down in this Law, the court may apply the following procedural sanctions:

1) a warning;

2) expulsion from the courtroom;

3) a fine;

4) forced conveyance to the court.

Section 66. Warning

A person who disturbs the order during the trial of a case shall be given a warning by the chairperson of the court hearing and in regard to this a notation shall be made in the minutes of the hearing.

Section 67. Expulsion from the Court Room

If participants in a case, witnesses, experts or interpreters repeatedly disturb the order during the trial of a case, they may be expelled from the court room pursuant to a decision of the court, but other persons present may be expelled pursuant to an order of the chairperson of the court hearing even without prior warning.

Section 68. Fines

(1) A court shall impose a fine in the cases and in the amounts laid down in this Law. If the court imposes a fine in a court hearing, the decision shall be entered in the minutes of the hearing.

(2) A true copy of the court decision (extract from the minutes) regarding imposition of a fine shall be sent to the person on whom the fine is imposed.

(3) A person on whom a fine has been imposed may, within ten days after service of a true copy of the court decision (extract from the minutes), request the court which imposed the fine to release such person from the fine or reduce the amount thereof. Such application shall be examined at a court hearing, and the person on whom the fine has been imposed on shall be notified of the hearing in advance. Failure of such person to attend shall not constitute a bar for the examination of the submission.

(4) Fines imposed on officials shall be collected from their personal resources.

[5 February 2009; 19 December 2013]

Section 69. Conveyance by Force

(1) In cases laid down in this Law a court may take a decision on forced conveyance of a person to the court.

(2) Such decision shall be enforced by a police institution specified by the court.

Section 70. Administrative and Criminal Liability of Participants in a Case and Other Persons

Participants in a case and other persons who by their acts or failure to act disrupt the work of the court may, alongside the procedural sanctions provided for in law, be held to administrative or criminal liability in the cases laid down in law.

Division Two
Participants in a Case

Chapter 9
Civil-procedural Legal Capacity and Civil-procedural Capacity to Act

Section 71. Civil-procedural Legal Capacity

(1) Civil-procedural legal capacity is the capacity to have civil-procedural rights and obligations.

(2) All natural persons and legal persons shall be recognised as having equal civil-procedural legal capacity.

Section 72. Civil-procedural Capacity to Act

(1) Natural persons who have attained legal age, insofar as their capacity to act has not been restricted by the court, and legal persons have the right to exercise civil-procedural rights and perform obligations (civil procedure capacity to act).

(2) Court cases for natural persons from 15 to 18 years of age shall be conducted by their statutory representatives. Court cases for natural persons who have attained legal age and whose capacity to act has been restricted by a court shall be conducted by their representatives or - in the cases laid down in the law - by representatives together with such persons. In cases conducted by representatives of the abovementioned persons the court shall also invite such persons themselves to participate.

(3) Court cases shall be conducted, for natural persons who have not attained the age of 15 by their statutory representatives.

(4) In cases laid down in law, minors are entitled to independently exercise their civil-procedural rights and to perform obligations. In such case the statutory representatives of such persons may, in the discretion of the court, be called upon to assist such persons in conducting the case.

(5) Natural persons who have attained legal age and whose capacity to act has been restricted by a court shall have complete civil-procedural capacity to act in cases in which restrictions to their actions and freedom, as well as disputes between such person and his or her trustee are examined. In such cases the court shall invite a public prosecutor and a representative of the Orphan's Court.

[29 November 2012]

Section 73. Concept of Participant in a Case

(1) Participants in a case are parties, third persons, representatives of parties and third persons, public prosecutors, those State or local government institutions or persons, to which the right to defend the rights and lawful interests of other persons in court has been granted by law, authorities which may be called upon to provide opinions in cases provided for in law, and representatives of such persons.

(2) Persons possessing civil-procedural legal capacity and civil-procedural capacity to act may be participants in cases. The State and local government institutions to whom the right to defend the rights and lawful interests of other persons in court has been granted by law may be participants in cases regardless of whether or not they are legal persons.

[7 April 2004]

Section 73.1 Use of Rights and Obligations in Bad Faith or Disrespect Against a Court

(1) If a participant in the case uses his or her rights in bad faith or performs his or her obligations in bad faith, including he or she knowingly provides false information to the court regarding facts and circumstances in the case, or knowingly delays, by action or omission, examination of the case or issue, a judge shall warn the participant in the case, or impose a fine of up to EUR 800.

(2) A court may impose a fine of up to EUR 1000 for disrespect against a court - any action which indicates to gross ignorance of provisions existing in the court hearing or court.

[23 April 2015]

Chapter 10
Parties

Section 74. Parties, their Rights and Obligations

(1) Any natural or legal person may be a party (a plaintiff or a defendant) in a civil case.

(2) Parties have the following civil-procedural rights:

1) to acquaint themselves with the materials of a case, make extracts therefrom and prepare copies thereof;

2) to participate in court hearings;

3) to submit a recusal;

4) to submit evidence;

5) to participate in examination of the evidence;

6) to submit requests;

7) to provide oral explanations and written explanations to the court;

8) to express their arguments and considerations;

9) to raise objections against requests, arguments and considerations of other participants in the case;

10) to appeal court judgments and decisions;

11) to receive true copies of judgments, decisions and other documents in the case, and to enjoy other procedural rights granted them by this Law.

(3) In addition, plaintiffs have the right:

1) to withdraw their claims partly or fully;

2) to reduce the amount of their claims;

3) to amend in writing the basis or the subject-matter of their action or to increase the amount claimed, before examination of the case on the merits is commenced (Section 163 of this Law).

(4) A defendant is entitled to admit a claim fully or partly, raise objections against a claim or to bring a counterclaim.

(5) Parties may agree on the use of mediation, also enter into a settlement or agree to transfer the case for examination to an arbitration court.

(6) Parties shall exercise their rights and perform their obligations in good faith.

(7) It is the obligation of the parties:

1) to attend the court pursuant to a court summons;

2) to give a timely notice in writing of reasons preventing them from attending a court hearing by submitting evidence thereon;

21) to ensure assistance of an interpreter, if they do not understand the language of the court proceeding, except in cases laid down in this Law, including to ensure assistance of an interpreter also for experts or witnesses who are summonsed upon request of the parties, if the expert or witness does not understand the language of the court proceeding;

3) to perform other procedural obligations imposed to him or her by this Law.

[4 August 2011; 22 May 2014; 4 February 2016 / Amendment made regarding the interpreters to Paragraph seven, by supplementing it with Clause 2.1, shall come into force on 31 July 2016. See Paragraph 114 of Transitional Provisions]

Section 75. Co-party Participation

(1) An action may be brought by several plaintiffs against one defendant, one plaintiff against several defendants, or several plaintiffs against several defendants.

(2) Each co-plaintiff and co-defendant acts independently in relation to the other party and other co-participants.

(3) Co-participants may transfer the conducting of the case to one of the co-participants or to one joint representative.

Section 76. Plaintiffs in a Case Initiated by Other Persons

A person in whose interests a case has been initiated pursuant to the application of a public prosecutor, or of a State or local government institution or person, to whom the right to defend the rights and lawful interests of other persons in court has been granted by law, shall participate in the case as a plaintiff.

Section 77. Subrogation of the Procedural Rights of a Party

(1) If one of the parties in a case withdraws (a natural person dies, a legal person ceases to exist, a claim is ceded, a debt is transferred or other circumstances), the court shall allow such party to be replaced by the successor in interest of the party.

(2) Subrogation of rights may take place at any stage of the procedure.

(3) All actions performed in the procedure up until the time a successor in interest enters therein, shall be as binding upon the successor as they were upon the person whose rights are subrogated.

[8 September 2011]

Chapter 11
Third Persons

Section 78. Participation of Third Persons in the Civil Procedure

(1) Natural or legal persons whose rights or obligations in relation to one of the parties may be affected by the judgment in a case may be third persons in the civil procedure.

(2) Provisions regarding procedural legal capacity and capacity to act applicable to parties apply to third persons; third persons have the procedural rights and obligations of parties with exceptions as laid down in Section 80 of this Law.

(3) Third persons may enter into a case before examination of the case on the merits has been completed in a first instance court. They may also be invited to participate in the case based on a request of a public prosecutor or the parties.

Section 79. Third Persons with Separate Claims

(1) Third persons presenting separate claims for the subject-matter of a dispute, may enter into the case upon submitting a statement of claim.

(2) Third persons with separate claims have the rights and obligations of plaintiffs.

Section 80. Third Persons without Separate Claims

(1) Third persons presenting separate claims for the subject-matter of the dispute may enter into the case on the side of the plaintiff or the defendant if the judgment in the case may affect the rights or obligations of such third persons towards one of the parties.

(2) Third persons presenting separate claims have the procedural rights and obligations of parties, except the rights to amend the basis or the subject-matter of an action, to increase or decrease the amount of a claim, to withdraw from an action, to admit a claim or enter into a settlement, or to demand the enforcement of a court judgment.

(3) In applications for the inviting of third persons to participate, and in applications of third persons for entering into a case on the side of the plaintiff or the defendant, there shall be set out the grounds why third persons should be invited or allowed to participate in the case.

Section 81. Court Decisions on Inviting or Allowing Third Persons to Participate in Cases

A third person shall be invited or allowed to participate in a case according to a decision of a court. A decision by which a request regarding inviting of or allowing a third person to participate in a case is satisfied or rejected shall not be subject to appeal. A decision shall be sent by registered mail.

[29 November 2012; 23 November 2016]

Chapter 12
Representatives

Section 82. Rights to Representation in the Civil Procedure

(1) Natural persons may conduct cases in court personally or through their authorised representatives.

(2) Cases of legal persons shall be conducted in court by officials who act within the scope of powers granted them by law, articles of association or by-laws, or by other representatives authorised by legal persons.

(3) Cases of State or local government institutions to which the right to defend the rights and lawful interests of other persons in court has been granted shall be conducted by the head of the institution or a representative authorised by the head of the institution.

(4) The participation of participants in civil cases referred to in Paragraphs one, two and three of this Section does not deprive them of the right to retain an advocate to provide legal aid in their case. In such case Section 86 of this Law shall prescribe the scope of powers of the advocate, and he or she shall not provide explanations regarding the nature of the case.

(5) [12 February 2004]

(6) Cases of natural persons shall be conducted in a court of cassation by themselves or through the intermediation of an advocate.

(7) Cases of legal persons shall be conducted in a court of cassation by officials who act within the scope of powers granted to them by law, articles of association or by-laws, or they are conducted through the intermediation of an advocate.

[20 June 2001; 31 October 2002; Constitutional Court Judgement of 27 June 2003; 12 February 2004; 19 December 2013]

Section 83. Persons who may be Authorised Representatives in the Civil Procedure

Any natural person may be an authorised representative in the civil procedure, taking into account the restrictions laid down in Section 82, Paragraphs six and seven and Section 84 of this Law.

[12 February 2004; 19 December 2013]

Section 84. Persons who May not Act as Representatives in the Civil Procedure

(1) The following persons may not act as representatives in the civil procedure:

1) persons who have not attained legal age;

2) persons for whom trusteeship has been established;

3) persons who, by a judgment of a court, have been deprived of the right to conduct the cases of other persons;

4) persons who are in kinship relations to the third degree, or in affinity relations to the second degree, with the judge who is to try the case;

5) persons who have given legal aid to the other party in the dispute in this case or in another case related thereto;

6) a mediator who have participated in mediation in this case or in another case related thereto.

(2) Upon finding that the circumstances referred to in Paragraph one of this Section exist, the court shall not allow the respective person to participate in examination of the case.

[29 November 2012; 22 May 2014]

Section 85. Formalising Representation

(1) Representation of natural persons shall be formalised with a notarially certified authorisation. The authorisation of a representative may be expressed by way of an oral application in court by the person to be represented, and shall be recorded in the minutes of the hearing.

(2) Representation of legal persons shall be formalised with a written authorisation or documents certifying the right of an official to represent the legal person without special authorisation.

(3) Authorisation of an advocate for the provision of legal aid shall be confirmed by an order. If an advocate acts as an authorised representative of a party, their authorisation shall be confirmed by a written authorisation.

(31) The authorisation of the State ensured legal aid provider for the provision of legal aid shall be certified by an order for the provision of legal aid issued by the responsible State authority.

(4) Parents, adopters, guardians and trustees shall present to the court judicial documents confirming their rights.

(5) If an authorised representative is one of the procedural participants on behalf of another participant, such authorisation may be expressed by way of an oral application in court by the person to be represented, and shall be recorded in the minutes of the hearing.

[20 June 2001; 12 February 2004; 17 February 2005; 10 December 2015]

Section 86. Scope of the Powers of Representatives

(1) A representative shall have the right to perform, on behalf of the person represented, all procedural actions, except those that require special authorisation. If the case of a natural person is conducted through the intermediation of an authorised representative, court notifications and documents shall be sent only to the representative.

(2) Full or partial withdrawal of an action, change of the subject-matter of an action, bringing of a counterclaim, full or partial admitting of a claim, entering into a settlement, transferring of a case to an arbitration court, appealing court rulings in accordance with appeal or cassation procedure, submitting enforcement documents for recovery, receiving property or money adjudged, and terminating enforcement proceedings must be specially set out in the authorisation issued by the person represented.

(3) All procedural actions performed by representatives according the authorisation issued to them are binding upon the person represented.

[19 June 2003]

Section 87. Early Termination of Representation

(1) A person represented may at any time withdraw the authorisation given to his or her representative by immediately notifying the court in writing. Oral notice regarding revocation of authorisation may be given at a court hearing, and shall be recorded in the minutes of the hearing.

(2) A representative has the right to withdraw from the conducting of a case, giving timely written notice thereof to the person represented and to the court.

[23 November 2016]

Chapter 13
Authorities and Persons Participating in Procedure in Accordance with the Law

[7 April 2004]

Section 88. Participation of State or Local Government Institutions and Individual Persons in the Procedure in Order to Protect the Rights of Other Persons

(1) In cases provided for in law, international agreements binding on the Republic of Latvia or legal acts of the European Union, the State or local government institutions and persons may submit an application to the court in order to protect the rights and lawful interests of other persons.

(2) The institutions and persons laid down in this Section may become acquainted with the materials of a case, make applications for the removal, provide explanations, provide evidence, participate in examination of evidence, submit request, and appeal judgments and decisions of a court.

(3) Withdrawal of an application by the specified institutions and persons, which has been submitted by them in accordance with Paragraph one of this Section, shall not deprive the person in whose interests the application was submitted of the right to require that the court examine the case on the merits.

[9 June 2011]

Section 89. Participation of Institutions in the Procedure in Order to Provide Opinions

(1) In cases provided for in law, the court shall invite institutions to participate in the procedure, so that they may, within the scope of their competence, provide their opinion in the case and defend the rights and interests of persons protected by law.

(2) The invited institutions have the right to become acquainted with the materials of a case, to participate in examination of evidence, to submit requests and to provide opinions.

[7 April 2004]

Chapter 14
Public Prosecutors

Section 90. Participation of Public Prosecutors in the Civil Procedure

(1) Public prosecutors are entitled to participate in an examination of a case, if they have brought an action or submitted an application, or if their participation is compulsory.

(2) A public prosecutor has the right to bring an action or submit an application to a court, if:

1) it is necessary in order to protect the rights and interests of the State or of local governments laid down in law;

2) the rights or lawful interests of minors, persons under guardianship, disabled persons, prisoners or other such persons who have limited means to protect their rights have breached;

3) in conducting an inspection of public prosecutors, a breach of law is found.

(3) Participation of the public prosecutor in an examination of a case is compulsory where that is laid down in law or found necessary by the court.

(4) A public prosecutor, who participates in an examination of a case, has the right to become acquainted with the materials of the case, to make application for removal, to provide evidence, to participate in the examination of evidence, to submit requests, to provide opinions on issues arising in the course of trial of the case and regarding the nature of the case in general, to submit a protest regarding a court judgment or decision, to receive a true copy of the judgment or decision, or of other documents in the case and to perform other procedural actions laid down in law.

(5) If a public prosecutor is a participant in the case, he or she has the right to submit a protest regarding a court judgment or decision in all cases where other participants in the case have the right to appeal a judgment or decision.

(6) Public prosecutor's withdrawal from an action or application he or she has submitted to the court shall not deprive the person, in whose interests the action has been brought or application has been submitted, of the right to require that the court examines the case on the merits.

[29 November 2012]

Section 91. Withdrawal or Removal of a Public Prosecutor

(1) A public prosecutor may not deliver their opinion in a case if in the course of a previous examination of the case they have acted as a judge, party, third person, representative, expert, interpreter, or court recorder of the court hearing, as well as in cases specified in Section 19, Paragraph one, Clauses 2, 3 and 4 of this Law.

(2) Where any of the abovementioned circumstances are present, a public prosecutor shall withdraw himself or herself prior to the commencement of the trial of the case.

(3) If a public prosecutor has not withdrawn himself or herself, participants in the case have the right to apply for removal of the public prosecutor on the basis referred to in this Section.

(4) Removal of a public prosecutor shall be applied for and the court shall decide such application, in accordance with the procedures laid down in Sections 20 and 21 of this Law.

Division Three
Evidence

Chapter 15
General Provisions Regarding Evidence

Section 92. Evidence

Evidence is information on the basis of which a court determines the existence or non-existence of such facts that are significant in the trial of the case.

[31 October 2002]

Section 93. Burden of Proof and Obligation to Submit Evidence

(1) Each party must prove the facts upon which they base their claims or objections. Plaintiffs must prove that their claims are well-founded. Defendants must prove that their objections are well-founded.

(2) Evidence shall be submitted by the parties and by other participants in the case. If it is not possible for the parties or other participants in the case to submit evidence, the court shall, upon a reasoned request from them, require such evidence.

(3) Evidence shall be submitted to the court not later than 14 days before a court hearing, unless the judge has set another time period within which evidence is to be submitted. The second sentence of Section 48, Paragraph four of this Law shall not apply to such time period.

(31) During the trial of the case evidence may be submitted upon a reasoned request from the party or other participants in the case if it does not impede the trial of the case or the court finds the reasons for untimely submission of evidence justified, or the evidence concerns facts which have become known during the trial of the case.

(32) If a participant in a case submits evidence after the time period has expired, and the court does not find the reasons for untimely submission of evidence justified, the court shall impose the participant in the case a fine of up to EUR 750.

(33) A decision of the court to refuse to accept evidence may not be appealed, but objections regarding such decision may be expressed in a notice of appeal or cassation complaint.

(4) If the court admits that in respect of any of the facts, on which the claims or objections of the party are based, no evidence is submitted, it shall notify the parties thereon and, if necessary, set a time period within which evidence is to be submitted.

[31 October 2002; 19 June 2003; 7 September 2006; 29 November 2012; 12 September 2013]

Section 94. Relevance of Evidence

The court shall accept only such evidence as is relevant to the case.

Section 95. Admissibility of Evidence

(1) The court shall admit only such means of evidence as are laid down in law.

(2) Facts which, in accordance with law, may be proved only by particular means of evidence may not be proved by any other means of evidence.

Section 96. Grounds for Exemption of Proving

(1) If the court acknowledges a fact to be universally known, it needs not be proved.

(2) Facts established pursuant to a judgment that has come into lawful force in one civil case need not be proved again in trying other civil cases involving the same parties.

(3) A court judgment which has entered into lawful effect in a criminal case, a prosecutor's injunction regarding the punishment, as well as a decision to terminate criminal proceedings for reasons other than exoneration shall be binding on a court examining the case regarding civil liability of the person regarding whom the relevant ruling was made, only with respect to the issue of whether a criminal act or failure to act occurred and whether such has been committed or respectively been allowed by the same person.

(4) Facts, which in accordance with law are deemed to be established, need not be proved. Such subrogation may only be disputed according to general procedure.

(5) A party needs not prove the facts, which in accordance with the procedures laid down in this Law, have not been disputed by the other party.

[31 October 2002; 5 February 2009]

Section 97. Assessment of Evidence

(1) A court shall assess the evidence in accordance with its own convictions, which shall be based on evidence as has been thoroughly, completely and objectively examined, and in accordance with judicial consciousness based on the principles of logic, scientific findings and observations drawn from every-day experience.

(2) No evidence shall have a predetermined effect as would be binding upon the court.

(3) A court shall set out in its judgment why it has given preference to one body of evidence in comparison to another and has found certain facts as proven, but others as not proven.

Chapter 16
Securing of Evidence

Section 98. Admissibility of Securing the Evidence

(1) If a person has a reason to believe that the submission of the necessary evidence on their behalf may later be impossible or problematic, they may request for such evidence to be secured.

(2) Applications for securing evidence may be submitted at any stage of the proceedings, as well as prior to the bringing of an action to a court.

(3) Prior to court proceedings, evidence shall be secured by the district (city) court in the territory of which the source of evidence to be secured is located. After initiation of the case the court examining the case shall secure the evidence.

[14 December 2006]

Section 99. Application for Securing Evidence

The following shall be indicated in an application for the securing of evidence:

1) the given name and surname of the applicant, the case for examination of which the securing of evidence is required, or the potential participants therein;

2) the evidence to be secured;

3) the facts for the proving of which this evidence is necessary;

4) the reasons why the applicant is requesting the securing of evidence.

Section 100. Procedures by which Applications for Securing of Evidence Before Bringing an Action Before a Court are Decided

(1) The application for securing evidence shall be decided by a court or a judge within ten days of its receipt.

(2) If the application for securing evidence is decided by a court, the applicant and potential participants in the case shall be summoned to the court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the application submitted.

(3) With a decision of a judge, evidence without summoning potential participants in the case may be ensured only in exceptional cases, including immediate infringement of the intellectual property rights or cases of possible infringements or in cases, where it is impossible to determine the participants in the case.

(4) If a decision to secure evidence has been taken without the presence of the potential defendant or the other participants in the case, they shall be notified regarding such decision not later than by the moment of the enforcement of the abovementioned decision.

(5) Examination of witnesses, as well as inspection on site and expert-examination, shall be carried out in accordance with the applicable norms of this Law.

(6) In satisfying an application for the securing evidence prior to bringing an action, the judge shall determine the time period for the submission of the statement of claim not longer than 30 days.

(7) In satisfying an application for securing evidence prior to bringing an action, the judge may request that the potential plaintiff pay in a specified amount of money into the bailiff's deposit account or provide an equivalent guarantee to ensure coverage of the losses, which may be caused to the defendant in relation to the securing of evidence.

(8) The minutes of the court hearing and the material collected in the course of securing the evidence shall be kept until required by the court that examines the case.

(9) An ancillary complaint may be submitted in regard to a decision by a judge to reject an application for the securing of evidence or the decision referred to in Paragraph three of this Section. If the decision to secure evidence has been taken without the presence of the participants in the case, the time period for the submission of the ancillary complaint shall be counted from day of the issuance or sending of the decision.

[14 December 2006; 20 December 2010]

Section 101. Procedure by which Applications for the Securing of Evidence are Examined after Initiation of the Case in a Court

(1) An application for the securing of evidence shall be examined at a court hearing in accordance with the relevant provisions of this Law.

(2) The applicant and other participants in the case shall be notified of the time and place of the hearing. Failure of such persons to attend shall not constitute a bar for the examination of the application for the securing of evidence.

Section 102. Court Assignments

(1) If the court examining the case is unable to collect the evidence located in another city or district, the court or the judge shall assign the performance of specific procedural activities to the appropriate court.

(2) In the decision on the court assignment, there shall be a succinct description of the nature of the case to be examined, circumstances to be clarified, and the evidence that the court performing the assignment is required to collect. Such a decision shall be mandatory for the court to which it is addressed and shall be performed within 15 days.

[31 October 2002]

Section 103. Procedures for Performing Court Assignments

(1) Court assignments shall be performed at a court hearing in accordance with the procedures laid down in this Law. Participants in the case shall be notified of the time and place of the hearing. Failure of such persons to attend shall not constitute a bar for the performance of the assignment.

(2) Minutes and other materials of the case, which have been collected during the performance of the assignment, shall be transferred to the court examining the case within three days.

Section 103.1 Termination of Securing of Evidence

If a decision to secure evidence has been taken prior to the bringing of an action and the action is not brought within the time period specified by the court, the judge on the basis of the receipt of an application from the potential plaintiff or defendant shall take a decision to withdraw the securing of evidence.

[14 December 2006]

Section 103.2 Compensation of Losses Incurred due to Securing of Evidence

A defendant is entitled to claim compensation for losses, which he or she has incurred in relation to the securing of evidence if the securing of evidence has been withdrawn in the case specified in Section 103.1 of this Law if against him or her the action brought was refused, left without examination or court proceedings were terminated in the cases specified in Section 223, Clauses 2 and 4 of this Law.

[14 December 2006]

Chapter 17
Means of Evidence

Section 104. Explanations by Parties and Third Persons

(1) Explanations by parties and third persons which include information about facts, on which their claims or objections are based, shall be admitted as evidence, if supported by other evidence verified and assessed at a court hearing.

(2) If one party admits the facts on which the claims or objections of the other party are based, a court may find such facts to be proven, if the court is not concerned that the admission was not made due to the effects of fraud, violence, threat or error or in order to conceal the truth.

Section 105. Testimony of Witnesses

(1) A witness is a person who has knowledge of facts related to the case and who has been summoned by the court to a court hearing.

(2) Where a participant in a case requests the examination of a witness, they shall indicate what circumstances relevant to the case the witness may affirm.

(3) A witness who has been called to court does not have the right to refuse to give testimony, except in the cases laid down in Sections 106 and 107 of this Law.

(4) A witness may only be questioned regarding facts relevant to the instant case.

(5) Testimony based on information from unknown sources or on information obtained from other persons, unless such persons have been examined, may not be allowed as evidence.

Section 106. Persons who may not be Witnesses

The following persons may not be summoned or examined as witnesses:

1) ministers - regarding circumstances, which have come within their knowledge through hearing confessions, and persons whose position or profession does not permit them to disclose certain information entrusted to them - regarding such information;

2) minors - regarding circumstances that testify against their parents, grandparents, brothers or sisters;

3) persons whose physical or mental deficiencies render them incapable of appropriate assessment of circumstances relevant to the case;

4) children under the age of seven;

5) persons who have participated in mediation of this case or in another case related thereto.

[22 May 2014]

Section 107. Persons who may Refuse to Testify

(1) The following persons may refuse the obligation to testify:

1) relatives in a direct line and of the first or second degree in a collateral line, spouses, affinity relatives of the first degree, and family members of parties;

2) guardians and trustees of parties, and persons under guardianship or trusteeship of the parties;

3) persons involved in litigation in another case against one of the parties.

(2) The court shall explain to the above-mentioned persons their right to refuse to testify.

Section 108. Obligations of Witnesses

(1) A person summoned as a witness shall attend the court and give a true testimony regarding circumstances of which they have knowledge. A witness may be questioned also by using a video conference at the court based on the location of the witness or at the place specially equipped for such purpose.

(2) A witness shall answer questions asked by a court and participants in the case.

(3) A court may question a witness at their place of residence, if the witness is unable to attend pursuant to a court summons because of illness, old age, invalidity or other justified cause.

[8 September 2011]

Section 109. Liability of Witnesses

(1) For a refusal to testify for reasons which the court has found unjustified, and for intentionally providing false testimony, a witness is liable in accordance with the Criminal Law.

(2) If a witness, without a justified cause, fails to attend pursuant to a summons by a court or a judge, the court may impose on him or her a fine of up to EUR 60 or have them brought to court by forced conveyance.

[12 September 2013]

Section 110. Written Evidence

Written evidence is information on facts relevant to the case, which is recorded by letters, figures or other characters or use of technical means in documents, other written or printed matter, or in other relevant recording media (audio and video tapes, computer diskettes etc.).

Section 111. Procedures for Submitting Written Evidence

(1) When submitting written evidence to a court or requesting the requiring of such evidence participants in a case shall indicate what circumstances relevant for the case such evidence can attest to.

(2) Written evidence shall be submitted by way of original or true copy, copy or extract certified in accordance with the specified procedures. If a part of a written document or of other written matter is sufficient to clarify facts relevant for the case, an extract therefrom may be submitted to the court.

(3) Original documents, as well as written evidence certified in accordance with prescribed procedures shall be submitted if laws or international treaties binding on the Republic of Latvia provide that the particular facts may be proven only with original documents or with true copies certified in accordance with prescribed procedures.

(4) If written evidence has been submitted to the court by way of a true copy, copy or an extract, the court is entitled to require, upon a reasoned request from participants in the case or upon its own initiative, to submit or present the original if it is necessary for determining the circumstances in the case.

[8 September 2011]

Section 112. Procedures for Requiring Written Evidence

(1) A court or a judge is entitled to require, upon a reasoned request from a participant in the case, written evidence from the State and local government institutions and from other natural or legal persons.

(2) Participants in a case who request the court to require written evidence shall describe such evidence and provide their reasons for presuming that the evidence is in the possession of the person referred to.

(3) The State and local government institutions and other natural or legal persons, that cannot submit the required written evidence or cannot submit such within the time limit specified by the court or the judge shall notify the court thereof in writing by stating their reasons.

(4) If a party refuses to submit the written evidence required to the court, without denying that the party possesses such evidence, the court may find as proved facts which the opposite party sought to prove by referring to such written evidence.

[31 October 2002]

Section 113. Returning of Written Evidence in a Case

Pursuant to a reasoned written application from the person who has submitted the originals of written evidence, the court shall return such evidence to this person after the court judgment has entered into lawful effect. If such evidence has been referred to in a ruling of the court, true copies of the written evidence certified by the judge shall remain in the case file.

Section 114. Inspection of Written Evidence at the Place of Keeping

If the submission of written evidence to the court is impossible or problematic due to the amount or volume thereof or other reasons, the court may perform an inspection and examination of written evidence at the place where it is kept.

[31 October 2002]

Section 115. Material Evidence

Material evidence consists of tangible things that may, due to their properties, characteristics or very existence, be useful in clarifying facts, which are relevant for a case.

Section 116. Submitting and Requesting Material Evidence

(1) The participant in a case, who submits material evidence to a court or requests that such evidence be required, must indicate what circumstances relevant for the case such evidence can attest to.

(2) The participant in a case who requests the court to require material evidence shall describe such evidence and indicate their reasons for presuming that the evidence is in the possession of the person referred to.

(3) A court or a judge is entitled to require, upon a reasoned request from a participant in the case, material evidence from the State and local government institutions and from other natural or legal persons.

(4) The State and local government institutions and other natural or legal persons, that cannot submit the required material evidence or cannot submit such within the time limit specified by the court or the judge, shall notify the court thereof in writing by stating their reasons.

[31 October 2002]

Section 117. Inspection of Material Evidence at the Place of Keeping

If the submission of material evidence to the court is impossible or problematic due to the amount or volume thereof or other reasons, the court may perform inspection and examination of the material evidence at the place where it is kept or transfer performance thereof to a bailiff.

[31 October 2002]

Section 118. Storage of Material Evidence

(1) Material evidence shall be attached to the case file or kept at the material evidence storage facility of the court.

(2) Objects that cannot be delivered to the court shall be kept at their current location. These shall be described and, if necessary, photographed or filmed. The descriptions and recorded images shall be attached to the case file.

(3) Material evidence that deteriorates rapidly shall be inspected by the court without a delay, and participants in the case shall be notified. After inspection such material evidence shall be returned to the persons from whom it was obtained.

Section 119. Returning of Material Evidence

(1) After a court judgment has entered into lawful effect, material evidence shall be returned to the persons from whom it was obtained, or transferred to persons who, in accordance with the court judgment, have the right to these things.

(2) Material evidence that may not, in accordance with law or the court judgment, be returned to participants in the case or persons, from whom it was obtained, shall be transferred by the court to relevant State institutions.

(3) In individual cases material evidence may be returned before the judgment has entered into lawful effect, provided that this is not detrimental to examination of the case.

Section 120. Liability for Failure to Submit Written and Material Evidence

If a court has not been notified that the required written or material evidence cannot be submitted or has not been submitted for reasons that the court has found to be unjustified, the court may impose on the person at fault a fine of up to EUR 40. Payment of the fine shall not release such person from the obligation to submit the evidence required by the court.

[12 September 2013]

Section 121. Expert-examination

(1) A court shall, upon a request from a party, order expert-examination in a case where specific knowledge in science, technology, art or another field is required to clarify facts relevant to the case. If necessary, a court may order several such examinations.

(2) Expert examination shall be carried out by the persons laid down in the Law On Forensic Experts. The parties shall select the expert, upon mutual agreement, but if such agreement is not reached within the time limit set by the court, the expert shall be selected by the court. If necessary, several experts may be selected.

(3) Participants in the case have the right to submit to the court questions regarding which expert opinion must, in their opinion, be provided. The court shall determine issues requiring an expert opinion. The court shall indicate grounds for rejection of issues submitted by participants in the case.

(4) A court decision on the ordering of expert-examination shall specify what issues an expert opinion is required in regard to and whom the performing of the expert-examination has been assigned to.

(5) Expert-examination shall be performed in the court, or outside the court if its performance in the court is impossible or is problematic.

[29 October 2015]

Section 122. Obligations and Rights of Experts

(1) A person selected as an expert must attend pursuant to a court summons. An expert may also be examined by using a video conference at the court based on the location of the expert or at the place specially equipped for such purpose.

(2) If an expert who has been summoned fails to attend the court hearing for reasons that the court finds unjustified, the court may impose on the expert a fine of up to EUR 60.

(3) An expert has the right to review materials in the case, to question the participants and witnesses in the case, and to ask the court to require additional materials.

(4) An expert shall provide an objective opinion, in their own name, and shall be personally liable for it.

(5) An expert may refuse to provide an opinion, if the material provided for their examination is not sufficient, or if the questions asked are beyond the scope of the special knowledge of the expert. In such cases the expert shall notify the court, in writing, that it is not possible to provide an opinion.

(6) For refusal to perform their obligation without justified cause or for intentionally providing a false opinion, the expert shall be liable in accordance with the Criminal Law.

[8 September 2011; 12 September 2013]

Section 123. Withdrawal or Removal of an Expert

(1) An expert may not participate in an examination of a case, if they have previously been a judge or a participant in examination of the case, and in cases as provided for in Section 19, Paragraph one, Clauses 2, 3 and 4 of this Law.

(2) Experts also may not participate in an examination of the case if:

1) they are or have been, due to their position or otherwise, dependent on a party or another participant in the case;

2) there has been, prior to the initiation of the court proceedings, a connection between a party in the case being examined and the performance of professional obligations by this expert; or

3) it is determined that the expert is not competent.

(3) Where the abovementioned circumstances exist, the expert shall withdraw prior to the commencement of the trial of the case.

(4) If the expert does not withdraw, participants in the case have the right to apply for removal of the expert on the bases referred to in this Section.

(5) Removal of an expert shall be applied for, and a decision made by the court in regard thereto, in accordance with the procedures laid down in Sections 20 and 21 of this Law.

Section 124. Expert opinion

(1) An expert opinion shall be reasoned and the basis thereof provided.

(2) An opinion shall be stated in writing and submitted to the court. Precise description of the examination performed, conclusions formed as a result thereof, and reasoned answers to the questions asked by the court shall be included in an expert opinion. If, when performing the expert-examination, an expert finds circumstances that are significant in the case and the expert has not been questioned regarding them, he or she is entitled to indicate such circumstances in the opinion.

(3) If several experts are selected, they have the right to consult with one another. If the experts reach a common opinion, all the experts shall sign it. If the opinions of the experts differ, each expert shall write a separate opinion.

Section 125. Assessment of Expert Opinion

(1) The court shall assess expert opinions in accordance with the provisions of Section 97 of this Law.

(2) If the expert opinion is not clear enough or is incomplete, a court may order a supplementary expert-examination, assigning performance thereof to the same expert.

(3) Where an expert opinion is not justified or the opinions of several experts contradict one another, the court may order a repeated expert-examination, assigning performance thereof to another expert or experts.

Section 126. Opinion of an Institution

An opinion of an institution, summoned in accordance with the procedures laid down in Section 89 of this Law, shall be assessed by the court as evidence. Reasons for a court's disagreement with such opinion shall be set out in the ruling made in the case.

[7 April 2004]

Part B
Court Proceedings in a Court of First Instance

Division Four
Court Proceedings by Way of Action

Chapter 18
Bringing of an Action

Section 127. Persons who may Bring Actions before a Court

(1) Any natural person who has reached legal age and has the capacity to act, as well as any legal person, may bring an action before a court to protect their infringed or disputed rights of a civil nature.

(2) Actions in the interests of minors shall be brought by the statutory representatives of such persons, but in cases provided for in Section 72, Paragraph four of this Law, actions may be brought by minors themselves. Actions in the interests of persons under trusteeship shall be brought by the statutory representatives of such persons together with the person under trusteeship or by themselves on behalf of the relevant person, if it has been determined by the court, except in the case provided for in Section 72, Paragraph five.

(3) A public prosecutor, State or local government institutions, or persons to whom the right to defend the rights and lawful interests of other persons in court has been granted by law, may bring an action in order to protect the infringed or disputed rights of a civil nature of such persons.

[29 November 2012]

Section 128. Statement of Claim

(1) An action shall be brought by submitting a written statement of claim to the court.

(2) The following information shall be indicated in a statement of claim:

1) name of the court to which the application has been submitted;

11) the given name, surname, personal identity number, declared place of residence of the plaintiff, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof. If the plaintiff agrees to electronic correspondence with the court or he or she is the subject referred to in Section 56, Paragraph 2.3 of this Law, an electronic mail address shall also be indicated and, if he or she has registered in the online system for correspondence with the court, an indication of registration shall be included as well. In addition the plaintiff may also indicate another address for correspondence with the court;

12) the given name, surname, personal identity number, declared place of residence and the additional address indicated in the declaration of the defendant, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof. The personal identity number or registration number of the defendant shall be indicated, if such is known;

13) the given name, surname, personal identity number and address for correspondence with the court of the representative of the plaintiff (if the action is brought by a representative); for a legal person - the name, registration number and legal address thereof. If the representative of the plaintiff agrees to electronic correspondence with the court, an electronic mail address shall also be indicated and, if he or she has registered in the online system for correspondence with the court, an indication of registration shall be included as well. If the representative of the plaintiff is a sworn advocate, an electronic mail address of the sworn advocate shall be indicated additionally;

2) [29 November 2012];

21) in the claim regarding the recovery of monetary amount - name of the credit institution and account number to which payment is to be made, if any;

3) the subject-matter of the claim;

4) the amount of the claim, if the claim can be assessed in terms of money, as well as a calculation of the amount being recovered or disputed;

5) the circumstances on which the plaintiff bases his or her claim, and evidence, which corroborates such facts;

51) information regarding use of mediation for settlement of a dispute before applying to a court;

6) the law on which the claim is based;

7) the claims of the plaintiff;

8) a list of documents attached to the statement of claim;

9) the date of preparing the statement of claim and other information, if such information is necessary for examination of the case. The plaintiff may indicate his or her telephone number, if he or she agrees to use telephone for correspondence with the court.

(3) The statement of claim shall be signed by the plaintiff or his or her representative, or the plaintiff together with the representative if determined by the court, except in the case laid down in Section 72, Paragraph five of this Law. If an action is brought on behalf of the plaintiff by his or her representative, the statement of claim shall be accompanied by a power of attorney or another document confirming the authorisation of the representative to bring the action.

(4) The statement of claim in the matter regarding the maintenance may be submitted or sent by intermediation of central institutions of Latvia designated for ensuring of co-operation in the cases provided for in the legal acts of the European Union and international agreements, by using the forms provided for in the relevant legal acts.

[9 June 2011; 8 September 2011; 29 November 2012; 22 May 2014; 29 October 2015; 23 November 2016]

Section 129. Documents to be Attached to a Statement of Claim

(1) A statement of claim shall be submitted to the court, attaching thereto as many true copies as there are defendants and third persons in the case.

(2) The following documents shall be attached to the statement of claim which confirm:

1) payment of State fees and other court expenses in accordance with the procedures and in the amounts laid down in law;

2) conformity with the procedures regarding preliminary extrajudicial examination of the case, where such examination is laid down in law;

3) circumstances on which the claim is based.

(3) A judge may, depending on the circumstances and nature of the case, impose an obligation on a plaintiff to submit true copies of the documents attached to the statement of claim in order to send them to the defendant and third persons.

(4) A translation certified in accordance with the specified procedures shall be attached to a statement of claim and true copies of the attached documents in the cases provided for in the law, if documents are intended to be served to a person in accordance with Section 56.2 of the this Law. The translation need not be attached by a person who is released from the payment of court expenses.

[5 February 2009]

Section 130. Submission of a Statement of Claim to the Court

(1) A statement of claim shall be submitted to a court of first instance in accordance with the provisions regarding jurisdiction.

(2) [23 April 2015].

(3) [23 April 2015].

(4) A statement of claim which is not signed shall be considered as not submitted and sent back to the applicant.

[23 April 2015]

Section 131. Taking a Decision to Accept a Statement of Claim and Initiation of a Civil Case

(1) Upon receipt of a statement of claim in court, a judge shall, within seven days but upon the receipt of the application referred to in Section 644.7 or 644.17 of this Law not later than on the next day, take a decision on:

1) acceptance of the statement of claim and initiation of proceedings;

2) refusal to accept the statement of claim;

3) leaving the statement of claim not proceeded with.

(2) If examination of a case is not possible in accordance with Regulation No 861/2007 of the European Parliament and of the Council or Regulation No 1896/2006 of the European Parliament and of the Council Regulation, a judge shall take one of the decisions provided for in Paragraph one of this Section in the cases provided for in the abovementioned laws and regulations regarding proceeding of the statement of claim.

[5 February 2009; 8 September 2011; 4 August 2011]

Section 132. Grounds for Non-Acceptance of a Statement of Claim

(1) A judge shall refuse to accept a statement of claim if:

1) the dispute is not allocated to the court;

2) the action has been brought by a person who does not have the right to bring an action;

3) the parties have agreed, in accordance with procedures laid down in law, to submit the dispute for examination in an arbitration court, except in case when a statement of claim regarding recognition of the agreement of the arbitration court as invalid is submitted to the court;

31) the parties have, in accordance with the procedures laid down in law, agreed on the settlement of a dispute through mediation and evidence that a proposal to settle the dispute through mediation has been rejected has not been submitted, or mediation agreement has not been entered into, or mediation has been terminated without reaching an agreement in accordance with the procedures laid down in the Mediation Law;

4) there is already a case pending before the same court or another court concerning a dispute between the same parties, regarding the same subject-matter, and on the same basis;

5) in a dispute between the same parties, regarding the same subject-matter, and on the same grounds, a court judgment or decision to terminate the court proceedings due to the withdrawal of the action by the plaintiff or confirmation of a settlement between the parties has entered into lawful effect;

6) the case is not within the jurisdiction of this court;

7) the plaintiff has not complied with the procedures in regard to preliminary extrajudicial examination determined for the respective category of case, or has not taken the measures laid down in law to resolve the dispute with the defendant before the action is brought;

8) the statement of claim has been submitted by a person without the civil-procedural capacity to act;

9) authorisation does not arise from the power of attorney or other document attached to the statement of claim to bring such action by a representative;

10) a power of attorney or other document which certifies authorisation of the representative to bring an action is not attached to the statement of claim.

(2) A judge shall take a reasoned decision to refuse to accept a statement of claim. The decision, together with the submitted statement of claim, shall be issued to the plaintiff.

(3) A decision may be appealed in accordance with the procedures laid down in this Law, except for a decision to refuse to accept the statement of claim on the basis of Paragraph one, Clause 10 of this Section.

(4) Refusal by a judge to accept a statement of claim on the basis of Paragraph one, Clauses 6-10 of this Section shall not constitute a bar for the submission of the same statement of claim to the court after the deficiencies thereof have been eliminated.

[29 November 2012; 22 May 2014; 23 April 2015; 28 May 2015]

Section 133. Leaving a Statement of Claim Not Proceeded With

(1) A judge shall leave a statement of claim not proceeded with if:

1) all details laid down in Section 128, Paragraph two or four of this Law are not included in the statement of claim;

2) the documents laid down in Section 129 of this Law are attached to the statement of claim;

3) the statement of claim for a case of small claims has not been drawn up in conformity with the provisions of Section 250.20 of this Law.

(2) A judge shall take a reasoned decision to leave a statement of claim not proceeded with, send such decision to the plaintiff and set a time limit for the elimination of deficiencies. Such time limit shall be not less than 20 days, counting from the day the decision is sent. The decision of a judge may be appealed in accordance with the procedures laid down in this Law. The time limit for appeal shall be counted from the day when the decision is served to the plaintiff.

(3) If a plaintiff eliminates the deficiencies within the set time limit, the statement of claim shall be considered as submitted on the day when it was first submitted to the court.

(4) If a plaintiff does not eliminate the deficiencies within the set time limit, the statement of claim shall be considered as not submitted and shall be returned to the plaintiff.

(5) Returning of a statement of claim to the plaintiff shall not constitute a bar for the repeated submission thereof to the court in conformity with the general procedures in regard to submitting statements of claim prescribed in this Law.

[5 February 2009; 8 September 2011; 23 April 2015]

Section 134. Merging of Claims and Civil Cases

(1) A plaintiff is entitled to merge several mutually related claims into one statement of claim.

(2) If in the court proceedings of the court there are several similarly constituted cases, involving the same parties, or cases, where one plaintiff is bringing an action against several defendants or several plaintiffs are bringing actions against one and the same defendant, the court is entitled to merge such cases in one court proceeding, provided such merging favours quicker and a more correct examination of the cases.

[8 September 2011]

Section 135. Separation of Claims and Civil Cases

(1) A judge may require a plaintiff to separate one or several claims from the claims that have been merged into separate claim, if he or she finds that separate examination of such claims will be more appropriate.

(2) The court examining a case may, pursuant to a decision made by it, separate one or several claims from claims that have been merged into a separate case, if their examination in a single proceeding has become problematic or impossible.

Section 136. Bringing of a Counterclaim

(1) A defendant is entitled, up to the moment when the examination of the case on its merits has been completed. to bring a counterclaim against the plaintiff in a court of first instance court.

(2) A counterclaim shall be brought in accordance with the general provisions regarding bringing of actions.

(3) A court or a judge shall accept a counterclaim if:

1) a mutual set-off is possible between the initial claims and the counterclaim;

2) satisfaction of the counterclaim would exclude, fully or partly, the satisfaction of the initial action;

3) the counterclaim and the initial claim are mutually related, and their joint examination would favour a more quicker and correct trial of the case.

(4) A counterclaim shall be examined together with the initial claim.

[19 June 2003; 5 February 2009]

Chapter 19
Securing a Claim

Section 137. Grounds for Securing a Claim and Contents of an Application

(1) If there are reasonable grounds to believe that enforcement of the court judgment in the case may become problematic or impossible, the court or judge may upon a reasoned application of the plaintiff take a decision to secure a claim. The following shall be set out in an application for the securing of a claim:

1) name of the court to which the application has been submitted;

11) the given name, surname, personal identity number, declared place of residence of the plaintiff, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof. If the plaintiff agrees to electronic correspondence with the court or he or she is the subject referred to in Section 56, Paragraph 2.3 of this Law, an electronic mail address shall also be indicated and, if he or she has registered in the online system for correspondence with the court, an indication of registration shall be included as well. In addition the plaintiff may also indicate another address for correspondence with the court;

12) the given name, surname, personal identity number, declared place of residence and the additional address indicated in the declaration of the defendant, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof. The personal identity number or registration number of the defendant shall be indicated, if such is known;

13) the given name, surname, personal identity number and address for correspondence with the court of the representative of the plaintiff (if the action is brought by a representative); for a legal person - the name, registration number and legal address thereof. If the representative of the plaintiff agrees to electronic correspondence with the court, an electronic mail address shall also be indicated and, if he or she has registered in the online system for correspondence with the court, an indication of registration shall be included as well. If the representative of the plaintiff is a sworn advocate, an electronic mail address of the sworn advocate shall be indicated additionally;

2) [29 November 2012];

3) the subject-matter of the claim;

4) the sum of the claim;

5) the means for securing the claim, which the plaintiff requests to apply;

6) the circumstances by which the plaintiff justifies the necessity for the securing of a claim.

(2) Securing of claims may be allowed only in claims of a financial nature.

(3) Examination of the issue of securing of a claim may be allowed at any stage of the proceedings, as well as prior to the bringing of court action.

[7 September 2006; 4 August 2011; 29 November 2012; 23 November 2016]

Section 138. Means for Securing a Claim

(1) The means by which a claim may be secured are:

1) seizure of movable property and monetary funds of the defendant;

2) entering of a pledge notation in the register of the respective movable property or any other public register;

3) entering of a notation regarding the securing of a claim in the Land Register or Ship Register;

4) arrest of a ship;

5) prohibition for the defendant to perform certain actions;

6) seizure of those payments, which are due from third persons, including monetary funds in credit institutions and other financial authorities;

7) postponement of enforcement activities (also enjoining bailiffs from transferring money or property to a creditor or debtor, or staying of sale of property).

(2) When a claim is secured by entering a pledge notation in the register of the respective movable property or any other public register, the decision shall indicate the way in which the prohibition shall be entered.

(3) If the subject-matter of an action is property rights to movable property or immovable property, or the action is directed towards attaining the corroboration of rights, the claim shall be secured by seizing the disputed movable property or by entering a pledge notation in the respective immovable property division of the Land Register.

(4) If the subject-matter of an action is property rights to immovable property, the claim shall be secured by entering an encumbrance notation in the respective immovable property division of the Land Register.

(5) If the subject-matter of an action is a monetary claim, the such claim shall be secured with immovable property by entering a pledge rights notation in the respective immovable property division of the Land Register, indicating the amount of the sum of the claim to be secured.

(6) Arrest of a ship shall be applied only for maritime claims.

(7) Staying of a sale of property shall not be allowed in cases where a claim is brought regarding the recovery of money.

(71) Seizing of those payments, which are due from third persons, including monetary funds in credit institutions and other financial authorities, shall not be permissible in claims where the compensation, which is to be determined on the basis of the discretion of the court, is claimed.

(8) When satisfying an application for securing of a claim, the amount up to which the security extends, but which shall not exceed the amount claimed, shall be indicated in the decision.

(9) Simultaneous application of several means of securing a claim may be allowed, taking into account the provisions of Paragraph eight of this Section.

[7 September 2006; 5 February 2009; 4 August 2011; 11 September 2014]

Section 139. Securing of a Claim Before Bringing of an Action

(1) A potential plaintiff may request to secure his or her claim b before an action is brought and even before the deadline for fulfilment of an obligation has set in, if the debtor, with the purpose of avoiding the fulfilment of their obligation, removes or alienates his or her property, leaves his or her declared place of residence or place of residence without informing the creditor, or performs other actions which shows that the debtor is not acting in good faith. When submitting an application for securing a claim before an action is brought, the potential plaintiff shall submit evidence that confirms his or her rights to the obligations and the necessity for securing the claim.

(2) An application for securing a claim before an action is brought shall be submitted to the court in which the action, regarding the claim sought to be secured, is to be brought. If the parties have agreed to submit the dispute to a permanent arbitration court, an application shall be submitted to a court based on the location of the debtor or his or her property.

(3) In satisfying an application for securing a claim before an action is brought, a judge shall set a time period for the plaintiff within which he or she must submit a statement of claim to the court or permanent arbitration court.

[7 September 2006; 29 November 2012; 11 September 2014]

Section 140. Examination of Issues Regarding Securing of a Claim

(1) A decision on an application for securing a claim shall be taken by a court or a judge not later than the day following receipt thereof, without giving prior notice to the defendant and other participants in the case. In deciding an issue regarding securing of a claim, a court or judge shall take into account prima facie formal legal grounds and proportionality between legal interests of the parties.

(2) In satisfying an application for securing a claim, a court or judge may require that the plaintiff secures losses which the defendant may suffer because of the claim enforcement, by assigning a certain sum of money to be deposited into the bailiff's deposit account.

(3) On the basis of an application by a participant in the case, a court may replace the specified means for securing a claim with other means.

(31) When satisfying an application for the replacement of means for securing a claim with other means, the court may repeatedly take a decision on the obligations imposed on the plaintiff in accordance with Paragraphs two and 5.1 of this Section.

(4) In cases in which the subject-matter of an action is a monetary claim, the defendant may pay the amount of the secured claim into the bailiff's deposit account. The defendant shall indicate in a submission to the bailiff in which case this amount is paid into for the replacement of the means applied for securing a claim, as well as shall submit a true copy of the relevant decision on securing a claim to the plaintiff. A court or judge shall, on the basis of a certificate issued by the bailiff regarding payment of the amount into a deposit account, replace the accepted means for securing a claim by seizing the monetary funds paid into. The replacement of the seized movable property with money by paying the amount of the secured claim into the bailiff's deposit account shall be deemed as the replacement of a means for securing a claim.

(5) The securing of a claim may be withdrawn by the same court, which has secured the claim on the basis of a reasoned application of a party, or by the court in the record-keeping of which a case for examination on its merits exists. When deciding an issue regarding withdrawal of securing of a claim, the court or judge shall evaluate the conditions indicated in Paragraph one of this Section, taking into account evidence and justification submitted by the party. In the application the defendant may include a justification for losses incurred due to the means applied for securing a claim or which might be incurred, if the means for securing a claim is not withdrawn.

(51) In rejecting an application for the withdrawal of the securing of a claim, the court or judge may concurrently impose an obligation on the plaintiff to ensure the losses referred to in Paragraph five of this Section, by paying the amount laid down by the court in the deposit account of the bailiff within 20 days after the day of taking a decision.

(6) In rejecting a claim, the securing of a claim shall be withdrawn in the court judgment. The securing of a claim is preserved until the day the judgment comes into lawful effect.

(61) If an obligation to ensure compensation for losses to the defendant is imposed on the plaintiff which could arise for the defendant in relation to securing the claim, an issue regarding disbursement of the amount paid for ensuring compensation for losses from the account of sworn bailiff shall be concurrently decided in the court judgment or decision by which the claim is left without examination or the case has been terminated. In withdrawal or satisfying the claim in part, the court shall decide on the issue regarding full or partial disbursement of security for losses to the defendant upon a request of the defendant, if the defendant has submitted evidence to the court regarding actual amount of losses. If the request and evidence regarding actual amount of losses has not been submitted to the court, the secured losses shall be reimbursed to the plaintiff. The defendant has the right to request compensation for non-recovered losses in accordance with the procedures of Section 143 of this Law.

(7) If a claim is left without examination or proceedings are terminated, the court shall withdraw the securing of a claim in its decision. The securing of a claim is preserved until the day the judgment comes into lawful effect.

(8) If the decision to secure a claim has been taken prior to bringing a court action and in the time period specified by the court a court action has not been brought, the judge on the basis of the receipt of an application from the potential plaintiff or defendant shall take a decision to withdraw the security.

(9) The applications referred to in Paragraphs three and five of this Section shall be decided in a court hearing, previously notifying the participants in the case of this. Failure of such persons to attend shall not constitute a bar for the examination of the application. The day of court hearing shall be determined not later than within 30 days after receipt of the application.

(10) If in a decision, which is taken regarding an application for withdrawal of the securing of a claim, the fulfilment of obligation laid down in Paragraph 5.1 of this Section is assigned to the plaintiff, however it has not been fulfilled and the plaintiff has not submitted to the court a certification issued by the bailiff regarding payment of the amount into his deposit account, the court or judge shall take a decision to withdraw means for securing a claim.

[7 September 2006; 5 February 2009; 4 August 2011; 8 September 2011; 11 September 2014; 23 April 2015; 28 May 2015]

Section 141. Notification and Appeal of Decisions Taken Regarding Securing of Claim Issues

(1) An ancillary complaint may be submitted regarding the decision referred to in Section 140, Paragraph three of this Law, decision by which the application for withdrawal of securing a claim is refused, and also for the court decision to secure losses which could be incurred by the defendant in relation to securing a claim (Section 140, Paragraphs two, 3.1 and 5.1).

(11) A decision, which is taken regarding securing of losses that the defendant might incur in relation to securing of a claim, shall be notified to the defendant after the plaintiff has paid the amount laid down by the court or judge to the deposit account of the bailiff.

(2) If a decision to secure a claim has been taken in the absence of the participant in the case, the time period for submitting a complaint shall be calculated from the day when such decision was served.

[7 September 2006; 14 December 2006; 5 February 2009; Constitutional Court judgement of 30 March 2010; 4 August 2011; 23 April 2015]

Section 142. Enforcement of Decisions Taken on the Issue of Securing a Claim

(1) A decision to secure a claim (Section 140, Paragraph one) and a decision to withdraw securing of a claim (Section 140, Paragraphs five and ten) shall be enforced immediately after it is made.

(2) A decision to secure a claim, which has been taken on the conditions specified in Section 140, Paragraph two of this Law, shall be enforced after the plaintiff has paid into a bailiff's deposit account the amount specified by the court or judge. The enforcement documents or a true copy of the decision referred to in Paragraph three of this Section shall be issued after the amount specified by the court has been paid.

(3) If a claim is secured with immovable property or a ship or by entering a pledge notation in a movable property register or any other public register, the court shall issue the plaintiff a true copy of the respective decision with an inscription that a true copy of the decision has been issued for the entering of a notation in the Land Register, a movable property register or any other relevant public register, but in the case of arrest of a ship - for the detention of the ship in a port.

(4) A decision to secure a claim by attachment of movable property or monetary funds belonging to the defendant, and which is in the possession of the defendant or a third person shall be enforced in accordance with the procedures laid down in Chapter 71 of this Law.

(5) When seizing payments, which are due to the defendant from third persons in accordance with a contract (except for monetary funds in credit institutions or with other payment service providers), the bailiff shall, on the basis of the enforcement document, send a request to such persons to notify regarding existence of an obligation to pay any amounts to the defendant, the amount and time period, as well as to notify that such amounts are seized in the amount of the claim by taking into account the restriction on the debtor specified in Paragraph 3 of Annex 1 to this Law, and give an order to transfer the payments due to be paid (also sight deposits) into the bailiff's deposit account. The bailiff shall seize monetary funds in credit institutions or with other payment service providers in accordance with the procedures laid down in Section 599.1 of this Law. Seized payments may be paid out to other persons only in conformity with the calculations of the bailiff who first performed the seizure of payments.

(6) A decision to secure a claim by prohibiting the defendant to perform certain actions shall be enforced by a bailiff who shall notify the defendant or the relevant third person of the court decision, for which they shall sign, or by sending it by registered mail.

(7) If in cases in which the subject-matter of an action is a monetary claim, the defendant has paid in the amount of the claim into the bailiff's deposit account, the bailiff shall release the seized movable property from seizure.

(8) The revocation of the means of securing a claim applied, if the securing of the claim is withdrawn, shall be enforced on the basis of an order by the bailiff who enforced the decision to secure the claim.

(9) A decision to replace the means of securing a claim shall be enforced by a bailiff, firstly securing the claim with the replacement means of securing of a claim and afterwards revoking the replaced means of securing of a claim. The sum that has been paid into the bailiff's deposit account as means of securing a claim shall be repaid by the bailiff only on the basis of a court ruling.

[7 September 2006; 5 February 2009; 23 April 2015; 23 November 2016 / The new wording of Paragraph five shall come into force on 1 July 2017. See Paragraph 120 of Transitional Provisions]

Section 143. Compensation for Losses Incurred due to Securing a Claim

If a claim made against a defendant is dismissed, the defendant is entitled to demand compensation for losses he or she has incurred due to the securing of the claim if securing of the claim has been withdrawn in the case laid down in Section 140, Paragraph eight of this Law or if the claim brought against him or her is left without examination or legal proceedings in the case have been terminated in the cases laid down in Section 223, Clauses 2 and 4 of this Law.

[4 August 2011; 8 September 2011; 29 November 2012]

Section 144. Withdrawal of Security for a Claim

[7 September 2006]

Section 145. Termination of Security for a Claim

[7 September 2006]

Section 146. Appeal of a Decision

[7 September 2006]

Chapter 20
Preparation of Civil Cases for Trial

[31 October 2002]

Section 147. Preparation of Civil Cases for Trial

(1) In order to ensure timely examination of a case, the judge subsequent to the receipt of a statement of claim shall prepare the case for trial.

(2) Participants in the case have an obligation to participate in preparation of the case for trial: to answer within the time periods set by the judge his or her requests, to submit written explanations, the necessary evidence and to attend the court pursuant to the summons of the judge.

Section 148. Sending of a Statement of Claim and Attached Documents to the Defendant

(1) After initiation of the case a statement of claim and true copies of documents attached thereto (Section 129, Paragraph three) shall be immediately sent to the defendant by a registered postal consignment, by determining the time period for the submission of a written explanation - 15-30 days from the day of sending of the statement of claim, but in the cases which concern a child, by determining the time period for the submission of a written explanation no longer than 15 days from the day of sending a statement of claim.

(11) If the statement of claim and true copies of documents attached thereto (Section 129, Paragraphs three and four) are to be sent to the defendant after initiation of a case in accordance with Section 56.2 of this Law, the time period for submitting a written explanation shall be 30 days, counting from the day when the statement of claim was served to the defendant.

(12) A plaintiff shall be notified regarding sending of the statement of claim and true copies of documents attached thereto to the defendant.

(13) The court shall send to a plaintiff and defendant information about the possibility to settle the dispute through mediation and about the obligation to notify the court within the laid down time period, if they agree to use mediation.

(2) A defendant shall indicate the following information in the explanation:

1) whether he or she admits the claim fully or partially;

2) his or her objections to the claim and the justification thereof;

3) the evidence certifying his or her objections to the claim and justification thereof, as well as the law upon which they are based;

4) requests for the acceptance of evidence or requiring thereof;

5) other circumstances which he or she regards as significant for the examination of the case, also he or she may indicate his or her telephone number, if he or she agrees to use telephone for correspondence with the court;

51) an electronic mail address for correspondence with the court, and if he or she has registered his or her participation in the online system, also include an indication of registration if the defendant (or his or her representative) agrees to electronic correspondence with the court or he or she is the subject referred to in Section 56, Paragraph 2.3 of this Law. If the representative of the defendant is a sworn advocate, an electronic mail address of the sworn advocate shall be indicated additionally;

6) whether he or she agrees to use mediation.

(3) The defendant shall attach to the explanation true copies thereof in conformity with the number of participants in the case and written evidence corroborating the circumstances on which the objections are based.

(4) After receipt of the explanation a true copy thereof shall be sent without delay to the plaintiff and third persons. If the judge finds it necessary, he or she is entitled to request from the plaintiff a response regarding the explanation.

[7 September 2006; 5 February 2009; 22 May 2014; 29 October 2015; 23 November 2016]

Section 149. Actions of a Judge in Preparing a Case for Trial

(1) After receipt of the explanation or expiry of the time period set for the submission thereof the judge shall decide on the actions for preparation of the case to be able to examine it in a court hearing.

(2) In preparing a case for trial the judge shall strive to reconcile the parties, also offer to settle a dispute through mediation.

(3) In preparing a case for trial the judge shall decide on the requests of participants in the case regarding:

1) invitation or admission of third persons;

2) provision of evidence;

3) summonsing of witnesses;

4) ordering of an expert-examination;

5) acceptance or requiring of written and material evidence;

6) participation of persons in the trial of the case by using a video conference.

(4) The judge is entitled to require from the participants in the case written explanations in order to clarify circumstances of the case and evidence. Explanations and evidence shall be submitted within the time period specified by the judge.

(41) If the plaintiff and defendant agree to the use of mediation, the judge shall, when taking a decision regarding the use of mediation, determine a time period for the use of mediation, which is not longer than six months, and the obligation of the parties to submit evidence to the court regarding result of the mediation not later than within seven days after termination of the mediation. The decision of the judge regarding use of mediation shall not be subject to appeal.

(5) The judge shall decide on the issue regarding participation in the case of representatives from the State and local government institutions and of a public prosecutor, in cases provided for in law, regarding sending of assignments to other courts regarding participation of persons in the trial of the case by using a video conference, as well as perform other necessary procedural actions.

(6) For the performance of the actions specified in this Section the judge may order a preparatory hearing to which the parties and third persons shall be summoned.

(7) If a preparatory hearing is not required the judge shall set the date and time of the court hearing and the persons to be summoned and summonsed to court. When determining a time period for the use of mediation, a judge shall concurrently determine the day of the court hearing not earlier than after the time period referred to in Paragraph 4.1 of this Section.

(8) In cases regarding the reinstatement of an employee in work and cases regarding the annulment of an employer's notice of termination, the date of the court hearing shall be determined not later than 15 days after the receipt of explanations or the end of the time period for the submission thereof, or after a preparatory hearing or after the end of the time period for the mediation. If evidence regarding the result of mediation is received before the time period laid down by the judge, the judge may determine a new day for the court hearing.

(9) In cases regarding claims arising from alienation of immovable property for public needs, the date of the court hearing shall be determined within 15 days after the receipt of explanations or the end of the time period for the submission thereof, or after a preparatory hearing or after the end of the time period for the mediation. If evidence regarding the result of mediation is received before the time period laid down by the judge, the judge may determine a new day for the court hearing.

(10) In cases regarding claims in favour of insolvent debtors in the cases specified in Chapter XVII of the Insolvency Law and regarding the recovery of losses from members of administrative bodies of a legal person and participants (shareholders) of a capital company on the basis of their obligation to be liable for the damages caused, and also from members of a partnership personally liable on the basis of their obligation to be liable for the obligations of a partnership, the court hearing shall be determined not later than three months after the receipt of explanations or the end of the time period for the submission thereof, or after a preparatory hearing or after the end of the time period for the mediation. If evidence regarding the result of mediation is received before the time period laid down by the judge, the judge may determine a new day for the court hearing.

[7 April 2004; 9 June 2005; 30 September 2010; 8 September 2011; 22 May 2014]

Section 149.1 Preparatory Hearing

(1) During a preparatory hearing the judge shall interview participants in the case regarding the nature of the case in order to clarify the subject-matter and limits of the dispute, explain to the participants in the case their procedural rights and obligations, the consequences of performing or failing to perform procedural actions, take a decision on issues provided for in Section 149, Paragraphs three, four and five of this Law, strive to reconcile the parties, also to settle the dispute through the use of mediation, if necessary, set a time period by which separate procedural actions shall be performed.

(2) If the date of a court hearing has not been set in advance, during the preparatory hearing the judge shall set the date and time of the court hearing and notify the present participants in the case thereof for which they shall sign, as well as specify the persons to be summoned and summonsed to the court hearing.

(3) Minutes shall be taken of the preparatory hearing. The course of the preparatory hearing shall be recorded in full amount through the use of sound recordings or other technical means. The information on the proceedings of the hearing, the nature of the explanations by the participants in the case and the decisions taken by the judge shall be indicated in the minutes.

[19 December 2013; 22 May 2014]

Section 150. Liability of the Participants in a Case

(1) If a participant in a case without a justified reason fails to submit explanations, does not reply to a request by the judge within the time period set by the judge, the judge may impose a fine not exceeding EUR 150 on him or her.

(2) If a participant in a case without a justified reason fails to attend the preparatory hearing, the judge may impose a fine of up to EUR 150 on him or her.

(3) If the defendant has failed to submit explanations, has failed to attend the preparatory hearing and has failed to notify the reason for his or her failure to attend, the court may give a default judgment at the preparatory hearing.

[30 September 2010; 29 November 2012; 12 September 2013]

Chapter 21
Trial of Civil Cases

Section 151. Court Hearings

(1) Cases shall be tried at a court hearing presided over by a judge.

(2) A judge shall conduct the trial of a case so as to ensure equal opportunity for all participants in a case to participate in the determination of the circumstances of the case.

(3) In the course of the trial of a case the judge shall strive to reconcile the parties, also offer to settle a dispute through the use of mediation.

[22 May 2014]

Section 152. Procedures during Court Sessions

(1) During a court hearing participants in a case, witnesses, experts and interpreters shall follow the procedures laid down in this Law and shall, without objection, conform to the orders of the judge and decisions of the court.

(2) Persons present in the court room of a court shall behave so as not to disrupt the course of the court hearing.

(3) The course of the trial of a case may be written down or otherwise recorded, without the procedures of the court hearing being disturbed. Photography, filming or videotaping at a court hearing shall be allowed only with the permission of the court. Before deciding such issue, the court shall hear the opinion of the participants in the case.

(4) The number of persons to be admitted to the court room of a court shall be determined by the court according to the number of places in the room. Relatives of parties and representatives of mass media shall have priority to be present at the trial of the case.

(5) Upon the entrance of the court into the court room and the departure of the court therefrom, all persons present in the court room shall rise.

(6) While providing explanations and opinions to the court, submitting requests or giving evidence, the participants in the case, witnesses and experts shall stand up. Derogation from this provision shall be allowed only with the permission of the judge.

(7) All persons present in the courtroom of the court shall stand up while hearing the judgment of the court.

[19 June 2003]

Section 153. Maintaining Order at a Court Hearing

(1) Persons who disturb the order of the court during the trial of a case shall be warned by the judge.

(2) If participants in the case, witnesses, experts or interpreters disturb the order of the court repeatedly, the court may impose a fine of up to EUR 80 on such persons.

(3) If a public prosecutor or an advocate disturbs the order repeatedly, such fact shall be reported to a more senior public prosecutor or to the Council of Latvian Sworn Advocates.

(4) If a person who is not a participant in the case disturbs the order of the court repeatedly, he or she shall be excluded from the courtroom of the court. Such person may also be held liable, as laid down in law, for contempt of court.

[12 September 2013]

Section 154. Commencement of a Court Hearing

At the time appointed for the trial of the case the court shall enter the court room, the chairperson of the hearing shall open the court hearing and announce:

1) the year, day, month and place of the court hearing;

2) the name of the court which examines the case, the court panel, the court recorder of the court hearing, the interpreter, the representative appointed by the court for the progress of a video conference, the advocate and prosecutor who participate in the case;

3) the time of opening of the court hearing;

4) the name of the case.

[8 September 2011]

Section 155. Verifying Attendance of Participants in the Case

(1) The court recorder of the court hearing shall inform the court as to which of the summoned and summonsed persons are in attendance, whether persons not attending have been notified of the hearing, and what information has been received regarding the reasons for such persons failing to attend.

(2) The court shall verify the identity of the persons present and the authorisations of representatives. A representative specified by the court shall verify the identity of those persons who participate in the court hearing by using a video conference.

[8 September 2011]

Section 156. Consequences of Failure to Attend of Participants in a Case, Witnesses, Experts or Interpreters

(1) If a participant in a case, witness, expert or an interpreter fails to attend a court hearing, the court shall begin examination of the case, provided that there is not a basis for postponing it in accordance with Section 209 or 210 of this Law.

(2) If a participant in a case who has failed to attend the court hearing has not given timely notice to the court of the reasons for their failure to attend, the court may impose a fine upon such person not exceeding EUR 80.

(3) If a participant in a case fails to attend the court hearing for reasons, which the court finds unjustified, the court may impose a fine of up to EUR 150 on such person.

(4) Witnesses and experts who fail to attend a court hearing shall be subject to the procedural sanctions laid down in Sections 109 and 122 of this Law.

[12 September 2013]

Section 157. Explanation of Obligations to the Interpreters

(1) The court shall explain to interpreters their obligation to translate the explanations, questions, testimony, applications and requests of persons who do not understand the language of the court proceedings, and to translate to such persons the explanations, questions, testimony, applications and requests of other participants in the case and the contents of the documents read, the judge's instructions and the court ruling.

(2) The court shall warn interpreters that they are liable in accordance with the Criminal Law for refusal to translate or for intentionally providing a false translation.

Section 158. Exclusion of Witnesses from a Courtroom

Witnesses shall be excluded from the courtroom of the court until their examination commences. The chairperson of the hearing shall ensure that the witnesses who have been examined by the court do not communicate with the witnesses who have not been examined.

Section 159. Explanation of Rights and Obligations to the Participants in a Case

(1) The court shall explain to the participants in a case their procedural rights and obligations.

(2) In the course of examining a case the court shall explain to the parties and third persons the consequences of performing or failing to perform procedural actions.

Section 160. Taking a Decision on Removal

(1) The court shall determine whether the participants in the case wish to remove a judge, public prosecutor, court recorder of the court hearing, expert or interpreter.

(2) Applications for the removal shall be decided by the court in accordance with the procedures laid down in Section 21 of this Law.

Section 161. Explanation of Rights and Obligations to the Experts

If a person selected as an expert is not a forensic expert certified in accordance with the Law On Forensic Experts, the court shall explain to experts their rights and obligations and warn them that for refusal to provide an opinion, or knowingly providing a false opinion, an expert is liable in accordance with the Criminal Law.

[29 October 2015]

Section 162. Taking a Decision on Requests Applied by the Participants in a Case

The court shall determine whether the participants in the case have requests related to the trial of the case and decide on such after hearing the opinion of other participants in the case.

Section 163. Commencement of Examining a Case on the Merits

(1) Examining a case on the merits shall commence with the judge's report regarding the circumstances of the case.

(2) After the judge's report, the court shall determine whether the plaintiffs maintain their claim, whether defendants admit a claim, and whether both parties wish to enter into a settlement or to transfer the case for examination to an arbitration court.

Section 164. Withdrawal of a Claim, Admission of a Claim, Settlement, Agreement to Transfer a Case to Arbitration Court or to Use Mediation

(1) Withdrawal of a claim or admission of a claim shall be recorded in a separate certification drawn up by the court and signed respectively by the plaintiff or by the defendant.

(2) If withdrawal of a claim or admission of a claim is expressed in a written application addressed to the court, such application shall be attached to the case file.

(3) A settlement must be submitted to the court in writing and attached to the case file.

(4) Agreement to transfer a case to an arbitration court shall be drawn up in writing and attached to the case file.

(5) The court shall take a decision on the withdrawal of a claim by the plaintiff, agreement of the parties to transfer the case for examination to an arbitration court, as well as a settlement of the parties, and such decision shall simultaneously terminate the court proceedings in the case. The provisions of a settlement shall be set out in a decision on the confirmation of the settlement.

(6) The court shall take a reasoned decision to refuse to confirm a settlement, and shall continue to examine the case on the merits.

(7) So long as the examination of a case on the merits is not completed, it shall be possible to withdraw a claim, admit a claim, enter into a settlement or an agreement to transfer the dispute examination in an arbitration court, also to agree on use of mediation.

[19 December 2013; 22 May 2014]

Section 165. Explanations by the Participants in a Case

(1) In a court hearing participants in the case shall provide explanations in the following order: plaintiffs, third persons with separate claims, defendants.

(2) If a third person without a separate claim participates in the proceedings, he or she shall provide explanations after the plaintiff or after the defendant, depending on whose side the third person participates in the case.

(3) If an action has been brought by a public prosecutor, a State or local government institution, or a person to whom the right to defend the rights and lawful interests of other persons in court has been granted by law, they shall be the first to provide explanations at the court hearing.

(4) Representatives of participants in the case shall provide explanations on behalf of the persons they represent.

(5) Participants in the case shall state in their explanations all the circumstances upon which their claims or objections are based.

[31 October 2002]

Section 166. Written Explanations of the Participants in a Case

(1) Participants in a case have the right to submit their explanations to the court in writing.

(2) Written explanations of participants in a case shall be read at the court hearing in accordance with the order set out in Section 165 of this Law, and shall be attached to the case file.

Section 167. Procedures for the Asking of Questions

(1) With the permission of the court, participants in the case may put questions to each other. The court may reject questions, which are not relevant to the case.

(2) The judge may ask questions to a participant in the case, if a participant expresses himself or herself obscurely or indefinitely, or if it is not evident from the explanations whether or not the participant admits or denies the circumstances on which the claims or objections of the other party are based.

(3) If a party refuses to answer a question regarding disputable circumstances or refuses to provide explanations regarding such, the court may assume that the party does not dispute such circumstances.

Section 168. Establishment of Procedures for the Examination of Evidence

After hearing the explanations and opinion of the participants in the case, the court shall establish procedures for the examination of witnesses and experts and for examination of other evidence.

Section 169. Warning of Witnesses

(1) Before questioning a witness, the court shall determine their identity and warn them regarding their liability for refusing to testify or for knowingly providing false testimony, as well as explain the substance of Section 107 of this Law.

(2) Before being examined, a witness shall sign a warning regarding such contents:

"I, . . . (given name and surname of the witness), undertake to testify to the court about everything I know about the case in which I am called as a witness. It has been explained to me that for refusing to testify or for intentionally giving a false testimony I may be criminally liable in accordance with the Criminal Law."

(3) The warning signed by the witness shall be attached to the minutes of the hearing.

(4) The judge shall explain to witnesses, who have not attained the age of 14 years, their obligation to testify truthfully and to tell everything they know about the case, but shall not warn such a witnesses about the liability for refusing to testify or intentionally giving false testimony.

Section 170. Examination of Witnesses

(1) Each witness shall be examined separately.

(2) The witnesses designated by the plaintiff shall be examined first and the witnesses designated by the defendant thereafter. The order of the examination of the witnesses designated by a party shall be determined by the court, taking into account the opinion of such party.

(3) A witness shall give a testimony and answer questions orally.

(4) The court shall determine the relationship between the witness and the parties and third persons and ask the witness to tell the court everything that he or she personally knows about the case and to avoid provision of information the source of which he or she cannot identify, as well as expressing his or her own assumptions and conclusions. The court may interrupt the narrative of a witness, if the witness speaks about circumstances not relevant to the case.

(5) With the permission of the court, participants in the case may put questions to the witness. Questions shall be put first by the participant at whose request the witness was called, and thereafter by other participants in the case.

(6) The judge may put questions to the witness at any time during the examination of the witness. During the examination of a witness, questions may also be put to the participants in the case.

(7) The court may examine a witness a second time during the same or at another court hearing, as well as confront witnesses with each other.

(8) If the circumstances for the determining of which witnesses were called have been determined, the court, with the consent of the participants in the case, upon taking an appropriate decision on this, may waive examining the witnesses in attendance. The consent of the participants in the case shall be recorded in a separate certification drawn up by the court which is signed by each participant in the case.

[19 December 2013]

Section 171. Right of a Witness to Use Written Notes

When giving testimony, a witness may use written notes, if the testimony is in connection with calculations or other data, which are difficult to remember. Such notes shall be shown to the court and to the participants in the case and may, pursuant to a court decision, be attached to the case file.

Section 172. Examination of Witnesses who are Minors

(1) The examination of a minor shall be conducted, at the discretion of the court, in the presence of a statutory representative or a teacher. Such persons may ask questions to a witness who is a minor.

(2) In cases where it is necessary to determine the circumstances of a case, any participant in the case or any person present in the courtroom may, pursuant to a court decision, be sent out of the courtroom during the examining of a witness who is a minor. After the participant in the case returns to the courtroom, he or she shall be acquainted with the testimony of the witness who is a minor and shall be given an opportunity to ask questions to such witness.

(3) Witnesses, who have not reached the age of 15 years, shall be sent out of the courtroom after their examination, except in cases where the court finds that it is necessary for such a witness to be present in the courtroom.

Section 173. Reading the Testimony of a Witness

The testimony of a witness obtained in accordance with the procedures for securing the evidence or a court assignment, or at a prior court hearing, shall be read or played back, if it is recorded by using a sound record, during the court hearing at which the case is being tried.

[4 February 2016]

Section 174. Obligations of Witnesses who have been Examined

Witnesses who have been examined shall remain in the courtroom until the end of the trial of the case. They may leave the courtroom before the end of the trial of the case only pursuant to a court decision, taken after hearing the opinion of the participants in the case.

Section 175. Examination of Expert Opinions and Examination of Experts

(1) An expert opinion shall be read at the court hearing.

(2) The court and the participants in the case may ask questions to the expert in the same order as to the witnesses.

(3) In cases referred to in Section 125 of this Law the court may order additional or repeat expert-examination.

Section 176. Attachment of Written Evidence to the Case File

(1) The court shall take a decision on the attachment of written evidence to the case file after it has acquainted the participants in the case with the contents of such evidence and has heard their opinion.

(2) Official secret objects shall be compiled in a separate volume.

[5 February 2009]

Section 177. Examination of Written Evidence

(1) Written evidence or the minutes of the examination thereof shall be read at a court hearing or presented to participants in the case, and, if necessary, also to experts and witnesses.

(2) Personal correspondence may be read at an open court hearing only with the consent of the persons involved in such correspondence. If no such consent has been given or if the persons are deceased, such evidence shall be read and examined in a closed court hearing.

Section 178. Disputing of Written Evidence

(1) Participants in a case may dispute the veracity of written evidence.

(2) Written evidence may not be disputed by the person who himself or herself has signed such evidence. Such a person may dispute the evidence by bringing an independent action, if their signature was obtained under the influence of duress, threat or fraud.

(3) The veracity of Land Register entries, notarised documents or other acts certified in accordance with procedures laid down in law may not be disputed. Such may be disputed by bringing an independent action.

(4) The submitter of the disputed written evidence shall explain at the same court hearing whether they wish to use such written evidence or whether they request that it be excluded from the evidence.

(5) If a participant in the case wishes to use the disputed evidence, the court shall decide as to allowing its use after comparing such evidence with other evidence in the case.

Section 179. Application for the Forgery of Written Evidence

(1) A participant in a case may submit a reasoned application for the forgery of written evidence.

(2) The person who has submitted such evidence may request the court to exclude it.

(3) In order to examine an application for the forgery of written evidence, the court may order an expert-examination or require other evidence.

(4) If the court finds that the written evidence has been forged, it shall exclude such evidence and notify a public prosecutor about the fact of forgery.

(5) If the court finds that the participant in the case has, without good cause, initiated a dispute regarding the forgery of written evidence it may impose on such participant a fine of up to EUR 150.

[12 September 2013]

Section 180. Examination of Material Evidence

(1) Material evidence shall be examined at a court hearing and presented to the participants in the case, and, where necessary, also to experts and witnesses.

(2) Participants in the case may provide explanations regarding material evidence and express their opinions and requests.

(3) Minutes of the examination of material evidence, written pursuant to the procedures for securing evidence or a court assignment, shall be read at a court hearing.

Section 181. Inspection and Examination of Evidence On-site

(1) If written or material evidence cannot be brought to the court, the court shall, upon a request of a participant in the case, take a decision on inspection and examination of such evidence at the site where it is located.

(2) The court shall notify participants in the case of an inspection on-site. Failure of such persons to attend shall not constitute a bar for the performance of the inspection.

(3) When conducting an inspection on-site, the court may summon experts and witnesses.

(4) The course of the inspection shall be recorded in the minutes of the hearing, to which plans, technical drawings and representations of the real evidence drawn up and examined during the inspection shall be attached.

Section 182. Opinion of an Institution

(1) After examination of the evidence, the court shall hear the opinion of the institution participating in the proceedings in accordance with law or a court decision.

(2) The judge and participants in the case may ask questions to the representative of such institution concerning this or her opinion.

[7 April 2004]

Section 183. Termination of Examination of a Case on its Merits

(1) After all submitted evidence have been examined, the court shall ascertain the opinion of the participants in the case regarding the possibility of terminating the examination of the case on the merits.

(2) If it is not necessary to examine additional evidence, the court shall ascertain whether the plaintiff maintains his claim and whether the parties wish to enter into a settlement.

(3) If the plaintiff does not withdraw his or her claim and the parties do not wish to make a settlement, the court shall declare that the examination of a case on its merits is terminated and proceed to court argument.

Section 184. Court Argument

(1) In a court argument plaintiffs or their representatives shall speak first, followed by defendants or their representatives. Public prosecutors, representatives of State or local government institutions and persons who have come to the court in order to defend the rights and interests protected by law of other persons, shall be the first to speak at a court argument.

(2) If third persons with separate claims for the subject-matter of the dispute are participating in the case, such persons or their representatives shall speak after the parties.

(3) Third persons without separate claims for the subject-matter of the dispute, or their representatives, shall speak after the plaintiff or defendant on whose side the third person is participating in the case.

(4) Participants in the court argument are not entitled to refer in their statements to such circumstances and evidence as have not been examined at the court hearing.

(5) The court may interrupt a participant in the argument, if the participant discusses circumstances not relevant to the case.

Section 185. Replies

(1) After the participants in the case referred to in Section 184 of this Law have spoken in the argument, each of them has the right to one reply.

(2) The court may limit the time for a reply.

Section 186. Opinion of a Public Prosecutor

If a public prosecutor, who has not brought an action, participates in the proceeding, he or she shall, subsequent to the court argument and comments, provide an opinion regarding the validity of the claim.

Section 187. Deliberation by the Court

(1) Following the court argument, the replies and the opinion of the public prosecutor, the court shall retire to the deliberation room to give a judgment, prior thereto notifying the persons present in the courtroom thereof.

(2) If in a complex case, the court acknowledges that a judgment cannot be given in this court hearing, it shall determine the next court hearing within the nearest 14 day time period in which it shall notify the judgment.

[19 June 2003]

Section 188. Resuming the Examination of a Case on the Merits

(1) If during deliberation the court finds it necessary to determine new circumstances that are significant in the case or to further examine existing or new evidence, it shall resume the examination of a case on the merits.

(2) In such case the court hearing shall continue in accordance with the procedures laid down in this Chapter.

Chapter 22
Judgment

Section 189. General Provisions

(1) A court ruling, by which a case is tried on the merits, shall be given by the court in the form of a judgment and declared in the name of the Republic of Latvia.

(2) A judgment shall be given and declared after examination of the case.

(3) A judgment must be lawful and well-founded.

(4) No direct or indirect interference with the giving of a judgment, or exerting of influence upon the court, shall be permitted.

[19 June 2003]

Section 190. Lawfulness and Basis of a Judgment

(1) When giving a judgment, the court shall take into account the norms of substantive and procedural law.

(2) The court shall base the judgment on the circumstances that have been established by evidence in the case. In a judgment the court shall not disclose information that is an official secret object, but indicate that it has become acquainted with such information and assessed it.

[5 February 2009]

Section 191. Procedures for Giving Judgment

(1) [19 June 2003]

(2) In a deliberation of judges, only judges who are members of the court panel in the case to be examined may be present.

(3) If a judgment is given collegially, the chairperson of the court hearing shall be the last to state his or her opinion.

(4) When giving a judgment, the court shall adopt all rulings with a majority vote. All judges shall sign the judgment.

(5) The judgment in a case examined by a judge sitting alone shall be signed by the judge.

(6) After the judgment has been signed, no alterations or changes shall be permitted.

(7) No erasures or blockings out shall be permitted in a judgment, but corrections or written additions shall be justified before all the judges sign it.

[19 June 2003]

Section 192. Observance of Claim Limits

The court shall give a judgment on the subject-matter of the action set out in the action, and on the basis specified in the action, not exceeding the extent of what is claimed.

Section 193. Form and Contents of a Judgment

(1) A judgment shall be drawn up in writing.

(2) A judgment shall consist of an introductory part, a descriptive part, a reasoned part and an operative part.

(3) The introductory part shall set out that the judgment is made in the name of the Republic of Latvia, as well as the date when the judgment is given, the name of the court giving the judgment, the court panel, the court recorder of the court hearing, the participants in the case and the subject-matter of the dispute.

(4) The descriptive part shall set out the claim of the plaintiff, the counterclaim of the defendant, objections, and the nature of the explanations provided by participants in the case.

(5) The reasoned part shall state the facts found in the case, the evidence on which the conclusions of the court are based, and the arguments by which such evidence or other evidence has been rejected. This part shall also state the laws and regulations according to which the court has acted, and a judicial assessment of the circumstances found in the case, as well as the conclusions of the court on the validity or invalidity of the claim. If the defendant has fully recognised the claim, the reasoned part of the judgment shall include only an indication of the laws and regulations, which the court has acted pursuant to.

(6) The operative part shall set out the court ruling on the complete or partial satisfying of the claim, or the complete or partial rejection thereof, by separately presenting claims which are being satisfied and which are rejected, and the nature of the judgment. Furthermore, it shall set out by whom and to what extent court expenses shall be paid, the time period for voluntary enforcement of the judgment, if the court has specified such, the time period and procedures for appeal of the judgment, as well as the date when the full judgment has been drawn up.

[17 February 2005; 7 September 2006; 5 February 2009; 28 May 2015]

Section 194. Summary Judgment

In a complex case, the court may prepare a summary judgment consisting of an introductory part and an operative part. In such case the court shall prepare a full judgment within 14 days.

Section 195. Judgments on the Recovery of Monetary Amounts

When giving a judgment on the recovery of monetary amounts, the court shall set out in the operative part thereof the type of claim and the amount to be recovered, indicating separately the principal debt and the interest, the time period for which the interest has been adjudged, the rights of the plaintiff regarding receipt of the interest for the time period prior to the enforcement of the judgment (the closing day of an auction), including also a reference to the extent thereof, as well as the name and account number of the credit institution to which the payment is to be made, if any has been indicated in the statement of claim.

[8 September 2011; 28 May 2015]

Section 196. Judgments on the Recovery of Property in Specie

When giving a judgment on the recovery of property in specie, the court shall set out in the operative part thereof the specific property and stipulate that in the case of the non-existence of the property its value shall be recovered from the defendant, referring to the specific amount.

Section 197. Judgments Imposing an Obligation to Perform Specific Actions

(1) In a judgment, which imposes an obligation to perform specific actions, the court shall state specifically who is to perform them, what actions are to be performed and the time period within which they are to be performed.

(2) When making a judgment which imposes an obligation on the defendant to perform specific actions not related to the provision of property or amounts of money, the court may set out in the judgment that if the defendant does not perform the said actions within the specified time period, the plaintiff is entitled to perform such actions at the expense of the defendant and thereafter recover payment of the necessary expenses from the defendant.

Section 198. Judgments in Favour of Several Plaintiffs or Against Several Defendants

(1) In a judgment in favour of several plaintiffs, the court shall set out which part of the judgment refers to each of them, or that the right to recovery is solidary.

(2) In a judgment against several defendants, the court shall state which part of the judgment shall be enforced by each of them, or that their liability is solidary.

Section 199. Declaration of a Judgment

(1) After the judgment is signed, the court shall return to the court room of the court where the judge shall declare the judgment by reading its introductory part and operative part.

(2) After declaring the judgment the judge shall explain its contents and the procedures and time periods for appeal.

(3) In declaring a summary judgment, the court shall announce the date by which a full judgment shall be prepared.

[19 December 2013]

Section 200. Correction of Clerical Errors and Mathematical Miscalculations

(1) The court may, upon its own initiative or upon an application of a participant in the case, correct clerical and mathematical calculation errors in the judgment. An issue regarding correction of errors shall be examined in the written procedure. The participants in the case shall be notified in advance regarding examination of the abovementioned issue in the written procedure. If the application is submitted by a participant in the case, concurrently with sending of the notification the court shall send an application for the correction of clerical and mathematical calculation errors in the judgment.

(2) Clerical and mathematical calculation errors in the judgment shall be corrected pursuant to a decision of the court, the true copy of which shall be sent to the participant in the case within three days after receipt thereof.

(3) The participant in the case may submit an ancillary complaint regarding a decision to correct an error in the judgment.

[8 September 2011]

Section 201. Supplementary Judgment

(1) The court that gives a judgment in a case is entitled, upon its own initiative or pursuant to an application of a participant in the case, to give a supplementary judgment if:

1) a judgment has not been given regarding any of the claims for which the participants in the case have submitted evidence and provided explanations;

2) the court has not specified the amount of money adjudged, the property to be transferred, the actions to be performed, or compensation for court expenses.

(2) The giving of a supplementary judgment may be initiated within the time period laid down in the law for the appeal of the judgment.

(3) The court shall notify the participants in the case about the date and place for examination of such issue. Failure of such persons to attend shall not constitute a bar for taking a decision on the issue of giving a supplementary judgment.

(4) An ancillary complaint may be submitted regarding a court decision to refuse to give a supplementary judgment.

Section 202. Explanation of a Judgment

(1) The court which has given the judgment may, pursuant to an application of a participant in the case, take a decision explaining the judgment without changing its contents.

(2) Explanation of a judgment shall be permitted, if the judgment has not yet been enforced and the time period for its enforcement has not expired.

(3) The issue regarding explanation of a judgment shall be examined in the written procedure, upon a prior notice to the participants in the case. Concurrently with the notification the court shall send an application to participants in the case regarding explanation of the judgment.

(4) An ancillary complaint may be submitted regarding a court judgment on the issue of explanation of a judgment.

[29 October 2015]

Section 203. Entering into Lawful Effect of a Judgment

(1) A court judgment shall enter into lawful effect when the time period for its appeal in accordance with appeal procedures has expired and no notice of appeal has been submitted. If an appellate court has left a notice of appeal without examination or closed appeal proceedings, the judgment shall enter into effect from the time the respective decision is declared.

(2) If a part of a judgment is appealed, the judgment shall enter into effect regarding the part, which has not been appealed, after expiration of the time period for appeal thereof.

(21) If the time period for submission of a notice of appeal regarding a judgment of the court of first instance in respect of different participants in the case is determined in accordance with Section 415, Paragraph one or two and Section 415, Paragraph 2.2 of this Law or the time period for a notice of appeal regarding a judgment of the court of first instance in respect of all participants in the case is determined in accordance with Section 415, Paragraph three of this Law, a judgment of court shall enter into lawful effect after expiration of the time period for appeal thereof, by counting the time period from the latest day of service of true copy of the judgment, unless a notice of appeal has been submitted.

(22) If in the cases referred to in Paragraph 2.1 of this Section the relevant confirmation regarding service of a true copy of the judgment (Section 56.2) has not been received, the judgment shall enter into lawful effect within six months after declaration thereof.

(3) After a judgment has entered into lawful effect, the participants in the case or their successors in interest are not entitled to dispute at other court proceedings the facts established by the court, as well as to bring court action anew regarding the same subject-matter and on the same basis, except in the cases specified in this Law.

(4) If, after a judgment imposing periodic payments on a defendant has entered into lawful effect, there is a change of circumstances affecting the determination of the amount or duration of payments, either party is entitled to request that the amount or time period of payments be varied, by submitting a new claim.

(5) A judgment that has entered into lawful effect shall have the force of law, it is compulsory and may be enforced throughout the territory of the State, and it may be revoked only in cases and in accordance with procedures laid down in law.

[7 September 2006; 5 February 2009]

Section 204. Enforcement of a Judgment

A judgment shall be enforced after it has entered into lawful effect, except in cases where the judgment is to be enforced without delay.

Section 204.1 Voluntary Enforcement of a Judgment

(1) When giving a judgment on the recovery of amounts of money, the return of property in kind, the eviction of persons and property from premises and the recovery of court expenses, a court shall determine a time period for voluntary enforcement of the judgment, except in cases where the judgment is to be enforced without delay.

(2) The time period for the voluntary enforcement of a judgment may not be longer than 10 days from the day of entering into effect of the judgment.

[17 February 2005]

Section 205. Judgments to be Enforced without Delay

(1) Upon a request of a participant in the case, the court may state in the judgment that the following judgments shall be enforced, fully or a specific part thereof, without delay:

1) on the recovery of child maintenance or parent support;

2) on the recovery of remuneration for work;

3) on reinstatement to employment;

4) on the compensation for mutilation or other injury to health;

5) on the recovery of maintenance as a result of the death of a person who had an obligation to support someone;

6) in cases where the defendant has recognised the claim;

7) in cases where the delayed enforcement of the judgment may, due to special circumstances, cause substantial losses for the creditor, or recovery itself may become impossible;

8) in cases arising from the custody rights and access rights.

(2) Immediate enforcement of a judgment provided for in Paragraph one, Clause 7 of this Section shall be permitted only by requiring adequate security from the creditor in the event that an appellate court varies the judgment.

[9 June 2011; 29 November 2012]

Section 206. Postponement, Division into Time Periods, Varying of the Form and Procedure of Enforcement of a Judgment

(1) The court which has given a judgment in a case is entitled pursuant to an application of a participant in the case and taking into account the financial situation of the parties, children's rights or other circumstances, to take a decision to postpone the enforcement of a judgment or divide it into time periods, as well as to vary the form and procedures of enforcement thereof. A decision on postponement, division into time periods, varying of the form and procedure of enforcement of a judgment shall be implemented without delay.

(2) An application shall be examined in the written procedure by previously notifying the participants in the case thereof. Concurrently with the notification the court shall, by determining the time period for submission of the explanation, send an application to participants in the case for the postponement of the enforcement, division in time periods, variation of the form or procedures for the enforcement of a judgment.

(3) An ancillary complaint may be submitted regarding a court decision to postpone the enforcement of a judgment or divide it into time periods, or to vary the form and procedures of a judgment. Submission of an ancillary complaint shall not stay the enforcement of the decision.

[14 December 2006; 8 September 2011; 29 October 2015]

Section 206.1 Issues of Enforcement of a Judgment Given in Accordance with the Procedures Provided for in European Parliament and Council Regulation No 861/2007 and of the European Order for Payment Rendered in Accordance with the Procedures Provided for in European Parliament and Council Regulation No 1896/2006

(1) A court that has given a judgment in accordance with the procedures provided for in European Parliament and Council Regulation No 861/2007 or a European order for payment in accordance with the procedures provided for in European Parliament and Council Regulation No 1896/2006, upon an application of the debtor in the cases provided for in Article 15(2) of European Parliament and Council Regulation No 861/2007 or Article 23 of European Parliament and Council Regulation No 1896/2006, is entitled to:

1) replace enforcement of the judgment or the European order for payment with the measures provided for in Section 138 of this Law for securing enforcement of the judgment or the European order for payment;

2) amend the type or procedure for the enforcement of the judgment or the European order for payment;

3) stay the enforcement of the judgment or the European order for payment.

(2) The application referred to in Paragraph one of this Section shall be examined in the written procedure at a court hearing by previously notifying the participants in the case thereof. Concurrently with the notification the court shall, by determining the time period for submission of the explanation, send an application to participants in the case.

(3) An ancillary complaint may be submitted regarding a decision of a court.

[5 February 2009; 8 September 2011; 29 October 2015]

Section 207. Securing the Enforcement of a Judgment

Upon an application of participants in the case, the court may state in the judgment the measures provided for in Section 138 or Chapter 77.3 of this Law in order to secure the enforcement of a judgment.

[7 September 2006; 8 December 2016 / Amendments to the Section regarding the European Account Preservation Order shall come into force on 18 January 2017. See Paragraph 121 of Transitional Provisions]

Section 208. Sending of a True Copy of the Judgment to the Participants in the Case

(1) A true copy of the judgment shall be sent to the participants in the case who have not attended the court hearing, not later than three days after the judgment has been declared, but where a summary judgment is declared - within three days after the full judgment has been drawn up.

(2) If a participant in the case has been present at the court hearing and the court has declared a summary judgment, the court shall send to the participant, pursuant to his or her written request, a true copy of the full judgment within three days after the full judgment has been drawn up.

(3) If in the cases referred to in Paragraphs one and two of this Section a true copy of the judgment should be sent to a person in accordance with Section 56.2 of this Law and a translation should be attached to a true copy of the judgment in the cases provided for in this Law, a court shall send the true copy of the judgment together with the translation immediately after preparation of the translation.

[5 February 2009]

Chapter 22.1
Default Judgment

[31 October 2002]

Section 208.1 Default Judgment

(1) A default judgment is a judgment, which is given by a court of first instance in a case where the defendant has failed to provide explanations regarding the claim and has failed to attend pursuant to the court summons without notifying the reason for the failure to attend.

(2) A default judgment shall be given by the court on the basis of the explanations of the plaintiff and the materials in the case if the court recognises such as sufficient for settling of the dispute.

(3) A default judgment may not be given in cases:

1) which may not be terminated by settlement;

2) in which the declared place of residence, place of residence, location or legal address of the defendant is not in the Republic of Latvia;

3) in which the defendant has been summoned to court by a publication in the official gazette Latvijas Vēstnesis;

4) in which there are several defendants and at least one of them participates in proceedings.

(4) Provisions regarding the default judgment shall not apply to the special trial procedures.

[29 November 2012]

Section 208.2 Form and Contents of a Default Judgment

(1) A court shall give and draw up a default judgment in accordance with the procedures laid down in Sections 189-198 of this Law, taking into account the features provided for by this Section.

(2) The fact that the judgment is made by default shall be indicated in the title thereof.

(3) The descriptive part of a default judgment shall set out the claims of the plaintiff, the nature of the explanation of the defendant and the procedural basis for giving such judgment.

(4) The operative part of a default judgment in addition to the provisions prescribed in Section 193, Paragraph six of this Law shall set out that the plaintiff is entitled to appeal the judgment in accordance with appeal procedures, but the defendant is entitled, within 20 days from the day the default judgment was sent, to submit to the court which gave the default judgment an application for the renewal of court proceedings and examination of the case anew.

Section 208.3 Sending of a True Copy of the Default Judgment to the Defendant

A true copy of the default judgment shall be sent to the defendant by registered mail.

Section 208.4 Appeal of a Default Judgment

(1) A plaintiff is entitled to appeal a default judgment in accordance with the appeal procedures.

(2) A defendant is not entitled to appeal a default judgment in accordance with the appeal procedures.

Section 208.5 Renewal of Court Proceedings and Examining of the Case Anew

(1) A defendant is entitled, within 20 days from the day a default judgment was sent, to submit to the court, which gave the default judgment, an application for the renewal of court proceedings and examination of the case anew.

(2) The following shall be indicated in an application:

1) the name of the court that gave the default judgment;

2) the given name, surname, personal identity number, declared place of residence of the defendant, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof. If the defendant agrees to electronic correspondence with the court, an electronic mail address shall also be indicated and, if he or she has been registered in the online system for correspondence with the court, an indication of registration shall be included as well. In addition the defendant may also indicate another address for correspondence with court;

3) the date when the default judgment was given and the nature thereof;

4) reasons due to which the defendant did not participate in the case;

5) objections of the defendant against the claim and judgment, grounds for the objections;

6) evidence corroborating the objections and the grounds thereof, the law on which they are based;

7) a request for the acceptance of evidence or requiring thereof;

8) a request for the renewal of court proceedings in the case and examination of the case anew.

(3) Documents attesting the following shall be attached to an application:

1) payment of the State fee and other court expenses in accordance with the procedures and in the amounts laid down in law;

2) the grounds for objections.

(4) True copies of the application and true copies of documentary evidence shall be attached to the application for sending to the plaintiff and third persons.

(5) An application which is not signed shall be regarded as not submitted and shall be sent back to the submitter.

[29 November 2012; 23 April 2015; 23 November 2016]

Section 208.6 Leaving an Application Not Proceeded With

(1) A judge shall leave an application not proceeded with if:

1) the application does not contain all details laid down in Section 208.5, Paragraph two of this Law;

2) the application is not accompanied by all of the documents provided for in Section 208.5, Paragraphs three and four of this Law.

(2) A judge shall take a reasoned decision on leaving an application not proceeded with, a true copy of which shall be sent to the defendant, and shall stipulate a time period of at least 20 days for the elimination of deficiencies. The time period shall be calculated from the day when the decision was served. The decision of a judge may be appealed in accordance with the procedures laid down in this Law. The time period for appeal shall be calculated from the day when the decision was served.

(3) If the defendant does not eliminate the deficiencies within the time period stipulated by the judge, the application shall be deemed as not submitted and shall be returned to the defendant. The decision on the return of the application may not be appealed.

(4) If the application is returned to the defendant, he or she has no right to submit the application to the court repeatedly.

[5 February 2009]

Section 208.7 Actions of a Judge after Acceptance of an Application

(1) Having recognised that the application complies with the requirements of Section 208.5 of this Law, the judge shall notify the plaintiff and third persons of the application and send them true copies of the application and the documents attached thereto.

(2) The judge shall examine the application within seven days after receipt thereof and take one of the following decisions:

1) to renew the court proceedings and examine the case anew, if it is recognised that examination of the case without participation of the defendant and examination of his or her applied evidence has led or may have led to wrongful trial of the case;

2) to dismiss the application if it is recognised that examination of the case anew does not have the grounds specified in Paragraph two, Clause 1 of this Section.

(3) The judge shall specify in the decision to renew court proceedings and examine the case anew the day and time of the court hearing and the persons to be summoned and summonsed to the court.

(4) If a decision to renew court proceedings and examine the case anew has been taken and the plaintiff has submitted a notice of appeal with respect to the default judgment, the complaint shall be returned to the plaintiff.

(5) An ancillary complaint may be submitted regarding the decision by which an application is dismissed. A decision to renew court proceedings and examine the case anew may not be appealed.

Section 208.8 Entering into Lawful Effect of a Default Judgment

(1) A default judgment shall enter into lawful effect if within the time period laid down in law no notice of appeal has been submitted and no application for the renewal of court proceedings and examination of the case anew has been submitted.

(2) If the application for the renewal of court proceedings has been dismissed and a notice of appeal with respect to the court judgment has not been submitted, a default judgment shall enter into effect after the time period for appeal of the decision of the judge has expired.

(3) If the decision of the judge to dismiss the application is appealed and the appellate court has left it unvaried, the default judgment shall enter into effect from the moment the decision of the appellate court is declared.

Section 208.9 Examination of a Case Anew

If a decision to renew court proceedings and examine the case anew has been taken, a default judgment shall not enter into effect and the case shall be examined anew in full in accordance with the procedures provided for in Chapter 21 of this Law. The restriction on the judge laid down in this Law to participate in examination of a case anew shall not apply to this case.

Chapter 23
Postponing Examination of a Case

Section 209. Obligation of the Court to Postpone Examination of a Case

The court shall postpone examination of a case if:

1) any participant in the case is absent from the court hearing and has not been notified of the time and place of the court hearing;

2) any participant in the case, who has been notified of the time and place of the court hearing, is absent from the court hearing because of reasons that the court finds justified;

3) a true copy of the statement of claim has not been served to the defendant and therefore he or she is asking for postponement of examination of the case;

4) it is necessary to summon, as a participant in the case, a person whose rights or lawful interests might be infringed by the judgment of the court;

5) in the case provided for in Section 240 of this Law;

6) if such defendant fails to arrive to a court hearing to whom a notification has been sent in accordance with Section 56.2, Paragraph one of this Law regarding the time and place of the court hearing and a confirmation regarding service of the documents has been received (Section 56.2, Paragraph two), but the defendant has not received the notification in due time;

7) if such defendant fails to arrive to a court hearing to whom a notification has been sent in accordance with Section 56.2, Paragraph one of this Law regarding the time and place of the court hearing or a true copy of the statement of claim and a confirmation regarding service of the documents or non-service of the documents has not been received (Section 56.2, Paragraph two);

8) if consent for mediation has been received from the parties.

[5 February 2009; 8 September 2011; 22 May 2014]

Section 210. Right of the Court to Postpone Examination of a Case

(1) The court may postpone examination of a case if:

1) a plaintiff who has been notified of the time and place of the court hearing fails to attend the court hearing for reasons which are unknown;

2) a defendant who has been notified of the time and place of the court hearing fails to attend the court hearing for reasons which are unknown;

3) it is found that examination of the case is impossible because of the failure to attend of a participant in the case, whose participation in the examination of the case is compulsory in accordance with law, or of a witness, expert or interpreter ensured by the court;

4) based on a request of a participant in the case, in order that the participant be given the opportunity to provide additional evidence;

5) if a person cannot participate in the court hearing by using a video conference due to technical or other reasons not depending on the court;

6) if an interpreter fails to arrive to the court hearing due to the reason which the court recognises as justified.

(2) For the reason set out in Paragraph one, Clause 1 or 2 of this Section, the court may postpone examination of the case not more than once.

[8 September 2011; 4 February 2016 / Amendment made regarding the interpreters to Paragraph one, Clause 3, and also amendment regarding supplementing Paragraph one with Clause 6 shall come into force on 31 July 2016. See Paragraph 114 of Transitional Provisions]

Section 211. Decision to Postpone Examination of a Matter

(1) A decision to postpone the examination of a case shall be recorded in the minutes of the court hearing.

(2) In a decision to postpone the examination of a case all the procedural actions as must be performed prior to the next court hearing shall be mentioned, and the date of the next court hearing stipulated. If the court postpones examination of the case in the case provided for in Section 209, Clause 7 of this Law, the next court hearing shall be determined only after the conditions referred to in Article 19(2) of Regulation No 1393/2007 of the European Parliament and of the Council or the second paragraph of Article 15 of Hague Convention of 15 November 1965 on the Service Abroad of Judicial and Extrajudicial Documents in Civil or Commercial Matters (hereinafter - Hague Convention 1965) have been complied with or, if the laws and regulations referred to in this Paragraph are not applicable, equivalent measures have been performed.

(21) When postponing examination of a case in the case referred to in Section 209, Clause 8 of this Law, the court shall determine a time period for the use of mediation, which shall not be longer than six months, and the obligation of the parties to submit evidence to the court regarding result of the mediation not later than within seven days after termination of the mediation. The court decision to postpone the examination of a case for the use of mediation may not be appealed.

(3) The court shall inform the persons attending the court hearing about the date of the next court hearing, for which such persons shall sign. Absent persons shall be again summoned or summonsed to the court hearing.

(4) A decision to postpone examination of the case may not be appealed, except a decision in which the date of the next court hearing is not stipulated.

[8 September 2011; 22 May 2014]

Section 212. Examination of Witnesses if Examination of a Case is Postponed

(1) If all participants in the case are present at the court hearing, the court may, upon postponing the examination of the case, examine the witnesses who are present.

(2) Where necessary, witnesses who have been examined may be summonsed to the next court hearing.

Section 213. Recommencement of Examination of a Case

[7 September 2006]

Chapter 24
Staying of Court Proceedings in Civil Cases

Section 214. Obligation of the Court to Stay Court Proceedings

The court shall stay court proceedings if:

1) such natural person has died or such legal person has ceased to exist, which is a party or third person with separate claims in the case, and if rights in connection with the disputed legal relations are capable of being subrogated;

2) the court has determined such restriction for the capacity to act for a party or third person which prevents him or her from independent exercising of the civil-procedural rights and obligations;

3) a party or third person is no longer able to participate in the examination of the case because of serious illness, old age or disability;

4) the court takes a decision to submit an application to the Constitutional Court or also the Constitutional Court has initiated a case in relation to the constitutional complaint submitted by the parties or a third person;

41) it takes a decision to make a request to the Court of Justice of the European Union for the giving of a preliminary ruling;

5) examination of the case is not possible prior to the deciding of another case, which is required to be examined in accordance with civil, criminal or administrative procedures;

6) [8 September 2011].

[20 June 2001; 7 April 2004; 7 September 2006; 5 February 2009; 8 September 2011; 29 November 2012]

Section 215. Right of a Court to Stay Court Proceedings

The court, upon an initiative of a participant or its own initiative, may stay the court proceedings if:

1) a party or a third person with separate claims is outside the borders of Latvia in connection with lengthy official business, or the performing of obligations for the State;

2) a search for a defendant has been announced;

3) a party or a third person with separate claims is unable to participate in examination of the case due to illness;

4) the court orders an expert-examination;

5) the parties have mutually agreed to stay the proceedings and a third person with separate claims does not object;

6) insolvency proceedings of a legal person or insolvency proceedings of a natural person have been declared for a defendant in the claims which are financial in nature.

[18 April 2013]

Section 216. Duration of Staying of Court Proceedings

Court proceedings shall be stayed:

1) in cases provided for in Section 214, Clause 1 of this Law - until determination of a successor in interest or appointing of a statutory representative;

2) in cases provided for in Section 214, Clause 2 of this Law - until the appointing of a statutory representative;

3) in cases provided for in Section 214, Clause 3 of this Law - until the date set by the court to formalise representation;

4) in cases provided for in Section 214, Clauses 4, 4.1 and 5 of this Law - until the ruling of the Constitutional Court or the Court of Justice of the European Union or a court ruling in the civil case, criminal case or administrative case comes into lawful effect;

5) in cases provided for in Section 215, Clauses 1 -4 of this Law - until the time when the conditions referred to in these Clauses are no longer in effect;

6) in cases provided for in Section 215, Clause 5 of this Law - for the time period stipulated in the court decision;

7) [8 September 2011].

8) in cases provided for in Section 215, Clause 6 of this Law - until the termination of insolvency proceedings of a legal person or insolvency proceedings of a natural person.

[20 June 2001; 7 April 2004; 5 February 2009; 8 September 2011; 18 April 2013]

Section 217. Decision on Staying of Court Proceedings

(1) In regard to staying of court proceedings, the court shall take a reasoned decision, which shall be drawn up in the form of a separate procedural document.

(2) In the decision shall be set out the conditions, until coming into effect or ceasing of which the court proceedings have been stayed, or the time period for which the court proceedings have been stayed.

(3) An ancillary complaint may be submitted regarding a court decision to stay court proceedings.

Section 218. Renewal of Court Proceedings

(1) Court proceedings shall be renewed by the court upon its own initiative or an application of a participant in the case.

(2) If insolvency proceedings of a legal person or insolvency proceedings of a natural person have been declared for a defendant in claims of a financial nature, the court shall renew the stayed court proceedings:

1) upon a request of a creditor, if an administrator of insolvency proceedings has taken a decision not to recognise creditor's claim or to recognise it partly on the basis of the fact that there is a dispute regarding rights;

2) if, when examining the complaint regarding a decision of the administrator of insolvency proceedings, it is found that there is a dispute regarding rights, and renewal of the court proceedings is requested within a time period laid down by the court.

[18 April 2013]

Chapter 25
Leaving a Claim without Examination

Section 219. Obligation of the Court to Leave a Claim without Examination

(1) The court shall leave a claim without examination if:

1) the plaintiff has not complied with the preliminary procedures for extrajudicial examination provided for the relevant category of cases or has not, prior to submitting the claim, performed the measures laid down in law in order to resolve his or her dispute with the defendant;

2) the statement of claim has been submitted by a person lacking civil-procedural capacity to act;

3) the action has been brought on behalf of the plaintiff by a person who has not been authorised, in accordance with the procedures laid down in law, to do so;

4) there already is such a dispute in the case, between the same parties, regarding the same subject-matter and on the same basis is being examined by the same or another court;

5) the case is not within the jurisdiction of the Latvian court according to the international agreements binding upon the Republic of Latvia and legal norms of the European Union;

6) the parties have, in accordance with the procedures laid down in law, agreed on the settlement of a dispute through the use of mediation, except the claim of an employee arising from employment legal relations, and evidence has not been submitted that a proposal to settle the dispute through the use of mediation is rejected, or mediation agreement is not entered into, or mediation is terminated without reaching an agreement.

(2) The court shall leave a claim without examination in the part regarding which a European order for payment is not issued in the case provided for in Article 10(2) of the European Parliament and Council Regulation No 1896/2006.

[5 February 2009; 29 November 2012; 22 May 2014]

Section 220. Right of the Court to Leave a Claim without Examination

The court may leave a claim without examination if the plaintiff or his or her representative has repeatedly failed to attend the court and has not requested that the case be examined in his or her absence.

[31 October 2002; 19 June 2003]

Section 221. Decision to Leave a Claim without Examination

(1) In regard to leaving a claim without examination, the court shall take a reasoned decision, which shall be in the form of a separate procedural document.

(2) An ancillary complaint may be submitted regarding the decision of the court to leave a claim without examination.

Section 222. Consequences of Leaving a Claim without Examination

If a claim is left without examination, the plaintiff is entitled to resubmit a statement of claim to the court in conformity with the procedures laid down in law.

Chapter 26
Termination of Court Proceedings

Section 223. Basis for Terminating Court Proceedings

A court shall terminate court proceedings if:

1) examination of the case is not allocated to the court;

2) the case has been submitted by a person who does not have the right to make a claim;

3) a court judgment, which has been given in a dispute between the same parties, regarding the same subject-matter and on the same basis, or a court decision to terminate the court proceedings has entered into lawful effect;

4) the plaintiff has withdrawn the claim;

5) the parties have entered into a settlement and the court has confirmed it;

6) the parties have agreed, in accordance with procedures laid down in law, to submit the dispute for examination in an arbitration court;

7) a natural person who is one of the parties in the case dies and the rights in connection with the disputed legal relations are not capable of being subrogated;

8) a legal person who is one of the parties has ceased to exist and a successor in interest does not exist;

9) insolvency proceedings of a natural person have been terminated and the natural person is released from the relevant obligations in accordance with Section 164 of the Insolvency Law.

[18 April 2013]

Section 224. Decision to Terminate Court Proceedings

(1) Court proceedings shall be terminated pursuant to a reasoned decision of the court, made in the form of a separate procedural document.

(2) An ancillary complaint may be submitted regarding a court decision to terminate court proceedings.

Section 225. Consequences of Terminating Court Proceedings

If court proceedings have been terminated, repeated court proceedings regarding the dispute, by the same parties, regarding the same subject-matter and on the same basis shall not be permitted.

Chapter 27
Settlement

Section 226. Agreement Regarding Settlement

(1) A settlement shall be permitted at any stage in the procedure.

(2) A settlement shall be permitted in any civil dispute, except in cases provided for in this Law.

(3) Settlement shall not be permitted:

1) in disputes related to amendments to registers of documents of civil status;

2) in disputes related to the inheritance rights of persons under guardianship or trusteeship;

3) in disputes regarding immovable property, if among the participants are persons whose rights to own or possess immovable property are restricted in accordance with procedures laid down in law;

4) if the terms of the settlement infringe on the rights of another person or on interests protected by law.

Section 227. Entering into a Settlement

(1) The parties shall enter into a settlement in writing and shall submit it to the court.

(2) The following shall be indicated in the settlement:

1) the given name, surname, personal identity number, declared place of residence of the plaintiff, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof;

2) the given name, surname, personal identity number, declared place of residence and the additional address (addresses) indicated in the declaration of the defendant, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof;

3) the subject-matter of the dispute;

4) the obligations of each party which they voluntarily undertake to perform.

(3) A court may confirm a settlement without the presence of the party in a court hearing or in the written procedure, if the settlement has been made by a notary in the form of a notarial deed and contains a statement by the parties that they are aware of the procedural consequences of the court confirming the settlement.

[29 November 2012; 29 October 2015; 4 February 2016]

Section 228. Court Decision on Confirmation of a Settlement

(1) A court, upon receiving a settlement of the parties, shall establish whether the parties have agreed to the settlement voluntarily, whether it conforms to the provisions of Sections 226 and 227 of this Law, and whether the parties are aware of the procedural consequences of the court confirming the settlement.

(2) If the court finds that the settlement conforms to the requirements of this Law, it shall take a decision confirming the settlement and terminating court proceedings in the case.

(3) A settlement confirmed by a court decision shall be enforced in accordance with the provisions regarding enforcement of court judgments.

Chapter 28
Court Decision

Section 229. Taking of a Decision

(1) A court ruling by which a case is not tried on the merits shall be given in the form of a decision.

(2) A decision shall be drawn up in the form of a separate procedural document, or shall be written into the minutes of the hearing and shall be declared after the minutes are approved. In the cases provided for in this Law a decision may be drawn up in the form of a resolution. In such case only the time and place of taking the decision, the name and composition of the court, and also ruling of the court or judge shall be indicated.

(3) In cases provided for in this Law a court decision in the form of a separate procedural document shall be drawn up in the deliberation room.

(4) In regard to a judge's procedural work outside the court hearing a decision shall be taken, which shall be drawn up in the form of a separate procedural document.

[15 March 2012; 29 October 2015]

Section 230. Form and Contents of a Decision

(1) A decision shall consist of an introductory part, a descriptive part, a reasoned part and an operative part.

(2) In the introductory part the time and place of taking the decision, the name and composition of the court, the participants in the case and the subject-matter of the dispute shall be indicated.

(3) In the descriptive part the issues on which the decision has been taken shall be indicated.

(4) In the reasoned part the established facts, evidence, on which conclusions and arguments of the court or judge are based, and also laws and regulations according to which the court has acted shall be indicated.

(5) In the operative part the ruling and decision of the court or judge, and the procedures for and term of the appeal shall be indicated.

(6) In decisions, which are necessary for a bailiff, additional information regarding the participants in the case [natural person - plaintiff or applicant - given name, surname, personal identity number (if known) and declared place of residence, but if none, place of residence; natural person - defendant - given name, surname, personal identity number (if known), declared place of residence, additional address (addresses) indicated in the declaration and place of residence if it is known; legal person - name, legal address and registration number] shall be indicated.

[29 October 2015]

Section 230.1 Summary Decision

In a complex issue, the court, when examining the issue in the court hearing, may prepare a summary decision consisting of an introductory part and an operative part. In such case the court shall prepare a full decision within 14 days. When declaring a summary decision, the court shall announce the date by which a full decision shall be prepared.

[29 October 2015]

Section 231. Declaring of a Decision and Sending a True Copy of the Decision

(1) A court shall declare a decision in a court hearing. The decision, which is taken in the written procedure, shall be regarded as drawn up on the date when it is available in the Court Registry.

(2) A true copy of the court decision shall be sent within three days to the participants in the case who were not present when the decision was declared and to a person to whom it applies. If a summary decision is declared, a true copy of the full decision shall be sent within three days after the full decision has been drawn up. A true copy of the decision taken in the written procedure shall be sent within three days after the decision has been drawn up. If a participant in the case or a person to whom the decision applies has been present at the court hearing and the court has declared a summary decision, the court shall send to the participant, pursuant to a written request, a true copy of the full decision within three days after the full decision has been drawn up.

(3) If in the cases referred to in Paragraphs one and two of this Section a true copy of the court decision is sent to a person in accordance with Section 56.2 of this Law and in the cases provided for in this Law, a translation should be attached to the true copy of the court decision, a court shall send the true copy together with the translation immediately after the translation is prepared.

[5 February 2009; 29 October 2015]

Section 232. Ancillary Court Decision

(1) If in the course of examining a case, circumstances indicating to a possible breach of law are found, a court is entitled to take an ancillary decision, which shall be sent to the appropriate institution.

(2) An ancillary decision of a court may not be appealed.

Division Five
Particular characteristics of Examination of Separate Categories of Cases

Chapter 29
Cases Regarding Annulment of Marriage and Divorce

Section 233. Procedures for Examining Cases

Cases regarding annulment of marriage and divorce shall be examined by the court in accordance with the procedures for court proceedings by way of action according to general procedures taking into account the exceptions provided for in this Chapter.

Section 234. Jurisdiction of Cases

An action for annulment of marriage or divorce may also be brought before a court based on the declared place of residence of the plaintiff, but if none, the place of residence of the plaintiff if:

1) there are minor children with the plaintiff;

2) [29 November 2012];

3) the marriage to be dissolved is with a person who is serving a sentence in a penal institution;

4) the marriage to be dissolved is with a person who does not have a declared place of residence and whose place of residence is unknown or who resides abroad.

[29 November 2012]

Section 235. Cases Regarding Divorce Based on an Application of Both Spouses

[28 October 2010]

Section 235.1 Statement of Claim for Divorce

In addition to the information provided for in Section 128 of this Law, the following shall be specified in a statement of claim:

1) since when the parties live separately;

2) whether the other spouse agrees to the divorce;

3) whether the parties have agreed on the custody of children, the procedures for exercising the access rights of the other parent, the means of support and division of the property acquired during marriage or are submitting relevant claims.

[31 October 2002; 19 June 2003]

Section 236. Participation of the Parties in a Court Hearing

(1) A case regarding divorce shall be examined with the participation of both parties.

(11) Upon a request of one spouse the court may hear each spouse in a separate court hearing, if the divorce is related to violence against the spouse requesting the divorce or against the child of the spouse, or a joint child of the spouses.

(2) If the defendant, without a justified cause, fails to attend pursuant to a court summons if it has been sent by registered mail, he or she may be brought to court by forced conveyance.

(3) If one of the parties lives far or due to other reasons cannot attend pursuant to a court summons, the court may admit as sufficient for examination of the case a written explanation by this party or the participation of a representative thereof.

(4) If the place of residence of the defendant is unknown or it is not located in Latvia, the case may be examined without the participation of the defendant if he or she has been summoned to court according to the procedures laid down in law.

(5) In cases regarding divorce or annulment of a marriage the representative of a party must be specifically authorised to conduct such case. Authorisation to represent in cases regarding divorce or annulment of marriage shall also apply to all other claims associated thereto.

[31 October 2002; 19 June 2003; 29 November 2012; 23 November 2016]

Section 237. Bringing of an Action Regarding Annulment of a Marriage

An action for annulment of a marriage may be brought by persons interested or by a public prosecutor.

Section 238. Prohibition of Division of a Claim

(1) In a case regarding divorce or annulment of marriage claims arising from family legal relationships shall be tried concurrently. Such claims shall be disputes regarding:

1) determining of custody;

2) exercising of access rights;

3) child maintenance, including maintenance in the minimum amount determined by the Cabinet;

4) means for the provision of the previous welfare level of the spouse;

5) joint family home and household or personal articles;

6) division of the property of spouses (also if it affects third persons).

(2) [29 October 2015].

(3) [29 October 2015].

(4) [29 October 2015].

(5) [29 October 2015].

[31 October 2002; 7 September 2006; 4 August 2011; 29 November 2012; 29 October 2015; 8 December 2016]

Section 238.1 Provisional Decision in Certain Claims

(1) Upon a request of a party a court or judge may take a decision which temporarily, until the judgment on divorce or annulment of marriage is given, specifies the place of residence of the child, the procedures for child care, the procedures for exercising access rights, child maintenance, prohibition to taking the child out of the State, means for the provision of the previous welfare level of the spouse, procedures for use of the joint home of the spouses or instructs one of the parties to issue to the other party household and personal articles.

(2) A request for child maintenance and means for the provision of the previous welfare level of the spouse shall be examined in the written procedure.

(3) A request for the place of residence of a child, the procedures for child care, the procedures for exercising access rights, prohibition to take the child out of the State, procedures for use of the joint home of the spouses or instruction for one of the parties to issue to the other party household and personal effects shall be examined in a court hearing.

(4) In claims concerning a child (regarding the place of residence of a child, the procedures for child care, the procedures for exercising access rights, prohibition to taking the child out of the State) a representative of the Orphan's court shall, upon a request of the court, provide any information which is significant in the case regarding:

1) the living conditions of the parties;

2) the point of view of the child if he or she can formulate such considering his or her age and degree of maturity;

3) contact of the child with parties and other persons who are living or it is known that will live with the child in one household;

4) the child's health care and education;

5) co-operation of the parties with social services;

6) persons who are living or it is known that will live with the child in one household;

7) violence of the parties against the child or child's parent.

(5) The parties shall be notified regarding a court hearing, but in claims concerning the child - a representative of the Orphan's court shall be invited to the court hearing. If a court considers that it is necessary to clarify the information provided by the Orphan's court, it shall determine the point of view of the child if he or she can formulate it considering his or her age and degree of maturity. Failure of the other spouse to attend shall not constitute a bar for the examination of the claim.

(6) If in claims regarding the procedures for exercising of access rights the court, upon a request of the participant in the case or its own initiative, finds, that the access rights should be exercised in the presence of the access person, the court shall invite the access person to participate in the court hearing. The court shall determine, whether the access person agrees that access rights are to be exercised in the presence thereof.

(7) The court or judge shall examine the request of the party and take a decision within a month from the day of receipt of the request. The decision shall be enforced without delay. The decision shall become invalid, if other decision or judgment is taken in the relevant claim.

(8) A decision of a judge on claims referred to in Paragraph two of this Section shall not be appealed. An ancillary complaint may be submitted in respect of the court decision in the case regarding claims referred to in Paragraph three of this Section.

[29 October 2015]

Section 239. Preparation of Divorce Cases for Examination and Examination Thereof

(1) In cases regarding divorce or annulment of marriage the court shall, upon its own initiative, require evidence, especially for taking a decision on such issues which are related to the interests of a child.

(2) In issues regarding granting of custody rights, childcare and procedures for exercising of access rights a court shall require an opinion from the Orphan's Court and summon a representative thereof to participate in the court hearing, as well clarify the opinion of the child if he or she is capable of formulating such considering his or her age and degree of maturity.

(3) Cases regarding divorce shall be examined, and the judgment thereon shall be declared in a closed court hearing. Copies of documents (full text of the documents) shall be issued to third persons only if it directly relates to such persons.

[31 October 2002; 7 September 2006; 4 August 2011]

Section 240. Postponing the Examination of a Divorce Case

(1) The court shall, upon its own initiative, postpone the examination of a case for the purpose of restoring the cohabitation of spouses or promoting friendly settlement of the case. Upon a request of a party the examination of the case may also be repeatedly postponed for such purpose.

(2) The court may not postpone the examination of the case if the parties have lived separately for more than three years and both parties object against postponing of the examination of the case or if the divorce is related to violence against the spouse requesting the divorce or against the child of the spouse, or a joint child of the spouses.

[31 October 2002; 29 November 2012]

Section 241. Settlement and Conciliation

(1) In cases regarding divorce or annulment of a marriage settlement by the parties shall be permitted only in disputes related to family legal relationships (Section 238, Paragraph one).

(2) Withdrawal of an action regarding divorce or termination of court proceeding regarding divorce shall not constitute a bar for the examination of the remaining claims on the merits.

[31 October 2002]

Section 242. Court Judgments in Divorce Cases

When giving a judgment in a divorce case, the court shall:

1) try all claims arising from the family legal relationships and regarding which actions have been brought;

2) establish whether a party who on entering into the marriage has changed his or her surname shall be granted use of the premarital surname;

3) divide between the parties court expenses, taking into account their financial situation.

[31 October 2002]

Section 243. Court Judgment in Annulment of Marriage Cases

When giving a judgment on the annulment of marriage, the court shall indicate in the judgment:

1) the basis for annulment of the marriage in accordance with Sections 60- 67 of The Civil Law;

2) whether a party who changed his or her surname upon entering into the marriage is to be granted the use of his or her premarital surname or whether the married surname shall remain in effect;

3) which children shall remain with which parent, if this is in dispute;

4) from which parent and in what amount means for child maintenance shall be recovered, if this is in dispute.

Section 244. Issuing and Sending the True Copies of a Judgment and Giving Notice of a Judgment

(1) After a judgment on the annulment of marriage or divorce has entered into lawful effect, a true copy of the judgment or an extract from the judgment shall be sent to the General Registry office where the relevant civil status document registration is kept, but if the marriage was entered into before a minister - to the relevant church (minister of the congregation) and the General Registry office in whose jurisdiction the church (congregations) is located.

(2) In a case in which the defendant does not have a declared place of residence and his or her place of residence is unknown, the court shall give notice regarding the annulment of the marriage in the official gazette Latvijas Vēstnesis.

(3) The court shall issue to the former spouses a true copy of the judgment by which the marriage is dissolved or declared annulled.

[31 October 2002; 8 September 2011; 29 November 2012]

Chapter 29.1
Cases Arising from the Custody Rights and Access Rights

[7 September 2006]

Section 244.1 Procedures for Examining Cases

Cases arising from the custody rights and access rights shall be examined by the court in accordance with the procedures for court proceedings by way of action according to general procedures taking into account the exceptions provided for in this Chapter.

Section 244.2 Bringing of an Action

(1) An action for cases arising from the custody rights may be brought by the parents of the child, guardians, the Orphan's Court or the public prosecutor.

(2) An action for cases arising from the access rights may be brought by the persons indicated in Section 181 of The Civil Law, as well as by the public prosecutor or Orphan's Court.

(3) In cases arising from the access rights in addition to that referred to in Section 128 of this Law the plaintiff shall indicate the following in the statement of claim:

1) the procedures, time and place for exercising the access rights;

2) if the plaintiff requests for access rights to be exercised in the presence of the access person - information regarding the relevant access person (for natural persons - given name, surname, personal identity number, and address, for legal persons - firm name, legal address and registration number).

[29 October 2015]

Section 244.3 Jurisdiction of Cases

(1) An action for cases arising from the custody rights and access rights shall be brought before a court based on the place of residence of the child.

(11) In cases arising from the custody rights and access rights the declared place of residence of parents of the child shall be deemed the place of residence of the child. If the declared places of residence of parents of the child are located in different administrative territories, the declared place of residence of the parent with whom the child is living shall be deemed the place of residence of the child. If the parents of the child or the child do not have a declared place of residence, the place of residence of parents of the child shall be deemed the place of residence of the child.

(2) If cases arising from the custody rights and access rights are examined together with cases regarding divorce or annulment of a marriage, the provisions of Chapter 29 of this Law shall be applied.

[29 November 2012]

Section 244.4 Participation of the Parties in a Court Hearing

(1) A case arising from the custody rights and access rights shall be examined with the participation of both parties.

(11) If the claim regarding removal of custody rights is submitted by the Orphan's court, the case may be examined without the participation of the defendant if he or she has been summoned to court according to the procedures laid down in law.

(2) If the defendant, without a justified cause, fails to attend pursuant to a court summons, he or she may be brought to court by forced conveyance.

(3) If one of the parties lives far or due to other reasons cannot attend pursuant to a court summons, the court may admit as sufficient for examination of the case a written explanation by this party or the participation of a representative thereof.

(4) If the place of residence of the defendant is unknown or it is not located in Latvia, the case may be examined without the participation of the defendant if he or she has been summoned to court according to the procedures laid down in law.

[29 October 2015]

Section 244.5 Preparation of Cases for Examination and Examination Thereof

[29 October 2015]

Section 244.6 Settlement between the Parties

[29 October 2015]

Section 244.7 Consequences of a Court Judgment

[29 October 2015]

Section 244.8 Access Person

(1) An access person is a participant in the case arising from the access rights. The access person has the following procedural rights and obligations:

1) the right to acquaint with the request for inviting the access person to participate in the case;

2) the right to participate in a court hearing;

3) the right to express consent to or objections against the fact, that obligations are imposed on him or her by a ruling;

4) the right to receive a true copy of the court judgment or decision;

5) the obligation to attend the court pursuant to a court summons;

6) the obligation to give in writing a timely notice of reasons preventing them from attending a court hearing by submitting evidence thereon;

7) to appeal the court judgment and decision in a part which applies to the access person.

(2) An access person shall be invited to participate in the case upon an initiative of the participant in the case or court.

[29 October 2015]

Section 244.9 Preparation of Cases for Examination and Examination Thereof

(1) In cases arising from the custody rights and access rights the court shall, upon its own initiative or a request of a participant in the case, request evidence.

(2) In cases that arise from custody rights and access rights the court shall,upon its own initiative or a request of a participant in the case, request an opinion by the relevant Orphan's Court and summon a representative thereof to participate in the court hearing, as well as the opinion of the child shall be clarified if he or she is capable to formulate it taking into account his or her age and degree of maturity.

(3) If in the case arising from the access rights the court, upon a request of the participant in the case or upon its own initiative, finds, that access rights should be exercised in the presence of the access person, the court shall invite the access person to participate in the court hearing. The court shall determine, whether the access person agrees that access rights are to be exercised in the presence thereof.

(4) When commencing examination of the case on the merits, the case shall listen to an access person. The access person shall not participate in further examination of the case on the merits.

(5) When examining the cases which are arising from custody or access rights, in addition to other circumstances the court shall take into account all cases, when the person, who wants to exercise custody or access rights, has used violence against the child or child's parent. When examining the cases arising from custody rights, in addition to other circumstances the court shall take into account the breach of the procedures for exercising the access rights laid down by it.

(6) A court in applying the Hague Convention of 19 October 1996 on Jurisdiction, Applicable Law, Recognition, Enforcement and Co-operation in Respect of Parental Responsibility and Measures for the Protection of Children, and evaluating the jurisdiction of the case in conformity with the interests of the child, on its own initiative or the request of a participant in the case may take a decision on the transfer of the case for examination in a court in another state if the child during the court proceedings procedure has acquired a place of residence in such state and the court of the relevant state has consented to take over the case.

(7) If in the mutual relations of the involved states Council Regulation (EC) No 2201/2003 of 27 November 2003 concerning jurisdiction and the recognition and enforcement of judgments in matrimonial cases and the cases of parental responsibility, repealing Regulation (EC) No 1347/2000 (hereinafter - Council Regulation No 2201/2003) is applicable, the court decision on the transfer of the case shall be taken in accordance with the provisions of the abovementioned regulation.

[29 October 2015]

Section 244.10 Provisional Decision

(1) On the basis of a request from the parties the court or judge shall take a decision with which for a period to the giving of a judgment shall determine the place of residence of the child, the procedures for the care of the child, the procedures for the exercising of access rights, child maintenance, and a prohibition to taking the child out of the State.

(2) A request for child maintenance shall be examined in the written procedure.

(3) A request for the place of the residence of the child, the procedures for the care of the child, the procedures for the exercising of access rights, prohibition to taking the child out of the State shall be examined in a court hearing.

(4) A representative of the Orphan's court shall, upon a request of the court, provide any information which has significance in the case regarding:

1) the living conditions of the parties;

2) the point of view of the child if he or she can formulate such considering his or her age and degree of maturity;

3) contact of the child with parties and other persons who are living or it is known that will live with the child in one household;

4) the child's health care and education;

5) co-operation of the parties with social services;

6) persons who are living or it is known that will live with the child in one household;

7) violence of the parties against the child or child's parent.

(5) The parties shall be notified of the court hearing, and a representative of the Orphan's court shall be invited to the court hearing. If a court considers that it is necessary to clarify the information provided by the Orphan's court, it shall determine the point of view of the child if he or she can formulate it considering his or her age and degree of maturity. Failure of the other party to attend shall not constitute a bar for the examination of the issue.

(6) If in claims regarding the procedures for exercising of access rights the court, upon a request of the participant in the case or upon its own initiative, finds, that access rights should be exercised in the presence of the access person, it shall invite the access person to participate in the court hearing. The court shall determine, whether the access person agrees that access rights are to be exercised in the presence thereof.

(7) The court or judge shall examine the request of the party and take a decision within a month from the day of receipt of the request. The decision shall be enforced without delay. The decision shall become invalid, if other decision or judgment is taken in the relevant claim.

(8) A decision of the judge on the claim referred to in Paragraph two of this Section shall not be appealed. An ancillary complaint may be submitted in respect of the court decision in the case regarding claims referred to in Paragraph three of this Section.

[29 October 2015]

Section 244.11 Settlement between the Parties

(1) In cases that arise from custody rights and access rights, the parties are entitled to enter into an amicable settlement.

(2) The amicable settlement shall be approved by the court on its own initiative requesting an opinion from the relevant Orphan's Court or inviting the representative thereof to participate in the court hearing.

[29 October 2015]

Section 244.12 Court Ruling in Cases Arising from Custody Rights and Access Rights

(1) In addition to the provisions of Section 193 or 230 of this Law in cases arising from access rights the following shall be indicated in the court ruling:

1) information regarding the child - the given name, surname, personal identity number, and place of residence;

2) the procedures, time and place for exercising the access rights;

3) where necessary, the obligations of the parties and division of expenses between the parties for the implementation of the access rights;

4) where necessary, restrictions referred to in Section 182 of the Civil Law;

5) where necessary, other obligations of the parties.

In addition to the provisions of Section 193 or 230 of this Law in cases arising from custody rights the information regarding the child shall be indicated in the court ruling - the given name, surname, personal identity number and place of residence.

(3) In cases arising from custody and access rights the court shall warn the parties in the ruling that in the case, when the judgment is not enforced voluntarily, a fine will be applied in accordance with this Law, the issue will be decided regarding suspension or withdrawal of custody rights and the party will be held liable in accordance with the Criminal Law regarding malicious evasion from enforcement of the ruling.

[29 October 2015]

Section 244.13 Claims Arising From Impossibility to Enforce a Ruling on Exercising of Access Rights

(1) If a bailiff in accordance with Section 620.27 of this Law finds that enforcement of the ruling is not possible, a creditor may ask the court to review the time and place for the exercising of access rights laid down in the ruling.

(2) The request referred to in Paragraph one of this Section shall be submitted to the court, which has given the ruling in the case arising from access rights, or in the territory of activities of which the ruling is to be enforced, if the enforcement of the ruling of a foreign state or enforcement document indicated in Section 540, Clause 7.1 of this Law issued by a foreign court or institution is not possible.

(3) The court shall request information regarding the daily regimen of the child from the Orphan's court, which in accordance with Section 620.26 of this Law has evaluated action of a debtor.

(4) The court, upon receipt of information that it is impossible for the Orphan's court to find out the daily regimen of the child because the location of the child is unknown, shall take a decision regarding searching of the child or debtor and child by the help of the police.

(5) The request regarding review of the time and place for exercising access rights shall be examined in a court hearing, by notifying participants in the case thereof in advance. Failure of the other party to attend shall not constitute a bar for the examination of the application.

(6) The court shall, upon its own initiative or a request of an interested person, request that a bailiff, who in accordance with Section 620.27 of this Law has found that the enforcement of the judgment is not possible, provide information regarding the circumstances found in the enforcement case, including obstacles for enforcement of the ruling.

(7) The court shall invite a representative of the Orphan's court and also psychologist to participate in a court hearing, if the Orphan's court has invited him or her or if the court deems it necessary.

(8) If the court, upon a request of the participant in the case or upon its own initiative, finds, that access rights should be exercised in the presence of the access person, it shall invite the access person to participate in the court hearing. The court shall determine, whether the access person agrees that access rights are to be exercised in the presence thereof.

(9) The court shall give a ruling on the review of the time and place for exercising the access rights within a month, if extraordinary circumstances do not made it impossible. The decision shall be enforced without delay.

(10) The court, having found that the circumstances hindering the enforcement of the decision or making it impossible, may determine other procedures for exercising the access rights in the ruling on the review of the time and place for exercising the access rights in the interests of the child.

(11) If implementation of access rights is not possible in no other way as by entering into the premises and it is foreseeable that a bailiff will not be allowed to enter the premises regarding which there is information that a child is therein, the court may indicate in the ruling on the review of the time and place for exercising the access rights in the interests of the child that the premises are to be opened by forced enforcement. In such case the court shall indicate the address of the relevant premises and time period in the ruling when the premises may be opened by forced enforcement.

(12) If the court has indicated in the ruling on the review of the time and place for exercising the access rights in the interests of the child that the premises are to be opened by forced enforcement, the ruling shall be declared without presence of the defendant, and the ruling shall be sent to the defendant after the time period for opening of the premises by force enforcement indicated in the ruling has elapsed.

(13) If the court finds that the circumstances have changed so significantly that a ruling on the review of the time and place for exercising the access rights laid down in the judgment cannot be given, the court shall refuse the request of the creditor and inform the creditor on his or her rights to submit a new claim to the court in accordance with the general procedures. If access rights retain in the previous amount, the change of the time and place of exercising of access rights shall not be regarded as significant change of circumstances.

(14) The ruling on the review of the time and place for exercising the access rights may not be appealed. An ancillary claim may be submitted regarding the decision by which the request of the creditor regarding review of the time and place for exercising access rights is refused.

[29 October 2015]

Section 244.14 Consequences of a Court Judgment

If after a judgment has entered into lawful effect in a case that arises from custody rights and access rights, the circumstances change, each party is entitled to submit a new claim to the court by general procedures.

[29 October 2015]

Chapter 30
Cases Regarding Determination of the Parentage of Children

[19 June 2003]

Section 245. Procedures for Examining Cases

A court shall examine cases regarding the determination of the parentage of a child or a paternity dispute in accordance with general provisions and observing the exceptions provided for in this Chapter.

Section 246. Persons who may Dispute the Presumption of Paternity

(1) The presumption of paternity may be disputed in a court by the mother of a child, the husband of the mother of the child, and the child himself or herself after he or she attains legal age.

(2) After the death of the husband of the mother of a child, the parents of the husband may bring such an action if the husband up to the time of his death had not known about the birth of the child.

(3) After the death of the husband of the mother of the child his lawful heirs may, as successors in interest to him, enter the proceedings initiated by the husband.

(4) If the presumption of paternity has been disputed by a person who has been established trusteeship, the court shall invite a representative of the Orphan's Court to participate in the case.

(5) Actions referred to in this Section may be brought in accordance with the provisions of Section 149 of The Civil Law.

[7 September 2006; 29 November 2012]

Section 247. Persons who may Dispute the Acknowledgement of Paternity

(1) Paternity, which has been acknowledged and registered in a General Registry office, may be disputed by the person who has acknowledged the paternity, the mother of the child or the person who deems himself the father of the child.

(2) A child himself or herself may bring such action after attaining legal age.

(3) After the death of the father of the child his lawful heirs may, as successors in interest to him, enter the proceedings initiated by the father.

(4) Paternity, which has been determined based on a court judgment that has entered into lawful effect, may not be disputed.

(5) An action referred to in this Section may be brought in accordance with the provisions of Section 156 of The Civil Law.

[29 November 2012; 22 May 2014]

Section 248. Persons who may Bring an Action for Determination of Paternity

(1) An action for the determining of the paternity of a child may be brought before a court by the mother or guardian of the child, as well as by the natural father of the child.

(2) A child himself or herself may bring such action after attaining legal age.

(3) Actions referred to in this Section may be brought in accordance with Section 158, Paragraph one of The Civil Law.

Section 249. Procedures for Bringing Actions for Determination of Paternity of a Child

(1) The mother, the child himself or herself or guardian of the child may bring a paternity action against the person from whom the child is descended.

(2) The person from whom the child is descended may bring an action to determine paternity against the mother of the child if she does not consent to the determination of paternity or other obstacles indicated by law for making a record of paternity in the birth register exist.

(3) [7 September 2006]

(4) Actions for dispute of the presumption of paternity and the determination of paternity may be merged.

[7 September 2006]

Section 249.1 Determination of Court Expert-examination

(1) A court on the basis of a request from a participant in the case shall determine expert-examination for the specification of the child's biological descent.

(2) If one of the participants in the case evades the expert-examination, the court shall take a decision on the forced conveyance of such person for the conduct of the expert-examination.

Section 249.2 Finding of the Fact of Paternity

If the person from whom the child is descended has died, the fact of paternity may be found according to special trial procedures.

Section 249.3 Provisional Decision

(1) Upon a request of the party the court or judge shall take a decision by which a prohibition to take the child out of the State until a judgment is given in the case regarding determining the origin of the child.

(2) A request regarding prohibition to take the child out of the State shall be examined in a court hearing.

(3) A representative of the Orphan's court shall, upon a request of the court, provide information regarding the point of view of the child if he or she can formulate it considering his or her age and degree of maturity, and other evidence which have significance in the case.

(4) The parties shall be notified regarding a court hearing, and a representative of the Orphan's court shall be invited to the court hearing. If a court considers that it is necessary to clarify the information provided by the Orphan's court, it shall determine the point of view of the child if he or she can formulate it considering his or her age and degree of maturity. Failure of the other party to attend shall not constitute a bar for the examination of the issue.

(5) The court or judge shall examine the request of the party and take a decision within a month from the day of receipt of the request. The decision shall be enforced without delay. The decision shall become invalid, if other decision or judgment is taken in the relevant claim.

(6) An ancillary complaint may be submitted regarding the court decision in the abovementioned claim.

[29 October 2015]

Section 249.4 Opinion of the Orphan's Court

In the case regarding appeal of paternity recognition the court shall, upon its own initiative or request of interested persons, request the opinion of the relevant Orphan's court and may invite a representative thereof to participate in a court hearing.

[29 October 2015]

Section 250. Sending and Issuing True Copies of Court Judgments

A true copy of the judgment on determination of the paternity, finding of the fact of paternity and recognition of the record of paternity as void shall be sent by the court for amendment of the record to the General Registry Office where the birth of the child is registered.

Chapter 30.1
Cases Regarding Division of Estate

[31 October 2002]

Section 250.1 Jurisdiction of a Case

(1) A statement of claim for division of an estate, unless the heirs agree thereon in accordance with informal procedures or at a notary, shall be submitted to the court based on the declared place of residence of one heir, but if none, based on the place of residence, but if immovable property is in the estate - based on its location.

(2) An application for the division of an estate shall specify which property of the estate is subject to division and which heirs have applied for such.

[29 November 2012]

Section 250.2 Actions of a Judge in Preparing a Case

(1) A judge may set a preparatory hearing that shall be notified to the parties.

(2) According to a decision of the judge a notation regarding the securing of a claim shall be entered in the Land Register in conformity with the provisions regarding securing of a claim.

(3) The judge may assign the notary, who has issued the inheritance certificate or European certificate of inheritance, or another notary practising in the judicial region to supervise the course of drawing up an estate division plan.

[28 May 2015 / Amendment to Paragraph three shall come into force on 17 August 2015. See Paragraph 108 of Transitional Provisions]

Section 250.3 Drawing up of a Draft Division of an Estate

(1) The notary who has received the assignment to supervise the course of drawing up a draft division of an estate, if necessary, shall invite a bailiff to draw up an estate property inventory statement and perform an appraisal of the property.

(2) Inventorying of the estate shall be performed in accordance with the provisions of this Law. The inventory statement shall also specify the known debts, obligations and entries in the Land Register encumbering the estate.

(3) The notary shall perform activities to harmonise the views of the parties and reach an agreement.

(4) Persons who draw up a draft division of an estate shall specify in their opinion which grounds they have taken into account.

(5) The notary shall submit the property inventory statement, the appraisal of the property and the draft division of the estate to the judge.

Section 250.4 Actions of a Judge after Receipt of a Draft Division of an Estate

(1) The court shall send true copies of the documents submitted by the notary to co-heirs and set a time period for provision of explanations.

(2) In addition to written explanations the judge may summon all co-heirs for verification of calculations and adjusting of the draft division of the estate.

Section 250.5 Auctioning of the Estate to be Divided

(1) The estate shall be appraised and auctioned in conformity with the general provisions of this Law. If all heirs and in appropriate cases also the Orphan's Court (Sections 280-283 of The Civil Law) agrees, the estate may be sold on the open market.

(2) Sale of immovable property for determination of the actual value thereof shall be performed pursuant to the regulations on voluntary sale at auction through the court, in conformity with the provisions of Sections 737 and 738 of the Civil Law; moreover, the immovable property shall be inventoried and appraised only if it is required by any of the co-heirs.

[7 September 2006 / See Transitional Provisions]

Section 250.6 State Fees in Cases Regarding Division of Estate

State fees in cases regarding division of estate shall be distributed among the heirs, taking into account the value of the estate granted to each heir.

Section 250.7 Division of Joint Property

Provisions of this Chapter shall also be applicable in dividing joint property of all kinds and observing in such division the provisions of the relevant laws.

Chapter 30.2
Cases Regarding Infringement and Protection of the Intellectual Property Rights

[14 December 2006]

Section 250.8 Procedures for Examining Cases

A court shall examine cases regarding infringement and protection of intellectual property rights in accordance with the procedures for court proceedings by way of action according to general procedures taking into account the exceptions provided for in this Chapter.

Section 250.9 Persons who may Submit Application for the Infringement and Protection of the Intellectual Property Rights

The persons laid down in law may submit an application for the infringement and protection of the intellectual property rights.

Section 250.10 Basis and Means for the Specification of Provisional Remedy

(1) If there are grounds to believe that the rights of a holder of intellectual property rights are being infringed or could be infringed, a court on the basis of a reasoned application of a plaintiff may take a decision on the specification of means of provisional remedy. The means of provisional protection shall be indicated in the application for the determination of means of provisional protection.

(2) The examination of the issue of the specification of means of provisional remedy is allowed at any stage of the proceedings, as well as prior to the bringing of an action before a court.

(3) The following are means of provisional protection:

1) seizing of such movable property with which the intellectual property rights are allegedly being infringed;

2) an obligation to recall goods with which it is alleged that the intellectual property rights are being infringed;

3) a prohibition to perform specific activities by both the defendant and persons whose provided services are used in order to infringe the intellectual property rights, or persons who make it possible for the committing of such infringements.

Section 250.11 Determining Means of Provisional Remedy before Bringing an Action before the Court

(1) Within three months from the day when the potential plaintiff found out about the infringement or the possible infringement, he or she may request a court that provisional remedy be specified prior to the bringing of an action.

(2) In submitting an application for the specification of means of provisional remedy prior to the bringing of an action, the potential plaintiff shall provide evidence that certifies his or her intellectual property rights, which are being infringed, and evidence that are being infringed or may be infringed.

(3) An application for the specification of means of provisional remedy prior to the bringing of an action shall be submitted to the court wherein the action shall be brought.

(4) In satisfying an application for the specification of means of provisional remedy prior to the bringing of an action, the judge shall determine a time period for the plaintiff to bring an action to the court of not more than 30 days.

Section 250.12 Examination of the Issue Regarding Determination of Means of Provisional Remedy

(1) An application for the specification of means of provisional remedy shall be decided by a court or a judge within 10 days after receipt of the application or initiation of the case if the application has been submitted together with the bringing of the action.

(2) If delay may cause irreversible harm to a holder of the intellectual property rights, then a court or judge shall decide on an application for the specification of means of provisional remedy not later than the next day after receipt of the application without previously notifying the defendant and other participants in the case. If a decision on the specification of means of provisional remedy has been taken without the presence of the defendant or the other participants in the case, they shall be notified regarding such decision not later than by the moment of the enforcement of the abovementioned decision.

(3) In satisfying an application for the specification of means of provisional remedy prior to bringing an action, a court or a judge may request that the plaintiff, in order that he or she secures the losses, which may be caused to the defendant or other persons who are referred to in Section 250.10, Paragraph three, Clause 3 of this Law in relation to the specification of means of provisional remedy pay in a specified amount of money into the bailiff's deposit account or provide an equivalent guarantee.

(4) A court on the basis of an application of the plaintiff may replace the specified means of provisional remedy with other means.

(5) Means of provisional remedy may be withdrawn by the same court on the basis of an application of a participant in the case.

(6) In refusing a claim, the means of provisional remedy shall be withdrawn in the court judgment. The means of provisional protection shall be in effect until the day when the judgment comes into lawful effect.

(7) If the claim is left without examination or the court proceedings are terminated, the court shall withdraw the means of provisional remedy in the decision. The means of provisional protection shall be in effect until the day when the decision comes into lawful effect.

(8) If a decision on the specification of means of provisional remedy has been taken prior to the bringing of an action and the action is not brought within the time period specified by the court, the judge on the basis of the receipt of an application from the potential plaintiff or other possible participant in the case or the defendant shall take a decision on the revoking of the means of provisional remedy.

(9) The applications referred to in Paragraphs one, four and five of this Section shall be decided in a court hearing, previously notifying the participants in the case regarding this. Failure of such persons to attend shall not constitute a bar for the examination of the application.

[4 August 2011]

Section 250.13 Appeal of the Decision Taken on Specification of Means of Provisional Remedy

(1) In respect of the decisions referred to in Section 250.12, Paragraph four of this Law, the decision by which the application for the specification of means of provisional remedy has been refused and the decision by which the application for the revocation of means of provisional remedy has been refused an ancillary complaint may be submitted.

(2) If the decision to specify means of provisional remedy has been taken without the presence of a participant in the case, the time period for the submission of an ancillary complaint shall be counted from the day of the issuance of the decision.

[4 August 2011]

Section 250.14 Enforcement of the Decision to Determine Means of Provisional Remedy

(1) A decision to determine means of provisional remedy (Section 250.12, Paragraphs one and two) and a decision to withdraw means of provisional remedy (Section 250.12, Paragraph five) shall be enforced immediately after it has been taken.

(2) The decision to specify means of provisional remedy, which has been taken with the conditions referred to in Section 250.12, Paragraph three of this Law, shall be enforced after the plaintiff has paid in the amount specified by the court or judge into the bailiff's deposit account or provided an equivalent guarantee. The enforcement document shall be issued after receipt of payment of the amount specified by the court or the equivalent guarantee.

(3) A decision to specify means of provisional remedy by seizing of movable property with which the intellectual property rights are allegedly being infringed, shall be enforced in accordance with the procedures laid down in Chapter 71 of this Law.

(4) A decision to specify means of provisional remedy by determining a prohibition to perform specific activities or an obligation to recall goods with which allegedly the intellectual property rights are being infringed, shall be enforced by a bailiff, and the bailiff shall notify the court decision to the defendant or a relevant third person, such person signing therefor, or sending it by registered mail.

(5) The revocation of an applied means of provisional remedy shall be enforced by the order of the bailiff who enforced the decision to specify means of provisional remedy.

(6) A decision to replace the means of provisional remedy shall be enforced by a bailiff, firstly applying the replacement means of provisional remedy and afterwards revoking the replaced means of provisional remedy.

[4 August 2011]

Section 250.15 Compensation of Losses Caused by the Means of Provisional Remedy

A defendant is entitled to claim compensation for losses, which he or she has incurred in relation to the specification of means of provisional remedy if the means of provisional remedy have been withdrawn in the case specified in Section 250.12, Paragraph eight of this Law if against him or her the action brought was refused, left without examination or court proceedings were terminated in the cases specified in Section 223, Clauses 2 and 4 of this Law.

Section 250.16 Rights to Information

(1) In cases of an infringement of the intellectual property rights, a court on the basis of a reasoned request of the plaintiff, taking into account the rights of participants in the case to protection of commercial secrets, may request that the information regarding the origin of the goods or services and the distribution thereof be provided by the defendant or a person:

1) at whose disposal are the infringing goods (infringing copies) on a commercial scale;

2) who on a commercial scale has provided or used services associated with the unlawful use of objects of intellectual property rights; or

3) about whom the persons referred to in Clauses 1 and 2 of this Paragraph have provided information, that he or she is involved the manufacture, distribution or offering of the infringing goods (infringing copies) or the provision or offering of such services, which are associated with the unlawful use of objects of the intellectual property rights.

(2) In the information referred to in Paragraph one of this Section shall be indicated information regarding the relevant manufacturer, distributor, supplier, wholesaler and retailer of the goods or the relevant service provider and distributor [natural persons - given name, surname, personal identity number (if such is known) and declared place of residence and place of residence if different, and legal persons - name, legal address and registration number (if such is known)], information regarding the amount manufactured, distributed, received or ordered goods or provided or ordered services, as well as the price, which was paid for them.

(3) If evidence of the fact of an obvious infringement of the intellectual property rights exist and the holder of the intellectual property rights has requested that the securing of evidence, security for a claim or specification of means of provisional remedy specified in this Law be applied, then the holder of the intellectual property rights is entitled to request that the information referred to in Paragraphs one and two of this Section be ensured also prior to the bringing of an action in court within the scope of securing of a claim procedure specified in this Law.

[4 August 2011; 29 November 2012]

Section 250.17 Court Judgment in Infringement and Protection of the Intellectual Property Rights Cases

(1) If the fact of an infringement has been proven, a court may specify one or several of the following measures in the judgment:

1) stop and prohibit the use of unlawful objects of intellectual property rights;

2) stop and prohibit measures, which are recognised as preparation for the unlawful use of objects of intellectual property rights;

3) stop and prohibit the provision of services, which are used for unlawful activities with objects of intellectual property rights by persons:

a) the services of whom are used in order to infringe the rights of the holder of the intellectual property rights, or

b) who make possible the performance of such infringements;

4) in accordance with the procedures laid down in law, reimburse the losses and moral damages caused due to unlawful use of an object of intellectual property rights.

(2) Upon an application of a plaintiff, regardless of the loss and harm caused to the plaintiff, a court may specify one or several of the following measures to be performed on the account of the infringer:

1) cancel or withdraw completely the infringing goods (infringing copies) from trade;

2) destroy the infringing goods (infringing copies);

3) cancel or withdraw completely from trade the facilities and materials used or intended to be used for making of the infringing goods (infringing copies) if the owner thereof knew or should have known from the circumstances that such facilities and materials have been used or intended for the performance of unlawful activities;

4) fully or partially publicize the court judgment in newspapers and other mass media.

Chapter 30.3
Examining Cases of Certain Categories in the Written Procedure

[8 September 2011] [10 December 2015]

Section 250.18 Procedures for Examining Cases

(1) The court shall examine cases regarding small claims and cases regarding the rights in respect of which a dispute is examined in the Board of Appeal for Industrial Property in accordance with the procedures for court proceedings by way of action according to general provisions by taking into account exceptions provided for in this Chapter.

(2) The provisions of this Chapter shall not prejudice the application of Regulation No 861/2007 of the European Parliament and of the Council, except the case laid down in Section 250.27, Paragraph two of this Law.

(3) The City of Riga Vidzeme Suburb Court shall examine cases regarding the right in respect of which a dispute is examined in the Board of Appeal for Industrial property.

[20 March 2014; 10 December 2015]

Section 250.19 Initiation of a Case

(1) Initiation and examination of cases regarding small claims in accordance with the procedures provided for in this Chapter shall be permissible only in claims regarding the recovery of money and recovery of maintenance (Section 35, Paragraph one, Clauses 1 and 3).

(2) A judge shall commence a case regarding small claims on the basis of a written statement of claim, if a principal debt or in claim regarding the recovery of maintenance the total amount of payments does not exceed EUR 2100 on the day when the claim was submitted. A court shall initiate a case regarding the recovery of child maintenance in the minimum amount determined by the Cabinet if the obstacles referred to in the Maintenance Guarantee Fund Law exist which prevent a person from the receipt of maintenance in the minimum amount determined by the Cabinet from the Maintenance Guarantee Fund. The total amount of payments in claims regarding the recovery of maintenance shall be applicable to each child individually.

(3) Cases regarding the rights in respect of which a dispute has been examined in the Board of Appeal for Industrial property shall be initiated on the bases of a written statement of claim.

[12 September 2013; 10 December 2015; 8 December 2016 / New wording of Paragraph two regarding initiation of a case regarding recovery of maintenance in the minimum amount determined by the Cabinet shall come into force on 1 April 2017. See Paragraph 122 of Transitional Provisions]

Section 250.20 Contents of a Statement of Claim

(1) A statement of small claims shall be drawn up in conformity with the sample approved by the Cabinet.

(2) In a statement of claim in addition to that specified in Section 128 of this Law it shall be indicated whether a plaintiff requests trial of a case in a court hearing, by substantiating his or her request.

(3) In a statement of claim in cases in respect of which a dispute is examined in the Board of Appeal for Industrial Property the nature of the error of the decision of the Board of Appeal for Industrial Property shall be indicated.

(4) A statement of claim in cases in respect of which a dispute is examined in the Board of Appeal for Industrial Property shall be attached with a copy of the relevant decision of the Board of Appeal for Industrial Property. The evidence submitted to the Board of Appeal for Industrial Property need not be attached to the statement of claim.

[29 October 2015; 10 December 2015]

Section 250.21 Sending of a Statement of Claim and Attached Documents to the Defendant

(1) An explanation form shall be sent to the defendant concurrently with sending of a statement of small claims and true copies of the documents attached thereto, determining the time period for submitting a written explanation - 30 days counting from the day when the statement of claim for small amount has been sent to the defendant.

(2) A court shall inform the defendant additionally on the fact that non-submission of an explanation shall not constitute a bar for giving a judgment in a case, as well as on the fact that the defendant may request trial of the case in a court hearing.

[10 December 2015]

Section 250.22 Explanation of Procedural Rights to Parties

(1) Concurrently with sending of documents to the parties (Section 148) a court shall explain them the procedural rights, inform regarding the court panel that will examine the case and explain the right to apply for recusal of a judge.

(2) The parties are entitled to use the civil-procedural rights referred to in this Law that are related to the preparation of a case for trial not later than seven days prior the time notified for examination of the case (Section 250.25, Paragraph one).

Section 250.23 Explanations of a Defendant

(1) Explanations regarding the statement of small claims shall be drawn up in conformity with the sample approved by the Cabinet.

(2) A defendant shall indicate the following information in the explanation:

1) the name of the court to which explanations have been submitted;

11) the given name, surname, personal identity number, declared place of residence of the plaintiff, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof;

12) the given name, surname, personal identity number, declared place of residence and the additional address of the defendant indicated in the declaration, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof. In addition the defendant may also indicate another address for correspondence with the court;

13) an electronic mail address for correspondence with the court, and if he or she has registered his or her participation in the online system, also include an indication of registration if the defendant (or his or her representative) agrees to electronic correspondence with the court or he or she is the subject referred to in Section 56, Paragraph 2.3 of this Law. If the representative of the defendant is a sworn advocate, an electronic mail address of the sworn advocate shall be indicated additionally;

2) [29 November 2012];

3) the number of the case and subject-matter of the claim;

4) whether he or she recognises the claim fully or in any part thereof;

5) his or her objections against the claim and substantiation thereof, as well as the regulatory enactment on which they are based upon;

6) evidence that confirms his or her objections against the claim;

7) requests for requisition of evidence;

8) the fact whether it is requested to recover the court expenses;

9) the fact whether it is requested to recover expenses related to conducting of the case, indicating the amount thereof and attaching the documents justifying the amount;

10) the fact whether the trial of the case in a court hearing is requested, by justifying his or her request;

11) other circumstances that he or she considers as important for examination of the case;

12) other requests;

13) the list of documents attached to explanations;

14) the time and place of drawing up of explanations.

[29 November 2012; 29 October 2015; 10 December 2015; 23 November 2016]

Section 250.24 Bringing of a Counterclaim

(1) A defendant is entitled to bring a counterclaim for the provision of explanations within a specific period of time.

(2) A court shall accept a counterclaim (Section 136, Paragraph three) and examine a case in accordance with the procedures laid down in Chapter 30.3 of this Law, if the counterclaim complies with the amount of the sum of the claim specified in Section 250.19 of this Law and has been drawn up in conformity with Section 250.20 of this Law.

(3) A court shall accept a counterclaim (Section 136, Paragraph three), but continue to examine the case in accordance with the procedures for legal proceedings of the claim according to the general provisions, if the sum of the claim indicated in the counterclaim exceeds the sum of the claim specified in Section 250.19 of this Law or it is not the claim for recovery of money or recovery of the maintenance (Section 35, Paragraph one, Clauses 1 and 3).

Section 250.25 Examination of Cases in the Written Procedure Drawing up a Judgment and Sending a True Copy Thereof

(1) If the court does not examine a case in a court hearing in accordance with Section 250.26 of this Law, the case shall be examined in the written procedure, by notifying the parties in due time regarding the date when a true copy of the judgment may be received in the Court Registry, and also inform regarding the composition of the court examining the case, and explain the right to apply removal of a judge. The date when a true copy of the judgment is available in the Court Registry shall be regarded as the day of drawing up a judgment.

(2) [29 October 2015].

(3) Upon a written request by a party a true copy of the judgment shall be immediately sent by post or, if possible, in another way in accordance with the procedures for delivery and issuance of court documents laid down in this Law.

(4) In cases regarding the rights in respect of which a dispute has been examined in the Board of Appeal for Industrial Property the court shall indicate the rights granted, approved or refused for a person, or amendments to the registration data in conformity with the provisions of the laws and regulations in the operative part of the judgment in addition to the requirements referred to in Section 193, Paragraph six of this Law.

[29 October 2015; 10 December 2015]

Section 250.26 Trial of Cases in a Court Hearing

The court shall try a case in a court hearing by complying with the exceptions provided for in this Chapter, if a reasoned request of a party is received and the court deems it necessary to try the case in the court hearing. The court may try the case in the court hearing also upon its own initiative. If the court refuses the request to try the case in the court hearing, it shall be indicated in the judgment.

[29 October 2015]

Section 250.27 Entering into Lawful Effect of a Judgment

(1) Court judgment shall enter into effect in accordance with the procedures laid down in Section 203 of this Law.

(2) Participants in the case may appeal a court judgment in accordance with appeal procedures, if any of the grounds for initiation of the appeal proceedings laid down in Section 440.2 of this Law exists.

[19 December 2013; 20 March 2014; 10 December 2015]

Chapter 30.4
Matters Concerning Recognition of Decisions of a Shareholder (Stockholder) Meeting of Capital Companies as Invalid

[18 April 2013 / Provisions of this Chapter shall not be applicable for examination of those statements of claim which are received in the court until 30 June 2013. See Paragraph 68 of Transitional Provisions]

Section 250.28 Jurisdiction of Cases and Procedures for Examination Thereof

Cases regarding recognition of decisions of a shareholder (stockholder) meeting of capital companies as invalid shall be examined by the Jelgava Court in accordance with the procedures for court proceedings by way of action according to general provisions, taking into account the exceptions provided for in this Chapter.

Section 250.29 Persons who may Submit a Statement of Claim

A statement of claim regarding recognition of decisions of a shareholder (stockholder) meeting of a capital company as invalid may be submitted by the persons laid down in law.

Section 250.30 Initiation of a Case

Initiation and examination of a matter in accordance with the procedures provided for in this Chapter shall be permissible in claims against a capital company concerning recognition of the following decisions of a shareholder (stockholder) meeting of the capital company as invalid:

1) a decision on changes in the composition of the officials of the capital company (board of directors, council, liquidator) or in the right of representation of members of the board of directors;

2) a decision on changes in the amount of the equity capital;

3) a decision to make amendments to the articles of association;

4) a decision to terminate the operation of the capital company, to reorganise or to enter into, amend or terminate a group of companies contract.

Section 250.31 Contents of a Statement of Claim

(1) In addition to that indicated in Section 128 of this Law the following shall be indicated in a statement of claim:

1) whether the plaintiff requests for the matter to be tried in a court sitting;

2) the address for communication with a court in Latvia in order to receive court documents, if the place of residence or location of the plaintiff is not in Latvia.

(2) A plaintiff may request in the statement that means of provisional protection are determined (Section 250.35).

Section 250.32 Sending of a Statement of Claim and Attached Documents to the Defendant

(1) The deadline for submitting explanations shall be 15 days, counting from the day when a statement of claim was sent to the defendant.

(2) The court shall inform the defendant regarding the fact that non-submission of an explanation shall not constitute a bar for giving a judgment in a case, as well as regarding the fact that the defendant may submit evidence and request trial of the case in a court hearing only in the explanation and within the time period laid down for submission thereof.

Section 250.33 Explanation of Procedural Rights to Participants in a Case

(1) Concurrently with sending documents to participants in a case (Section 148) the court shall explain their procedural rights, inform them regarding the composition of the court which will examine the case and explain the right to apply for dismissal of a judge.

(2) Participants in a case are entitled to exercise the civil procedural rights referred to in this Law, which are related to the preparation of a matter for trial, except the right to request that a matter is tired in a hearing, not later than seven days prior to the notified time period for examination of the matter (Section 250.36, Paragraph one).

Section 250.34 Requesting a Reference

(1) If a judge recognises it as necessary, he or she is entitled to request a reference from the plaintiff concerning explanation, determining a time period of 15 days for submitting the reference, counting from the day when the true copy of the explanation was sent to the plaintiff.

(2) A plaintiff may request in the reference and within the time period laid down for its submission that a case is tried in a court hearing, if such request has not been expressed in the statement of claim. If the defendant submits an explanation and a reference is not requested, then the plaintiff may request that a case is tried in a court hearing not later than seven days before the notified time period for examination of the matter, if such request has not been expressed in the statement of claim.

Section 250.35 Means of Provisional Protection

(1) If there are grounds to believe that the rights of a plaintiff are breached or could be violated, a court or a judge, upon a reasoned request of the plaintiff, may take a decision to establish means of provisional protection. The means of provisional protection shall be indicated in the application for the determination of means of provisional protection.

(2) An issue regarding determination of means of provisional protection may not be examined before bringing a claim to the court.

(3) The following are means of provisional protection:

1) entering a pledge notation in the Commercial Register;

2) a prohibition for the defendant to perform certain activities.

(4) The court or judge shall decide on an application for the determination of means of provisional protection without prior notification to the defendant and other participants in a case, within 15 days after receipt of the application or concurrently with initiation of the matter, if the application was submitted concurrently with bringing a claim.

(5) The court or judge shall send the decision to determine the means of provisional protection to the defendant in a registered postal item, notify in a court hearing or issue to the defendant upon signature. The defendant shall be responsible for conformity with the prohibition to perform certain activities from the time when he or she was notified of such decision. The court or judge shall notify the Commercial Register Office regarding entering of a pledge notation in the Commercial Register.

(6) Upon request of a plaintiff, the court may substitute the determined means of provisional protection with other means of provisional protection.

(7) Upon application of a party, the court may revoke the means of provisional protection.

(8) Upon rejecting a claim, the court shall revoke the means of provisional protection in the court judgment. The means of provisional protection shall be in effect until the day when the judgment comes into lawful effect.

(9) If a claim is left not proceeded with or the court proceedings have been terminated, the court shall revoke the means of provisional protection in a decision. The means of provisional protection shall be in effect until the day when the decision comes into lawful effect.

(10) An ancillary complaint may not be submitted for a decision, by which means of provisional protection are determined, substituted or revoked.

(11) The defendant is entitled to request compensation for losses incurred to him or her due to determination of the means of provisional protection, if the claim brought against him or her has been rejected, left not proceeded with or the court proceedings have been terminated in the cases laid down in Section 223, Clauses 2 and 4 of this Law.

Section 250.36 Examination of a Case in the Written Procedure, Drawing-up and Declaration of a Judgment

(1) If the parties do not request the trial of the case in a court hearing or the court does not deem it necessary to trial a case in a court hearing, the court shall examine the case in the written procedure not later than within a month after receipt of the explanation or expiry of the time period for the submission thereof, or after receipt of the reference or expiry of the time period for the submission thereof, notifying the participants in the case in due time regarding the date when a true copy of the judgment may be received in the Court Registry. This date shall be deemed as the date when the full judgment has been drawn up.

(2) A court judgment shall be declared, issuing a true copy of the judgment to the participants in the case immediately after drawing up of the judgment.

(3) Upon a written request by a participant a true copy of the judgment may be sent by post or, if it is possible, in other way in accordance with the procedures for delivery and service of court documents laid down in this Law. A true copy of the judgment shall be sent immediately after the date of drawing up of the full judgment. Receipt of the judgment shall not affect the counting of the time period.

(4) A decision to leave a claim not proceeded with, to terminate the court proceedings or to transfer the case for examination at a court hearing may also be taken in the written procedure.

Section 250.37 Trial of a Case in a Court Hearing

(1) The court shall try a case in a court hearing in accordance with the procedures for court proceedings by way of action, if it is requested by any of the parties or if the court deems it necessary to try the case in a court hearing.

(2) The judge shall determine the day of a court hearing not later than within 15 days after receipt of explanation or expiry of the time period for the submission thereof, or after receipt of a reference or expiry of the time period for the submission thereof.

(3) If the court postpones examination of the matter, then the next day of a court hearing shall be determined not later than within 15 days, except in cases when objective grounds for a longer time period exist. Postponing a matter shall not be permissible in the case provided for in Section 210, Paragraph one, Clause 4 of this Law.

Section 250.38 Entering into Lawful Effect of a Judgment

(1) A court judgment may not be appealed in accordance with appeal procedures.

(2) Participants in a case may appeal a court judgment in accordance with the cassation procedures (Division Ten). In such case the operations of the judge of an appellate court referred to in Division Ten of this Law shall be performed by a judge of the first instance court.

(3) A court judgment shall enter into lawful effect when the time period for appeal in accordance with the cassation procedures has expired and a cassation complaint has not been submitted.

(4) If a cassation complaint has been submitted, the court judgment shall enter into lawful effect concurrently with:

1) a decision of the Supreme Court assignments hearing, if the initiation of the cassation proceedings has been refused (Section 464, Paragraph three and Section 464.1);

2) a cassation instance court judgment, if a court judgment has not been set aside or the referred-to judgment or part thereof has been set aside and the application has been left not proceeded with or the court proceedings have been terminated (Section 474).

(5) The provisions of Section 203, Paragraphs two, three, four and five of this Law shall be applicable to the lawful effect of a court judgment.

(6) If in respect of different participants in a matter the time period for submitting a cassation complaint regarding a court judgment is determined in accordance with both, Section 454, Paragraph one or two and Section 454, Paragraph 2.1 of this Law, or in respect of all participants in the matter the time period for submitting a cassation complaint regarding a court judgment is determined in accordance with Section 454, Paragraph 2.1 of this Law, the court judgment shall enter into lawful effect after expiry of the time period for appeal thereof, counting the time period from the latest day of service of a true copy of the judgment, unless a cassation complaint has been submitted.

(7) If in the cases referred to in Paragraph six of this Section the relevant confirmation regarding service of a true copy of the judgment (Section 56.2) has not been received, the judgment shall enter into lawful effect six months after declaration thereof.

(8) A court judgment shall be enforced in accordance with the provisions of Sections 204, 204.1 and Section 205, Paragraph one of this Law. Immediate enforcement of a judgment in the case provided for in Section 205, Paragraph one, Clause 7 of this Law shall be permitted only by requiring adequate security from a creditor for the case when a cassation instance court would take the judgment referred to in Section 474, Clause 2, 3 or 4 of this Law.

[30 October 2014]

Section 250.39 Submission of an Ancillary Complaint

(1) An ancillary complaint may be submitted to the Supreme Court within 10 days from the day of taking of a decision of the court or judge, concerning the following decisions:

1) refusal to accept the statement of claim;

2) decision by which the statement of claim is returned to the plaintiff;

3) leaving the claim not proceeded with;

4) termination of the court proceedings.

(2) The time period for submitting an ancillary complaint regarding a decision taken in the written procedure shall be counted from the day when the decision was received.

(3) An ancillary complaint may not be submitted in relation to other decisions of the court and judge, but objections against such decisions may be expressed in the form of a cassation complaint.

[30 October 2014]

Section 250.40 Contents of a Cassation Complaint

If the place of residence or location of a plaintiff is not in Latvia, the address of the submitter of the complaint in Latvia for communication with a court in Latvia in order to receive court documents shall be indicated in the cassation complaint in addition to that laid down in Section 453 of this Law.

Section 250.41 The Supreme Court Assignments Hearing

The Supreme Court assignments hearing shall take place not later than within a month after expiry of the time period for submission of the explanations laid down in Section 460, Paragraph one and Section 463, Paragraph three of this Law.

[30 October 2014]

Section 250.42 Time Periods for Examining a Matter in the Supreme Court

(1) A case shall be examined in the written procedure and a full judgment shall be drawn up not later than within two months after the relevant Supreme Court assignments hearing.

(2) A case shall be examined in the Supreme Court meeting not later than within two months after the relevant Supreme Court assignments hearing or after a decision to transfer the case for examination in a court hearing has been taken in the written procedure.

[30 October 2014]

Chapter 30.5
Provisional Protection Against Violence

[13 February 2014]

Section 250.43 Permissibility of Provisional Protection Against Violence in Claims

Provisional protection against violence is permissible in claims regarding annulment or divorce, or in claims arising due to personal injury, in claims regarding the recovery of maintenance, in claims regarding the division of joint dwelling of the parties where they live in one household, or determination of procedures for the use of the dwelling where the parties live in one household, and in cases arising from custody rights and access rights.

Section 250.44 Persons who have the Right to Submit an Application for Provisional Protection Against Violence

An application for provisional protection against violence may be submitted by spouses or former spouses; persons between whom children and parent relations exist, guardianship or other out-of-family care relations exist or have existed; persons between whom kinship or affinity relations exist; persons who are living or have lived in one household; persons who have or are expecting a common child, regardless of whether such persons have ever been married or lived together; persons between whom close personal or intimate relations exist or have existed.

Section 250.45 Basis for Provisional Protection Against Violence

(1) If any physical, sexual, psychological or economical violence, that occurs between former or present spouses or other mutually related persons regardless of whether a transgressor is living or has lived in one household with the infringed person, is turned against a person a court or judge may, upon a reasoned application of the person or application which is submitted through the police, take a decision to provide provisional protection against violence.

(2) Paragraph one of this Section shall be applied also in cases when violent control is applied to a person - such activity or an aggregate of activities which includes infringement, sexual compelling, threats, debasing, intimidation or other violent activities the purpose of which is to be harmful, to punish or intimidate the infringed person.

(3) The examination of the question of the determination of provisional protection against violence is allowed at any stage of the proceedings, and also prior to the bringing of an action to a court.

Section 250.46 Contents of the Application for Provisional Protection Against Violence

(1) An application for provisional protection against violence shall be drawn up in conformity with the sample approved by the Cabinet.

(2) The following shall be indicated in the application for provisional protection against violence:

1) name of the court to which the application has been submitted;

2) the plaintiff's given name, surname, personal identity number, declared place of residence, additional address and place of residence provided for in the declaration. If the plaintiff agrees to electronic correspondence with the court, an electronic mail address shall also be indicated and, if he or she has been registered in the online system for correspondence with the court, an indication of registration shall be included as well. In addition the plaintiff may also indicate another address for correspondence with the court;

3) the defendant's given name, surname, personal identity number, declared place of residence, additional address and place of residence provided for in the declaration. The personal identity number of the defendant shall be included, if such is known;

4) the given name, surname, personal identity number and address for communication with the court of the representative of the plaintiff (if the action is brought by a representative); for a legal person - the name, registration number and legal address thereof. If the representative of the plaintiff agrees to electronic correspondence with the court, an electronic mail address shall also be indicated and, if he or she has registered in the online system for correspondence with the court, an indication of registration shall be included as well. If the representative of the plaintiff is a sworn advocate, an electronic mail address of the sworn advocate shall be indicated additionally;

5) the circumstances referred to in Section 250.45, Paragraphs one and two of this Law and how such circumstances express themselves;

6) evidence which approves the circumstances referred to in Section 250.45, Paragraphs one and two, if any is at the disposal of the plaintiff and if a person is known from whom the abovementioned evidence can be requested, however they are not at the disposal of the plaintiff or the plaintiff cannot request them himself or herself due to objective reasons;

7) one or several applicable means of provisional protection against violence;

8) a list of documents attached to the application;

9) a certification that true information has been provided to the court regarding the facts and that the plaintiff or plaintiff and representative, if the application is submitted by the representative, are informed regarding liability in accordance with the Criminal Law regarding provision of false application;

10) the date of preparing the application and other information, if such information is necessary for examination of the case.

(3) If the applicable means of provisional protection is an obligation for the defendant to leave a dwelling where the plaintiff is permanently living and a prohibition to return and stay therein, an Annex shall be attached to the application where contact information (phone number, electronic mail address, address) of the plaintiff shall be indicated, in order for the State Police to be able to carry out enforcement control of the relevant decision, by contacting the plaintiff. Such Annex is restricted access information which in accordance with Section 250.62, Paragraph four of this Law shall be sent to the State Police and not be attached to the case materials.

(4) If the certification referred to in Paragraph two, Clause 9 of this Section is not included in the application, the application shall be regarded not submitted and it shall be set back to the submitter.

[23 April 2015; 23 November 2016]

Section 250.47 Means of Provisional Protection Against Violence

(1) Means of provisional protection against violence are:

1) obligation for the defendant to leave the dwelling where the plaintiff is permanently living and prohibition to return and stay therein;

2) prohibition for the defendant to be closer to the dwelling, where the plaintiff is permanently living, than the distance referred to in the court decision regarding provisional protection against violence;

3) prohibition for the defendant to stay at specific places;

4) prohibition for the defendant to meet the plaintiff and keep physical or visual contact with him or her;

5) prohibition for the defendant to communicate with the plaintiff in any way;

6) prohibition for the defendant to organise meeting or communication of any kind with the plaintiff by using intermediation of other persons;

7) prohibition for the defendant to use personal data of the plaintiff';

8) other prohibitions and obligations, which the court or judge have determined for the defendant and the purpose of which is to ensure provisional protection against violence.

(2) Means of provisional protection against violence referred to in Paragraph one, Clauses 1 and 2 of this Section shall be determined, if the defendant attained legal age.

(3) It is permissible to concurrently determine several means of provisional protection against violence.

Section 250.48 Obligation for the Defendant to Leave the Dwelling where the Plaintiff is Permanently Living and Prohibition to Return and Stay Therein

(1) An obligation for the defendant to leave the dwelling where the plaintiff is permanently living and a prohibition to return and stay therein is a restriction provided by a court decision or decision of the judge for the defendant to be and stay in such dwelling regardless of whether the defendant is owner, possessor or user of such dwelling.

(2) If the restriction referred to in this Section is determined for the defendant, the defendant shall be ensured the right to take the necessary clothes, footwear, underwear, books, instruments, tools, things necessary for health care and other articles, which are necessary for him or her in everyday life, present in the dwelling, or they shall be issued to him or her.

Section 250.49 Prohibition for the Defendant to Be Closer to the Dwelling, where the Plaintiff is Permanently Living, than the Distance Referred to in the Court Decision on the Provisional Protection Against Violence

Prohibition for the defendant to be closer to the dwelling, where the plaintiff is permanently living, than the distance referred to in the court decision or decision of the judge on the provisional protection against violence is a restriction stipulated by the court decision or decision of the judge for the defendant to visit the relevant dwelling and be closer than the distance referred to in the decision.

Section 250.50 Prohibition for the Defendant to Stay at Specific Places

(1) Prohibition for the defendant to stay at specific places is a restriction stipulated by the court decision or decision of the judge for the defendant to visit the relevant place, other than dwelling, where the plaintiff is permanently living, or to be present at such place closer than the distance referred to in the decision.

(2) The court or judge, when determining the restriction referred to in this Section for the defendant, may specify that the prohibition for the defendant to stay at specific places applies to the address of a specific place or places, which comply with certain features, or public or other specified events. The court or judge shall take into account, as far as possible, the obligations of the defendant to arrive at a work place and other obligations of the defendant which are related to arrival at certain places.

Section 250.51 Prohibition for the Defendant to Meet the Plaintiff and Keep Physical or Visual Contact with Him or Her

(1) Prohibition for the defendant to meet the plaintiff and keep physical or visual contact with him or her is a restriction stipulated by the court decision or decision of the judge for the defendant to knowingly approach the plaintiff or be closer to him or her than the distance referred to in the decision, and to avoid physical or visual contact with the plaintiff.

(2) The court or judge, when determining the restriction referred to in this Section for the defendant, may specify that the prohibition for the defendant to meet the plaintiff and keep physical or visual contact with him or her shall apply also to the persons who are closely related to the plaintiff or dependent on him or her.

Section 250.52 Prohibition for the Defendant to Communicate with the Plaintiff in Any Way

(1) Prohibition for the defendant to communicate with the plaintiff in any way is a restriction stipulated by the court decision or decision of the judge for the defendant to use communication means, including electronic communication means, or any other methods for transfer of information, with a view to contact the plaintiff.

(2) The court or judge, when determining the restriction referred to in this Section for the defendant, may specify that the prohibition for the defendant to communicate with the plaintiff in any way shall apply also to the persons who are closely related to the plaintiff or dependent on him or her.

Section 250.53 Prohibition for the Defendant to Organise Meeting or Communication of Any Kind with the Plaintiff by Using Intermediation of other Persons

Prohibition for the defendant to organise meeting or communication of any kind with the plaintiff by using intermediation of other persons is a restriction stipulated by the court decision or decision of the judge for the defendant to use intermediation of other persons in order to approach the plaintiff or organise physical or visual contact with the plaintiff or to contact the plaintiff by using any communication means or any other methods for transfer of information.

Section 250.54 Prohibition for the Defendant to Use Personal Data of the Plaintiff

Prohibition for the defendant to use personal data of the plaintiff is a restriction stipulated by the court decision or decision of the judge for the defendant to process, publish, disclose personal data of the plaintiff or use them otherwise, except for the procedural actions related to court proceedings.

Section 250.55 Provisional Protection Against Violence before Bringing an Action before the Court

(1) The potential plaintiff may submit a reasoned application with request for the court to ensure provisional protection against violence before bringing an action before the court, if the circumstances referred to in Section 250.45, Paragraph one and two of this Section exist.

(2) If the circumstances referred to in Section 250.45, Paragraphs one and two of this Law apply to children, the application referred to in Paragraph one of this Section may be submitted by one of parents of the child, his or her guardian, Orphan's court or prosecutor in the interests of the child.

(3) An application for provisional protection against violence before bringing an action shall be submitted to the court according to the location where the delicts were inflicted.

Section 250.56 Provisional Protection Against Violence before Bringing an Action before the Court based on the Application which is Submitted with Intermediation of the Police

(1) If before bringing an action the police has taken a decision which imposes an obligation on the potential defendant, who is causing threats, to leave the dwelling, not to return and stay therein or nearby thereof, or prohibits the potential defendant from contacting with the potential plaintiff (police decision regarding separation), the police, upon a request of the potential plaintiff, shall send to the court a true copy of the police decision, the application of the potential plaintiff in which it is indicated that the potential plaintiff wants the court to examine an issue regarding provisional protection against violence, and also other information which is at the disposal of the police and is related to the issue regarding provisional protection against violence.

(2) The application referred to in Paragraph one of this Section shall be drawn up in conformity with the sample approved by the Cabinet.

(3) The police shall send the application referred to in Paragraph one of this Section, and also other information to the court according to the location where the delicts were inflicted.

(4) In the application of the potential plaintiff, which is submitted by intermediation of the police, an authorisation for the police to submit such application on behalf of the plaintiff shall not be included.

(5) The judge shall examine an issue regarding provisional protection against violence, on the basis of the application of the potential plaintiff, which is submitted by intermediation of the police, in accordance with Section 250.58, Paragraph one of this Law.

Section 250.57 Evidence in Cases Regarding Provisional Protection Against Violence

(1) A participant in the case shall approve with certification the circumstances significant in the case indicated in the application in the cases regarding provisional protection against violence.

(2) If there is no other evidence or it is not sufficient, the court may, upon its own initiative, request the participant in the case to approve their explanations, which contain information regarding the facts and circumstances on which his or her claim or objections are based o, during the court hearing.

(3) Before provision of an explanation a participant in the case shall sign the certification of the following content:

"I, (given name, surname), hereby certify that to the best of my conscience I will say only the truth and nothing will be concealed. I certify that the information provided by me to the court on the facts and circumstances of the case are complete and true. I have been warned that I might be held criminally liable in accordance with the Criminal Law for knowingly providing false explanations and knowingly concealing facts and circumstances in the case known to me."

(4) A certification with a signature of the participant in the case referred to in Paragraph three of this Section shall be attached to the case.

(5) A participant in the case may be held criminally liable in accordance with the Criminal Law for knowingly providing false certified explanations or application to the court.

(6) A certification of explanations and application shall not be permissible as evidence in respect of such circumstances which are established by the court judgment which has come into effect, and also for approval or confutation of generally known facts.

Section 250.58 Examination of the Issue Regarding Provisional Protection Against Violence

(1) A court or judge shall decide on the application for provisional protection against violence not later than on the next working day after receipt of the application, if it is not necessary to request additional evidence or delay may cause significant breach of the rights of the plaintiff. The court or judge shall decide on the abovementioned application without prior notification to the participants in the case.

(2) If evidence is not sufficient or it must be requested from the State or local government institutions indicated in the application or from other natural persons or legal persons, the court or judge shall decide on the application for provisional protection against violence within 20 days after receipt of the application.

(3) A court or judge shall decide on the application for provisional protection against violence also in the case when all the information referred to in Section 250.46 of this Law is not indicated in the application or documents are not attached, if the lack of documents or necessary information does not significantly affect possibility of deciding on the application.

(4) A court or judge, when deciding on the application for provisional protection against violence, shall take into account proportionality between breach of the rights or possible breach thereof and applicable means of provisional protection against violence. The court or judge may, upon its own discretion, determine also other means of provisional protection against violence other than indicated in the application.

(5) If it is arising prima facie from the application for provisional protection against violence that delay could cause significant breach of the rights of the plaintiff, the court or judge, in accordance with Paragraph one of this Section, shall decide on such application and may satisfy it on the basis of the certification included in the application also in the cases when there is no other evidence or it is not sufficient.

(6) If it is not arising prima facie from the application for provisional protection against violence that delay could cause significant breach of the rights of the plaintiff and it was not possible to obtain other evidence in accordance with Paragraph two of this Section, the court or judge, in accordance with Paragraph two of this Section, shall decide on such application and may satisfy it on the basis of the certification included in the application and certification of the explanations which is provided in accordance with Section 250.57, Paragraph two and three of this Law.

(7) When satisfying an application for the provisional protection against violence prior to bringing an action, the court or judge shall determine a time period for the submission of the application to the court for the plaintiff - not longer than one year, but, when determining means of provisional protection against violence, which are referred to in Section 250.47, Paragraph one, Clauses 1 and 2 of this Law, for the defendant, who is permanently living in the dwelling with the plaintiff - not more than 30 days.

(8) When satisfying the claim, provisional protection against violence shall be in effect up to the day when the judgment comes into lawful effect.

(9) In certain cases the court may determine in the judgment that provisional protection against violence is in effect also after coming into lawful effect of the judgment, however not longer than a year after coming into lawful effect of the judgment. If the means of provisional protection against violence, which are referred to in Section 250.47, Paragraph one, Clauses 1 and 2 of this Law, have been determined for the defendant, who is permanently living in the dwelling together with the plaintiff, the court may determine that provisional protection against violence is in effect not longer than 30 days after coming into lawful effect of the judgment.

(10) When refusing a claim, the court shall withdraw provisional protection against violence in the judgment. The provisional protection against violence shall be in effect up to the day when the judgment comes into lawful effect.

(11) If the claim is left without examination or the court proceedings are terminated, the court shall withdraw the provisional protection against violence by taking a decision. The provisional protection against violence shall be in effect up to the day when the decision comes into lawful effect.

(12) If a decision on the provisional protection against violence has been taken prior to the bringing of an action and the action is not brought within the time period laid down by the court, the judge on the basis of the receipt of justified application from the potential plaintiff or the defendant shall take a decision on the withdrawal of provisional protection against violence.

(13) The application referred to in Paragraph two of this Section shall be decided at a closed court hearing upon prior notice to the participants in the case. The court, upon a request of one party, may hear each party in a separate court hearing. Failure of the defendant to attend shall not constitute a bar for the examination of the application.

Section 250.59 Decision on the Provisional Protection Against Violence

(1) In addition to that laid down in Section 230 of this Law the court or judge shall provide in a decision the information regarding participants in the case [given name, surname, personal identity number (if any is known), declared place of residence and additional address indicated in the declaration and the place of residence].

(2) The court or judge, where necessary, shall indicate the time limit for voluntary execution of the decision in the decision regarding determination of means of provisional protection against violence - an obligation for the defendant to leave the dwelling where the plaintiff is permanently living.

(3) The court or judge shall warn the defendant in the decision on provisional protection against violence, that the police will perform the control of the decision, and, if the decision will not be executed voluntary, the defendant will be held liable in accordance with the Criminal Law.

(4) The court or judge shall indicate in the decision on determination of means of provisional protection against violence - an obligation for the defendant to leave the dwelling where the plaintiff is permanently living, that:

1) the defendant has an obligation to notify to the court of his or her future address for communication with the court, if this dwelling is the declared place of residence or additional address indicated in the declaration;

2) the defendant has the right to submit an application to the court for the replacement or withdrawal of the means of provisional protection against violence;

3) the date when the defendant is made familiar with the decision by the State Police shall be regarded as the date when the abovementioned decision is notified to the defendant, and that refusal of the defendant to become familiar with the decision does not affect legal consequences thereof;

4) the defendant may receive a true copy of such decision in the court chancellery.

(5) A decision on provisional protection against violence (Section 250.58, Paragraph one and two) shall be executed immediately after taking thereof.

Section 250.60 Withdrawal or Replacement of Provision of Provisional Protection Against Violence

(1) Upon a justified application of the party the means of provisional protection against violence may be replaced by other means by the same court which has determined the means of provisional protection against violence, or by the court in the court proceedings of which is the case for examination on the merits.

(2) Upon a justified application of the party the means of provisional protection against violence may be withdrawn by the same court which has determined the means of provisional protection against violence, or by the court in the court proceedings of which is the case for examination on the merits.

(3) The application referred to in Paragraphs one and two of this Section shall be decided at a closed court hearing upon prior notice to the participants in the case. The court, upon a request of one party, may hear each party in a separate court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the application.

(4) A decision to replace or withdraw means of provisional protection against violence shall be executed immediately after the taking thereof.

Section 250.61 Appeal of Decisions Taken on Provisional Protection Against Violence

(1) An ancillary complaint may be submitted in respect of the decisions referred to in Section 250.60, Paragraph one of this Law, the decision by which the application for the means of provisional protection against violence has been refused and the decision by which the application for the withdrawal of means of provisional protection against violence has been refused.

(2) Submission of an ancillary complaint regarding decision referred to in Paragraph one of this Section shall not stay the execution thereof.

(3) If the decisions referred to in Paragraph one of this Section have been taken without the presence of a participant in the case, the time period for the submission of an ancillary complaint shall be counted from the day of the issuance of the relevant decision.

Section 250.62 Notification, Issue and Sending of a Decision on Provisional Protection Against Violence

(1) The court shall notify of a decision on provisional protection against violence, a decision to replace or withdraw means of provisional protection against violence to the parties, by issuing it against a signature or by sending it in a registered postal item.

(2) The court shall send a decision on provisional protection against violence, a decision to replace or withdraw means of provisional protection against violence to the State Police immediately after receipt thereof for the control of execution to the electronic mail address indicated by it, and also to the unit of the State Police according to the place of residence of the plaintiff.

(3) If a decision on the issue regarding provisional protection against violence is taken according to the application which is submitted by intermediation of the police (Section 250.56), the potential defendant and potential plaintiff may receive a true copy of the decision in the court chancellery on the next working day when the court has received the application and information form the police. This date shall be regarded as the date when the abovementioned decision is notified to the potential defendant, and non-delivery of the true copy of the decision to the defendant shall not affect legal consequences thereof.

(4) If means of provisional protection against violence, which are referred to in Section 250.47, Paragraph one, Clause 1 of this Law, are applied to the defendant according to a reasoned application of the plaintiff which is not submitted through the police, the court shall not send the decision to the defendant. The court shall send such decision and plaintiff's contact information referred to in Section 250.46, Paragraph three of this Law to the State Police in accordance with Paragraph two of this Section. When commencing the control of enforcement of such decision, the State Police shall make the defendant familiar with the decision. The date when the State Police has made the defendant familiar with the decision shall be regarded as the date when the decision is notified to the defendant and non-delivery of a true copy of the decision shall not affect lawful consequences thereof. The defendant may receive a true copy of the decision in the court chancellery.

(5) If it arises from materials of the case regarding provisional protection against violence that the child's interests are affected, the court shall send a decision on provisional protection against violence, decision on replacement or withdrawal of means of provisional protection against violence to the Orphan's court based on the place of residence of the child.

[23 April 2015]

Section 250.63 Special Provisions for Communication of the Defendant with the Court, if Prohibition to Return and Stay in the Dwelling, which is the Declared Place of Residence of the Defendant, is Applied for the Defendant

(1) If such means of provisional protection against violence are applied which impose on the defendant an obligation to leave the dwelling in which the plaintiff is permanently living and a prohibition to return and stay therein, and such dwelling is the declared place of residence of the defendant or his or her additional address indicated in the declaration, the court shall notify of further decisions on provisional protection against violence, decisions to replace or withdraw the means of provisional protection against violence to the defendant in the address indicated by him or her for communication with the court.

(2) If such means of provisional protection against violence are applied which impose on the defendant an obligation to leave the dwelling in which the plaintiff is permanently living and a prohibition to return and stay therein, and such dwelling is the declared place of residence of the defendant or his or her additional address indicated in the declaration, and if the plaintiff has brought an action before a court within the time period laid down in the decision on provisional protection against violence, the summons related to such claims and other court documents shall be delivered and issued to the defendant in the address indicated by him or her for communication with the court.

(3) If in the cases referred to in Paragraphs one and two of this Section the defendant has not indicated his or her address for communication with the court, the defendant shall be invited to the court and other court documents shall be delivered and issued by summoning the defendant by summons which is published in accordance with Section 59.

Section 250.64 Forwarding of the Case Regarding Provisional Protection Against Violence According to the Application which is Submitted Prior to Bringing an Action

If the plaintiff brings an action before the court, other than the court which has determined means of provisional protection against violence, within the time period laid down in the decision on provisional protection against violence according to the application which is submitted prior to bringing an action, the court, which has determined the means of provisional protection against violence, shall forward the relevant case to the court in the jurisdiction of which is the examination of the case on the merits.

Division Six
Special Forms of Procedure

Chapter 31
General Provisions

Section 251. Cases to be Examined According to Special Forms of Procedure

Courts shall examine the following cases in accordance with special forms of procedure:

1) regarding approval and revocation of adoption;

2) regarding restriction of the capacity to act of a person due to mental disorders or other health disorders, reviewing of restriction and restoration of the capacity to act;

21) regarding establishment and termination of temporary trusteeship;

3) regarding restriction of the capacity to act of a person and establishment of trusteeship for persons due to their dissolute or spendthrift lifestyle, as well as due to excessive use of alcohol or other intoxicating substances;

31) regarding suspension of the rights of a future authorised person;

4) regarding establishment of trusteeship for the property of absent or missing persons;

5) regarding declaration of missing persons as deceased;

6) regarding finding of such facts that are legally significant;

7) regarding extinguishing of rights in accordance with notification procedures;

8) regarding renewal of rights pursuant to debt instruments or bearer securities;

9) regarding inheritance rights;

10) regarding pre-emption with respect to immovable property;

11) regarding legal protection proceedings and insolvency proceedings;

12) regarding liquidation or insolvency of a credit institutions;

13) regarding declaration of a strike or an application to strike as being unlawful;

14) regarding declaration of a lock-out or an application to lock-out as being unlawful.

[31 October 2002; 1 November 2007; 29 November 2012 / Clause 3.1 shall come into force on 1 July 2013. See Paragraph 64 of Transitional Provisions and Law as of 29 November 2012]

Section 252. Initiation of Cases

Cases to be examined according to special forms of procedure shall be initiated by a judge on the basis of a written application.

Section 253. Participants in a Case

(1) Participants in cases to be tried according to special forms of procedure shall be applicants and their representatives, interested persons and their representatives, and in the cases provided for in law, public prosecutors or State or local government institutions.

(2) Parties in cases to be tried according to special forms of procedure shall have the procedural rights of parties as provided for in Section 74, Paragraph two of this Law.

Section 254. Application for Trial According the Special Forms of Procedure

(1) The following shall be indicated in an application:

1) the name of the court to which the application has been submitted;

11) the given name, surname, personal identity number, declared place of residence of the applicant, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof. If the applicant agrees to electronic correspondence with the court or he or she is the subject referred to in Section 56, Paragraph 2.3 of this Law, an electronic mail address shall also be indicated and, if he or she has registered in the online system for correspondence with the court, an indication of registration shall be included as well. In addition the applicant may indicate also another address for correspondence with the court;

12) the given name, surname, personal identity number, declared place of residence and the additional address of the interested party indicated in the declaration, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof. The personal identity number or registration number of the interested party shall also be indicated if known;

13) an electronic mail address of the representative of the applicant or of the person who has the right to submit an application and, if he or she has registered in the online system for correspondence with the court, also include an indication of registration, if the representative of the applicant or the person who has the right to submit an application agrees to electronic correspondence with the court. If the representative of the applicant is a sworn advocate, an electronic mail address of the sworn advocate shall be indicated additionally;

2) [29 November 2012];

3) the subject-matter and basis of the application;

4) the circumstances on which the application is based and evidence corroborating them;

5) the law on which the application is based;

6) the request of the applicant;

7) the list of attached documents.

8) the date when the application was drawn up.

(2) An application shall be signed by the applicant or his or her representative, or the applicant together with the representative, if determined by the court, except in the case laid down in Section 72, Paragraph five of this Law. If the application has been signed by the representative, an authorisation or another document certifying the authorisation of the representative to apply to the court with an application shall be attached to the application.

(3) An application shall be submitted to the court with as many true copies attached thereto as there are interested persons in the case.

(4) An application which is not signed shall be regarded as not submitted and shall be sent back to the submitter.

[29 November 2012; 23 April 2015; 23 November 2016]

Section 255. Refusal to Accept an Application and Leaving Application not Proceeded with

(1) If an application does not conform to the requirements of Section 254, Paragraph two of this Law, a judge shall refuse to accept it and the consequences provided for in Section 133 of this Law shall come into effect.

(2) If an application does not conform to the requirements of Section 254, Paragraphs one and three of this Law and the requirements set out in the separate chapters of this Part, or if court expenses have not been paid, the judge shall leave the application not proceeded with and the consequences provided for in Section 133 of this Law shall come into effect.

[23 April 2015]

Section 256. Procedures for Examining Cases

Cases to be examined according to special forms of procedure shall be prepared by a judge, and the court shall examine them in accordance with the provisions of this Law and in conformity with the provisions of the separate Chapters of Division Six.

Section 257. Judgment

A judgment in cases to be examined according to special trial procedures shall conform to the requirements of Section 193 of this Law and shall be in conformity with the provisions of this Part.

Section 258. Leaving an Application without Examination

If in a case to be examined according to special forms of procedure a dispute arises regarding rights and such dispute is required to be examined in court in accordance with procedures for court proceedings by way of action, the court, depending on the content of the dispute, shall leave the application without examination or stay the court proceedings until the dispute is decided.

Chapter 32
Approval and Revocation of Adoptions

Section 259. Jurisdiction

(1) An application for the approval of an adoption shall be submitted to a court based on the declared place of residence of the adopter, but if none, based on the place of residence of the adopter, but an application to revoke an adoption - to a court based on the declared place of residence of one applicant, but if none, based on the place of residence of the applicant.

(2) An application from an alien or a person living in a foreign state for the approval of an adoption shall be submitted to a court based on the declared place of residence of the adoptee, but if the adoptee is under out-of-family care, according to address of the place where out-of-family care is provided.

[31 October 2002; 19 June 2003; 29 November 2012]

Section 260. Contents of an Application

(1) The circumstances referred to in Sections 162-169 of the Civil Law shall be indicated in the application.

(2) A decision of the Orphan's court on recognition of the person as adopter and conformity of the adoption with the interests of the child shall be attached to the application.

(3) If the applicant is a foreigner or a person living abroad, the adoption case and a valid adoption permit issued by the responsible minister shall be attached to the application.

[29 October 2015]

Section 260.1 Requiring Evidence from the Orphan's Court

The court shall, after initiating the case, where necessary, require evidence from the Orphan's court which approves the circumstances referred to in Sections 162-169 of the Civil Law.

[29 October 2015]

Section 261. Examination of an Application

(1) The case shall be examined with the participation of at least one of the adopters in person and the public prosecutor.

(2) The Orphan's court, which has decided on the conformity of the adoption with the interests of the child, and adoptee shall be invited to the examination of the case, if it is necessary to hear him or her in the court hearing and he or she has reached 12 years of age.

(3) [29 October 2015].

(4) If the adopter dies before the court has approved the adoption, such circumstance shall not constitute a bar for the approval of the adoption, but if the adoptee dies before approval, then the case shall be terminated.

[31 October 2002; 19 June 2003; 29 October 2015]

Section 262. Court Judgment on Approval of the Adoption

(1) The court, having examined the validity of the application and conformity thereof to the requirements of the law, shall give a judgment on the approval of the adoption or dismissal of the application.

(2) Such information as is necessary to make an entry in the appropriate Births Register regarding adopters and to cancel entry regarding former parents of the child shall be indicated in a court judgment on the approval of adoption.

(3) The court shall notify former parents of the child that the entry regarding the child's parents is revoked in the relevant Births Register.

(4) A court judgment on the approval of adoption, which has entered into lawful effect, shall constitute a basis for making an entry in the appropriate Births Register and for issuing a new birth certificate to the adoptee.

[20 June 2001; 31 October 2002; 29 October 2015]

Section 263. Revocation of an Adoption

(1) Adoption may be revoked by a court upon a joint application of an adopter and adoptee of legal age or upon an application of an adoptee of legal age (Section 175 of the Civil Law).

(2) A court judgment on the revocation of an adoption, which has entered into lawful effect, shall constitute a basis for making an entry in the appropriate Births Register and for issuing a new birth certificate.

[31 October 2002; 7 September 2006; 29 October 2015]

Chapter 33
Restricting the Capacity to Act of a Person and Establishing of Trusteeship due to Mental Disorders or Other Health Disorders

[29 November 2012]

Section 264. Jurisdiction

An application to restrict the capacity to act of a person due to mental disorders or other health disorders shall be submitted to a court based on the declared place of residence of such person, but it none, based on the place of residence of such person; if the person has been placed in a medical treatment institution, based on the address of the medical treatment institution.

[29 November 2012]

Section 264.1 Applicants

An application to restrict the capacity to act of a person due to mental disorders or other health disorders and to establish custody rights may be submitted by the person himself or herself, his or her children, brothers, sisters, parents, spouse or a public prosecutor.

[29 November 2012]

Section 265. Contents of an Application

The restriction of the capacity to act to be determined for a person shall be indicated in the application. Evidence confirming the necessity for the restriction of the capacity to act in the interests of the person shall be attached to the application.

[29 November 2012]

Section 266. Preparation of a Case for Trial and Examination of an Application

(1) A case regarding determining restrictions of the capacity to act of a person and establishing of trusteeship due to mental disorders or other health disorders shall be examined by the court, with a representative of the Orphan's Court and a public prosecutor participating.

(2) A representative of the Orphan's Court shall participate by submitting evidence of significance to the case. The representative of the Orphan's Court has the right to get acquainted with materials of the case, to participate in examination of evidence and to submit requests.

(3) The court has an obligation to invite such person to a court hearing in relation to whom the case of restricting of the capacity to act is examined. A true copy of the application shall be sent to the person for whom restricting of the capacity to act and establishing of trusteeship is proposed, unless the applicant is the person himself or herself, determining a time period of not more than 30 days for the provision of an explanation.

(4) Upon examining a case, the court shall, upon its initiative, request a statement from the medical treatment institution and other evidence necessary for determination of the amount of restricting the capacity to act of the person from the applicant and institutions.

(5) Upon preparing a case for trial, the court may convene a preparatory meeting and in case of insufficient evidence determine carrying out of additional expert-examination or to request other evidence.

[29 November 2012]

Section 267. Determination of Court Expert-examination

(1) The court may decide on the issue of determining a court psychiatric and, if necessary, a court psychological expert-examination. The decision to determine a court expert-examination shall be subject to appeal.

(2) If a person, regarding whom a case has been initiated, evades the expert-examination, the court, with a public prosecutor participating, may take a decision on the forced sending of such person to the court expert-examination.

(3) [29 November 2012]

[7 September 2006; 29 November 2012; 29 October 2015]

Section 267.1 Establishment of Temporary Trusteeship

(1) Upon a request of participants in the case, the court may take a decision by which temporary trusteeship established for the relevant person for the time period until a judgment regarding restriction of the capacity to act is given in accordance with the provisions of Chapter 33.2 of this Law regarding establishment of temporary custody rights.

(2) The decision shall enter into effect without delay. It shall cease to be in effect if another ruling is given on the relevant issue.

(3) An ancillary complaint may be submitted regarding a court decision to establish temporary trusteeship. Submission of an ancillary complaint shall not stay the enforcement of the decision.

[29 November 2012]

Section 268. Court Judgment

(1) If a court, on the basis of evidence, finds that the capacity to act of a person should be restricted, the court shall give a judgment in which the extent of restriction of the capacity to act is indicated and trusteeship is established for the person.

(2) In determining the extent of restriction of the capacity to act, the court shall take such circumstances into consideration, regarding which evidence has been submitted. In determining the extent of restriction of the capacity to act, upon a request of a participant in a case, the court may consider restricting of the capacity to act in such areas as:

1) making and receiving of payments;

2) entering into transactions;

3) action involving property and management thereof, particularly alienation, pledging and encumbering of immovable property with property rights;

4) conducting of commercial activity and economic activity.

(3) A court may assess the extent of restriction of the capacity to act also in other field, except in the cases referred to in Section 356.1of the Civil Law.

(4) Upon considering the capacity of a person, the court shall determine whether and to what extent the trustee acts together with the person under trusteeship and only afterwards the court shall determine the extent to which the trustee will act independently.

(5) After the judgment has entered into lawful effect a true copy of the judgment shall be sent to the Orphan's Court - for the appointing of a trustee, as well as to the public prosecutor and the person whose capacity to act is restricted. The court shall send information about the judgment also to the Population Register and, if necessary, a true copy of the judgment for a notation to be entered in the Land Register, the movable property register or another relevant public register.

(6) After the judgment has entered into lawful effect, the court shall send a notice to the official gazette Latvijas Vēstnesis for publication, in which the following shall be indicated:

1) the name of the court that gave the judgment;

2) the given name, surname and personal identity number of the person regarding whom the judgment was given;

3) the fact that such person has been recognised as a person with restricted capacity to act;

4) the operative part of the judgment;

5) the day when the judgment enters into lawful effect.

[29 November 2012; 23 April 2015]

Section 269. Court Expenses

(1) Court expenses in such cases shall be covered from State funds.

(2) If the court finds that the applicant has deliberately submitted an unjustified application, an obligation to cover the court expenses shall be imposed on such person.

[29 November 2012]

Section 270. Finding a Person as Having Capacity to Act and Terminating Trusteeship

[29 November 2012]

Chapter 33.1
Reviewing of Restriction of the Capacity to Act of a Person due to Mental Disorders or Other Health Disorders

[29 November 2012]

Section 270.1 Jurisdiction

An application for the reviewing of the extent of restriction of the capacity to act for a person shall be submitted to the court based on the declared place of residence of the person whose capacity to act it is initiated to be reviewed, but if none, according to the place of residence of such person; if the person is placed in a medical treatment institution - based on the address of the medical treatment institution.

[23 April 2015]

Section 270.2 Applicants

(1) An application for the reviewing the extent of the restriction of the capacity to act of a person may be submitted by the person himself or herself, his or her trustee, children, brothers, sisters, spouse or a public prosecutor. A representative of the Orphan's Court shall participate in examination of cases by submitting evidence of significance to the case. The representative of the Orphan's Court has the right to get acquainted with materials of the case, to participate in examination of evidence and to submit requests.

(2) A trustee has an obligation to submit an application to the court for the review of the extent of the restriction of the capacity to act not less than once in seven years from the day when a court judgment regarding restriction of the capacity to act entered into effect.

Section 270.3 Contents of an Application

(1) The extent of reviewing the restriction of the capacity to act shall be indicated in the application.

(2) Evidence certifying it shall be attached to an application for the review of the extent of the restriction of the capacity to act.

Section 270.4 Preparation of a Case for Trial

(1) A true copy of the application shall be sent to a person reviewing of whose capacity to act is proposed unless the applicant is the person himself or herself. Then a time period of not more than 30 days shall be determined for such persons to submit explanations.

(2) The court has an obligation to invite to a court hearing the person in relation to whom restriction of the capacity to act is reviewed.

(3) In examining a case the court, upon its own initiative, shall request a statement from a medical treatment institution and other evidence from the applicant and institutions, which are necessary for reviewing the extent of restriction of the capacity to act.

Section 270.5 Determination of Court Expert-examination

A court expert-examination shall be determined according to the provisions applied in cases regarding restriction of the capacity to act of a person and establishment of trusteeship due to mental disorders or other health disorders.

Section 270.6 Court Judgment

(1) If the court reviews restriction of the capacity to act of a person, it shall indicate in the judgment whether the restriction should be:

1) withdrawn completely;

2) withdrawn in part;

3) kept;

4) amended.

(2) The extent for withdrawing and keeping of restriction shall be indicated in the operative part of the court judgment.

(3) After the judgment has entered into lawful effect the court shall send a true copy thereof to the Orphan's Court - for amending the extent of the rights and obligations of a trustee or for withdrawal of a trustee, as well as to the public prosecutor, trustee and the person in relation to whom restriction of the capacity to act is reviewed. The court shall send information regarding the judgment also to the Population Register and, if necessary, a true copy of the judgment for amending a notation in the Land Register, the movable property register or another relevant public register.

(4) After the judgment has entered into lawful effect, the court shall send a notice to the official gazette Latvijas Vēstnesis for publication, in which the following shall be indicated:

1) the name of the court that gave the judgment;

2) the given name, surname and personal identity number of the person regarding whom the judgment was given;

3) the fact that restriction of the capacity to act has been reviewed for the person;

4) the operative part of the judgment;

5) the day when the judgment enters into lawful effect.

Chapter 33.2
Establishment of Temporary Trusteeship

[29 November 2012]

Section 270.7 Jurisdiction

An application for the establishment of temporary trusteeship for a person shall be submitted to the court based on the declared place of residence of such person, but if none, based on the place of residence of such person; if the person is placed in a medical treatment institution - based on the address of the medical treatment institution.

Section 270.8 Applicants

An application for the establishment of temporary trusteeship for a person may be submitted by the person himself or herself, his or her children, brothers, sisters, spouse or a public prosecutor.

Section 270.9 Contents of an Application

In addition to that laid down in Section 254 of this Law the circumstances referred to in Section 364.2 of The Civil Law shall be indicated in the application, by attaching evidence confirming such circumstances, and whether the applicant is requesting trying of the case in a court hearing.

Section 270.10 Court Action after Initiation of a Case

(1) After a case regarding establishment of temporary trusteeship for a person is initiated, a judge upon his or her own initiative or upon a request of a participant in the case shall request evidence, including a statement of a medical treatment institution regarding whether the person has lost the ability to understand the significance of his or her actions and to control them due to mental disorders or other health disorders.

(2) A true copy of the application shall be sent to the person for whom establishment of temporary trusteeship is proposed, unless the applicant is the person himself or herself. Then a time period of not more than15 days shall be determined for him or her to submit explanations.

(3) After a case is initiated, without organising a court hearing, the court shall inform the Prosecutor's Office and the Orphan's Court regarding initiation of the case. After explanations, all evidence and a statement from a medical treatment institution have been received, the court shall request the public prosecutor to submit a written opinion in the case within 10 working days, but the Orphan's Court - evidence of significance to the case.

Section 270.11 Examination of an Application

(1) A judge shall take a decision on an application for the establishment of temporary trusteeship without delay.

(2) If the applicant is not requesting trial of the case in a court hearing and the court does not deem it necessary to try the case in a court hearing, the application shall be examined in the written procedure by notifying the participants in the case in due time of the date when a true copy of the judgment may be received in the Court Registry. This date shall be deemed as the date when the full judgment has been drawn up.

(3) If the application is examined by organising a court hearing, a public prosecutor and a representative of the Orphan's Court shall participate therein. The court has an obligation to invite such person to the court hearing, in relation to whom temporary trusteeship are to be established.

Section 270.12 Court Decision

(1) If a court, on the basis of evidence, finds that temporary trusteeship should be established for the person, the court shall give a judgment on the establishment of such trusteeship, indicating the obligation of the trustee to conduct certain cases and the term of validity of the decision which does not exceed two years.

(2) A decision to establish temporary trusteeship for a person shall enter into effect without a delay and shall be in effect for the time period indicated in such decision.

(3) A true copy of the decision to establish temporary trusteeship shall be sent to the Orphan's Court - for appointing of a temporary trustee, as well as to the public prosecutor and the person in relation to whom temporary trusteeship has been established.

(4) An ancillary complaint may be submitted regarding the court decision to establish temporary trusteeship. Submission of an ancillary complaint shall not stay the enforcement of the decision.

Section 270.13 Termination of Temporary Trusteeship

(1) Temporary trusteeship shall be terminated within the term stipulated by the court.

(2) If prior to the term referred to in Section 270.11, Paragraph two of this Law circumstances on the basis of which the temporary trusteeship have ceased to exist, the same court shall terminate the established temporary trusteeship upon an application of the trustee or the person under trusteeship.

(3) The decision to terminate temporary trusteeship shall enter into effect without delay.

(4) A true copy of the decision to terminate temporary trusteeship shall be sent to the person for whom the temporary trusteeship was established, to the trustee, public prosecutor and Orphan's Court - for withdrawal of the temporary trustee.

Section 270.14 Court Expenses

If a court finds that an applicant has intentionally submitted an unjustified application, the obligation to cover the court expenses shall be imposed on such person.

Chapter 34
Restriction of the Capacity to Act of a Person and Establishment of Trusteeship due to Dissolute or Spendthrift Lifestyle, as well as Excessive Use of Alcohol or Other Intoxicating Substances

[29 November 2012]

Section 271. Jurisdiction

An application to restrict the capacity to act and to establish trusteeship for a person due to his or her dissolute or spendthrift lifestyle, as well as excessive use of alcohol or other intoxicating substances shall be submitted to a court based on the declared place of residence of such person, but if none, based on the place of residence.

[29 November 2012]

Section 271.1 Applicants

An application to restrict the capacity to act and to establish trusteeship for a person due to his or her dissolute or spendthrift lifestyle, as well as excessive use of alcohol or other intoxicating substances may be submitted by the person himself or herself, his or her children, brothers, sisters, parents, spouse or a public prosecutor.

[29 November 2012]

Section 272. Contents of an Application

(1) The basis on which and the extent to which the capacity to act shall be restricted for a person and trusteeship shall be established due to his or her dissolute or spendthrift lifestyle, as well as excessive use of alcohol or other intoxicating substances and the evidence corroborating this shall be indicated in the application.

(2) In an application a request may be made for immediate securing of property against it being squandered, by application of the security measures provided for in Section 138 of this Law. A judge shall rule on such a request no later than the next day after receipt of the application.

[7 September 2006; 29 November 2012]

Section 273. Preparation of a Case for Examination

(1) A true copy of the application shall be sent to the person for whom the restriction of the capacity to act and establishment of trusteeship has been initiated, unless the applicant is the person himself or herself. Then a time period of not more than 30 days shall be determined for such persons to submit explanations.

(2) The court may impose an obligation on an applicant to submit supplementary evidence.

[29 November 2012]

Section 274. Participation of a Representative of the Orphan's Court and a Public Prosecutor

A case for establishing trusteeship for a person due to his or her dissolute or spendthrift lifestyle, as well as excessive use of alcohol or other intoxicating substances, shall be examined with the participation of a representative of the Orphan's Court and a public prosecutor. A representative of the Orphan's Court shall participate in the examination of the case by submitting evidence of significance to the case. The representative of the Orphan's Court has the right to get acquainted with materials of the case, to participate in examination of evidence and to submit requests.

[29 November 2012]

Section 275. Court Judgment

(1) If the court has determined that a person living dissolutely or with a spendthrift lifestyle or excessively using alcohol or other intoxicating substances is creating a threat that he or she or his or her family will be led into privation or poverty, the court according to a judgment shall deprive such person the right to manage his or her property, restrict his or her actions with such property and establish trusteeship for the relevant person. If the court, on the basis of evidence, finds that the capacity to act should be restricted for the person, the court shall give a judgment in which restriction of the capacity to act and joint action of the trustee with the person under trusteeship or independent action of the trustee is indicated.

(2) After the judgment has entered into lawful effect the court shall send a true copy of the judgment to the Orphan's Court - for appointing of a trustee -, as well as to a public prosecutor and the person whose capacity to act is being restricted. The court shall send information about the judgment also to the Population Register and, if necessary, a true copy of the judgment for a notation to be entered in the Land Register, the movable property register or another relevant public register.

(3) After the judgment has entered into lawful effect the court shall send a notice for publication to the official gazette Latvijas Vēstnesis, in which the following shall be indicated:

1) the name of the court that gave the judgment;

2) the given name, surname and personal identity number of the person regarding whom the judgment was given;

3) the fact that such person has been recognised as a person with restricted capacity to act;

4) the operative part of the judgment;

5) the day when the judgment enters into lawful effect.

[29 November 2012]

Section 276. Court Expenses

(1) If the application is satisfied, the court expenses shall be adjudged against the property of the person whose capacity to act has been restricted and for whom the trusteeship has been established.

(2) If the court has determined that the application is unjustified, the court expenses shall be adjudged against the person pursuant to whose application the case was initiated, but if the case was initiated pursuant to an application of a public prosecutor, the court expenses shall be covered from the State funds.

[7 September 2006; 29 November 2012]

Section 277. Reviewing the Restriction of the Capacity to Act of a Person

In reviewing the restriction of the capacity to act for persons due to dissolute or spendthrift lifestyle, as well as excessive use of alcohol or other intoxicating substances, the provisions of Chapter 33.1 of this Law shall be applied.

[29 November 2012]

Chapter 34.1
Staying of the Rights of a Future Authorised Person

[29 November 2012 / Chapter shall come into force on 1 July 2013. See Paragraph 64 of Transitional Provisions and Law as of 29 November 2012]

Section 277.1 Jurisdiction

An application to stay the rights of a future authorised person may be submitted by the children, brothers, sisters, parents, spouse of the authorising person or a public prosecutor based on the declared place of residence of the authorising person, but if none, based on the place of residence of the authorising person.

Section 277.2 Contents of an Application

The circumstances which are the basis for the staying of the rights of a future authorised person shall be indicated in the application and the evidence corroborating such circumstances shall be attached.

Section 277.3 Examination of an Application

(1) The court shall examine a case regarding staying of the rights of a future authorised person with the participation of a public prosecutor.

(2) The person who has issued a future authorisation shall be invited to the court hearing.

Section 277.4 Preparation of a Case for Examination

A true copy of the application shall be sent to the authorised person determining a time period of not more than 30 days for him or her to submit explanations.

Section 277.5 Court Judgment

(1) If the court has determined that the activities of an authorised person are contrary to the interests of the authorising person or the authorised person does not fulfil his or her obligations at all, the court shall stay the rights granted to him or her by the future authorisation.

(2) After a judgment has entered into lawful effect the court shall send a true copy of the judgment to the authorised person, authorising person, public prosecutor and the Council of Sworn Notaries of Latvia.

Section 277.6 Court Expenses

If the court finds that the activities of an authorised person are contrary to the interests of the authorising person or the authorised person does not fulfil his or her obligations at all, the authorised person shall be imposed an obligation to cover the court expenses.

Chapter 35
Establishing Trusteeship for the Property of Absent or Missing Persons

Section 278. Jurisdiction

Cases regarding trusteeship for the property of an absent or missing person shall be examined by a court based on the last place of residence of the missing or absent person.

Section 279. Contents of an Application

(1) An application to establish trusteeship for the property of an absent or missing person may be submitted by persons who have an interest in preserving the property of the absent or missing person or in protecting the rights of such person, or by a public prosecutor.

(2) The circumstances confirming the absence of the person and the location of this person's property regarding which it is necessary to establish trusteeship shall be set out in the application.

(3) If the whereabouts of the absent or missing person are known, the court must summon them as an interested person.

Section 280. Court Judgment

(1) The court, having found that an application is well founded, shall give a judgment on the establishment of trusteeship for the property of the absent or missing person.

(2) After the judgment has entered into lawful effect, the court shall send a true copy of the judgment to the Orphan's Court.

(3) After the judgment has entered into lawful effect, the court shall send a true copy of the judgment to the absent person, if their place of residence is known; if it is not known, the court shall send an appropriate notice for publication in the official gazette Latvijas Vēstnesis.

[7 September 2006; 29 November 2012]

Section 281. Termination of Trusteeship

Upon the entering into effect of the circumstances specified in Section 375, Clause 1 of The Civil Law, trusteeship may be terminated according to the judgment of the court, which established trusteeship.

Chapter 36
Declaring a Missing Person as Deceased

Section 282. Jurisdiction

An application to declare a missing person as deceased shall be submitted to a court based on the last place of residence of such person.

Section 283. Contents of an Application

There shall be set out in an application the given name, surname, personal identity number, if known, and year of birth of the missing person, the date when he or she left his or her place of place of residence and when the latest information about such person was received and, if possible, the place of birth of the missing person, and the given name, surname and other information about his or her parents.

Section 284. Notice of a Missing Person

(1) After accepting an application, the judge shall take a decision to publish a notice in the official gazette Latvijas Vēstnesis, to be paid for by the applicant.

(2) There shall be set out in the notice:

1) the name of the court which received the application;

2) the given name, surname and year of birth of the person proposed to be declared deceased, and other information regarding him or her laid down in the application;

3) a stipulation that the missing person appear in court or advise as to his or her whereabouts within three months, and a statement that otherwise the person will be declared deceased;

4) a request to anyone who knows the whereabouts of the missing person or who has knowledge of his or her death to notify the court within three months.

[29 November 2012]

Section 285. Participation of a Public Prosecutor

Cases regarding the declaration of a missing person as deceased shall be examined with a public prosecutor participating.

Section 286. Court Judgment

(1) The court, having found the application to be well founded, shall give a judgment on the declaration of the missing person as deceased.

(2) If the court has establish the presumed date of death of the missing person, it shall be set out in the judgment.

(3) If the court is unable to establish the presumed date of death of the missing person, the date of death of the missing person shall be deemed to be the date when the application was submitted to the court, concerning which the court shall make a statement in the judgment.

(4) After the judgment, pursuant to which the person has been declared deceased, has entered into lawful effect, a true copy of the judgment shall be sent to the General Registry office to register the death of the missing person and to the Orphan's Court to establish trusteeship over the property of the person declared deceased.

(5) After the judgment, by means of which the person has been declared deceased, has entered into lawful effect, the Court shall send a notice for publication to the official gazette Latvijas Vēstnesis in which shall be set out:

1) the name of the court that gave the judgment;

2) the given name, surname, year of birth and other personal data that have been established regarding the missing person;

3) the fact that this person has been declared deceased;

4) the presumed date of death of the missing person or the date this person is deemed to have died.

[7 September 2006; 29 November 2012]

Section 287. Consequences of the Appearance of the Person Declared Deceased

(1) If the person, who by court judgment has been declared deceased, appears or their whereabouts are determined, the court which gave the judgment shall pursuant to a new judgment revoke the judgment which declared this person as deceased.

(2) An application to revoke a judgment may be submitted by the person who has been declared deceased, by the person pursuant to whose application the case was initiated, or by a public prosecutor.

(3) After the court judgment comes into lawful effect, a true copy of the judgment shall be sent to the General Registry office for the registration of death to be annulled, and an appropriate notice shall be sent for publication to the official gazette Latvijas Vēstnesis.

[29 November 2012]

Chapter 37
Finding of Juridical Facts

Section 288. Cases to be Examined by the Court

(1) The court shall examine cases regarding finding of facts that affect the creation, varying or termination of property rights and other rights of natural or legal persons.

(2) The court shall find facts regarding:

1) the kinship relationships of natural persons;

2) a person's being maintained;

3) the registration of adoptions, entering into and divorces, and deaths;

4) the ownership of documents (except passports and certificates issued by institutions which register civil status documents) that create rights for natural persons whose given name, patronymic, surname or date of birth do not correspond with those set out in a passport or birth certificate;

5) the ownership of documents that create rights for legal persons whose name or registration data do not correspond with those shown in the relevant register;

6) death of a person in specific time and specific circumstances if the General Registry Office refuses to register a death.

(3) The court shall also find other facts that have legal significance, if the legal enactments in force do not provide for other procedures to find such facts.

[29 November 2012]

Section 289. Provisions Applicable to the Finding of Judicial Facts

The court shall find judicial facts only if the applicant cannot obtain the relevant documents confirming such facts through some other procedure or if such documents have been lost, stolen or destroyed and they cannot be renewed anymore.

Section 290. Jurisdiction

An application for finding of judicial facts shall be submitted to the court based on the declared place of residence of the applicant, but if none, based on the place of residence.

[29 November 2012]

Section 291. Contents of an Application

(1) The purpose for which the applicant requires finding of the relevant fact shall be indicated in the application.

(2) Corroborating evidence, which confirms the inability of the applicant to receive the relevant documents or to have reissued lost, stolen or destroyed documents, must be attached to the application.

Section 292. Court Judgment

(1) Where an application is satisfied, the court judgment shall state which facts have been found and for what purpose.

(2) A court judgment regarding finding of such fact which should be registered in a General Registry office or formally recorded in other agencies, shall not constitute as a replacement of the documents issued by such agencies; however, after entering into lawful effect such judgment shall constitute as a basis for registration or formal recording by such agencies.

Chapter 38
Summoning Procedures Regarding Extinguishing of Rights

Section 293. Cases as May be Examined by Way of Summoning Procedures

(1) Summoning procedures are applicable only in the cases where provided for in law.

(2) Summoning shall be done on the basis of an application from the interested person, unless otherwise provided for in law.

Section 294. Submission of an Application

(1) In an application for summoning to be conducted and rights to be extinguished, the following shall be set out:

1) the circumstances upon which the request for summoning to be conducted are based, together with a reference to any corroborating evidence;

2) any interested persons known to the applicant;

3) consequences if the persons summoned fail to attend.

(2) An application for the extinguishing of rights as relate to immovable property shall be submitted to a court in accordance with the location of such property; but where the application is for other rights, to a court based on the applicant's location - the declared place of place of residence, but if none, based on the place of residence of a natural person, or the legal address of a legal person, unless prescribed otherwise by law.

[29 November 2012]

Section 295. Preparation of a Case for Examination

(1) After an application has been accepted, a judge shall take a decision on the publication of a notice in the official gazette Latvijas Vēstnesis, to be paid for by the applicant.

(2) There shall be set out in the notice:

1) the name of the court which received the application;

2) the applicant's given name and surname - but in regard to a legal person, its name;

3) the basis for the summoning and the subject-matter to which the summoning relates;

4) the time period for making an application for rights;

5) the consequences of failing to conform to a time period.

(3) The time period, if it is not laid down in law, shall be determined by the court, but it must not be less than three months from the date of publication of the notice.

(4) If the summoning is in regard to rights related to immovable property or to claims secured by a mortgage, the notice shall also be posted in the relevant Land Registry Office.

[29 November 2012]

Section 296. Examination of an Application

(1) A case shall be examined by the court after expiry of the time period stated in the notice; the applicant, interested persons indicated by the applicant and persons who have submitted a claim within the time period shall be summoned.

(2) An application in regard to rights, that has been submitted after the time period stated in the notice but prior to judgment being given in the case, shall be considered to be submitted within the time period.

(3) If, in connection with the summoning, a dispute arises with respect to rights that may affect the judgment in the case, the court shall stay the court proceedings, and set a time period for the bringing of an action.

(4) If an action is not brought within the time period set or a judgment on the deciding of the dispute is issued, the court proceedings shall be renewed.

Section 297. Court Judgment

(1) Where an application is satisfied, the court shall give judgment declaring that all rights, for which application has not been made within the time period, are invalid, except those mentioned in Section 327, Paragraph two of this Law.

(2) The extinguishing of rights shall not constitute a bar for the bringing of an action according to the general procedure in the cases provided for in Section 327, Paragraph three of this Law.

Chapter 39
Renewal of Rights based on Debt Instruments or Bearer Securities

Section 298. Submission of an Application

In cases where a debt instrument of bearer security has been lost, stolen or destroyed, the creditor or person to whom the document has been pledged, given for safekeeping, administering, or on commission or entrusted in some other way, and the last holder of the document if it was endorsed to bearer or the endorsement was in blank, may request the court to cancel such document and thereafter renew the rights related to it.

Section 299. Jurisdiction

An application for the cancelling of a lost, stolen or destroyed document and renewal of rights related to it shall be submitted to a court in accordance with the payment location indicated on the document, but if the payment location is not known, then to a court in accordance with the location of the debtor - the declared place of residence, but if none, based on the place of residence if the debtor is a natural person, or their legal address if the debtor is a legal person - and if the location of the debtor is also unknown, then in accordance with the location where the document was issued.

[29 November 2012]

Section 300. Contents of an Application

(1) There shall be set out in an application for cancellation of a lost, stolen or destroyed document the following:

1) the given name, surname, personal identity number, declared place of residence of the applicant, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof. If the applicant agrees to electronic correspondence with the court, an electronic mail address shall also be indicated and, if he or she has been registered in the online system for correspondence with the court, an indication of registration shall be included as well. In addition the applicant may indicate also another address for correspondence with the court;

2) the given name, surname, declared place of residence and the additional address indicated in the declaration of the person who issued the document, but, if none, the place of residence; for a legal person - the name and legal address thereof, as well as the given name, surname, declared place of residence and the additional address indicated in the declaration of the person who, in accordance with the document, must perform the obligation, but, if none, the place of residence; for a legal person - the name and legal address thereof. The personal identity number or registration number of the defendant shall be indicated if known;

3) the name, contents and identifying features of the document;

4) the circumstance in which the document was lost, stolen or destroyed.

(2) Where possible, a true copy of the document shall be attached to the application.

[29 November 2012; 23 November 2016]

Section 301. Preparation of a Case for Examination

(1) After an application is accepted, a judge shall take a decision on:

1) the enjoining of persons, who according to the document must perform an obligation, from making payment monetarily or otherwise pursuant to such document;

2) publication of a notice in the official gazette Latvijas Vēstnesis.

(2) There shall be set out in the notice:

1) the name of the court which received the application;

2) the given name and surname of the applicant, but if the applicant is a legal person, their name and legal address;

3) the name, contents and identifying features of the lost, stolen or destroyed document;

4) a stipulation regarding the submitting to the court - within three months, but in the case of a promissory note or a cheque within two months from the day the notice is published - of an application by the holder of the document, in regard to the holder's right to this document, and a statement that in the absence of such submission the document may be declared cancelled.

(3) The court shall send a true copy of the decision, as provided for in Paragraph one, Clause 1 of this Section, to the person who according to the document must perform the obligation and also, if possible, notify all persons mentioned in the document of the decision.

[29 November 2012]

Section 302. Obligation of the Holder of the Document

(1) It is the obligation of the holder of the document, after the notice has been given regarding the loss, theft or destruction of the document, to submit, within the time period set out in the notice, to the court which took the decision, an application for his or her rights with respect to this document together with the original of the document.

(2) If the holder of the document has not submitted such application, but the cancellation of the document infringes his or her rights, he or she may defend his or her infringed rights in accordance with the procedures for court proceedings by way of action.

Section 303. Actions by the Court Following Receipt of an Application from the Holder of the Document

(1) If an application from the holder of the document is received by the court within the time period set out in the notice, the court shall leave without examination the application of the person requesting cancellation of the document and shall set a time period during which any payments, monetary or otherwise, made in accordance with the document are prohibited. Such time period shall not exceed two months.

(2) The court shall, at the same time, explain to the applicant his or her right to bring an action against the holder of the document to reclaim such document, and to the holder of the document his or her right to recover from the applicant losses caused as a result of injunctive measures determined by the court.

(3) An ancillary complaint may be submitted regarding a decision of a court.

Section 304. Examination of an Application

(1) The court shall examine a case regarding cancellation of a document and renewal of rights related to it after expiration of the time period set out in the notice, provided an application has not been received from the holder of the document.

(2) The court shall notify the submitter and the person who issued the document and, where possible, all persons mentioned in the document, of the time and place for the examination of the case. Failure of such persons to attend shall not constitute a bar for the examination of the case.

Section 305. Court Judgment

(1) If the court finds that the document set out in the application has been lost, stolen or destroyed and that the applicant was the lawful holder of such document, it shall give judgment on the cancellation of the document and renewal of the rights of the applicant related to it.

(2) A court judgment that has entered into lawful effect shall be a basis for issuing a new document to replace the cancelled document, if such is provided for in law.

(3) If the law does not provide that a new document may be issued, the judgment shall be a basis to make a claim for realisation of rights arising from the cancelled document.

Chapter 40
Reading and Entering into Lawful Effect of Last Will Instruction Instruments

[31 October 2002 / See Paragraph 12 of Transitional Provisions]

Chapter 41
Protection of and Trusteeship on an Estate

[31 October 2002 / See Paragraph 12 of Transitional Provisions]

Chapter 42
Announcement Regarding Opening of Succession

[31 October 2002 / See Paragraph 12 of Transitional Provisions]

Chapter 43
Accepting an Inheritance

[31 October 2002 / See Paragraph 12 of Transitional Provisions]

Chapter 44
Confirmation of Rights of Intestate Succession

[31 October 2002 / See Paragraph 12 of Transitional Provisions]

Chapter 45
Pre-emption of Immovable Property

Section 336. Jurisdiction of Cases

Applications for the pre-emption of immovable property shall be submitted to the court in accordance with the location of the immovable property subject to pre-emption.

Section 337. Contents of an Application

(1) There shall be set out in an application the location of the immovable property subject to pre-emption, the acquirer thereof and the basis for the right of pre-emption (Section 1382 of The Civil Law).

(2) The following shall be attached to an application:

1) a true copy of the instrument on the basis of which the immovable property has been alienated;

2) evidence regarding the right of the applicant to pre-empt the immovable property;

3) information on the sale price of the immovable property, alienation costs and fees, and payment thereof.

Section 338. Sending a True Copy of the Application to the Acquirer of the Immovable Property

The court shall send a true copy of the application to the acquirer of the immovable property, setting out a term of one month for the submission of explanations and provision of information on the necessary and useful expenses incurred in regard to the immovable property.

Section 339. Examination of an Application

An application shall be examined at a court hearing to which the applicant and the acquirer of the immovable property shall be summoned.

Section 340. Court Judgment

Where it finds that the application is well founded, the court shall give a judgment on the right of pre-emption of the applicant in regard to the immovable property and the right of the acquirer of the pre-empted immovable property to compensation for expenses.

Section 341. Leaving an Application without Examination

If the acquirer of the immovable property disputes the right of pre-emption of the applicant, the court shall leave the application without examination, and explain to the participants in the case that the dispute is required to be resolved in accordance with the procedures for court proceedings by way of action.

Chapter 45.1
Cases Regarding Legal Protection Proceedings

[30 September 2010]

Section 341.1 Jurisdiction of a Case Regarding Legal Protection Proceedings

The court shall examine a case regarding legal protection proceedings based on the legal address of the debtor which was registered for the debtor three months prior to the submission of application to the court.

[8 December 2016]

Section 341.2 Contents of the Application for Legal Protection Proceedings

(1) The following information shall be indicated in a legal protection proceedings application:

1) the firm name (name), registration number and legal address of a debtor;

2) that restrictions specified in the Insolvency Law for initiation of a case regarding legal protection proceedings do not exist in respect of a debtor;

3) whether during a year a case regarding legal protection proceedings has been initiated in respect of a debtor but implementation of legal protection proceedings has not been declared;

4) the legal address of the debtor which was registered for the debtor three months prior to the submission of application to the court.

(2) Documents confirming the following shall be attached to the application:

1) payment of the State fee and other court expenses in accordance with the procedures and in the amounts laid down in law;

2) conditions by which the application is justified.

[29 November 2012; 8 December 2016]

Section 341.3 Receipt and Registration of the Legal Protection Proceedings Application

(1) A court shall accept a legal protection proceedings application from a debtor in whose name the application is submitted or from a person who has been authorised to submit such application.

(2) A court shall verify the identity of the applicant upon receipt of the application for legal protection proceedings. If the identity cannot be verified or the applicant does not have the relevant authorisation, the application shall not be accepted.

(3) Application for legal protection proceedings shall be registered in a separate register, in which the applicant and the recipient of the application shall sign.

Section 341.4 Initiation of a Case Regarding Legal Protection Proceedings

(1) Not later than the day following receipt of a legal protection proceedings application the judge shall take a decision:

1) to leave the legal protection proceedings application not proceeded with;

2) to refuse to accept the legal protection proceedings application; or

3) to accept the legal protection proceedings application and initiation of a case.

(2) If the application for legal protection proceedings has been left not proceeded with, then the judge shall take a decision to accept the application for legal protection proceedings and to initiate a case not later than the day after the elimination of deficiencies indicated in the judge's decision. If the time period for the elimination of deficiencies indicated in the decision has expired and they have not been eliminated, the application shall be deemed as not submitted and it shall be returned to the applicant.

Section 341.5 Court Activities to be Performed and Issues to be Decided after Taking of a Decision to Initiate a Case Regarding Legal Protection Proceedings

(1) A true copy of a court decision to initiate a case regarding legal protection proceedings shall be sent without delay to:

1) the responsible institution that makes entries in the Insolvency Register;

2) the Finance and Capital Market Commission, if a decision has been taken on a participant of the finance and capital market, the activity of which is supervised by the Finance and Capital Market Commission in accordance with the requirements of laws and regulations.

(2) After taking of a decision to initiate legal protection proceedings, the judge shall:

1) decide on compliance of the candidate for the position of the administrator with the performance of the administrator's obligations in the relevant legal protection proceedings and on his or her appointment as the administrator;

2) according to the application of a secured creditor decide on a permit to sell the pledged property of the debtor (Section 37, Paragraph two of the Insolvency Law).

(3) If the candidate for the position of the administrator has been indicated in the plan for legal protection proceedings, the judge shall immediately decide on his or her appointment as the administrator.

(4) If the debtor in submitting a plan for measures of legal protection proceedings requests the court to appoint an administrator, the judge shall invite the Insolvency Administration to recommend a new candidate for the position of the administrator.

(5) After receipt of a recommendation from the Insolvency Administration the judge shall immediately decide on appointment as the administrator of the candidate for the position of the administrator. The judge shall determine a time period for the provision of the administrator's opinion in the decision, and it may not be longer than 15 days from the day when a decision on appointing of the administrator was taken.

(6) Having found that restrictions on the performance of the administrator's obligations in the relevant legal protection proceedings exist for the candidate indicated by the debtor or recommended by the Insolvency Administration, the judge shall take a decision to refuse to appoint as the administrator the candidate for the position of the administrator and send the invitation to the Insolvency Administration to recommend a new candidate for the position of the administrator. The judge shall decide on appointment as the administrator of the candidate for the position of the administrator in accordance with the procedures laid down in Paragraph five of this Section.

(7) A true copy of the decision to appoint the administrator shall be sent to administrator and the responsible institution that makes entries in the Insolvency Register.

Section 341.6 Procedures for Examining an Application for Legal Protection Proceedings and Judgment in a Case Regarding Legal Protection Proceedings

(1) A court shall examine an application for legal protection proceedings in the written procedure, except in the case when it considers as necessary to examine the case in a court hearing. If the application for legal protection proceedings is examined in a court hearing, the debtor and the administrator shall be summoned to the court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the case.

(2) A court shall examine an application for legal protection proceedings within 15 days from:

1) the day when in accordance with Section 341.5, Paragraph three of this Law a decision was taken on appointing of the administrator;

2) the day of receipt of the opinion of the administrator.

(21) A creditor the claim of which the administrator has recognised prima facie as unjustified, or the creditor, which has expressed any doubts regarding justification of other creditor's claim, may ask the court to invite or admit him or her in the case as an interested person. The creditor shall attach evidence to the request regarding justification of his or her claim. A decision by which a request regarding inviting of or allowing an interested person to participate in a case is satisfied or rejected shall not be subject to appeal.

(3) A court shall satisfy the application and give a judgment on the implementation of legal protection proceedings, if on the basis of the opinion of the administrator and other evidence, as well as upon evaluation of objections of creditors, if any have been received, it is found that the plan for measures of legal protection proceedings:

1) complies with the requirements of the Insolvency Law;

2) has been supported in accordance with the procedures and in the time period laid down in the Insolvency Law.

(31) If on the basis of the opinion of the administrator and other evidence it is found that a plan for measures of legal protection proceedings contains obligations in respect of which there is a dispute regarding the rights, and the amount of obligations significantly affects co-ordination of the plan for measures of legal protection proceedings, the court shall leave the application in a case regarding legal protection proceedings without examination.

(4) If the insolvency proceedings specified in Article 3(2) of the Council Regulation No 1346/2000 has been commenced against a debtor in Latvia and the liquidator of the main proceedings has not co-ordinated the plan for measures of legal protection proceedings in accordance with the procedures laid down in the Insolvency Law, a court shall satisfy the application and give a judgment on the implementation of the legal protection proceedings if it finds that the implementation of the legal protection proceedings is in the interests of the creditors of the insolvency proceedings specified in Article 3(1) of the abovementioned Regulation.

(5) When giving a judgment on the implementation of legal protection proceedings, a court shall approve the plan for measures of legal protection proceedings.

(6) A court shall indicate a list of pledged property in the judgment on the implementation of the legal protection proceedings, to which restrictions in respect of secured creditors to exercise their rights are applicable until termination of the legal protection proceedings.

(7) When refusing the application for legal protection proceedings, a court shall concurrently terminate the legal protection proceedings and recover the court expenses and the administrator's remuneration from the applicant for legal protection proceedings.

(8) A court judgment in a case regarding legal protection proceedings may not be appealed, except for the judgment by which the application in a case regarding legal protection proceedings has been rejected. A court judgment, by which the application in case regarding legal protection proceedings has been rejected, may be appealed in accordance with appellate procedure, if any of the grounds for initiation of appellate court proceedings laid down in Section 440.2 of this Law exists.

(9) A true copy of the judgment shall be issued to the applicant for legal protection proceedings and the administrator, as well as sent to the responsible institution that makes entries in the Insolvency Register.

[12 February 2015]

Section 341.7 Decision to Implement Legal Protection Proceedings in Extrajudicial Legal Protection Proceedings

(1) The provisions of this Chapter shall be applied in cases regarding legal protection proceedings in the extrajudicial legal protection proceedings, unless otherwise provided for in this Section.

(2) A court shall examine an application for legal protection proceedings in the extrajudicial legal protection proceedings within 15 days in the written procedure, except in cases when it finds it necessary to examine the case in a court hearing. If the application in a case regarding legal protection proceedings is examined in a court hearing, the debtor and the administrator shall be summoned to the court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the case.

(3) When the decision to initiate the case regarding legal protection proceedings is taken, a court shall not decide on the issue regarding a permit to sell the pledged property of the debtor upon an application of the secured creditor.

(4) If the conditions referred to in the Insolvency Law exist for the implementation of legal protection proceedings in the extrajudicial legal protection proceedings, a court shall take a decision to implement legal protection proceedings in the extrajudicial legal protection proceedings and approve a plan for measures of legal protection proceedings, as well as concurrently appoint the administrator indicated in the plan for measures of legal protection proceedings.

(5) A court decision in a case regarding legal protection proceedings in the extrajudicial legal protection proceedings may not be appealed, except the decision by which the application for the implementation of extrajudicial legal protection proceedings has been rejected. An ancillary complaint may be submitted regarding the decision by which the application for the implementation of extrajudicial legal protection proceedings has been rejected.

(6) A true copy of the decision shall be issued to the applicant and the administrator, as well as sent to the responsible institution that makes entries in the Insolvency Register.

[12 February 2015]

Section 341.8 Issues to be Decided after a Ruling on the Implementation of Legal Protection Proceedings has been Given

(1) After a ruling on the implementation of legal protection proceedings upon the relevant application has been given, a court shall decide on:

1) amendments to the plan for measures of legal protection proceedings;

2) discharge of the administrator by determining the time period for drawing up a statement for acceptance and delivery of documents and property and transfer of documents and property to another administrator;

3) appointment as the administrator of a new candidate for the position of the administrator, if the previous administrator has been discharged from the relevant legal protection proceedings;

4) performance of the activities specified in Article 37 of the Council Regulation No 1346/2000;

5) termination of legal protection proceedings.

(2) The administrator may be discharged by a court upon its own initiative if it, when examining the application or complaint in a case regarding legal protection proceedings, has found that the administrator fails to observe the requirements of laws and regulations or fails to fulfil the court ruling.

(3) A court shall send true copies of the decisions referred to in Paragraph one of this Section to the responsible institution that makes entries in the Insolvency Register. A court shall immediately send a true copy of the decision to discharge the administrator, after entering into effect thereof, to the debtor and the Insolvency Administration for suggesting a new candidate for the position of the administrator.

(4) After receipt of a proposal from the debtor the court shall immediately decide on appointing as the administrator of the candidate for the position of the administrator nominated by the debtor and co-ordinated with creditors, if the restrictions specified in the Insolvency Law do not exist in respect of him or her for the performance of the obligations of the administrator in the relevant legal protection proceedings. If the debtor has not submitted a proposal to the court regarding a candidate for the position of the administrator within 15 days from the day of taking of the decision to withdraw the administrator, a court shall immediately decide on appointing as the administrator of the candidate for the position of the administrator nominated by the Insolvency Administration. A true copy of the decision shall be sent to the Insolvency Administration and the responsible institution that makes entries in the Insolvency Register.

(5) A court may request that the administrator submits a report or other information regarding his or her activity for examination of the issues referred to in this Section.

(6) A court shall examine an application and complaint within 15 days from the day of receipt of the application or complaint. The judge shall examine an application in the written procedure without organising a court hearing, except in the case when he or she considers as necessary to examine the case in a court hearing. The judge shall examine a complaint in the written procedure without organising a court hearing, except in the case when the administrator requests to examine the case in a court hearing or the court considers as necessary to examine the complaint in a court hearing. The applicant or complaint, the administrator, representative of the debtor and other interested persons shall be summoned to the court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the issue.

(7) A court shall take a decision to examine an application and complaint, which may not be appealed. A court decision to withdraw the administrator on the basis of Section 22, Paragraph two, Clause 1, 2, 3, 4 or 7 of the Insolvency Law may be appealed by submitting an ancillary complaint. Regional court shall examine such ancillary complaint within 15 days.

(8) In examining the ancillary complaint referred to in Paragraph seven of this Section the regional court has the right to:

1) leave the decision unamended, but to reject the complaint;

2) withdraw the decision and, by its decision, to decide on the issue on the merits.

(9) The decision referred to in Paragraph eight of this Section shall enter into effect and must be enforced without delay.

(10) The regional court shall send a true copy of the decision referred to in Paragraph eight, Clause 1 of this Section to the Insolvency Administration for recommending a new candidate for the position of an administrator.

[21 June 2012]

Section 341.9 Examination of a Complaint in a Court Regarding a Decision Taken by the Insolvency Administration on the Conduct of the Administrator in the Legal Protection Proceedings or Imposition of a Legal Obligation

(1) A court shall examine a complaint of a creditor, a representative of a debtor, administrator or third person whose lawful rights have been infringed upon, regarding a decision taken by the Insolvency Administration on the actions of the administrator in the legal protection proceedings or imposition of a legal obligation. A court shall examine a complaint regarding the decision of the Insolvency Administration taken after termination of the relevant legal protection proceedings in accordance with the procedures laid down in this Section.

(2) If a court acknowledges that the appealed decision of the Insolvency Administration fails to conform to the requirements of laws and regulations, it shall satisfy the complaint and take a decision on:

1) complete or partial revocation of the decision taken by the Insolvency Administration;

2) imposition of an obligation on the Insolvency Administration to accept or examine a complaint regarding action of the administrator;

3) imposition of an obligation on the administrator to eliminate the breach admitted, except in cases when a decision to terminate the relevant legal protection proceedings has been taken.

(3) A court, having found that the appealed decision of the Insolvency Administration complies with the requirements of laws and regulations, shall reject the complaint.

(4) The submitter of the complaint has the right to withdraw his or her complaint while examination thereof on the merits has not been completed. If the submitter of the complaint withdraws the complaint submitted, the court shall take a decision to terminate legal proceedings of the complaint.

(5) After examination of the complaint a court shall immediately send a true copy of the decision to the Insolvency Administration.

(6) If a decision of the Insolvency Administration on actions of the administrator in the legal protection proceedings is taken within a year after termination of the relevant legal protection proceedings, a complaint regarding the decision of the Insolvency Administration shall be submitted to a court, in the legal proceedings of which was the relevant case regarding legal protection proceedings.

Section 341.10 Decision to Terminate Legal Protection Proceedings

(1) A court shall examine an issue regarding termination of legal protection proceedings upon its own initiative or upon an application of a debtor.

(2) A court shall take a decision upon its one initiative to terminate legal protection proceedings in the case determined in Section 51, Paragraph one of the Insolvency Law.

(3) A court shall take a decision upon an application of a debtor to terminate legal protection proceedings in the case determined in Section 51, Paragraph four of the Insolvency Law.

(4) In the case specified in Paragraph three of this Section the debtor shall attach a written opinion of the administrator regarding implementation of the plan for measures of legal protection proceedings to the application for the termination of legal protection proceedings.

(5) A court shall immediately send a true copy of the decision on legal protection proceedings to the applicant, the administrator, as well as the responsible institution that makes entries in the Insolvency Register.

Section 341.11 Decision to Terminate Legal Protection Proceedings by Declaring Insolvency Proceedings of a Legal Person

(1) A court shall take a decision upon its own initiative to terminate legal protection proceedings, if insolvency proceedings of a legal person have been declared on the basis of Section 57, Clause 8 or 9 of the Insolvency Law.

(2) A court shall, upon its own initiative, take a decision to terminate legal protection proceedings and declare insolvency proceedings of a legal person in the case laid down in Section 51, Paragraph two of the Insolvency Law.

(3) A court shall take a decision to terminate legal protection proceedings and declare insolvency proceedings of a legal person upon an application of the person referred to in Article 29(a) of the Council Regulation No 1346/2000, if it finds that the performance of the activity determined in Article 37 of the Regulation is in the interests of the creditors of the insolvency proceedings specified in Article 3(1) of the abovementioned Regulation.

(4) An application of insolvency proceedings of a legal person in the case laid down in Paragraph one of this Section shall be submitted to the court, in legal proceedings of which is the case regarding legal protection proceedings.

(5) A court shall send immediately a true copy of the decision to terminate legal protection proceedings to the responsible institution that makes entries in the Insolvency Register.

Chapter 46
Cases Regarding Legal Protection Proceedings

[30 September 2010]

Chapter 46.1
Cases Regarding Insolvency Proceedings of a Legal Person

[30 September 2010]

Section 363.1 Jurisdiction of Cases Regarding Insolvency Proceedings of a Legal Person

(1) The case regarding insolvency proceedings of a legal person according to an application of the debtor or the creditor shall be examined by a court based on the legal address of the debtor which was registered for the debtor three months prior to the submission of application to the court.

(2) The case regarding the commencement of the insolvency proceedings laid down in Article 3(1) of Council Regulation No 1346/2000 shall be examined by a court based on the location of the main interest centre of the debtor, but in the case of commencement of the insolvency proceedings laid down in Article 3(2) of this Regulation - based on the location of the debtor's undertaking (within the meaning of Article 2(h) of Council Regulation No 1346/2000).

[29 November 2012; 8 December 2016]

Section 363.2 Contents of the Application for Insolvency Proceedings of a Legal Person

(1) A creditor shall provide the following information in an application for insolvency proceedings of a legal person (hereinafter in this Chapter - the application for insolvency proceedings):

1) the firm name (name), registration number and legal address of the creditor;

2) the firm name (name), registration number and legal address of the debtor;

3) the feature of insolvency proceedings;

4) the legal address of the debtor which was registered for the debtor three months prior to the submission of application to the court.

(2) When submitting the application for insolvency proceedings, a creditor shall attach documents certifying payment of the State fee and other court expenses, as well as payment of the insolvency proceedings deposit.

(3) In submitting an application for insolvency proceedings in conformity with the element of insolvency proceedings referred to in Section 57, Clause 1 of the Insolvency Law, the evidence regarding substantiation and amount of the claim shall be attached to the application, as well as a statement issued by the bailiff regarding impossibility to recover the debt from the debtor.

(4) When submitting the application for insolvency proceedings in conformity with the feature of insolvency proceedings referred to in Section 57, Clauses 2 and 3 of the Insolvency Law, the evidence regarding justification and amount of the claim, a copy of the warning regarding intention to submit an application for insolvency proceedings, documents regarding issue or sending of the warning (a receipt regarding sending of a document with certificate of consignment content) shall be attached to the application, as well as it shall be certified in the application that the debtor has not brought justified objections.

(5) In submitting an application for insolvency proceedings in conformity with the element of insolvency proceedings referred to in Section 57, Clause 4 of the Insolvency Law, it shall be indicated in the application regarding what time period the work remuneration and compensation for damages have not been disbursed, and a statement issued by the employer regarding the amount of work remuneration and mandatory social insurance payments shall be attached thereto, but in case the employer has not issued the abovementioned statement, such fact shall be indicated in the application.

(6) In submitting an application for insolvency proceedings on the commencement of the insolvency proceedings specified in Article 3(1) or (2) of Council Regulation No 1346/2000 against a debtor, the creditor shall indicate a substantiation therein and attach evidence thereto that confirm the conditions on which the application is justified, if any are at his or her disposal.

(7) In submitting an application for insolvency proceedings on the commencement of the insolvency proceedings specified in Article 3(2) of Council Regulation No 1346/2000 against a debtor, the creditor shall send a true copy to the liquidator involved in the insolvency proceedings specified in Article 3(1) of the abovementioned Regulation.

[29 November 2012; 8 December 2016] The norm of Paragraph two regarding payment of insolvency proceedings deposit insofar as is applicable to the employees whose sole means of legal protection are declaration of the employer as insolvent has been recognised as non-conforming to the first sentence of Section 92 of the Constitution of the Republic of Latvia by the Constitution Court judgment of 20 April 2012 which shall enter into effect on 24 April 2012]

Section 363.3 Contents of the Application for Insolvency Proceedings of a Debtor

(1) The application for insolvency proceedings on behalf of the debtor may be submitted by the administrative body or members of a partnership who have the right of representation, or a specially authorised person.

(2) The following information shall be indicated in an application for insolvency proceedings by a debtor:

1) the firm name (name), registration number and legal address of a debtor;

2) the feature of insolvency proceedings;

3) information regarding the location of the main interest centre of the debtor within the meaning of Council Regulation No 1346/2000;

4) whether the debtor owns an undertaking in another Member State within the meaning of Article 2(h) of Council Regulation No 1346/2000;

5) the number of the case regarding legal protection proceedings if the application for insolvency proceedings has been submitted in conformity with the feature of the insolvency proceedings referred to in Section 57, Clause 9 of the Insolvency Law;

6) the legal address of the debtor which was registered for the debtor three months prior to the submission of application to the court.

(3) A debtor shall attach the following to the application for insolvency proceedings:

1) a list of the members of administrative bodies, auditors (the members of audit bodies) and proctors, indicating the given name, surname, address and other information with the help of which they may be identified and located;

2) evidence that the participants (members) of the commercial company, members of the society or other founders or participants of a legal person are informed regarding an intention to submit the application for insolvency proceedings;

3) evidence regarding the right of representation;

4) documents certifying payment of the State fee and other court expenses, as well as payment of the insolvency proceedings deposit.

(4) When submitting an application for the commencement of insolvency proceedings laid down in Article 3(2) of Council Regulation No 1346/2000, a debtor shall attach a certificate regarding the location of the centre of main interests of the debtor to the application for insolvency proceedings in addition to the documents indicated in Paragraph three of this Section.

[29 November 2012; 18 April 2013; 8 December 2016]

Section 363.4 Contents of the Application for Insolvency Proceedings of a Debtor in the Liquidation Proceedings

(1) A liquidator shall submit the application for insolvency proceedings on behalf of the debtor in conformity with the feature of insolvency proceedings referred to in Section 57, Clause 6 of the Insolvency Law.

(2) The provisions of Section 363.3, Paragraphs two, three and four of this Law shall be applicable to the application for insolvency proceedings of a liquidator.

Section 363.5 Contents of the Application for Insolvency Proceedings of the Person Referred to in the Council Regulation No 1346/2000

(1) The person referred to in Article 29(a) of the Council Regulation No 1346/2000 shall submit the application for insolvency proceedings to the court in order to initiate the insolvency proceedings laid down in Article 3(2) of this Regulation against a debtor.

(2) The person referred to in Article 29(a) of Council Regulation No 1346/2000 shall provide the following information in the application for insolvency proceedings:

1) the firm name (name), registration number and legal address of the debtor which was registered for the debtor three months prior to the submission of application to the court, and the legal address on the day when the application was submitted;

2) the name of the court that has initiated the insolvency proceedings specified in Article 3(1) of Council Regulation No 1346/2000 against the debtor, the date of adoption and coming into effect of the court decision;

3) justification for commencing the insolvency proceedings specified in Article 3(2) of Council Regulation No 1346/2000 against the debtor;

4) information on whether the insolvency proceedings specified in Article 3(2) of Council Regulation No 1346/2000 have been commenced against the debtor in another Member State of the European Union (hereinafter - the Member State).

(3) The person referred to in Article 29(a) of the Council Regulation No 1346/2000 shall attach the following to the application for insolvency proceedings:

1) a true copy of the court ruling on the commencement of the insolvency proceedings specified in Article 3(1) of the Council Regulation No 1346/2000 against the debtor and translation thereof in the official language, certified in accordance with the specified procedures;

2) a true copy of the court decision or another certificate regarding appointing of the liquidator in the insolvency proceedings specified in Article 3(1) of Council Regulation No 1346/2000 and translation thereof in the official language, certified in accordance with the specified procedures;

3) documents certifying that an undertaking within the meaning of Article 2(h) of Council Regulation No 1346/2000 owned by the debtor is located in Latvia;

4) documents certifying payment of the State fee and other court expenses, as well as payment of the insolvency proceedings deposit.

[29 November 2012; 8 December 2016]

Section 363.6 Contents of the Application for Insolvency Proceedings of an Administrator

(1) An administrator shall, when submitting the application for insolvency proceedings in conformity with the feature referred to in Section 57, Clause 8 of the Insolvency Law, shall indicate the following:

1) the firm name (name), registration number and legal address of a debtor;

2) the representative or representatives of the debtor in the case regarding insolvency proceedings;

3) the number of the case regarding legal protection proceedings.

(2) Documents justifying the facts referred to in the application shall be attached to the application.

[29 November 2012]

Section 363.7 Receipt and Registration of the Application for Insolvency Proceedings

(1) A court shall accept an application for insolvency proceedings from a person in whose name the application is submitted or from a person who has been authorised to submit such application.

(2) A court shall verify the identity of the applicant when an application for insolvency proceedings is received. If the identity cannot be verified or the applicant does not have the relevant authorisation, the application shall not be accepted.

(3) An application for insolvency proceedings shall be registered in a separate register, in which the applicant and the recipient of the application shall sign.

Section 363.8 Prohibition to Amend Subject of the Application for Insolvency Proceedings and to Withdraw the Application for Insolvency Proceedings by a Debtor

(1) In cases regarding insolvency proceedings amending of the subject of the application for insolvency proceedings is not permissible.

(2) A debtor is not entitled to withdraw an application for insolvency proceedings.

Section 363.9 Deciding on the Issue of Accepting of the Application for Insolvency Proceedings and Initiation of a Case

(1) Not later than on the day after receipt of an application for insolvency proceedings the judge shall take a decision:

1) to leave the application for insolvency proceedings not proceeded with;

2) to refuse to accept the application for insolvency proceedings;

3) to accept the application for insolvency proceedings and initiation of the case.

(2) If the application for insolvency proceedings is left not proceeded with, the judge shall take a decision to accept the application for insolvency proceedings and to initiate the case not later than on the day after elimination of the deficiencies indicated in the decision. If the time period for the elimination of deficiencies indicated in the decision has expired and they have not been eliminated, the application shall be deemed as not submitted and it shall be returned to the applicant.

(3) The judge shall take a decision to refuse to accept an application for insolvency proceedings of a creditor, if he or she has found that a case regarding insolvency proceedings of a legal person has been initiated against the debtor upon the application for insolvency proceedings of the debtor.

(4) A court shall, upon its own initiative, initiate a case regarding insolvency proceedings of a legal person, if upon taking of a decision to terminate legal protection proceedings the element of insolvency proceedings of a legal person specified in Section 57, Clause 7 of the Insolvency Law is determined.

(5) The judge shall take a decision to merge the initiated case regarding insolvency proceedings of a legal person into one legal proceeding, if until the commencement of examining the case regarding insolvency proceedings of a legal person, which was initiated upon an application for insolvency proceedings of a creditor, on the merits it is found that the case regarding insolvency proceedings of a legal person has been initiated against the debtor upon an application for insolvency proceedings of another creditor.

(6) The judge shall take a decision to stay legal proceedings in the case upon an application for insolvency proceedings of a creditor, if until the commencement of examining the case regarding insolvency proceedings of a legal person, which was initiated upon an application for insolvency proceedings of a creditor, on the merits it is found that the case regarding insolvency proceedings of a legal person has been initiated against the debtor upon an application for insolvency proceedings of the debtor. -In announcing insolvency proceedings of a legal person upon the application of insolvency proceedings of the debtor, the court shall renew legal proceedings in the stayed case upon the application of insolvency proceedings of a creditor and terminate it. The State fee paid shall be reimbursed to the creditor in the full amount.

[18 April 2013]

Section 363.10 Court Activities in Preparing a Case Regarding Insolvency Proceedings of a Legal Person for Examination

(1) A judge shall immediately send a true copy of the decision to initiate a case to:

1) the Insolvency Administration;

2) the Finance and Capital Market Commission, if a decision has been taken on a participant of the finance and capital market, the activity of which is supervised by the Finance and Capital Market Commission in accordance with the requirements of laws and regulations.

(2) If a case is initiated based on the application for insolvency proceedings of a creditor, the judge shall send the creditor's application and a true copy of the decision on the initiation of the case to the debtor, inform the debtor and creditor of the day of examination of the application for insolvency proceedings, and also regarding the rights of the debtor to bring justified objections against the claim referred to in the application for insolvency proceedings not later than three days before the day of examination of the application for insolvency proceedings, including to provide evidence regarding the fact that the debtor is able to cover debt obligations referred to in the application for insolvency proceedings.

(3) After receipt of the proposal of the Insolvency Administration regarding the candidate for the position of the administrator, the judge shall assess his or her compliance with the performance of the administrator's obligations in the relevant insolvency proceedings of a legal person.

(4) Having found that restrictions on the performance of the administrator's obligations in the relevant insolvency proceedings of a legal person exist for the candidate recommended by the Insolvency Administration, the judge shall take a decision on refusal to appoint as the administrator the candidate for the position of the administrator and send the invitation to the Insolvency Administration to recommend a new candidate for the position of the administrator.

[18 April 2013]

Section 363.11 Procedures for Examining the Application for Insolvency Proceedings

(1) A court shall examine an application for insolvency proceedings submitted by a creditor within 15 days from the day of initiation of the case. The applicant for insolvency proceedings and the debtor shall be summoned to the court hearing. If applications for insolvency proceedings of several creditors are merged in one legal proceeding, the applicants which may be notified at least seven days before the relevant hearing shall be summoned to the court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the case.

(2) A court shall examine an application for insolvency proceedings submitted by the debtor in the written procedure within seven days from the day of initiation of the case. A court shall examine an application in the written procedure, except in the case when it considers as necessary to examine the case in a court hearing. If the application for insolvency proceedings is examined in a court hearing, the debtor and the administrator shall be summoned to the court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the case.

(3) A court shall examine the case regarding insolvency proceedings of a legal person which has been initiated upon the application for insolvency proceedings of the administrator in the written procedure within seven days from the day of initiation thereof. A court shall examine an application in the written procedure, except in the case when it considers as necessary to examine the case in a court hearing. If the application for insolvency proceedings is examined in a court hearing, the debtor and the administrator shall be summoned to the court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the case.

(4) If until giving the judgment a court finds that the submitter has not paid the State fee or insolvency proceedings deposit, except in the case when the court has initiated the case regarding insolvency proceedings of a legal person upon its own initiative or exempted an employee from the payment of deposit, it shall leave the application for insolvency proceedings without examination.

(5) A judge may give a ruling to fully or partly exempt an employee from the payment of insolvency proceedings deposit, if he or she submits an application for insolvency proceedings after it was not possible to fulfil a court ruling on the recovery of debt from the debtor by applying enforcement measures, and the employee, by taking into account his or her financial situation, cannot pay in insolvency proceedings deposit.

[18 April 2013; 12 February 2015]

Section 363.12 Sequence of Examining the Application for Insolvency Proceedings and the Application for Legal Protection Proceedings

(1) A court shall stay legal proceedings if, until commencement of examination of a case regarding insolvency proceedings of a legal person on the merits, it is found that the case regarding legal protection proceedings has been initiated in respect of the debtor.

(2) Legal proceedings in the case regarding insolvency proceedings of a legal person shall be stayed until a ruling is given in the case regarding legal protection proceedings.

(3) Legal proceedings in the case regarding insolvency proceedings of a legal person shall be terminated if legal protection proceedings are implemented in respect of the debtor in accordance with a ruling.

(4) Legal proceedings in the case regarding insolvency proceedings of a legal person shall be renewed and examined in accordance with the procedures laid down in this Chapter, if legal protection proceedings in respect of the debtor are terminated on the basis of Section 341.10, Paragraph two of this Law.

Section 363.13 Court Judgment in a Case Regarding Insolvency Proceedings of a Legal Person

(1) The court shall announce insolvency proceedings of a legal person and its judgement shall not be appealed, except for the judgment by which an application for insolvency proceedings has been rejected. A court judgment, by which the application for insolvency proceedings has been rejected, may be appealed in accordance with appeal procedure, if any of the grounds for initiation of appeal proceedings laid down in Section 440.2 of this Law exists.

(2) A court shall declare insolvency proceedings of a legal person, if on the day of examination of the application it finds an element of insolvency proceedings indicated in the application.

(3) In satisfying an application a court shall appoint as the administrator the candidate for the position of the administrator recommended by the Insolvency Administration in accordance with the procedures laid down in Section 363.10 of this Law.

(4) In declaring the insolvency proceedings, a court shall indicate the type of insolvency proceedings in the judgment in conformity with Council Regulation No 1346/2000.

(5) A court shall commence the insolvency proceedings specified in Article 3, Paragraph 1 of the Council Regulation No 1346/2000, if it finds that the centre of the debtor's main interest is located in Latvia.

(6) A court shall commence the insolvency proceedings specified in Article 3(2) of the Council Regulation No 1346/2000, if it finds that the debtor's establishment within the meaning of Article 2 Paragraph h of the abovementioned Regulation is located in Latvia. Having found that a court of another Member State, which has commenced the insolvency proceedings specified in Article 3, Paragraph 1 of this Regulation against the debtor, was entitled to commence such proceedings, the court shall give a judgment regarding commencement of the insolvency proceedings specified in Article 3, Paragraph 2 of the abovementioned Regulation No 1346/2000 against the debtor without prejudice to that specified in Paragraph two of this Section.

(7) A court, when announcing insolvency proceedings of a legal person and terminating legal protection proceedings, shall appoint the candidate for the position of the administrator recommended by the Insolvency Administration in accordance with the procedures laid down in Section 363.10 of this Law.

(8) In declaring insolvency proceedings of a legal person, a court shall send a true copy of the court judgment to the appointed administrator, the liquidator involved in the insolvency proceedings specified in Article 3(1) of Council Regulation No 1346/2000, if it has commenced the insolvency proceedings specified in Article 3(2) of the abovementioned Regulation against the debtor in Latvia, and the responsible institution that makes entries in the Insolvency Register.

(9) If the feature of insolvency proceedings indicated in the application is not found, the court shall reject the application for insolvency proceedings and terminate the case regarding insolvency proceedings of a legal person, as well as take a decision on the issue whether the application for insolvency proceedings should be recognised as unfounded or knowingly false. The court shall reject the application for insolvency proceedings which was submitted in conformity with the features of insolvency proceedings referred to in Section 57, Clauses 2 and 3 of the Insolvency Law, if it finds that not later than three days before examination of the case the debtor has brought justified objections against the claim referred to in the application for insolvency proceedings or that debt obligations, in respect of which the application for insolvency proceedings has been submitted, are covered in the full amount.

(10) Having recognised an application for insolvency proceedings as unfounded or intentionally false, a court shall recover court expenses from the applicant for insolvency proceedings. If the applicant for insolvency proceedings revokes his or her application because the debtor has voluntary covered the debt obligations referred to in the application for insolvency proceedings until the day of examination of the case, the court, when deciding on the termination of the case, shall, upon a request of the applicant for insolvency proceedings, adjudge the recovery of the court expenses paid by the applicant as against the debtor. In other cases such costs shall be indicated in the court judgment and included in the costs of insolvency proceedings.

(11) When rejecting an application for insolvency proceedings, which has been submitted in conformity with the element of insolvency proceedings referred to in Section 57, Clauses 2 and 3 of the Insolvency Law, because on the day of examination of the application the court does not detect the element of the insolvency proceedings indicated therein, because the debtor has covered a part of the debt obligations indicated in the application until the day of examination of the case with a view to prevent announcement of the insolvency proceedings of a legal person, it shall, when deciding on termination of the case, adjudge recovery of the court expenses paid by the applicant as against the debtor.

(12) When rejecting an application for insolvency proceedings, the court shall send a true copy of the judgement to the Insolvency Administration.

[18 April 2013; 12 February 2015]

Section 363.14 Issues to be Decided by the Court after Declaration of Insolvency Proceedings of a Legal Person

(1) After declaration of the insolvency proceedings of a debtor a court shall, on the basis of the relevant application, decide on:

1) discharge of the administrator in the cases specified in the Insolvency Law, specifying the time period for drawing up a statement for acceptance and delivery of documents and property and transfer of documents and property to another administrator;

2) appointing as the administrator of a new candidate for the position of the administrator, if the previous administrator has been discharged from the relevant insolvency proceedings;

3) performance of the activities specified in Article 33 of Council Regulation No 1346/2000;

4) approval of a statement of auction of immovable property or undertaking (Sections 611 and 613) and corroboration of the sold immovable property in the name of the buyer, and also deletion of an insolvency notation in the Land Registry;

5) [11 September 2014].

6) termination of insolvency proceedings.

(2) The administrator may be discharged by a court upon its own initiative if the court, when examining the application or complaint in a case regarding insolvency proceedings, has found that the administrator fails to observe the requirements of laws and regulations or fails to fulfil a court ruling.

(3) If after declaration of insolvency proceedings a court has taken a decision to remove the administrator after entering into effect thereof, it shall send a true copy of such decision to the Insolvency Administration for suggesting a new candidate for the position of the administrator. Having received a proposal from the Insolvency Administration regarding a new candidate for the position of the administrator, the court shall appoint as the administrator the candidate for the position of the administrator recommended by the Insolvency Administration.

(4) In taking a decision to discharge the administrator upon proposal of the creditors meeting, a court shall appoint as the administrator the candidate for the position of the administrator nominated by the creditors meeting. If the creditors meeting has failed to submit a proposal regarding a new candidate for the position of the administrator, the court shall appoint the administrator in accordance with the procedures laid down in Paragraph three of this Section.

(5) Having found that restrictions on the performance of the administrator's obligations in the relevant insolvency proceedings of a legal person exist for the candidate for the position of the administrator nominated by the creditors meeting or the Insolvency Administration, the judge shall take a decision to refuse to appoint as the administrator the candidate for the position of the administrator and send an invitation to the Insolvency Administration to recommend a new candidate for the position of the administrator. The judge shall decide on appointing as the administrator of a candidate for the position of the administrator in accordance with the procedures laid down in Paragraph three of this Section.

(6) If upon an application of the liquidator involved in the insolvency proceedings specified in Article 3(1) of Council Regulation No 1346/2000 the court finds that the performance of the activities specified in Article 33(1) of Regulation No 1346/2000 is in the interests of the creditors of insolvency proceedings specified in Article 3(1) of the abovementioned Regulation, it shall take a decision to perform the activities specified in Article 33(1) of Council Regulation No 1346/200 and determine appropriate measures for ensuring the interests of the creditors of insolvency proceedings specified in Article 3, Paragraph 2 of this Regulation.

(7) If upon the application of the liquidator involved in the insolvency proceedings specified in Article 3(1) of Council Regulation No 1346/2000, the liquidator or creditor involved in the insolvency proceedings specified in Article 3(2) of this Regulation the court determines that the performance of the activities specified in Article 33(1) of the abovementioned Regulation is no longer founded, it shall take a decision to perform the activity specified in Article 33(2) of Council Regulation No 1346/2000.

(8) A court shall send a true copy of the decision to perform the activities referred to in Article 33 of Council Regulation No 1346/2000 to the debtor's representative and the administrator.

(9) A court shall send true copies of the decisions referred to in Paragraph one, Clauses 1, 2, 3 and 6 of this Section to the responsible institution that makes entries in the Insolvency Register.

(10) A court shall examine a complaint regarding the decision of the creditors meeting, a complaint regarding the decision of the administrator, as well as a complaint regarding the decision taken by the Insolvency Administration on the action of an administrator during the insolvency proceedings or imposition of the lawful obligation. The court shall send a true copy of the decision taken after the examination of the abovementioned complaints, except a decision on the complaint regarding the decision of the creditors meeting, to the Insolvency Administration.

(11) A court shall examine an application and complaint within 15 days from the day of receipt of the application or complaint. The judge shall examine an application in the written procedure without organising a court hearing, except in the case when he or she considers as necessary to examine the case in a court hearing. The judge shall examine a complaint in the written procedure without organising a court hearing, except in the case when the administrator requests to examine the case in a court hearing or the court considers as necessary to examine the complaint in a court hearing. The applicant or complaint, the administrator, representative of the debtor and other interested persons shall be summoned to the court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the issue.

(12) A court decision on examination of an application and complaint may not be appealed. A court decision to withdraw the administrator on the basis of Section 22, Paragraph two, Clause 1, 2, 3, 4 or 7 of the Insolvency Law may be appealed by submitting an ancillary complaint. Regional court shall examine such ancillary complaint within 15 days.

(121) An ancillary complaint may be submitted regarding a court decision in a case regarding approval of an auction act.

(13) A court may request that the administrator submits a report or other information regarding his or her activity for examination of the issues referred to in this Section, but the liquidator involved in the insolvency proceedings specified in Article 3(1) of the Council Regulation No 1346/2000 - the information that is necessary for giving a ruling referred to in this Section.

(14) In reviewing the ancillary complaint referred to in Paragraph twelve of this Section the regional court has the right to:

1) leave the decision unamended, but to reject the complaint;

2) withdraw the decision and, by its decision, to decide on the issue on the merits.

(15) The decision referred to in Paragraph fourteen of this Section shall enter into effect and must be enforced without delay.

(16) The regional court shall send a true copy of the decision referred to in Paragraph fourteen, Clause 1 of this Section to the Insolvency Administration for recommending a new candidate for the position of an administrator.

[21 June 2012; 29 November 2012; 18 April 2013; 11 September 2014]

Section 363.15 Decision to Approve a Statement of Sale of Property in the Insolvency Proceedings

(1) If the administrator has sold immovable property at auction, the statement of auction shall be submitted for approval to the court when the highest bidder has paid all amount to be paid by him. The administrator shall indicate information in the application for the activities taken in the case which are related to the sale of property, by attaching the documents attesting it, and also the documents which approve that the court expenses regarding submission of the abovementioned application to the court have been paid.

(2) The court shall approve the statement of auction in accordance with provisions of this Law regarding the auction of immovable property (except that laid down in Section 613, Paragraphs three and nine of this Law). The court shall examine the application for approval of the statement of auction of the immovable property (Sections 611 and 613) and corroboration of the sold immovable property in the name of the acquirer in accordance with the written procedure within 15 days after the submission of the administrator's application to the court. In satisfying an application the court shall concurrently take the decisions provided for in Section 613, Paragraph five of this Law.

(3) The activities specified in this Section shall be performed by the court, in the legal proceedings of which is the case regarding insolvency proceedings of a legal person.

(4) The court shall send a decision, by which the administrator's application for approval of a statement of auction and corroboration of the sold immovable property in the name of the acquirer is satisfied, to the Land Registry office, in the territory of operation of which the immovable property is located, within three days after the day when it has come into effect. Not later than within three days from the day, when the court decision to approve a statement of auction has come into effect, the administrator shall pay the State and office fees referred to in Section 611, Paragraph two, Clause 4 of this Law into the State budget and notify thereof the acquirer and the relevant Land Registry office.

[11 September 2014]

Section 363.16 Procedures for Examining an Application for Legal Protection Proceedings in Extrajudicial Legal Protection Proceedings after Declaration of Insolvency Proceedings of a Legal Person

(1) After declaration of insolvency proceedings of a legal person an application for legal protection proceedings in extrajudicial legal protection proceedings shall be submitted to the court, in the legal proceedings of which is the case regarding insolvency proceedings of a legal person.

(2) After declaration of insolvency proceedings of a legal person a court shall examine the application for legal protection proceedings in extrajudicial legal protection proceedings in accordance with the procedures laid down in Chapter 45.1 of this Law.

Section 363.17 Examination of a Complaint in a Court Regarding a Decision of the Administrator in Insolvency Proceedings of a Legal Person

(1) A court shall examine a complaint of a creditor, a representative of a debtor or third person whose lawful rights are concerned regarding a decision of the administrator or auction calculation in insolvency proceedings of a legal person in the cases laid down in the Insolvency Law.

(2) If a court acknowledges that the appealed decision of the administrator or auction calculation fails to conform to the requirements of laws and regulations, it shall satisfy the complaint and assign the administrator to eliminate the breach admitted.

(3) If a court finds that the appealed decision of the administrator or auction calculation complies with the requirements of laws and regulations, it shall reject the complaint.

(4) If, when examining the complaint regarding a decision of the administrator, a court finds that there is a dispute regarding rights, it shall determine the time period within which the submitter of the complaint may bring an action before the court in accordance with the general procedures or may request to renew the stayed court proceedings regarding the subject-matter of the dispute.

(5) The submitter of the complaint has the right to withdraw his or her complaint while examination thereof on the merits has not been completed. If the submitter of the complaint withdraws the complaint submitted, the court shall take a decision to terminate legal proceedings of the complaint.

[18 April 2013; 12 February 2015]

Section 363.18 Examination of a Complaint in a Court Regarding a Decision of the Creditors Meeting in Insolvency Proceedings of a Legal Person

(1) A court shall examine a complaint of a creditor, a representative of a debtor or administrator regarding a decision of the creditors meeting in insolvency proceedings of a legal person.

(2) Having acknowledged the appealed decision of the creditors meeting as non-complying with the requirements of laws and regulations, a court shall withdraw it.

(3) When revoking a decision of the creditors meeting on the non-approval of the costs of insolvency proceedings, non-approval of remuneration for the administrator or refusal to extend the time period for insolvency proceedings, a court may concurrently take a decision on approval of the costs of insolvency proceedings, approval of remuneration for the administrator or extension of the time period for the insolvency proceedings.

(4) Having found that the appealed decision of the creditors meeting complies with the requirements of laws and regulations, a court shall reject the complaint.

(5) The submitter of the complaint has the right to withdraw his or her complaint while examination thereof on the merits has not been completed. If the submitter of the complaint withdraws the complaint submitted, the court shall take a decision to terminate legal proceedings of the complaint.

Section 363.19 Examination of a Complaint in a Court Regarding a Decision Taken by the Insolvency Administration on Action of the Administrator during Insolvency Proceedings of a Legal Person or Imposition of a Lawful Obligation and on Disbursement of Deposit

(1) A court shall examine a complaint of a creditor, a representative of a debtor, administrator or third person whose lawful rights are concerned regarding a decision taken by the Insolvency Administration on action of the administrator during insolvency proceedings or imposition of a lawful obligation and on disbursement of the deposit. The court shall examine the complaint regarding a decision of the Insolvency Administration which has been taken after termination of the relevant insolvency proceedings of a legal person, except the decision on disbursement of the deposit, in accordance with the procedures laid down in this Section.

(2) If a court acknowledges that the appealed decision of the Insolvency Administration fails to conform to the requirements of laws and regulations, it shall satisfy the complaint and take a decision on:

1) revocation of the decision taken by the Insolvency Administration completely or partly;

2) imposition of an obligation on the Insolvency Administration to accept or examine a complaint regarding action of the administrator;

3) imposition of an obligation to eliminate the breach admitted upon the administrator, except in the case when the debtor has been excluded from the relevant public register.

(3) If a court finds that the appealed decision of the Insolvency Administration complies with the requirements of laws and regulations, it shall reject the complaint.

(4) The submitter of the complaint has the right to withdraw his or her complaint while examination thereof on the merits has not been completed. If the submitter of the complaint withdraws the complaint submitted, the court shall take a decision to terminate legal proceedings of the complaint.

(5) After examination of the complaint a court shall immediately send a true copy of the decision taken to the Insolvency Administration.

(6) If the decision of the Insolvency Administration on actions of the administrator in insolvency proceedings of a legal person has been taken within a year after termination of the relevant insolvency proceedings of a legal person, a complaint regarding the decision of the Insolvency Administration shall be submitted to the court, in the legal proceedings of which was the relevant case regarding insolvency proceedings of a legal person.

Section 363.20 Termination of Insolvency Proceedings of a Legal Person

(1) A court shall terminate insolvency proceedings of a legal person rejecting the application for insolvency proceedings or terminating insolvency proceedings.

(2) A court shall take a decision to terminate insolvency proceedings of a legal person, if:

1) the debtor has settled all the obligations thereof;

2) legal protection proceedings have been declared for the debtor (transfer of insolvency proceedings to legal protection proceedings);

3) a proposal to terminate insolvency proceedings has been expressed in a report on non-existence of the debtor's property and agreement has not been reached regarding the source of financing of insolvency proceedings;

4) the plan for covering of creditors' claims has been fulfilled.

(3) A plan for measures of legal protection proceedings co-ordinated in accordance with the procedures laid down in the Insolvency Law shall be attached to an application for the termination of insolvency proceedings in the case referred to in Paragraph two, Clause 2 of this Section.

(4) A report on non-existence of the debtor's property, objections of creditors, if any have been expressed, and a reply of the administrator shall be attached to the application for the termination of the insolvency proceedings in the case referred to in Paragraph two, Clause 3 of this Section.

(5) The administrator shall provide information in the application for the objections of creditors not taken into account in respect of the report regarding the fulfilment of the plan for covering of the creditors' claims in the case referred to in Paragraph two, Clause 4 of this Section and a report on fulfilment of such plan shall be attached thereto.

(6) The liquidator shall attach a report of his or her activity and a certificate regarding payment of surplus of the funds to the liquidator involved in the insolvency proceedings specified in Article 3(1) of Council Regulation No 1346/2000 to the application regarding termination of the case regarding insolvency proceedings, if a court has commenced insolvency proceedings specified in Article 3(2) of the abovementioned Regulation.

(7) A court shall send a true copy of the decision to terminate insolvency proceedings to the responsible institution that makes entries in the Insolvency Register.

Chapter 46.2
Cases Regarding Insolvency Proceedings of a Natural Person

[30 September 2010]

Section 363.21 Norms to be Applied to Examination of Cases

A court shall apply the provisions of Chapter 46.1 of this Law to insolvency proceedings of a natural person in so far as it is not otherwise provided for in this Chapter.

Section 363.22 Jurisdiction of Cases Regarding Insolvency Proceedings of a Natural Person

(1) The case regarding insolvency proceedings of a natural person according to an application of the debtor shall be examined by the court based on the declared place of residence of the debtor which was registered for the debtor three months prior to the submission of application to the court, but if none, based on the place of residence.

(2) The case regarding the commencement of the insolvency proceedings laid down in Article 3(1) of Council Regulation No 1346/2000 shall be examined by a court based on the location of the main interest centre of the debtor, but in the case of commencement of the insolvency proceedings laid down in Article 3(2) of this Regulation - based on the location of the debtor's undertaking (within the meaning of Article 2(h) of Council Regulation No 1346/2000).

[29 November 2012; 8 December 2016]

Section 363.23 Application for Insolvency Proceedings of a Natural Person

(1) The following information shall be provided for in an application for insolvency proceedings of a natural person (hereinafter in this Chapter - the application for insolvency proceedings):

1) the given name, surname, personal identity number and declared place of residence of the debtor;

2) the circumstances due to which the natural person is not able to fulfil his or her obligations;

3) all obligations non-fulfilled within the due time and amounts thereof;

31) all obligations the due time of which will set in conformity with Section 134, Paragraph three of the Insolvency Law;

4) the total amount of all obligations the due time of which will set within a year;

5) the composition of the property of the debtor, including a part of the debtor in the joint property of spouses and in other joint property;

6) whether the provisions of Council Regulation No 1346/2000 are to be applied to the insolvency proceedings;

7) the declared place of residence of the debtor which was registered for the debtor three months prior to the submission of application to the court, but if none, the place of residence.

(11) If an application for insolvency proceedings is submitted by the debtor together with his or her spouse or a person who is in kinship or affinity with the debtor to the second degree, the information referred to in Paragraph one of this Section shall be indicated regarding each applicant separately.

(2) The documents confirming the following shall be attached to the application for insolvency proceedings:

1) payment of the State fee and other court expenses in accordance with the procedures and in the amounts laid down in law;

2) payment of the deposit of insolvency proceedings of a natural person;

3) conditions justifying the application.

[12 February 2015; 9 June 2016; 8 December 2016]

Section 363.24 Receipt and Registration of the Application for Insolvency Proceedings

(1) The court shall accept an application for insolvency proceedings from a debtor, his or her guardian or trustee.

(2) Having received an application for insolvency proceedings, the court shall verify the identity of a debtor, his or her guardian or trustee. If the identity cannot be verified or the applicant does not have the relevant authorisation, the application shall not be accepted.

(3) An application for insolvency proceedings shall be registered in a separate register, in which the applicant and the recipient of the application shall sign.

[18 April 2013]

Section 363.25 Deciding on the Issue of Accepting of the Application for Insolvency Proceedings and Initiation of a Case

(1) Not later than on the day after receipt of an application for insolvency proceedings the judge shall take a decision:

1) to leave the application for insolvency proceedings not proceeded with;

2) to refuse to accept the application for insolvency proceedings;

3) to accept the application for insolvency proceedings and initiation of the case.

(2) If the application for insolvency proceedings is left not proceeded with, the judge shall take a decision to accept the application for insolvency proceedings and to initiate the case not later than on the day after elimination of the deficiencies indicated in the decision. If the time period for the elimination of deficiencies indicated in the decision has expired and they have not been eliminated, the application shall be deemed as not submitted and it shall be returned to the applicant.

(3) The judge shall take a decision to refuse to accept the application for insolvency proceedings, if he or she finds that:

1) the debtor is not a subject of insolvency proceedings of a natural person;

2) [4 August 2011];

3) the debtor has not paid in a deposit of insolvency proceedings of a natural person.

[4 August 2011; 12 February 2015]

Section 363.26 Court Activities in Preparing a Case Regarding Insolvency Proceedings of a Natural Person for Examination

(1) A court shall immediately send a true copy of the decision to initiate the case regarding insolvency proceedings of a natural person to the Insolvency Administration.

(2) After receipt of the proposal of the Insolvency Administration regarding the candidate for the position of the administrator, the judge shall assess his or her compliance with the performance of the administrator's obligations in the relevant insolvency proceedings of a natural person. A court shall appoint the candidate for the position of the administrator recommended by the Insolvency Administration as the administrator, satisfying the application.

(3) Having found that restrictions on the performance of the administrator's obligations in the relevant insolvency proceedings of a natural person exist for the candidate recommended by the Insolvency Administration, the judge shall take a decision to refuse to appoint as the administrator the candidate for the position of the administrator and send an invitation to the Insolvency Administration to recommend a new candidate for the position of the administrator.

Section 363.27 Examination of the Application for Insolvency Proceedings and Judgment in a Case Regarding Insolvency Proceedings of a Natural Person

(1) A court shall examine a case regarding insolvency proceedings of a natural person within seven days from the day of initiation thereof. A court shall examine an application in the written procedure, except in the case when it considers as necessary to examine the case in a court hearing. If the application for insolvency proceedings is examined in a court hearing, the debtor and the administrator shall be summoned to the court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the case.

(2) A court shall declare insolvency proceedings of a natural person, when it finds that a debtor or debtors, if the application for insolvency proceedings is submitted by the debtor together with his or her spouse or a person who is in kinship or affinity with the debtor to the second degree, have a feature of insolvency proceedings and insolvency proceedings of a natural person have not been declared for him or her during the last 10 years, within the framework of which the obligations have been extinguished, and the applicant has paid the State fee for the submission of the application for insolvency proceedings of a natural person and a deposit for insolvency proceedings of a natural person.

(3) A court, in declaring insolvency proceedings of a natural person, shall appoint an administrator.

(31) If a feature of insolvency proceedings indicated in the application for insolvency proceedings is not found, the insolvency proceedings of a natural person have been declared during the last 10 years for a debtor within the framework of which the obligations have been extinguished, or the applicant has not paid the deposit of insolvency proceedings of a natural person or the State fee regarding submission of the application for insolvency proceedings of a natural person, the court shall refuse the application for insolvency proceedings and terminate the case regarding insolvency proceedings of a natural person.

(4) A court judgment may not be appealed in insolvency proceedings of a natural person, except a judgement on the rejection of the application for insolvency proceedings of a natural person. A judgment on the rejection of the application for insolvency proceedings of a natural person may be appealed in accordance with appeal procedures, if any of the grounds for initiation of appeal proceedings laid down in Section 440.2 of this Law exists.

(5) A court shall issue a true copy of a judgment to the applicant and the administrator, as well as the liquidator involved in the insolvency proceedings specified in Article 3(1) of Council Regulation No 1346/2000, if it has commenced the insolvency proceedings specified in Article 3(2) of the abovementioned Regulation against the debtor in Latvia. The court shall send a true copy of the judgment to the responsible institution that makes entries in the Insolvency Register.

[4 August 2011; 18 April 2013; 12 February 2015]

Section 363.28 Issues to be Decided by the Court after Declaration of Insolvency Proceedings of a Natural Person

(1) After declaration of insolvency proceedings of a natural person the court shall, on the basis of the relevant application, decide on:

1) discharge of the administrator, determining the time period for drawing up a statement for acceptance and delivery of documents and property and transfer of documents and property to another administrator;

2) appointing as the administrator of a new candidate for the position of the administrator, if the previous administrator has been discharged from the relevant insolvency proceedings;

3) approval of completion of the bankruptcy procedure;

4) approval of a plan for extinguishing obligations of a natural person and amendments thereto;

5) termination of insolvency proceedings of a natural person;

6) approval of a statement of auction of immovable property (Sections 611 and 613) and corroboration of the sold immovable property in the name of the buyer, and also deletion of an insolvency notation in the Land Register;

7) [11 September 2014].

(11) An application for approval of a statement of auction of immovable property (Sections 611 and 613) and corroboration of the sold immovable property in the name of the buyer shall be examined by the court in the court proceedings of which is the case of insolvency proceedings in accordance with the procedures laid down in Chapter 46.1 of this Law.

(2) Administrator may be discharged by a court upon its own initiative if it, when examining the application or complaint in a case regarding insolvency proceedings of a natural person, has found that the administrator fails to observe the requirements of laws and regulations or fails to fulfil a court rulings.

(3) If after declaration of insolvency proceedings a court has taken a decision to remove the administrator after entering into effect thereof, it shall send a true copy of such decision to the Insolvency Administration for suggesting a new candidate for the position of the administrator. Having received a proposal from the Insolvency Administration regarding a new candidate for the position of the administrator, the court shall appoint as the administrator the candidate for the position of the administrator recommended by the Insolvency Administration.

(4) In taking a decision to discharge the administrator upon proposal of the creditors meeting, a court shall appoint as the administrator the candidate for the position of the administrator nominated by the creditors meeting. If the creditors meeting has failed to submit a proposal regarding a new candidate for the position of the administrator, the court shall appoint the administrator in accordance with the procedures laid down in Paragraph three of this Section.

(5) Having found that the restrictions on the performance of the administrator's obligations in the relevant insolvency proceedings of a legal person exist for the candidate for the position of the administrator nominated by the creditors meeting or the Insolvency Administration, the judge shall take a decision to refuse to appoint as the administrator the candidate for the position of the administrator and send an invitation to the Insolvency Administration to recommend a new candidate for the position of the administrator. The judge shall decide on appointing as the administrator of a candidate for the position of the administrator in accordance with the procedures laid down in Paragraph three of this Section.

(6) A court shall immediately send true copies of the decisions referred to in Paragraph one, Clauses 1-5 of this Section to the responsible institution that makes entries in the Insolvency Register.

(7) A court shall examine a complaint regarding the decision of the administrator, as well as a complaint regarding the decision taken by the Insolvency Administration on the action of the administrator during insolvency proceedings or imposition of the lawful obligation. The court shall immediately send a true copy of the decision taken after examination of the complaint to the Insolvency Administration.

(8) A court shall examine an application and complaint within 15 days from the day of receipt of the application or complaint. The judge shall examine an application in the written procedure without organising a court hearing, except in the case when he or she considers as necessary to examine the case in a court hearing. The judge shall examine a complaint in the written procedure without organising a court hearing, except in the case when the administrator requests to examine the case in a court hearing or the court considers as necessary to examine the complaint in a court hearing. The applicant or complaint, the administrator, representative of the debtor and other interested persons shall be summoned to the court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the issue.

(9) A court decision on examination of the application and complaint may not be appealed. A court decision to withdraw the administrator on the basis of Section 22, Paragraph two, Clause 1, 2, 3, 4 or 7 of the Insolvency Law may be appealed by submitting an ancillary complaint. Regional court shall examine such ancillary complaint within 15 days.

(91) An ancillary complaint may be submitted regarding a court decision in a case regarding approval of an auction act.

(10) A court may request that the administrator submits a report or other information regarding his or her activity for examination of the issues referred to in this Section.

(11) In examining the ancillary complaint referred to in Paragraph nine of this Section the regional court has the right to:

1) leave the decision unamended, but to reject the complaint;

2) withdraw the decision and, by its decision, to decide on the issue on the merits.

(12) The decision referred to in Paragraph eleven of this Section shall enter into effect and must be enforced without delay.

(13) The regional court shall send a true copy of the decision referred to in Paragraph eleven, Clause 1 of this Section to the Insolvency Administration for recommending a new candidate for the position of an administrator.

[21 June 2012; 29 November 2012; 18 April 2013; 11 September 2014]

Section 363.29 Termination of a Bankruptcy Procedure

(1) A court shall decide on termination of a bankruptcy procedure upon an application of the administrator.

(2) The administrator shall indicate the basis for termination of the bankruptcy procedure in the application for the termination of bankruptcy procedure.

(21) A court shall decide on termination of a bankruptcy procedure upon an application of the debtor, if creditors' claims have not been submitted against the debtor.

(22) A debtor shall indicate all his or her obligations and grounds thereof in the application for termination of the bankruptcy procedure in the case laid down in Paragraph 2.1 of this Law.

(23) If upon termination of the bankruptcy procedure the court finds that obligations of a debtor have elapsed in accordance with the procedures laid down in the Insolvency Law, it shall concurrently take a decision to terminate insolvency proceedings of a natural person.

(3) A court shall terminate the bankruptcy procedure if it finds restrictions on the application of insolvency proceedings to a natural person.

(4) When terminating the bankruptcy procedure, a court shall concurrently take a decision to terminate insolvency proceedings.

[12 February 2015]

Section 363.30 Completion of a Bankruptcy Procedure

(1) Upon an application of the administrator a court shall decide on termination of a bankruptcy procedure.

(2) The administrator shall indicate the following in the application for completion of the bankruptcy procedure:

1) basis for the completion of the bankruptcy procedure;

2) measures performed within the framework of the bankruptcy procedure;

3) the list of the sold property of the debtor, including the sold part of the debtor's property in the joint property of spouses and in another joint property and income obtained from the sale of the debtor's property and distribution thereof;

4) whether the procedure for extinguishing of obligations should be applied to the debtor;

5) objections and proposals received from the debtor and creditors that have not been taken into account.

(3) If it is intended for the debtor to apply the procedure for extinguishing of obligations the debtor shall submit a plan for extinguishing of obligations for approval to the court and the objections and proposals of creditors received and not taken into account in respect of such plan.

(4) In examining an issue regarding completion of the bankruptcy procedure, a court shall verify whether the bankruptcy procedure has occurred in accordance with the procedures laid down by the law.

(5) If the court approves completion of the bankruptcy procedure and the procedure for extinguishing of obligations is not applied to the debtor, the court shall concurrently take a decision to terminate insolvency proceedings.

Section 363.31 Approval of a Plan for Extinguishing of Obligations

(1) In approving the completion of a bankruptcy procedure, a court shall concurrently examine an issue regarding approval of a plan for extinguishing of obligations.

(2) A court shall not approve a plan for extinguishing of obligations, if it finds restrictions on the application of the procedure for extinguishing obligations.

(3) A court shall verify whether the plan for extinguishing of obligations complies with the requirements of the law.

(4) If a court determines deficiencies in the plan for extinguishing obligations, it shall determine a term for elimination of the deficiencies for the debtor and it may not be less than 10 days and more than 30 days.

(5) A court shall approve the plan for extinguishing of obligations, if it complies with the requirements of the law and objections have not been received from creditors and debtors or such objections are to be recognised as unfounded.

Section 363.32 Examination of a Complaint Regarding a Decision of the Administrator in the Insolvency Proceedings of a Natural Person in a Court

(1) A court shall examine a complaint of a creditor, debtor or third person whose lawful rights are concerned regarding a decision of the administrator in insolvency proceedings of a natural person.

(2) If a court acknowledges that the appealed decision of the administrator fails to conform to the requirements of laws and regulations, it shall satisfy the complaint and assign the administrator to eliminate the breach admitted.

(3) If a court finds that the appealed decision of the administrator complies with the requirements of laws and regulations, it shall reject the complaint.

(4) If, when examining the complaint regarding a decision of the administrator, a court finds that there is a dispute regarding rights, it shall determine the time period within which the submitter of the complaint may bring an action before the court in accordance with the general procedures or may request to renew the stayed court proceedings regarding the subject-matter of the dispute.

(5) The submitter of the complaint has the right to withdraw his or her complaint while examination thereof on the merits has not been completed. If the submitter of the complaint withdraws the complaint submitted, the court shall take a decision to terminate legal proceedings of the complaint.

[18 April 2013]

Section 363.33 Examination of a Complaint Regarding a Decision of the Creditors Meeting in the Insolvency Proceedings of a Natural Person in a Court

(1) A court shall examine a complaint of a creditor, debtor or administrator regarding a decision of the creditors meeting in insolvency proceedings of a natural person.

(2) Having acknowledged the appealed decision of the creditors meeting as non-complying with the requirements of laws and regulations, a court shall withdraw it.

(3) When revoking a decision of the creditors meeting on the non-approval of the costs of insolvency proceedings, non-approval of remuneration for the administrator or refusal to extend the time period for insolvency proceedings, a court may concurrently take a decision on approval of the costs of insolvency proceedings, approval of remuneration for the administrator or extension of the time period for the insolvency proceedings.

(4) Having found that the appealed decision of the creditors meeting complies with the requirements of laws and regulations, a court shall reject the complaint.

(5) The submitter of the complaint has the right to withdraw his or her complaint while examination thereof on the merits has not been completed. If the submitter of the complaint withdraws the complaint submitted, the court shall take a decision to terminate legal proceedings of the complaint.

Section 363.34 Examination of a Complaint Regarding a Decision Taken by the Insolvency Administration on an Action of the Administrator during Insolvency Proceedings of a Natural Person or Imposition of a Lawful Obligation and on Disbursement of the Deposit in a Court

(1) A court shall examine a complaint of a creditor, debtor, administrator or third person whose lawful rights are concerned regarding a decision taken by the Insolvency Administration on the action of the administrator during insolvency proceedings or imposition of a lawful obligation. The court shall examine a complaint regarding a decision of the Insolvency Administration which has been taken after termination of the relevant insolvency proceedings of a natural person in accordance with the procedures laid down in this Section.

(2) If a court acknowledges that the appealed decision of the Insolvency Administration fails to conform to the requirements of laws and regulations, it shall satisfy the complaint and take a decision on:

1) complete or partial revocation of the decision taken by the Insolvency Administration;

2) imposition of an obligation on the Insolvency Administration to accept or examine a complaint regarding action of the administrator;

3) imposition of an obligation to eliminate the breach admitted upon the administrator, except in the case when insolvency proceedings of a natural person have been terminated.

(3) If a court finds that the appealed decision of the Insolvency Administration complies with the requirements of laws and regulations, it shall reject the complaint.

(4) The submitter of the complaint has the right to withdraw his or her complaint while examination thereof on the merits has not been completed. If the submitter of the complaint withdraws the complaint submitted, the court shall take a decision to terminate legal proceedings of the complaint.

(5) After examination of the complaint a court shall immediately send a true copy of the decision taken to the Insolvency Administration.

(6) If a decision of the Insolvency Administration on action of the administrator in insolvency proceedings of a natural person has been taken within a year after termination of the relevant insolvency proceedings of a natural person, a complaint regarding the decision of the Insolvency Administration shall be submitted to a court, in the legal proceedings of which was the relevant case regarding insolvency proceedings of a natural person.

Section 363.35 Termination of Procedure for Extinguishing of Obligations

(1) A court shall examine an issue regarding termination of a procedure for extinguishing of obligations upon an application of the debtor or administrator.

(2) A court shall approve termination of the procedure for extinguishing of obligations, if it finds that the debtor has fulfilled the plan for extinguishing of obligations and objections have not been received from creditors and debtor or the objections received are to be recognised as unfounded.

(3) In approving termination of the procedure for extinguishing of obligations, a court shall decide on the extinguishing of the obligations which have not been fulfilled during the process of extinguishing of obligations.

(4) The debtor, creditor or administrator shall attach evidence to the application for the termination of the procedure for extinguishing of obligations, confirming the circumstances indicated in the application.

(5) When approving termination of the procedure for extinguishing of obligations, a court shall concurrently take a decision to terminate insolvency proceedings.

Section 363.36 Termination of Insolvency Proceedings of a Natural Person

(1) A court shall take a decision to terminate insolvency proceedings of a natural person, if:

1) after completion of the bankruptcy procedure the procedure for extinguishing of obligations is not applied for the debtor;

2) the debtor has settled all the obligations thereof;

3) restrictions on the application of the insolvency proceedings of a natural person are found;

4) restrictions on the application of the procedure for extinguishing of obligations are found;

5) the debtor fails to fulfil the plan for extinguishing of obligations;

6) the plan for extinguishing of obligations has been fulfilled;

7) during the bankruptcy procedure creditors' claims have not been submitted in conformity with the time periods laid down in the Insolvency Law, by concurrently terminating also the bankruptcy procedure.

(2) If a court, when terminating the procedure for extinguishing obligations, finds that the debtor should be released from the debt obligations in accordance with Section 164 of the Insolvency Law, it shall, concurrently with the termination of the procedure, release him or her from the obligations indicated in the plan for extinguishing obligations of a natural person.

(3) A court shall immediately send a true copy of the decision to terminate insolvency proceedings of a natural person to the responsible institution that makes entries in the Insolvency Register.

[12 February 2015]

Chapter 47
Cases Regarding Credit Institution Insolvency and Liquidation

Section 364. Jurisdiction of Cases

Cases regarding insolvency or liquidation of credit institutions shall be examined by the court based on the legal address of the credit institution.

[29 November 2012]

Section 365. Submitters of an Application for Insolvency Proceedings

An application for insolvency proceedings may be submitted to the court by:

1) a credit institution or the liquidator of a credit institution;

2) a creditor or group of creditors;

3) an administrator for another insolvency case;

4) the Finance and Capital Market Commission.

[20 June 2001]

Section 366. Submitter of a Liquidation Application

Liquidation applications shall be submitted to the court by the Finance and Capital Market Commission.

[20 June 2001]

Section 367. Procedures for Submitting an Application for Insolvency Proceedings

(1) An application for insolvency proceedings may, after the application has been examined by the Finance and Capital Market Commission, be submitted to the court by a credit institution, the liquidator of a credit institution, a creditor or group of creditors, or the administrator of another insolvency case.

(2) Application for insolvency proceedings shall be submitted to the court by the Finance and Capital Market Commission, and the decision of the Finance and Capital Market Commission on the submission of the application to the court and other documents that could be significant in the case shall be attached thereto. In such case the person on whose behalf the application for insolvency proceedings is prepared and who submits it to the Finance and Capital Market Commission shall be considered as the applicant. The insolvency petition must conform to the requirements of Sections 368 and 369 of this Law.

(3) If the Finance and Capital Market Commission dismisses an application for insolvency proceedings, the persons mentioned in Paragraph one of this Section may submit it directly to the court. In such case the decision of the Finance and Capital Market Commission on the refusal to submit the application for insolvency proceedings to the court shall be attached to the application for insolvency proceedings.

[20 June 2001]

Section 368. Applications for Insolvency Proceedings Submitted by a Creditor, a Group of Creditors or the Administrator of Another Insolvency Proceeding

(1) Set out in an application for insolvency proceedings submitted by a creditor, a group of creditors or the administrator of another insolvency case, shall be the following:

1) the name of the court which has jurisdiction over the case;

2) the given name, surname, personal identity number and declared place of residence of the applicant, but if none, the place of residence; for a legal person - the name, registration number and legal address, as well as information regarding their representative (given name, surname, personal identity number, position and address), if the application is submitted by a representative. In addition the applicant may indicate also another address for correspondence with the court;

3) the name and legal address of the credit institution;

4) the actual state of insolvency and evidence which confirms this state;

5) the documents attached to the application for insolvency proceedings.

(2) Attached to the application for insolvency proceedings shall be documents, which confirm the actual insolvency of the credit institution, as well as the decision of the Finance and Capital Market Commission on the refusal to submit the application for insolvency proceedings to the court.

[20 June 2001; 29 November 2012]

Section 369. Applications for Insolvency Proceedings of Credit Institutions

(1) Set out in an application for insolvency proceedings submitted by a credit institution shall be:

1) the name of the court which has jurisdiction over the case;

2) the name and registration number of the credit institution, the number and dates of issue and re-registration of the licence issued to operate the credit institution, legal address and the details of all accounts open in the credit institution;

3) the actual state of insolvency or the probability of it happening, and evidence confirming such state;

4) the documents attached to the application for insolvency proceedings.

(2) The following shall be attached to the application for insolvency proceedings:

1) a list (given name, surname, personal identity number and address) of chairpersons and members of the advisory board, and the executive and audit bodies of the credit institution and of the representatives of the credit institution;

2) the most recent balance of the credit institution, prepared in conformity with the instructions of the Finance and Capital Market Commission regarding the preparation of annual accounts;

3) documents which confirm the actual state of insolvency of the credit institution or the probability of it happening;

4) a list of property belonging to third persons that is in the possession of or held by the credit institution, except deposits and interest from them;

5) the decision of the Finance and Capital Market Commission to refuse to submit the application for insolvency proceedings to the court.

[20 June 2001; 29 November 2012]

Section 370. Application of the Finance and Capital Market Commission for the Insolvency of a Credit Institution

(1) Set out in an application for insolvency proceedings submitted by the Finance and Capital Market Commission shall be:

1) the name of the court which has jurisdiction over the case;

2) the address of the Finance and Capital Market Commission and information (given name, surname, personal identity number and position) regarding its representative who is submitting the application;

3) the name and legal address of the credit institution;

4) the actual state of insolvency or the probability of it happening, and evidence that confirms these conditions;

5) the documents attached to the application for insolvency proceedings.

(2) Documents that confirm the actual state of insolvency of the credit institution or the probability of it happening shall be attached to the application for insolvency proceedings.

[20 June 2001; 29 November 2012]

Section 371. Contents of the Credit Institution Liquidation Application

(1) The following shall be indicated in a credit institution liquidation application:

1) the name of the court which has jurisdiction over the case;

2) the address of the Finance and Capital Market Commission and information (given name, surname, personal identity number and position) regarding its representative who is submitting the application;

3) the name and legal address of the credit institution;

4) the representatives of the credit institution and persons whose participation in the liquidation of the credit institution is obligatory;

5) the conditions, as a result of which the operating licence issued to the credit institution has been annulled and evidence which confirms these conditions;

6) the documents attached to the application.

(2) Attached to the liquidation application shall be the decision on annulment of the operating licence issued to the credit institution, and documents that confirm the conditions as a result of which the operating licence issued to the credit institution has been annulled.

[20 June 2001; 12 February 2009; 29 November 2012]

Section 372. Submission and Registration of an Application for Insolvency Proceedings and Liquidation Application of a Credit Institution

(1) An application for insolvency proceedings or liquidation application in regard to a credit institution may be submitted to the court by a representative of the Finance and Capital Market Commission, but in cases provided for in Section 367, Paragraph three of this Law - by the applicant or his or her representative.

(2) The identity of the applicant shall be verified upon receipt of an application. If such application cannot be verified or if the applicant does not have the appropriate authorisation, the application shall not be accepted.

(3) Applications for insolvency proceedings and liquidation applications in regard to credit institutions shall be registered in separate registers, in which the applicant and the recipient shall sign.

[20 June 2001]

Section 373. Initiation of Insolvency Cases and Liquidation Cases of Credit Institutions

(1) A judge shall take a decision to initiate an insolvency case or a liquidation case or refusal to accept an application not later than the day following receipt of the application in court, but if an application is left not proceeded with, then not later than the day following the elimination of deficiencies indicated in a judge's decision or after expiry of the time period for the elimination of deficiencies.

(2) Upon initiating a case, the court shall seize the property of the credit institution, except in cases where the application for insolvency proceedings has been submitted in accordance with the procedures provided for in Section 367, Paragraph three of this Law.

Section 374. Activities of a Judge in Preparing Credit Institution Insolvency Cases for Examination

(1) When an insolvency case regarding a credit institution is being initiated, a credit institution administrator recommended by the Finance and Capital Market Commission shall be appointed by a decision of a judge.

(2) A person to whom the restrictions laid down in the Credit Institution Law apply may not be appointed as an administrator.

(3) When an administrator is appointed, the following functions shall be assigned to such person:

1) drawing up a list of those persons whose participation in the insolvency case is mandatory;

2) preparation of a statement of the assets (property) of the credit institution at their actual (market) value;

3) ascertaining of any property of third persons possessed or owned by the credit institution, and drawing up a list of such property;

4) drawing up a list of creditors based on the existing accounting data of the credit institution by including information on the creditors, the amount of debt and obligations, and performance time periods;

5) submission of the abovementioned information to the court before the case is being examined.

(4) A declaration signed by the administrator, which shall confirm his or her consent to take the position and assume the liability laid down in law. shall be attached to the file.

(5) The judge shall certify the identification document of the administrator.

[20 June 2001]

Section 375. Examination of Cases Regarding the Insolvency or Liquidation of a Credit Institution

(1) The court shall examine cases regarding the insolvency and liquidation of credit institutions within seven days of the day when the case is initiated.

(2) The applicant, a representative of the credit institution and a representative of the Finance and Capital Market Commission, and in a case regarding insolvency also the administrator, shall be invited to the court hearing.

(3) In cases regarding the insolvency or liquidation of credit institutions withdrawal or varying of applications shall not be permitted.

(4) When examining cases regarding the insolvency of credit institutions, the court shall verify the existence of any condition laid down in the Credit Institution Law that indicates the insolvency of the credit institution and verify that the pre-trial procedures for the examination of applications laid down in Section 367 of this Law have been complied with.

(5) When examining a case regarding the liquidation of a credit institution, the court shall not assess the solvency of the credit institution.

[20 June 2001; 12 February 2009]

Section 376. Court Judgment in a Case Regarding the Insolvency of a Credit Institution

(1) If the court finds any circumstances that indicates the insolvency of a credit institution, the court shall, pursuant to its judgment, declare the credit institution insolvent and determine that the insolvency of the credit institution sets in on the day of declaration thereof. If the application for insolvency proceedings is submitted by the liquidator, the court shall, simultaneously with the declaration of the insolvency of credit institution and based on the liquidator's application, take a decision to initiate bankruptcy procedures. The judgment shall be final and may not be appealed by the way of appeal procedures.

(2) In giving a judgment on the insolvency of a credit institution, the court shall confirm the appointed administrator.

(3) The court shall, based on an application of the Finance and Capital Market Commission and the list drawn up by the administrator, determine those representatives of the credit institution and persons whose participation in the insolvency proceeding is mandatory.

(4) The judgment shall constitute the basis for a stay of court proceedings in civil cases initiated against the credit institution, and for a termination of judgement enforcement proceedings in cases regarding the recovery of amounts adjudged against the credit institution, but not yet recovered.

(5) If the court does not find any circumstances indicating that the credit institution is insolvent, the court shall dismiss the request, and at the same time shall terminate the insolvency proceedings and take a decision on the issue of whether the application should be found intentionally false in accordance with the Credit Institutions Law.

(6) Upon finding that a request is intentionally false, the court shall recover from the applicant the court expenses and remuneration for the administrator and the administrator's assistant.

[20 June 2001; 8 September 2011]

Section 377. Court Judgment in a Case Regarding the Liquidation of a Credit Institution

(1) If the court finds that the Finance and Capital Market Commission has annulled the operator's licence issued to the credit institution in accordance with the Credit Institution Law, the court shall declare the credit institution subject to liquidation. The judgment shall be final and may not be appealed by the way of appeal procedures.

(2) In giving a judgment on the liquidation of a credit institution, the court shall appoint a liquidator for the credit institution. The court shall appoint as the liquidator for the credit institution a person recommended by the Finance and Capital Market Commission.

(3) Persons subject to the restrictions laid down in the Credit Institutions Law may not be appointed as liquidators.

(4) The court shall, on the basis of an application of the Finance and Capital Market Commission, determine those representatives of the credit institution and persons whose participation in the liquidation of the credit institution is mandatory.

(5) The judgment shall constitute the basis for a stay of court proceedings in civil cases initiated against the credit institution, and for a termination of judgement enforcement proceedings in cases regarding the recovery of amounts adjudged against the credit institution, but not yet recovered.

[20 June 2001; 12 February 2009]

Section 378. Court Activities Following Declaration of the Insolvency or Liquidation of a Credit Institution

(1) After declaration of a judgment, the court shall issue to the administrator or liquidator three true copies of the judgment certified in accordance with prescribed procedure with a notation regarding the entering into effect of the judgment.

(2) The judge shall warn the representatives of the credit institution and persons specified in the judgment, whose participation in the credit institution insolvency proceedings or the liquidation of the credit institution is mandatory, for which such representatives and persons shall sign, that:

1) it is their obligation to attend all court hearings, that their failure to attend shall not constitute a bar for the examination of the case at the court hearing, but the court may declare their attendance mandatory and require forced conveyance;

2) it is their obligation to provide the necessary information to the court and the administrator or liquidator;

3) in case of change of the declared place of residence, place of residence and address for correspondence with the court they must, within three days, notify the court and the administrator or liquidator regarding their new declared place of residence, place of residence and address;

4) in case of failure to perform their obligations, they may be held liable as laid down in law.

(21) After declaration of the judgment, the court shall inform the Financial and Capital Market Commission of this, ensuring that the commission receives the relevant information on the day of the declaration of the judgment. The procedures for informing the Financial and Capital Market Commission shall be determined by the Minister for Justice.

(3) Based on a request of the administrator or liquidator, the judge shall take a decision on the release of property from seizure and its transfer to the administrator or liquidator.

[12 February 2004; 29 November 2012]

Section 379. Issues to be Decided by the Court after Declaring the Insolvency of a Credit Institution

(1) After declaring a credit institution insolvent on the basis of the respective application, the court shall decide on:

1) revocation of restoration;

2) initiation and conclusion of bankruptcy procedures;

3) costs of insolvency proceedings;

4) procedures and time periods for settling debts;

5) termination of insolvency proceedings;

6) appointing of several administrators;

7) accepting the resignation of or discharging the administrator and appointing another administrator.

(2) The court shall also examine complaints about the actions of the administrator and decide other issues relevant to the insolvency proceedings.

(3) The court may, in connection with examination of the issues noted in this Section, require the administrator to submit a report of his or her actions or other information.

(4) The court shall examine applications and complaints within 15 days from the day of the receipt thereof. The following persons shall be invited to the court hearing: the applicant or complainant, the administrator, the representatives of credit institution determined by the court and persons whose participation in the insolvency process is mandatory. Failure of the invited persons to attend shall not constitute a bar for the examination of the issue in a court hearing. Nevertheless, the court may determine that representatives of the credit institution or persons whose participation in the insolvency proceeding is mandatory must attend a court hearing and require that they be brought by forced conveyance.

(5) The court shall take decisions on examining of applications and complaints, which may not be appealed.

Section 380. Issues to be Decided by the Court after Declaration of the Liquidation of a Credit Institution

(1) After declaring the liquidation of a credit institution based on the respective application, the court shall decide on:

1) appointing of several administrators;

2) accepting the resignation of the liquidator or dismissing him or her and appointing another liquidator;

3) concluding the liquidation and approving the report of the liquidator.

(2) The court shall also examine complaints about the actions of the liquidator and decide other issues connected with the liquidation.

(3) The court may, in connection with examination of the issues referred to in this Section, require the liquidator to submit a report of his or her actions or other information.

(4) The court shall examine applications and complaints within 15 days from the day of the receipt thereof. The following shall be invited to the court hearing: the applicant or complaint, the liquidator, the credit institution representatives determined by the court and persons whose participation in the liquidation of the credit institution is mandatory. Failure of the invited persons to attend shall not constitute a bar for the examination of the issue in a court hearing. Nevertheless, the court may determine that the representatives of the credit institution or persons whose participation in the liquidation is mandatory must attend the court hearing and require them to be brought by forced conveyance.

(5) The court shall take decisions on examining of applications and complaints, which may not be appealed.

Section 381. Revocation of Restoration

(1) The court shall, pursuant to the application of an administrator, decide in regard to revocation of restoration.

(2) In the application of the administrator shall be set out the conditions under which the decision on restoration of the credit institution was taken. Attached to the application shall be the restoration plan and the opinion of the Finance and Capital Market Commission regarding revocation of the restoration.

(3) The court shall withdraw the decision to restore a credit institution only if the court finds that the taking of such a decision has been achieved by fraud or duress, or as a result of error.

[20 June 2001]

Section 382. Decision to Initiate Bankruptcy Procedures

The court shall take a decision to initiate bankruptcy procedures pursuant to the application of an administrator. Attached to the application shall be the relevant decision of the administrator, as confirmed by the Finance and Capital Market Commission.

[20 June 2001]

Section 383. Disputing the Procedures for Covering Expenses and Debts of Insolvency Proceedings and Liquidations

(1) Pursuant to an application of a creditor or group of creditors the court shall take a decision on whether the administrator's or liquidator's decision, by which the procedures for covering the expenses of insolvency proceedings or liquidations and for settling debts is specified conforms to law.

(2) If the court finds that the procedures laid down by the administrator for covering the expenses and debts of the insolvency proceeding or the procedures specified by the liquidator for covering the expenses and debts of the liquidation do not conform to law, the court shall take a decision in which it shall determine the procedures for covering the expenses and debts of the insolvency proceeding or liquidation, concurrently, if necessary, deciding the issue on covering unfounded expenses of the insolvency proceeding or liquidation from the security of the administrator or liquidator.

Section 384. Decision to Conclude Bankruptcy Procedures

(1) The court shall take a decision to conclude the bankruptcy procedures pursuant to the application of the administrator, to which application shall be attached documents certifying monetary payments.

(2) At the same time the court shall take a decision to terminate insolvency proceedings.

(3) The court, after the decision has been taken, shall obtain from the administrator his or her identification document and seal, and shall destroy them.

Section 385. Decision to Conclude Liquidation

(1) The court shall decide as to the concluding of liquidation pursuant to the application of the liquidator.

(2) The court shall take a decision to conclude the liquidation, and at the same time confirm the liquidator's report on the whole liquidation period.

(3) The court, after the decision is taken, shall receive from the liquidator his or her identification document and seal, and shall destroy them.

Section 386. Complaints Regarding the Actions of an Administrator or Liquidator

(1) In examining a complaint regarding the actions of an administrator or liquidator, the court may require a report on the actions of an administrator or liquidator and the opinion of the Finance and Capital Market Commission regarding the actions of the administrator or liquidator, and may decide on the discharge of the administrator or liquidator.

(2) If the court determines that the action appealed from does not conform to law, it shall satisfy the complaint and instruct the administrator or liquidator to eliminate the breach allowed to occur.

(3) If the court finds that the appealed action is lawful, it shall reject the complaint.

[20 June 2001]

Section 387. Decision to Accept the Resignation of or Discharge an Administrator or Liquidator

(1) The court shall accept the resignation of an administrator or liquidator if he or she submits a reasoned submission, to which a report of his or her actions is attached.

(2) The court may discharge an administrator or liquidator, pursuant to the application of the Finance and Capital Market Commission. To the application shall be attached the decision of the Finance and Capital Market Commission on the expression of no-confidence in the administrator or liquidator in connection with any of the following conditions:

1) the administrator or liquidator does not conform to the provisions of Section 131, Paragraph one or Section 131.1, Paragraph one of the Credit Institution Law, or any of the circumstances referred to in Section 132 or 132.1 have become disclosed;

2) the administrator or liquidator is incompetent; or

3) the administrator or liquidator are using his or her powers in bad faith.

(3) The court may, upon an application of a creditor or group of creditors or its own initiative, examine the issue of discharging an administrator or liquidator, if there is evidence at the disposal of the court that the administrator or liquidator in the course of performing his or her obligations is failing to conform to the provisions of the Credit Institution Law and other laws and regulations or court rulings, the administrator or liquidator does not conform to the provisions of Section 131, Paragraph one or Section 131.1, Paragraph one of the Credit Institution Law or any of the circumstances referred to in Section 132 or 132.1 have become disclosed, or the administrator or liquidator is incompetent or is using his or her powers in bad faith.

[20 June 2001; 12 February 2009]

Section 388. Appointing of a New Administrator or Liquidator in the event of Resignation or Removal of the Administrator or Liquidator

In the event of the resignation or removal of an administrator or liquidator, the court, pursuant to the recommendation of the Finance and Capital Market Commission, shall without delay appoint another administrator or liquidator and determine the time period for submitting a document as confirms security.

[20 June 2001]

Section 389. Appointing of Several Administrators or Liquidators

(1) Taking into account the amount of assets of the credit institution, the court may, based on a request of the Finance and Capital Market Commission, appoint several administrators or liquidators, specifying their functions and mutual reporting relationships.

(2) The restrictions set out in law shall apply to all candidates for the position of administrator or liquidator.

[20 June 2001]

Chapter 48
Declaring a Strike or an Application to Strike as Unlawful

Section 390. Submission of an Application

(1) An employer may submit an application for the declaring of a strike or an application to strike as unlawful in accordance with the grounds referred to and procedures laid down in the Law On Strikes.

(2) The application to declare a strike or an application to strike as unlawful shall be submitted to the court based on the location where the strike is to take place.

Section 391. Contents of an Application

(1) There shall be set out in an application the applicants for the strike, the claims of applicants for the strike or the strikers, the leader, membership and location of the strike committee, and the grounds referred to in the Law On Strikes in accordance with which the strike or the strike application may be declared unlawful.

(2) Attached to the application shall be the minutes of the discussions of the employer and workers or workers' trade organisation.

Section 392. Examination of an Application

(1) The court shall examine an application within 10 days from the day of its receipt. The application shall be examined in a court hearing, regarding which prior notice shall be given to the employer, the State Labour Inspectorate and the strike committee.

(2) The participation of the applicant at the court hearing is mandatory. His or her failure to attend shall be cause for the court to terminate the case.

Section 393. Mandatory Participation of a Public Prosecutor

Cases regarding the declaring of a strike or an application to strike as unlawful shall be examined by the court with mandatory participation by a public prosecutor.

Section 394. Court Judgment on an Application

(1) Having examined an application, the court shall give a judgment which:

1) finds the employer's application to be unfounded and dismisses it; or

2) finds the employer's application to be well-founded and the strike or the strike application to be unlawful.

(2) The court judgment shall be final and shall not be subject to appeal by the way of appeal procedures.

Chapter 48.1
Declaring a Lockout or an Application for a Lockout as Unlawful

[31 October 2002]

Section 394.1 Submission of an Application

(1) Representatives of employees may submit an application for the declaring of a lockout or an application for a lockout as unlawful in accordance with the grounds referred to and procedures laid down in the Labour Dispute Law.

(2) An application for a lockout or a declaration of an application for a lockout as unlawful shall be submitted to a court based on the location where the lockout is to take place.

Section 394.2 Contents of an Application

The applicant of the lockout and the grounds referred to in the Labour Dispute Law in accordance with which the lockout or the application for a lockout may be declared unlawful shall be indicated in an application.

Section 394.3 Examination of an Application

(1) The court shall examine an application within 10 days from the day of its receipt. An application shall be examined in a court hearing, regarding which prior notice shall be given to the representatives of employees, the State Labour Inspectorate and the applicants of the lockout.

(2) The participation of the applicant at the court hearing is mandatory. If the applicant fails to attend the court hearing the court shall have a cause to terminate the case.

Section 394.4 Mandatory Participation of a Public Prosecutor

Cases regarding the declaring of a lockout or an application to lock-out as unlawful shall be examined by the court with mandatory participation by a public prosecutor.

Section 394.5 Court Judgment on an Application

(1) Having examined an application, the court shall give a judgment by which the application by the representatives of employees shall be found:

1) to be unfounded and dismiss it; or

2) to be well-founded and the lock-out or the lock-out application to be unlawful.

(2) The court judgment shall be final and shall not be subject to appeal by the way of appeal procedures.

Division Seven
Performance of Obligations through the Court

Chapter 49
Voluntary Sale of Immovable Property at Auction through the Court

Section 395. Jurisdiction

Applications for the voluntary sale of immovable property at auction through the court shall be submitted to the district (city) court based on the location of the immovable property.

Section 396. Application for Voluntary Sale at Auction of Immovable Property through the Court

(1) An application for the voluntary sale of immovable property at auction through the court may be submitted by the owner or the pledgee who has the right to sell the pledge on the open market.

(2) Attached to the application for the voluntary sale of immovable property at auction through the court shall be the conditions of sale and a certified print-out from the relevant part of the Land Register, which specifies the entries and notations in force, but if the application has been submitted by a pledgee - also a true copy of the pledge agreement, evidence regarding warning of the debtor, unless it does not follow from the law that such warning is required. The certificate regarding issue of the warning may be a statement drawn up by a sworn bailiff or his or her assistant regarding refusal to receive the warning.

(3) There shall be set out in the conditions of sale:

1) what the immovable property that is for sale consists of;

2) encumbrances and pledges of the immovable property;

3) the opening price for the auction;

4) the form of the procedure for payment of the highest bid;

5) rights in the immovable property reserved by the owner for himself or herself;

6) other conditions of sale which the vendor considers necessary.

(4) If the immovable property which is to be sold is, being owned by more than one person, held in joint ownership, the concurrence of all the joint owners is required to order a voluntary sale of the immovable property at auction through the court pursuant to application by the owner.

(5) If the first mortgages are registered for the same pledgee and for immovable property of the same debtor and mutually they are related functionally or they have a joint borderline, an applicant has the right to ask a court to auction as an aggregation the immovable properties indicated in the application.

[31 October 2002; 5 February 2009; Constitutional Court Judgement of 24 November 2010; 20 December 2010; 8 September 2011]

Section 397. Decision by a Judge

(1) An application for the voluntary sale of immovable property at auction shall be examined by a judge sitting alone on the basis of the submitted application and documents attached thereto within seven days from the day of submission of the application, without notifying the applicant and the debtor thereof.

(2) The judge shall take a decision to permit the sale at auction having ascertained that:

1) the immovable property is owned by the applicant or by a debtor of a pledgee and the pledgee has the right to sell the immovable property on the open market;

2) there is no lawful impediment to the sale of this immovable property with the conditions set out in the application.

[31 October 2002]

Section 398. Auction Procedure

The sale at auction shall be performed by a bailiff in accordance with the procedures laid down in this Law for the enforcement of court judgments and in conformity with the provisions of Sections 2075, 2083, 2084, 2087, 2089 and 2090 of The Civil Law, and the following conditions:

1) the immovable property shall be inventoried and appraised only if it is requested by the person on the basis of whose application the sale is taking place;

2) the notice shall set out the conditions of sale, as well as the fact that the sale is voluntary;

3) the auction shall begin with a reading of the conditions of sale;

4) pursuant to a request of the applicant, the auction may be considered as having taken place even in the event of it being attended by only one buyer;

5) if, in accordance with the conditions of sale, the acceptance of the highest bid depends on the person on the basis of whose application the sale is taking place and if he or she has not commented on this within the time period provided for by the conditions of sale or as set by the court, then it shall be considered that he or she has implicitly agreed to the highest price bid.

[31 October 2002]

Section 399. Documents to be Issued to a Purchaser

(1) After the purchaser of the immovable property has fulfilled all the conditions of sale, the Land Registry Office of a district (city) court shall take a decision on confirmation of the statement of auction (Sections 611 and 613) and the corroboration of the sold immovable property in the name of the purchaser. If insolvency proceedings have been declared for an owner of the immovable property, the district (city) court in the legal proceedings of which is the case regarding insolvency proceedings of a legal person shall take a decision on the approval of the statement of auction and corroboration of the sold immovable property on behalf of the purchaser.

(2) The court decision together with the conditions of sale and the statement of auction shall be issued to the purchaser.

[19 June 2003; 30 September 2010; 11 September 2014]

Chapter 50
Undisputed Enforcement of Obligations

Section 400. Obligations on the Basis of which Undisputed Enforcement is Permitted

(1) Undisputed enforcement of obligations is permitted:

1) pursuant to agreements regarding obligations which are secured with a public mortgage or a commercial pledge;

2) pursuant to notarially certified term agreements or term agreements of equivalent juridical effect regarding monetary payments or return of movable property;

3) pursuant to term lease or rental of property agreements, which are notarially certified or entered in a Land Register, and which provide that the lessee or tenant has an obligation, due to expiry of the term, to vacate or deliver the leased or rented property (except an apartment) and to pay the lease or rental payments;

4) pursuant to a protested promissory note.

(11) Paragraph one of this Section shall not be applied for notarial deeds drawn up in accordance with the procedures laid down in Division D1 of the Notariate Law.

(2) The obligations set out in Paragraph one of this Section shall not be subject to undisputed enforcement if:

1) such enforcement is directed against State- or local government-owned property;

2) the obligation has been extinguished by prescription, the elapse of which is unequivocally manifest from the document itself.

[23 May 2013 / See Paragraph 69 of Transitional Provisions]

Section 401. Persons Eligible to Submit an Application for the Undisputed Enforcement

The following may submit an application for the undisputed enforcement:

1) the person in whose name the document (agreement, promissory note) is issued;

2) a person to whom the deed has been transferred by a separate Land Registry deed or notarial deed;

3) the heir of the persons mentioned, if the heir's inheritance rights are evidenced with a court judgment, an inheritance certificate or European certificate of inheritance regarding a will entering into lawful effect or confirmation of the heir's inheritance rights, or pursuant to a court decision by means of which the heir has been provided with possession of the property bequeathed (Section 638 of The Civil Law) or a court decision or a certificate by a notary by which it is recognised that he or she has accepted the inheritance (Section 697 of The Civil Law);

4) a guarantor who, on the basis of a court judgment or enforcement procedures, has made payment instead of a debtor, or the payment made by whom is confirmed by an endorsement on the document;

5) the acquirer of immovable property, pursuant to a lease or rental agreement of such property, if the rights of the acquirer are certified by a Land Register instrument, or by documents regarding change of ownership through inheritance, as set out in Paragraph three of this Section; or

6) pursuant to protested promissory notes - the holder of a promissory note in whose name it has been protested, and a guarantor, endorser or intermediary, who have paid a promissory note and bring a subrogation action.

[31 October 2002; 23 May 2013; 28 May 2015 / Amendment to Clause 3 shall come into force on 17 August 2015. See Paragraph 108 of Transitional Provisions]

Section 402. Persons against whom Undisputed Enforcement shall be Permitted

Undisputed enforcement shall be permitted:

1) against persons in whose name a document is issued (contracting parties), but pursuant to a protested promissory note - against all persons liable therefor;

2) against guarantors, if they have undertaken obligations as a principal debtor (Section 1702, Paragraph two of The Civil Law);

3) against an heir of a person who has undertaken an obligation, if acceptance of the inheritance is confirmed by the evidence referred to in Section 401, Paragraph three of this Law.

Section 403. Jurisdiction

(1) Applications for the undisputed enforcement regarding obligations concerning monetary payments, obligations concerning the return of movable property or obligations according to contracts, which are secured with a commercial pledge, shall be submitted to the Land Registry Office of a district (city) court based on the declared place of residence of the debtor, but if none, based on the place of residence.

(2) Applications for undisputed enforcement, pursuant to immovable property pledge documents or the obligation to vacate or return leased or rented immovable property, shall be submitted to the Land Registry Office of a district (city) court based on the location of the debtor's place of residence. If the obligation is secured with several immovable properties and Land Registry offices of different district (city) courts have jurisdiction over examination of applications, the application shall be examined by the Land Registry Office of the district (city) court according to the choice of the applicant - based on the location of one immovable property.

(3) Applications for undisputed enforcement based on a ship mortgage obligation shall be submitted to the Land Registry Office of a district (city) court based on the place of registration of the ship mortgage obligation.

[4 August 2011; 8 September 2011; 29 November 2012]

Section 404. Contents of an Application

(1) In an application there shall be set out the obligations and the documents pursuant to which the creditor requests undisputed enforcement.

(2) Applications for the undisputed enforcement regarding monetary payment shall set out the principal debt to be recovered, penalties and interest - as agreed to, as well as those set out in law - but pursuant to promissory notes, also the expenses related to protesting and the compensation set out in law.

(3) The following shall be attached to an application:

1) a document to be enforced in accordance with undisputed compulsory procedures and a true copy thereof;

11) pursuant to protested promissory note in the printed form - a promissory note, true copy thereof and protested document in the printed form;

12) pursuant to protested promissory note in electronic form - an electronic promissory note and electronic protest document;

2) a document regarding payment of the State fee;

3) evidence that the debtor (including owner of the immovable property or provider of commercial pledge) has been given a warning, unless it does not follow from the law that such warning is required. The certificate regarding issue of the warning may be a statement drawn up by a sworn bailiff or his or her assistant regarding refusal to receive the warning.

[8 September 2011; 19 December 2013]

Section 405. Decision by a Judge

(1) An application for the undisputed enforcement shall be decided by a judge sitting alone on the basis of the submitted application and documents attached thereto within seven days from the day the application was submitted, without notifying the applicant and the debtor thereof.

(2) The judge, having examined the validity of the submitted application and having found that it is to be satisfied, shall take a decision pursuant to which the obligation to be enforced, and the extent to which it is to be enforced, in accordance with undisputed compulsory procedure, are determined. A true copy of the decision shall be sent to the applicant and to the debtor within three days.

(3) The judge's decision shall enter into effect without delay, and it shall have the effect of an enforcement document. The decision shall be enforced in accordance with the provisions regarding the enforcement of judgments. It shall be submitted for enforcement together with a true copy of the document subject to undisputed enforcement.

(4) If the judge finds that the application is unfounded or the amount of penalty indicated in the application is disproportionate to the principal debt, or the document to be enforced contains unfair contractual provisions breaching consumer rights, he or she shall take a decision on dismissal thereof. The judge shall send the applicant a true copy of the decision together with the submitted documents.

[5 February 2009]

Section 406. Procedures for Disputing Undisputed Enforcement

(1) If a debtor is of the opinion that the claim of the creditor is, on the merits, unfounded he or she may, within six months from the date when the true copy of the decision is sent, bring an action against the creditor to dispute the claim. The claim shall be brought before a court in accordance with the general procedures for bringing an action before a court laid down in this Law.

(2) If a debtor is of the opinion that the creditor's claim is, on the merits, unfounded he or she may, within six months from the date when the true copy of the notarial deed of enforcement issued by a sworn notary is sent, bring an action against the creditor to dispute the claim.

(3) In bringing action, the debtor may request a stay of the undisputed enforcement or enforcement of the notarial deed of enforcement issued by a sworn notary, but if the creditor has already received satisfaction through such process - may request to secure the action.

(31) When bringing an action against a creditor in order to dispute the claim which is justified with a court ruling on the undisputed enforcement of obligations, an administrator of insolvency proceedings may request the court to apply means of provisional protection - removal of voting rights.

(4) When taking a decision on an application for the undisputed enforcement or staying of enforcement of a notarial deed of enforcement, a court or judge shall take into account prima facie formal legal grounds of the claim.

(41) When taking a decision regarding an application of the administrator of insolvency proceedings regarding means of provisional protection - removal of voting rights, a court shall take into account prima facie formal legal grounds of the claim. A court decision shall not be subject to appeal.

(5) A decision on an application for the undisputed enforcement or staying of enforcement of a notarial deed of enforcement, by which the application of the debtor is satisfied, may not be appealed and be executed immediately after taking thereof. A debtor has the right to submit an ancillary complaint regarding the decision by which an application is dismissed.

(6) According to a reasoned application of a creditor, the court, which has stayed enforcement or in the court proceedings of which is the case which is to be examined on the merits, may repeal the staying of enforcement. A decision to repeal suspension of enforcement may not be appealed and be executed immediately after taking thereof. A creditor has the right to submit an ancillary complaint regarding the decision by which an application is dismissed.

[29 November 2012; 23 May 2013; 30 October 2014; 12 February 2015]

Chapter 50.1
Enforcement of Obligations according to warning procedures

[31 October 2002]

Section 406.1 Obligations, on the Basis of which Enforcement according to warning procedures is Permitted

(1) Enforcement of obligations according to warning procedures is permitted in payment obligations, which are justified by a document and for which the term for enforcement is due, as well as payment obligations regarding the payment of such compensation, which is in the entered into contract regarding supply of goods, purchase of goods or provision of services if such obligations are justified by a document and for which a time period for enforcement has not been specified.

(2) Enforcement of obligations according to warning procedures is not permitted:

1) for payments related to unperformed correlative performance;

2) if the declared place of residence or place of residence of the debtor is not known;

3) if the declared place of residence, place of residence or legal address of the debtor is not in the Republic of Latvia;

4) if the requested penalty exceeds the amount of the principal debt;

5) if the requested interest exceeds the amount of the principal debt;

6) for payment obligations if the amount of the debt exceeds EUR 15 000.

[7 September 2006; 5 February 2009; 8 September 2011; 29 November 2012; 19 December 2013]

Section 406.2 Jurisdiction

(1) Enforcement of obligations according to warning procedures shall be initiated pursuant to an application of a creditor.

(2) An application for the enforcement of obligations according to warning procedures shall be submitted to the Land Registry Office of a district (city) court based on the place of residence of the debtor, but if none, the place of residence or legal address.

[4 August 2011; 29 November 2012]

Section 406.3 Contents of an Application

(1) An application shall be formalised in conformity with the sample approved by the Cabinet.

(2) There shall be set out in the application:

1) name of the court to which the application has been submitted;

2) the given name, surname, personal identity number, declared place of residence of the applicant, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof. If the applicant agrees to electronic correspondence with the court or he or she is the subject referred to in Section 56, Paragraph 2.3 of this Law, an electronic mail address shall also be indicated and, if he or she has registered in the online system for correspondence with the court, an indication of registration shall be included as well;

3) the given name, surname, personal identity number, declared place of residence and the additional address indicated in the declaration of the debtor, but, if none, the place of residence; for a legal person - the name, registration number and legal address thereof. The personal identity number or registration number of the defendant shall be indicated if known;

4) the given name, surname, personal identity number and address for correspondence with the court of the representative of the applicant (if the application is submitted by a representative); for a legal person - the name, registration number and legal address thereof. If the representative of the applicant agrees to electronic correspondence with the court, an electronic mail address shall also be indicated and, if he or she has been registered in the online system for correspondence with the court, an indication of registration shall be included as well. If the representative of the applicant is a sworn advocate, an electronic mail address of the sworn advocate shall be indicated additionally;

5) payment obligation in relation to which the application is submitted, indicating the information identifying the documents justifying the obligation and the time period for performance of obligation, as well as the name of credit institution and account number to which the payment is to be made, if any;

6) the amount requested and calculation thereof, specifying the principal debt, penalties and interest - as agreed to, as well as those set out in law, and court expenses;

7) certificate by an applicant that the claim is not dependent on correlative performance or that correlative performance has been carried out;

8) a request to the court to issue a warning to the debtor;

9) a request to decide on the enforcement of payment obligation and recovery of court expenses;

10) a certification that true information has been provided to the court regarding the facts and that the applicant or representative, if the application is submitted by the representative, is informed that liability regarding provision of false application is stipulated in the Criminal Law.

(3) Documents certifying payment of the State fee and expenses related to the issuance of a warning shall be attached to the application.

[5 February 2009; 29 November 2012; 19 December 2013; 23 April 2015; 23 November 2016]

Section 406.4 Reasons for Non-Acceptance of Application

(1) The judge shall refuse to accept an application if it does not meet the requirements of Sections 406.1, 406.2 and 406.3 of this Law.

(2) A judge shall take a reasoned decision on refusal to accept an application. A true copy of the decision shall be sent to the applicant.

(3) The decision on refusal to accept an application may not be appealed.

(4) Refusal of a judge to accept an application shall not constitute a bar for the submission of the same application to the court after deficiencies have been eliminated or bringing of an action in accordance with the procedures for court proceedings by way of action. In such cases the State fee paid and expenses related to the issue of a warning shall be included, if the same application is submitted to the court after elimination of deficiencies or action is brought in accordance with the procedures for court proceedings by way of action.

[5 February 2009; 8 September 2011 / Amendments to Paragraph two and new wording of Paragraph four shall come into force on 1 October 2011. See Paragraph 52 of Transitional Provisions]

Section 406.5 Contents of a Warning

(1) A warning shall be formalised in conformity with the sample approved by the Cabinet.

(2) The following shall be set out in the warning:

1) the number of the warning and the name of the court which issues the warning;

2) the applicant, the payment obligation, the information identifying the documents justifying the obligation, the time period for performance of the obligation, the name of credit institution and account number to which payment is to be made, if any;

3) the debtor;

4) the fact that the court has not verified the validity of the claim;

5) a proposal to the debtor to pay the amount specified in the application within 14 days from the day of issuance of the warning, notifying the court thereof, or to submit objections to the court;

6) the fact that the obligation specified in the warning will be transferred for enforcement if within the specified 14 days objections or evidence on payment is not submitted.

(3) The warning shall be signed by the judge. If the warning is prepared electronically, it shall be binding without a signature.

[5 February 2009]

Section 406.6 Issuance of a Warning to a Debtor

(1) The warning and an answer form formalised in conformity with the sample approved by the Cabinet shall be issued to the debtor for which he or she shall sign. The document with a signature regarding receipt and a notation regarding the date of issue of the warning shall be submitted to the court.

(2) If issuance of the warning to a debtor is not possible, the judge shall take a decision on leaving the application without examination. A true copy of the decision shall be sent to the applicant.

(3) Leaving an application without examination shall not constitute a bar for the repeated submission of the application for the enforcement of obligations according to warning procedures or bringing of action in accordance with the procedures for court proceedings by way of action. In such cases the State fee paid shall be transferred.

[5 February 2009; 8 September 2011 / Amendments to Paragraph two and new wording of Paragraph three shall come into force on 1 October 2011. See Paragraph 52 of Transitional Provisions]

Section 406.7 Answer of a Debtor

(1) An answer of a debtor shall be drawn up in conformity with the sample approved by the Cabinet.

(2) Debtor's objections submitted within the prescribed time period against the validity of the payment obligation or the payment of the debt shall be the basis for termination of court proceedings regarding enforcement of obligations according to warning procedures.

(3) If the debtor admits the application in any part thereof, the answer of the debtor shall be notified to the applicant and the time period shall be determined in which he or she notifies the court of the transfer of the obligation for enforcement in the part admitted.

(4) If the applicant does not agree with the enforcement of obligations in the part admitted or has not provided an answer within the time period specified in the notification, the court proceedings shall be terminated.

(5) If the applicant agrees to enforcement of obligations in the part admitted, the judge shall take a decision in conformity with the requirements of Section 406.9 of this Law.

(6) Answer by a debtor submitted after the time period specified, but until the decision in the case is taken, shall be deemed to have been submitted within the time period.

(7) If certification is not included in the answer by a debtor that information provided to the court is true, and a debtor or representative, if the answer is submitted by the representative, is informed that the Criminal Law provides liability for provision of false answer, the answer of the debtor shall be regarded as not submitted and be sent back to the submitter.

[19 June 2003; 5 February 2009; 23 April 2015]

Section 406.8 Termination of Court Proceedings

(1) The judge shall take a decision to terminate the court proceedings for enforcement of obligations according to warning procedures. The decision to terminate the court proceedings may not be appealed.

(2) A true copy of the decision together with the answer by a debtor shall be sent to the applicant.

(3) The decision to terminate the court proceedings for the enforcement of obligations in accordance with warning procedures based on the objections of the debtor shall not constitute a bar for the bringing of an action in accordance with the procedures for court proceedings by way of action. In such cases the State fee paid shall be transferred.

[19 June 2003; 5 February 2009; 8 September 2011 / New wording of Paragraph two and amendments to Paragraph three shall come into force on 1 October 2011. See Paragraph 52 of Transitional Provisions]

Section 406.9 Decision by a Judge on Enforcement of Obligations

(1) If the debtor has failed to submit objections within the time period specified in the warning, the judge shall, within seven days from the date of expiry of the time period for objections, take a decision on the enforcement of the payment obligation specified in the application and recovery of court expenses. A true copy of the decision shall be sent to the applicant and to the debtor within three days.

(2) The decision of the judge shall come into effect without delay, it shall have the effect of an enforcement document and it shall be enforced in accordance with provisions regarding enforcement of court judgments.

Section 406.10 Procedures for Disputing Enforcement of Obligations

(1) If a debtor is of the opinion that the claim of the applicant is unfounded on the merits he or she may, within three months from the date when the true copy of the decision is sent, bring an action against the creditor to dispute the claim. The claim shall be brought before a court in accordance with the general procedures for bringing an action before a court laid down in this Law.

(2) In bringing the action, the debtor may request a stay of the enforcement of obligations, but if the creditor has already received satisfaction through such process - may request to secure the action.

(3) When taking a decision on an application for the suspension of the enforcement of an obligation according to the warning procedures, a court or judge shall take into account prima facie formal legal grounds of the claim.

(4) A decision by which the application is satisfied may not be appealed and be executed immediately after taking thereof. A debtor has the right to submit an ancillary complaint regarding the decision by which an application is dismissed.

(5) According to a reasoned application of a creditor, the court, which has stayed enforcement or in the court proceedings of which is the case which is to be examined on the merits, may repeal suspension of enforcement. A decision to repeal suspension of enforcement may not be appealed and be executed immediately after taking thereof. A creditor has the right to submit an ancillary complaint regarding the decision by which an application is dismissed.

(6) When bringing an action against a creditor in order to dispute the claim which is justified with a court ruling on the enforcement of obligations in accordance with the warning procedures, an administrator of insolvency proceedings may request the court to apply means of provisional protection - removal of voting rights.

(7) When taking a decision regarding an application of the administrator of insolvency proceedings regarding means of provisional protection - removal of voting rights, a court shall take into account prima facie formal legal grounds of the claim. A court decision shall not be subject to appeal.

[29 November 2012; 23 May 2013; 30 October 2014; 12 February 2015]

Chapter 51
Submitting the Subject-matter of an Obligation for Safekeeping in the Court

[28 October 2010]

Part C
Appeal of Court Judgments and Decisions

Division Eight
Appeal Proceedings

Chapter 52
Submission of a Notice of Appeal

Section 413. Right to Submit a Notice of Appeal or an Appeal Protest

(1) Participants in a case may submit a notice of appeal for a judgment (supplementary judgment) of a court of first instance, but a public prosecutor may submit an appeal protest in accordance with the procedures provided for in this Chapter, except for judgments, the appeal of which in accordance with appellate procedure is not provided for in law. A representative shall submit a complaint in accordance with the requirements of Section 86 of this Law.

(2) An appeal protest shall be submitted and examined in accordance with the same procedures as a notice of appeal provided unless otherwise provided for in this Division.

Section 414. Procedures for Submitting a Notice of Appeal

(1) A district (city) court judgment, which has not enter into lawful effect, may be appealed in accordance with appeal procedure to the applicable regional court.

(2) [30 October 2014].

(3) A notice of appeal addressed to an appellate court shall be submitted to the court, which gave the judgment.

(4) If within the time period required, a notice of appeal is submitted directly to an appellate court, it shall be deemed that the time period is complied with.

[30 October 2014]

Section 415. Time Periods for Submitting Notices of Appeal

(1) A notice of appeal for a judgment of a court of first instance may be submitted within 20 days from the day of declaration of the judgment.

(2) If a summary judgment has been declared, the time period for appeal shall be calculated from the date, which the court has announced for drawing up of a full judgment (Section 199). If a judgment has been drawn up after the determined date, the time period for appeal thereof shall be counted from the date of actual drawing up of the judgment.

(21) [22 May 2008]

(22) In the cases provided for in Paragraphs one and two of this Section a participant in the case to whom a judgment has been sent in accordance with Section 56.2 of this Law may submit a notice of appeal within 20 days from the day when a true copy of the judgment was served.

(3) The notice of appeal submitted after expiration of the time period shall not be accepted and shall be returned to the applicant.

[31 October 2002; 1 November 2007; 22 May 2008; 5 February 2009; 8 September 2011]

Section 416. Contents of a Notice of Appeal

(1) The following shall be indicated in a notice of appeal:

1) the name of the court to which the complaint is addressed;

2) the given name, surname, personal identity number and declared place of residence of the submitter of the complaint, but if none, the place of residence; for a legal person - the name, registration number and legal address thereof. If the submitter of the complaint agrees to electronic correspondence with the court or he or she is the subject referred to in Section 56, Paragraph 2.3 of this Law, an electronic mail address shall also be indicated and, if he or she has registered in the online system for correspondence with the court, an indication of registration shall be included as well. In addition the submitter of the complaint may also indicate another address for correspondence with the court;

21) an electronic mail address of the representative and, if he or she has registered in the online system for correspondence with the court, also include an indication of registration if the claim is submitted by the representative and he or she agrees to electronic correspondence with the court. If the representative is a sworn advocate, an electronic mail address of the sworn advocate shall be indicated additionally;

3) the judgment regarding which the complaint has been submitted and the court which has given the judgment;

4) the extent to which the judgment is appealed;

5) the nature of the wrongfulness of the judgment, by motivating why the submitter of the complaint considers the facts to be found incorrectly or the evidence to be assessed incorrectly in the case, false legal assessment of circumstances of the case is provided or a norm of substantive law has been applied incorrectly, a norm of procedural law has been breached;

6) whether the allowing of new evidence is being applied for, what evidence, regarding what circumstances and why this evidence had not been submitted to the first instance court;

7) the request of the submitter;

8) a list of documents accompanying the complaint.

(2) A notice of appeal shall be signed by the applicant or his or her authorised representative. Appeal protests shall be signed by such officials of the Office of the Prosecutor as is laid down in law.

(3) [23 April 2015].

(4) The notice of appeal which is not signed shall be regarded as not submitted and be sent back to the applicant.

(5) A judge shall take a decision on the refusal to accept a notice of appeal, if a power of attorney or other document is not attached thereto which certifies authorisation of the representative to appeal a court judgment.

[31 October 2002; 29 November 2012; 23 April 2015; 28 May 2015; 23 November 2016]

Section 417. True Copies of a Notice of Appeal

(1) A notice of appeal shall be accompanied by true copies thereof and true copies of the documents accompanying the complaint, in such number as corresponds to the number of participants in the case.

(2) This provision does not apply to documents, originals or true copies of which are already in the possession of participants in the case.

(3) In the cases provided for in the Law a translation certified in accordance with the specified procedures shall be attached to a notice of appeal and true copies of the documents attached thereto, if the documents are intended for service to a person in accordance with Section 56.2 of this Law. The translation need not be attached by a person who is released from the payment of court expenses.

[5 February 2009]

Section 418. Limits Regarding Notices of Appeal

(1) In a notice of appeal, the subject-matter or basis of an action may not be amended to include new claims as were not brought before the court of first instance.

(2) The following shall not be regarded as new claims:

1) making a claim more precise;

2) correction of manifest errors in a claim;

3) addition of interest and increments to a claim;

4) a claim for compensation for the value of property related to alienation or loss of the property claimed or a change in what it consists of;

5) amendment of component parts of the total amount of a claim within the limits of this amount;

6) amendment of a claim, in which there is a request that rights be recognised, to a claim that infringed rights be restored, as a result of a change in circumstances in the course of the case;

7) increase in the amount of a claim as a result of increase in market prices in the course of the case.

Section 419. Joining in a Notice of Appeal

(1) Co-participants and third persons participating in the proceedings on the side of the applicant who has submitted a notice of appeal, may join in the submitted notice of appeal.

(2) An appellate court shall be notified, in writing, of the joining in a complaint not later than 10 days prior to examination of a case at appellate court.

(3) The State fee shall not be charged regarding a submission to join in a notice of appeal.

Section 420. Leaving a Notice of Appeal not Proceeded With

(1) A judge of a court of first instance shall take a decision to leave a notice of appeal not proceeded with and set a time period for the applicant to eliminate deficiencies, if:

1) the notice of appeal submitted does not conform to the requirements of Section 416, Paragraph one of this Law;

2) the notice of appeal is not accompanied by all required true copies or, in the cases provided for in the law, the translation of the notice of appeal or true copies of documents attached thereto certified in accordance with the specified procedures have not been attached thereto;

3) such notice of appeal is submitted for which the State fee has not been paid;

4) authorisation does not arise from the power of attorney or other document attached to the notice of appeal to appeal the court judgment by a representative.

(2) If the deficiencies are eliminated within the time period set, the notice of appeal shall be deemed to have been submitted on the date when it was first submitted. Otherwise, the complaint shall be deemed not to have been submitted and shall be returned to the applicant.

[5 February 2009; 23 April 2015]

Section 421. Appeal of a Judgment by a Judge

An ancillary complaint may be submitted regarding a decision of a judge to refuse to accept a notice of appeal, except in the case referred to in Section 416, Paragraph five of this Law.

[23 April 2015]

Section 422. Action of a Court of First Instance after Receipt of a Notice of Appeal

(1) A judge of a first instance court, after he or she has satisfied himself or herself that a notice of appeal complies with the requirements in Sections 416 and 417 of this Law, shall without delay notify the other participants in the case of such complaint and send them a true copy of the complaint and documents accompanying it, indicating the time period for submission of a written explanation.

(2) After the time period for submission of a notice of appeal has expired, the judge shall without delay send the case with the complaint and documents accompanying it to the appellate court.

Section 423. Written Explanation by a Participant in a Case

(1) A participant in a case may submit, in regard to the submitted notice of appeal, a written explanation, together with true copies thereof in the number corresponding to the number of participants in the case, to an appellate court within 30 days from the day a true copy of the notice of appeal was sent to the participant, and in cases concerning a child, within 15 days from the day a true copy of the notice of appeal was sent to the participant.

(2) The court shall send true copies of the explanation to the other participants in the case.

(3) [22 May 2008]

(4) If a true copy of a notice of appeal is sent to a participant in the case in accordance with Section 56.2 of this Law, the time period for submitting a written explanation shall be counted from the day when the true copy of the notice of appeal was served to the participant in the case.

[1 November 2007; 22 May 2008; 5 February 2009; 29 October 2015]

Section 424. Appellate Cross Complaint

(1) After service of a true copy of a notice of appeal, a party has the right to submit an appellate cross complaint.

(2) An appellate cross complaint shall conform to the requirements of Sections 413, 416, 417 and 418 of this Law.

(3) An appellate cross complaint shall be submitted to an appellate court within the time period provided for in Section 423 of this Law.

(4) After receipt of an appellate cross complaint, an appellate court shall without delay send true copies of the complaint to the other participants in the case.

[5 February 2009]

Chapter 53
Examining Cases at Appellate Court

Section 425. Initiation of Appeal Proceedings

(1) Having satisfied himself or herself that the procedures regarding submission of notices of appeal have been observed, a judge, after receipt of an explanation or after expiration of the time period prescribed for its submission, shall take a decision on the initiation of appeal proceedings and shall set down the case for it to be examined at an appellate court hearing.

(11) In cases regarding the reinstatement of an employee in work and cases regarding the annulment of an employer's notice of termination the date of the court hearing shall be determined not later than 15 days after receipt of explanations or the end of the time period for the submission thereof.

(12) In cases regarding claims in favour of insolvent debtors in the cases specified in Chapter XVII of the Insolvency Law and regarding the recovery of losses from members of administrative bodies of a legal person and participants (shareholders) of a capital company on the basis of their obligation to be liable for the damages caused, as well as from members of a partnership personally liable on the basis of their obligation to be liable for the obligations of a partnership, the court hearing shall be determined not later than within three months after receipt of the explanation or the end of the time period for the submission thereof.

(2) Having found that a notice of appeal has been sent to an appellate court in breach of procedures provided for in this Law by which notices of appeal should be submitted, a judge shall take one of the following decisions:

1) to refuse to initiate appeal proceedings, if there is failure to conform to a time period set for the submission of the notice of appeal, or the notice of appeal has been submitted by a person who is not authorised to appeal a court judgment; in such case, the complaint together with the case shall be sent to the court of first instance which shall return the complaint to the applicant;

2) to send the case to the court of first instance for the carrying out of the actions laid down in law if, when submitting the notice of appeal, the deficiencies set out in Section 416, Paragraph one of this Law have been allowed to occur or the State fee has not been paid.

(3) If an appellate court finds that the circumstances set out in Paragraph two, Clause 1 of this Section exist, the court shall take a decision to leave the notice of appeal without examination.

[31 October 2002; 7 April 2004; 1 November 2007; 22 May 2008; 30 September 2010]

Section 426. Limits Regarding Examination of a Case at an Appellate Court

(1) An appellate court shall examine a case on the merits in connection with a notice of appeal and an appellate cross complaint to the extent as is requested for in such complaint.

(2) An appellate court shall examine only those claims, which have been examined by a court of first instance. Amendment of the subject-matter or the basis of an action shall not be permitted.

(3) An appellate court shall examine a case on the merits without sending it for re-examination to a court of first instance, except in the cases laid down in Section 427 of this Law.

Section 427. Cases where a Judgment of a First Instance Court shall be Revoked and the Case shall be Sent to be Re-examined in a First Instance Court

(1) Irrespective of the grounds for the notice of appeal, an appellate court shall by its decision revoke a judgment of a court of first instance and send the case for it to be re-examined in a court of first instance, if the appellate court finds that:

1) a court has examined a case in an unlawful composition;

2) the court examined the proceeding in breach of procedural law which prescribes an obligation to notify participants in the case of the time and place of the court hearing;

3) norms of procedural law regarding the language of the court proceedings have been breached;

4) the court judgment confers rights or imposes obligations upon a person who has not been summoned to the case as a participant in the case; or

5) there are not minutes of the court hearing or there is not a full judgment in the case.

(2) An appellate court, finding a notice of appeal for a court judgment for the part in which court proceedings have been terminated in the case or an action left without examination as valid, shall revoke the judgment of a court of first instance in this part and send the case for it to be examined at a court of first instance.

Section 428. Appellate Court Trial Procedures

(1) Participants in a case shall be summoned and other persons summonsed to a court in accordance with the provisions of Chapter 6 of this Law.

(2) A hearing of an appellate court shall take place in accordance with the provisions of Chapter 21 of this Law, in conformity with the specific requirements of this Chapter.

Section 429. Submitting Explanations in an Appellate Court

(1) Explanations in an appellate court hearing shall first be submitted by the submitter of the notice of appeal, but if both parties have submitted a complaint, by the plaintiff.

(2) If a public prosecutor has submitted an appeal protest, he shall provide explanations prior to the explanations of the other participants in the case.

Section 430. Examination of Evidence in an Appellate Court

(1) An appellate court itself shall decide which evidence is to be examined at a court hearing.

(2) In examining and assessing evidence, an appellate court shall observe the provisions of the Division Three of this Law.

(3) Facts that have been established by a court of first instance are not required to be examined by an appellate court if these have not been contested in the notice of appeal.

(4) If in an appellate court a participant in a case submits or requests examination of evidence which the participant was able to submit during examination of the case in the court of first instance and if the appellate court does not find justifying reasons for not submitting the evidence to the court of first instance, the appellate court shall not accept the evidence.

[29 November 2012]

Section 431. Termination of Appeal Proceedings

(1) The submitter of a notice of appeal (an appellate cross complaint) is entitled to withdraw it so long as examination of the case on the merits has not been concluded.

(2) If a notice of appeal is withdrawn, the appellate court shall take a decision to terminate the appeal proceedings, except in cases where a notice of appeal (an appellate cross complaint) has been submitted by other participants in the case or an appeal protest has been submitted.

(3) If the submitter of a notice of appeal, without justified cause, has twice failed to attend a court hearing and has not requested that the case be examined in his or her absence, the court may terminate the appeal proceedings.

(4) If the appeal proceedings are terminated, the State fee shall not be refunded.

Chapter 54
Judgments and Decisions of Appellate Courts

Section 432. Judgment of an Appellate Court

(1) A ruling of an appellate court, by which a case is tried on the merits, shall be given by the court in the form of a judgment.

(2) An appellate court shall give a judgment in accordance with the procedures laid down in Sections 189-198 of this Law, unless it is otherwise provided for in this Section.

(3) In the introductory part of a judgment, in addition to the items referred to in Section 193, Paragraph three of this Law, a court shall set out the applicant of the notice of appeal and the court judgment regarding which the notice is submitted.

(4) In the descriptive part of a judgment a court shall include a short outline of the reasoned part and operative part of the judgment of the court of first instance, as well as a short description of the content of the notice of appeal (appellate cross complaint) and objections.

(5) In the reasoned part of the judgment the conditions referred to in Section 193, Paragraph five of this Law shall be indicated, as well as a court shall set out the reasons for its opinion with respect to the judgment of the first instance court. If the court, in examining a case, recognises that the justification included in the judgment of the lower instance court is correct and fully sufficient, it may indicate in the reasoned part of the judgment that it agrees with the argumentation of the judgment of the lower instance court. In such case the considerations specified in Section 193, Paragraph five of this Law need not be indicated in the reasoned part of the judgment.

[8 September 2011; 28 May 2015; 9 June 2016]

Section 433. Declaration of a Judgment of an Appellate Court

(1) An appellate court shall declare a judgment in accordance with the procedures laid down in Section 199 of this Law.

(2) A true copy of the judgment shall be sent to participants in the case in the cases and in accordance the procedures provided for in Section 208 of this Law.

Section 434. Entering into Lawful Effect of a Judgment of an Appellate Court

(1) A judgment of an appellate court shall enter into lawful effect when the time period for appeal in accordance with cassation procedures has expired and a cassation complaint has not been submitted.

(2) If a cassation complaint has been submitted, a judgment of an appellate court shall enter into lawful effect concurrently with:

1) a decision of the Supreme Court assignments hearing, if the initiation of the cassation proceedings has been refused (Section 464, Paragraph three and Section 464.1);

2) a judgment of an appellate court, if a judgment of an appellate court has not been revoked or a judgment or part thereof has been revoked and the application has been left without examination or the court proceeding has been terminated (Section 474).

(3) The provisions of Section 203, Paragraphs two, three, four and five of this Law shall be applicable to the lawful effect of a judgment of an appellate court.

(31) If in respect of different participants in the case the time period for submitting a cassation complaint regarding a judgment of an appellate court is determined in accordance with both Section 454, Paragraphs one and two, and Section 454, Paragraph 2.2, of this Law, or in respect of all participants the time period for a notice of appeal regarding a judgement of a court of first instance is determined in accordance with Section 454, Paragraph 2.2 of this Law, the judgment of an appellate court shall enter into lawful effect after expiration of the time period for appeal thereof, counting the time period from the latest day of service of a true copy of the judgment, unless a notice of appeal is submitted.

(32) If in the cases referred to in Paragraph 3.1 of this Section the relevant confirmation regarding service of a true copy of the judgment (Section 56.2) has not been received, the judgment shall enter into lawful effect six months after declaration thereof.

(4) An appellate instance court judgment shall be enforced in accordance with the provisions of Sections 204, 204.1 and Section 205, Paragraph one of this Law. Immediate enforcement of a judgment in the case provided for in Section 205, Paragraph one, Clause 7 of this Law shall be permitted only by requiring adequate security from the creditor for the case if the court of cassation instance would take the judgment referred to in Section 474, Clause 2, 3 or 4 of this Law.

[22 May 2008; 5 February 2009; 30 October 2014]

Section 435. Correction of Clerical and of Mathematical Calculation Errors in a Judgment of an Appellate Court

(1) An appellate court is entitled, upon its own initiative or an application of a participant in the case, to correct clerical or mathematical calculation errors in a judgment.

(2) An issue of correction of errors shall be decided in the written procedure upon prior notice to the participants in the case. If the application is submitted by a participant in the case, concurrently with sending of the notification to the participants in the case the court shall send an application for the correction of clerical and mathematical calculation errors in the judgment.

(3) An ancillary complaint regarding a court decision to correct errors in a judgment may be submitted by a participant in the case.

[8 September 2011]

Section 436. Supplementary Judgment of an Appellate Court

(1) An appellate court may, upon its own initiative or an application of a participant in the case, give a supplementary judgment if:

1) a judgment not has been given in regard to any of the claims, which have been the subject-matter of examination by the appellate court;

2) the court has not determined the extent of the amount adjudged, the property to be delivered, or the actions to be performed;

3) the judgment does not contain a decision on reimbursement of court expenses.

(2) The giving of a supplementary judgment may be initiated within the time period laid down in the law for the appeal of the judgment.

(3) A supplementary judgment shall be given by a court after the case is examined at a court hearing, upon prior notice to the participants in the case. Failure of such persons to attend shall not constitute a bar for the giving of a supplementary judgment or the dismissal of an application.

(4) [5 February 2009]

(5) An ancillary complaint may be submitted regarding a decision of the court by which the giving of a supplementary judgment is refused.

[5 February 2009]

Section 437. Explanation of the Judgment of an Appellate Court

(1) Upon an application of a participant in the case an appellate court may, by its decision, explain a judgment without varying its contents.

(2) A judgment may be explained if it has not yet been enforced and the time period for the enforcement of the judgment has not expired.

(3) The issue regarding explanation of a judgment shall be examined in the written procedure, upon a prior notice to the participants in the case. Concurrently with the notification the court shall send an application to participants in the case regarding explanation of the judgment.

(4) An ancillary complaint may be submitted regarding a court judgment on the issue of explanation of a judgment.

[29 October 2015]

Section 438. Postponement or Division into Time Periods of Enforcement of a Judgement of an Appellate Court, and Varying of the Forms and Procedures for its Enforcement

(1) Upon an application of a participant in the case and taking into account the financial state of the parties or other significant circumstances, an appellate court is entitled to postpone the enforcement of a judgment or divide it into time periods, and to vary the form and procedures for its enforcement. A decision to postpone enforcement of a judgment, division into time periods or varying of the form and procedures for its enforcement shall be implemented immediately.

(2) An application shall be examined in the written procedure by previously notifying the participants in the case thereof. Concurrently with the notification the court shall, by determining the time period for submission of the explanation, send an application to participants in the case for the postponement of the enforcement, division in time periods, variation of the form or procedures for the enforcement of a judgment.

(3) An ancillary complaint may be submitted regarding a court decision as postpones enforcement of a judgment or divides it into time periods, or varies the form and procedures for its enforcement. Submission of an ancillary complaint shall not stay the enforcement of the decision.

[8 September 2011; 29 October 2015]

Section 439. Actions of an Appellate Court, if a Judgment is not Appealed in Accordance with Cassation Procedures

If a cassation complaint has not been submitted after the time period provided for the submission of a cassation complaint has expired, an appellate court shall send the case to the court of first instance.

Section 439.1 Actions of an Appellate Court after Performance of Actions by a Cassation Court

After an appellate court has received a case following the performance of actions by a cassation court specified in Section 477.1 of this Law, it shall issue a writ of execution. After issue of the writ of execution an appellate court shall send the case to the court of first instance.

[22 May 2008 / See Transitional Provisions]

Section 440. Stay of Proceedings, Leaving Claims without Examination and Termination of Proceedings by an Appellate Court

Appellate courts shall stay court proceedings, leave a claim without examination or terminate proceedings in the cases and in accordance with the procedures laid down in Chapters 24, 25 and 26 of this Law.

Chapter 54.1
Specifics of Examination for Separate Categories of Cases in an Appellate Court

[20 March 2014; 12 February 2015]

Section 440.1 Procedure for Examination of Cases at an Appellate Court

Notices of appeal in cases regarding small claims and in cases regarding the rights in respect of which a dispute has been examined in the Board of Appeal for Industrial Property, regarding judgments that reject applications in cases regarding legal protection proceedings or insolvency proceedings of a legal or natural person shall be examined at an appellate court in accordance with the procedures laid down in Chapters 52-54 of this Law, by taking into account exceptions provided for in this Chapter.

[12 February 2015; 10 December 2015]

Section 440.2 Right to Submit a Notice of Appeal or an Appeal Protest

Judgments referred to in Section 440.1 of this Law may be appealed in accordance with the appeal procedure, if:

1) a court of first instance has incorrectly applied or interpreted the provision of substantive law and it has led to wrongful trial of the case;

2) a court of first instance has breached the norm of procedural law and it has led to wrongful trial of the case;

3) a court of first instance has incorrectly found the facts or incorrectly assessed the evidence or provided incorrect legal assessment of the circumstances of a case and it has led to wrongful trial of the case.

[12 February 2015]

Section 440.3 Time Period for Submitting a Notice of Appeal

If the judgment is given in the written procedure, the time period for appeal shall be calculated from the day of drawing up the judgment in addition to that laid down in Section 415 of this Law.

[12 February 2015]

Section 440.4 Contents of a Notice of Appeal

The following shall be indicated in a notice of appeal in respect of wrongfulness of the judgment in addition to that laid down in Section 416 of this Law:

1) which provision of substantive law has the court of first instance applied or interpreted incorrectly, which provision of procedural law has it breached and how has it affected trial of the case;

2) which facts has the court of first instance found incorrectly, which evidence has it assessed incorrectly, how does the wrongfulness of the legal assessment of the circumstances of a case express itself and how has it affected trial of the case.

Section 440.5 Leaving a Notice of Appeal not Proceeded With

(1) A judge of a court of first instance shall take a decision to leave a notice of appeal not proceeded with and set a time period for the applicant to eliminate deficiencies, if:

1) the notice of appeal submitted does not conform to the requirements of Section 416, Paragraph one and Section 440.4 of this Law;

2) the notice of appeal is not accompanied by all required true copies or, in the cases provided for in the law, the translation of the notice of appeal or true copies of documents attached thereto certified in accordance with the specified procedures have not been attached thereto.

(2) If the deficiencies are eliminated within the laid down time period, the notice of appeal shall be deemed to have been submitted on the date when it was submitted for the first time. Otherwise, the complaint shall be deemed not to have been submitted and shall be returned back to the applicant.

Section 440.6 Non-acceptance of a Notice of Appeal

(1) A notice of appeal, which is not signed or which is submitted by a person who is not authorised to appeal a court judgment, or regarding which the State fee is not paid, shall not be accepted and returned back to the applicant.

(2) The decision to refuse to accept a notice of appeal may not be appealed.

Section 440.7 Action of a Court of First Instance after Receipt of a Notice of Appeal

(1) A judge of a court of first instance, after he or she has satisfied himself or herself that the notice of appeal complies with the requirements laid down in Sections 416, 417, 440.2 and 440.4 of this Law, shall without delay notify the other participants in the case of such notice and send them a true copy of the notice and documents accompanying it.

(2) A judge of a court of first instance, when sending true copies of the notice of appeal and documents attached thereto to other participants in the case, shall inform them that written explanations are to be submitted after the appellate court has sent a notification to the participants in the case regarding initiation of appeal proceedings.

[12 February 2015]

Section 440.8 Initiation of Appeal Proceedings in an Appellate Court

(1) Having ascertained that the procedures for submission of a notice of appeal have been complied with, a judge or in the case laid down in Paragraph five of this Section three judges shall collegially decide on the initiation of appeal proceedings within 30 days.

(2) Having found that a notice of appeal has been sent to an appellate court in breach of procedures provided for in this Law by which notices of appeal should be submitted, a judge shall take one of the following decisions:

1) a decision to refuse to initiate appeal proceedings, if the term laid down for the submission of a notice of appeal has been exceeded, a notice of appeal has been submitted by a person who is not authorised to appeal a court judgment, or if the State fee has not been paid;

2) a decision to send the case to the court of first instance for the carrying out of the actions laid down in law, if the deficiencies indicated in Section 416, Paragraph one or Section 440.4 of this Law have been allowed to occur when the notice of appeal has been submitted.

(3) In the case laid down in Paragraph two, Clause 1 of this Section the notice together with the case shall be sent to the court of first instance which returns the notice back to the applicant.

(4) If at least one of the grounds for initiation of appeal proceedings referred to in Section 440.2 of this Law exists, a judge shall take a decision to initiate appeal proceedings and immediately notify participants in the case thereof, by indicating a time limit for the submission of written explanations.

(5) If a judge, to whom the notice of appeal has been transferred for deciding, recognises that initiation of appeal proceedings is to be refused, the decision on the initiation of appeal proceedings shall be taken by three judges collegially.

(6) If at least one of the three judges considers, that at least one of the grounds for initiation of appeal proceedings referred to in Section 440.2 of this Law exists, the judges shall take a decision to initiate appeal proceedings and immediately notify participants in the case thereof.

(7) If judges unanimously recognise that none of the grounds for initiation of appeal proceedings referred to in Section 440.2 of this Law exists, they shall take a decision to refuse to initiate appeal proceedings and immediately notify participants in the case thereof.

(8) A decision referred to in Paragraph seven of this Section shall be drawn up in the form of resolution and it may not be appealed.

(9) A decision to refuse to initiate appeal proceedings shall be returned back to the applicant of the notice of appeal together with the submitted notice of appeal.

Section 440.9 Written Explanation by a Participant in a Case

A participant in a case may submit a written explanation regarding the submitted notice of appeal together with true copies thereof in the number corresponding to the number of participants in the case, to an appellate court within 20 days from the day when the appellate court has sent a notification regarding initiation of an appeal proceeding to the participants in the case.

Section 440.10 Appellate Cross Complaint

(1) After having sent a notification regarding initiation of appeal proceedings, the party is entitled to submit an appellate cross complaint within 20 days.

(2) An appellate cross complaint shall conform to the requirements of Sections 250.27, 416, 417, 418 and 440.4 of this Law.

(3) After receipt of an appellate cross complaint, an appellate court shall without delay send true copies of the complaint to the other participants in the case.

Section 440.11 Examination of Cases in the Written Procedure, Drawing up a Judgment and Sending a True Copy

(1) A court shall examine the cases referred to in this Chapter in the written procedure, by notifying the parties in a timely manner of the date when a true copy of the judgment may be received in the Court Registry, inform them regarding the composition of the court, which will examine the case, and explain the right to apply removal of a judge. The date when a true copy of the judgment is available in the Court Registry shall be regarded as the day of drawing up a judgment.

(2) Upon a written request by a party a true copy of the judgment shall be immediately sent by post or, if possible, in another way in accordance with the procedures for delivery and issuance of court documents laid down in this Law.

(3) If a court considers it as necessary, a case may be tried in a court hearing.

[12 February 2015]

Section 440.12 Entering into Lawful Effect of a Judgment of an Appellate Court

A judgement of an appellate court shall not be appealed in a cassation court and shall enter into effect on the day of declaration or, if the case has been examined in the written procedure, on the day of drawing up thereof.

Division Nine
Appeal of Decisions of a Court of First Instance and of Appellate Court

Chapter 55
Submitting and Examining Ancillary Complaints

Section 441. Basis for Appeal or Protest of a Decision of a Court of First Instance or of Appellate Court

(1) The decisions of a court of first instance or of an appellate court may be appealed separately from a court judgment by participants in the case, by submitting an ancillary complaint, or by a public prosecutor, by submitting an ancillary protest:

1) in the cases provided for by this Law;

2) if the court decision hinders the case being proceeded with.

(2) An ancillary complaint may not be submitted regarding other decisions of a court of first instance court or of an appellate court; objections to such decisions, however, may be expressed in a notice of appeal or a cassation complaint.

(3) An ancillary protest shall be submitted and examined in accordance with the same procedures as pertain to ancillary complaints.

Section 442. Time Period for Submitting an Ancillary Complaint

(1) An ancillary complaint may be submitted within 10 days from the day when the decision is declared, unless it is otherwise provided for in this Law. The time period, until which an ancillary complaint about a decision taken in the written procedure or about procedural activities outside a court hearing shall be submitted, shall be counted from the day when the decision is issued. If a summary decision is declared, the time period for submitting an ancillary complaint shall be counted from the day when the full decision is issued.

(11) A participant in a case to whom a decision of the court has been sent in accordance with Section 56.2 of this Law may submit an ancillary complaint within 15 days from the day of service of true copy of the decision or, if a court has declared a summary decision, from the day of service of true copy of the full decision.

(2) An ancillary complaint which has been submitted after the elapse of the abovementioned time period, shall not be accepted and shall be returned to the applicant.

[5 February 2009; 29 November 2012; 29 October 2015]

Section 443. Procedures for Submitting an Ancillary Complaint

(1) An ancillary complaint shall be submitted to the court, which has taken the decision, and it shall be addressed:

1) in regard to a decision of a judge of a first instance court and a judge of Land Registry Office of a district (city) court, to the relevant appellate court;

2) in regard to a decision of an appellate court, to the cassation court;

3) [30 October 2014].

(2) [5 February 2009]

[5 February 2009; 30 October 2014]

Section 444. True Copies of an Ancillary Complaint

(1) Attached to an ancillary complaint shall be true copies thereof and true copies of the documents accompanying the claim, in number corresponding to the number of participants in the case.

(2) In the cases provided for in the law a translation certified in accordance with the specified procedures shall be attached to an ancillary complaint and true copies of the documents attached thereto, if the documents are intended for service to a person in accordance with Section 56.2 of this Law. The translation need not be attached by a person who is released from the payment of court expenses.

[5 February 2009]

Section 445. Grounds for Non-acceptance of an Ancillary Complaint and Leaving it not Proceeded with

(1) An ancillary complaint which is not signed shall be regarded as not submitted and be sent back to a submitter.

(2) A judge shall take a decision on the refusal to accept an ancillary complaint, if the State fee is not paid in accordance with the procedures and amount laid down in the law or a power of attorney or other document is not attached to the ancillary complaint which certifies authorisation of the representative to appeal a court judgment.

(3) A decision of the judge to refuse to accept an ancillary complaint may not be appealed.

(4) If all of the required true copies are not attached to an ancillary complaint or a translation of the ancillary complaint and true copies of documents attached thereto certified in accordance with the laid down procedures is not attached in the cases provided for in the law, or authorisation does not arise from the power of attorney or other document attached to the ancillary complaint to appeal the court judgment by a representative, a judge shall take a decision to leave the ancillary complaint not proceeded with and set a time limit for the elimination of deficiencies.

(5) If the submitter eliminates the deficiencies indicated in the decision to leave an ancillary complaint not proceeded with within the time limit set, the appellate claim shall be deemed to have been submitted on the date when it was first submitted. Otherwise, the ancillary complaint shall be deemed not to have been submitted and shall be returned to the submitter.

[23 April 2015]

Section 446. Court Action after Receipt of an Ancillary Complaint

(1) After receipt of an ancillary complaint, a judge shall without delay send true copies of the claim and true copies of documents accompanying it to the participants in the case.

(2) After expiration of the time period for appeal, the judge shall without delay transfer the case with the ancillary complaint to that instance of court to which the complaint is addressed.

Section 447. Procedures for Examining an Ancillary Complaint

(1) An ancillary complaint shall be examined by written procedure. The court shall notify participants in the case of the day of examination of the ancillary complaint. A true copy of the decision shall be sent to the participants in the case within three days.

(2) If an ancillary complaint is examined in a court hearing, then examination thereof shall take place in accordance with the procedures laid down in this Law for examining of cases in an appellate court.

(3) An ancillary complaint regarding the decisions referred to in Sections 640 and 6515 of this Law shall be examined at a court hearing.

[4 August 2011; 29 November 2012; 23 April 2015]

Section 447.1 Decision Taken on Ancillary Complaint

(1) In a decision on ancillary complaint in addition to that referred to in Section 230 of this Law the court shall indicate the submitter of the ancillary complaint, include the outline of the ancillary complaint and appealed decision, as well as justify its attitude towards the appealed decision.

(2) If the court, in examining an ancillary complaint, recognises that the grounds included in the appealed decision are correct and sufficient, it may indicate in the decision that it agrees to the grounds of the appealed decision. In such case the reasoned part laid down in Section 230 of this Law shall not be included.

[4 August 2011; 29 October 2015]

Section 448. Competence of a Regional Court and Supreme Court

(1) A regional court and the Supreme Court in examining an ancillary complaint have the right to:

1) leave the decision unamended, but to reject the complaint;

2) to revoke the decision in full or in part and refer the case for re-examination to the court which made the decision;

3) to revoke the decision in full or in part and upon its own decision decide the issue on the merits;

4) to amend the decision.

(2) A regional court, when examining an ancillary complaint regarding a decision by which an application for the renewal of court proceedings and examination of the case anew has been dismissed in a case where a default judgment has been given, has the right:

1) leave the decision unamended, but to reject the complaint;

2) to revoke the decision, to renew the court proceedings and refer the case for examination anew to the first instance court.

[31 October 2002; 30 October 2014]

Section 449. Lawful Effect of a Decision Taken on an Ancillary Complaint

(1) A decision taken on an ancillary complaint may not be appealed and shall enter into lawful effect at the time when it is made, except in the cases provided for in this Section and Section 641 of this Law.

(2) A decision of a regional court on an ancillary complaint may be appealed to the Supreme Court within 10 days from the day the decision was issued if by this decision:

1) an ancillary complaint has been dismissed regarding a decision to refuse to accept a claim, on the basis of Section 132, Paragraph one, Clauses 1 and 2 of this Law;

2) an ancillary complaint has been dismissed regarding termination of court proceedings, on the basis of Section 223, Clauses 1 and 2 of this Law;

3) in deciding the issue on the merits in accordance with Section 448, Clause 3 of this Law, a decision to refuse to accept a claim, on the basis of Section 132, Paragraph one, Clauses 1 and 2 of this Law or a decision to terminate court proceedings, on the basis of Section 223, Clauses 1 and 2 of this Law has been taken.

(3) A decision of a regional court on an ancillary complaint regarding a decision of a judge of the Land Registry Office of a district (city) court, except a decision on an ancillary complaint regarding application for corroboration of the immovable property in the name of the acquirer, may be appealed to the Supreme Court by complying with the time limits laid down in Section 442 of this Law.

(31) The time periods referred to in Paragraphs two and three of this Section in respect of a participant in a case to whom a decision has been sent in accordance with Section 56.2 of this Law, shall be counted from the day of service of a true copy of the decision.

(4) When appealing to the Supreme Court the decisions provided for in Paragraphs two and three of this Section, and also Section 641, Paragraph one of this Law, a security deposit shall be paid in the amount of EUR 56.91. A security deposit is not required to be paid by persons who pursuant to law or a judgment of a court or a judge are exempted from the State fees. A court or judge, taking into account the financial circumstances of a natural person, may fully or partially release the person from the payment of a security deposit. If the Supreme Court, in full or in part, revokes or amends an appealed decision on an ancillary complaint, the security deposit shall be refunded. If the ancillary complaint is dismissed, the security deposit shall not be refunded.

[31 October 2002; 7 April 2004; 14 March 2006; 25 May 2006; 5 February 2009; 12 September 2013; 30 October 2014; 29 October 2015]

Part 10
Cassation Procedure

Chapter 56
Submission of Cassation Complaints

Section 450. Right to Submit a Cassation Complaint or a Cassation Protest

(1) A judgment of a court of first instance that has been given by applying the provisions of Chapter 30.4 of this Law and a judgment (supplementary judgment) of an appellate court may be appealed by participants in the case in accordance with cassation procedures, and a public prosecutor may submit a cassation protest.

(2) A cassation protest shall be submitted and examined in accordance with the same procedures as cassation complaints provided that it is not otherwise provided for by this Division.

(3) A judgment of a court of first instance that has been given by applying the provisions of Chapter 30.4 of this Law and a judgment of an appellate court may be appealed in accordance with cassation procedures if the court has incorrectly applied the norm of substantive law, has breached the norm of procedural law or, in examining a case, has acted outside its competence.

[22 May 2008; 8 September 2011; 18 April 2013; 20 March 2014; 9 June 2016]

Section 451. Incorrect Application of Norms of Substantive Law

(1) A court has applied the norm of substantive law incorrectly, if it has been incorrectly referenced to the circumstances found by the court or if a norm of substantive law has been construed incorrectly.

(2) Incorrect application of norms of substantive law may serve as the basis for an appeal of a judgment pursuant to cassation procedures if such breach has led or may have led to an erroneous examination of the case.

[22 May 2008; 9 June 2016]

Section 452. Breach of Norms of Procedural Law

(1) A court has allowed breach of a norm of procedural law if it has failed to ensure procedural procedures appropriate to the law or compliance with the procedural rights of persons during the court proceedings by not applying or construing incorrectly the relevant legal provision.

(2) Breach of a norm of procedural law may serve as the basis for an appeal pursuant to cassation procedures if it has led or may have led to an erroneous examination of the case.

(3) The following shall in any event be regarded as a breach of a norm of procedural law as may have led to an wrongful trial of a case:

1) a court has examined a case in an unlawful composition;

2) the court has examined the case in breach of norms of procedural law which stipulate an obligation to notify participants in the case of the time and place of the court hearing;

3) norms of procedural law regarding the language of the court proceedings have been breached;

4) a court judgment confers rights or imposes obligations upon a person who has not been summoned to the case as a participant in the procedure;

5) there are not minutes of the court hearing or there is not a full judgment in the case.

[22 May 2008; 9 June 2016]

Section 453. Contents of a Cassation Complaint

(1) The following shall be indicated in a cassation complaint:

1) the name of the court to which the complaint is addressed (the Civil Cases Department of the Supreme Court);

2) the given name, surname, personal identity number and declared place of residence of the submitter of the complaint, but if none, the place of residence; for a legal person - the name, registration number and legal address thereof. If the submitter of the complaint agrees to electronic correspondence with the court or he or she is the subject referred to in Section 56, Paragraph 2.3 of this Law, an electronic mail address shall also be indicated and, if he or she has registered in the online system for correspondence with the court, an indication of registration shall be included as well. In addition the submitter of the complaint may also indicate another address for correspondence with the court;

21) an electronic mail address of a sworn advocate if the submitter of the complaint is represented by a sworn advocate;

3) the judgment regarding which the complaint has been submitted and the court which has given the judgment;

4) the extent to which the judgment is appealed;

5) which provision of substantive law has been applied incorrectly, which norm of procedural law has been breached by the court and how it has affected the trial of the case, or in what way the court has exceeded the scope of its competence;

6) [9 June 2016].

7) a request expressed to the Supreme Court.

(11) If a submitter of a cassation complaint considers that the examination of the cassation complaint in accordance with cassation proceedings has significant meaning for ensuring a unified case-law or further formation of law, he or she shall justifiably indicate it in the cassation complaint.

(2) A cassation complaint shall be signed by a submitter - natural person, an official indicated in Section 82, Paragraph seven of this Law or an advocate. If the cassation complaint is signed by the official of the legal person, a document certifying the right of the official to represent the submitter shall be attached to the complaint. If the cassation complaint is signed by the advocate, a power of attorney and an order shall be attached to the complaint. The cassation protest shall be signed by an official of the Office of the Prosecutor laid down in law.

(3) [23 April 2015].

(4) A document confirming the payment of a security deposit shall be attached to a cassation complaint.

(5) A cassation complaint which is not signed shall be regarded as not submitted and be sent back to the submitter, by refunding a security deposit.

(6) The judge shall take a decision to refuse to accept the cassation complaint, if:

1) a document confirming the payment of a security deposit is not attached to a cassation complaint;

2) a document certifying the right of the official of the legal person to appeal a court judgment in accordance with the cassation procedures is not attached to a cassation complaint or submitted in the case, or a power of attorney and order issued to the advocate is not attached or submitted in the case.

(7) A security deposit shall be refunded in the case referred to in Paragraph six, Clause 2 of this Section.

[31 October 2002; 27 June 2003; 12 February 2004; 22 May 2008; 29 November 2012; 30 October 2014, 23 April 2015; 9 June 2016]

Section 454. Time Periods for Submission of a Cassation Complaint

(1) A cassation complaint may be submitted within 30 days from the day a judgment is declared.

(2) If a summary judgment has been declared, the time period for appeal shall be calculated from the date, which the court has announced for drawing up of a full judgment (Section 199). If a judgment has been drawn up after the determined date, the time period for appeal thereof shall be counted from the date of actual drawing up of the judgment. If a judgment is given in a written procedure, the time period for appeal shall be counted from the day when the judgement has been drawn up.

(21) A participant in a case to whom a true copy of the judgment has been sent in accordance with Section 56.2 of this Law may submit a cassation complaint within 30 days from the day of service of the true copy of the judgment.

(3) A complaint submitted after the elapse of such time period shall not be accepted and shall be returned to the submitter, refunding the security deposit.

[31 October 2002; 22 May 2008; 5 February 2009; 29 October 2015]

Section 455. Appeal of a Judgment by a Judge

An ancillary complaint may be submitted regarding a decision of a judge to refuse to accept a cassation complaint, except in the cases referred to in Section 453, Paragraph six of this Law.

[23 April 2015]

Section 456. Procedures for Submission of a Cassation Complaint

(1) A cassation complaint shall be submitted to the court, which gave the judgment.

(2) If a cassation complaint is directly submitted to a cassation court within the time period pertaining to cassation complaints, it shall not be considered that the time period has not been met.

Section 457. True Copies of a Cassation Complaint

(1) A cassation complaint shall be submitted together with true copies thereof in number corresponding to the number of participants in the case.

(2) In the cases provided for by the law a translation certified in accordance with the specified procedures shall be attached to a cassation complaint and true copies thereof, if the documents are intended to be serviced to a person in accordance with Section 56.2 of this Law. The translation need not be attached by a person who is released from the payment of court expenses.

[5 February 2009]

Section 458. Bail

(1) When a cassation complaint is submitted, a security deposit shall be paid in the amount of EUR 300 in the deposit account of the Supreme Court.

(2) If the Supreme Court, in full or in part, revokes or amends an appealed court judgment, the security deposit shall be refunded. If a cassation complaint is dismissed, the security deposit shall not be refunded.

(3) If a cassation complaint is withdrawn prior to the Supreme Court assignments hearing, the security deposit shall be refunded to the submitter.

(4) A security deposit is not required to be paid by persons who pursuant to law are exempted from State fees. A court or a judge, by taking into account the material status of a person, may completely or partly release the person from payment of the security deposit.

[22 May 2008; 20 December 2010; 12 September 2013; 30 October 2014; 9 June 2016]

Section 459. Leaving a Cassation Complaint not Proceeded With

(1) If all of the required true copies are not attached to a cassation complaint or a translation of the cassation complaint and true copies of documents attached thereto certified in accordance with the laid down procedures are not attached in the cases provided for by the law, a judge shall take a decision to leave the cassation complaint not proceeded with and set a time limit for the elimination of deficiencies.

(2) If the submitter, within the time period set, eliminated the deficiencies indicated in the decision, the cassation complaint shall be deemed to have been submitted on the day when it was first submitted.

(3) If the submitter has not eliminated the deficiencies indicated in the decision within the time period set, the cassation complaint shall be deemed not to have been submitted and shall be returned to the submitter.

(4) An ancillary complaint may be submitted regarding a decision of a judge pursuant to which a cassation complaint has been returned to the submitter.

(5) If the deficiencies indicated in Paragraph one of this Section, Section 453, Paragraphs five and six of this Law are established in the Supreme Court, a cassation complaint shall be transferred to the appellate court, but in the case referred to in Section 450, Paragraph one of this Law - to the court of first instance, for performance of the activities laid down in Paragraphs two, three, four of this Section, Section 453, Paragraphs five and six of this Law.

[19 June 2003; 5 February 2009; 30 October 2014; 23 April 2015; 9 June 2016]

Section 460. Court Action after Receipt of a Cassation Complaint

(1) A judge of an appellate court or in the case referred to in Section 450, Paragraph one of this Law - a judge of a court of first instance shall send true copies of a cassation complaint to other participants in the case and notify them that they have the right to submit explanations to the Supreme Court in relation to the cassation complaint within 30 days from the day the true copies are sent.

(11) If a true copy of a cassation complaint has been sent to a participant in the case in accordance with Section 56.2 of this Law, the time period for the submission of an explanation shall be counted from the day of service of the true copy of the cassation complaint to the participant in the case.

(2) Upon expiration of the time period for appeal of a judgment, a court shall without delay transfer the civil case together with the cassation complaint to the Supreme Court.

[5 February 2009; 30 October 2014; 9 June 2016]

Section 461. Joining in a Cassation Complaint

(1) Co-participants and third persons, which participate in the procedure on the side of a person, who has submitted a cassation complaint, may join in the submitted complaint within 30 days from the day of sending of a true copy of the cassation complaint, by submitting a relevant application to the Supreme Court.

(2) A security deposit is not required to be paid when submitting an application to join in a cassation complain.

[31 October 2002; 9 June 2016]

Section 462. Withdrawal of a Cassation Complaint

(1) A person who has submitted a cassation complaint is entitled to withdraw it until the cassation instance court hearing.

(2) If a cassation complaint is withdrawn until the assignments of the Supreme Court, cassation proceedings shall not be initiated, if after assignments hearing of the Supreme Court - cassation proceedings shall be terminated in the case.

[9 June 2016]

Section 463. Submitting a Cross Complaint

(1) A participant in a case may submit his or her cross complaint to the Supreme Court within 30 days from the day the true copy of the cassation complaint is forwarded. The participant in the case to whom the true copy of a cassation complaint has been sent in accordance with 56.2 of this Law may submit his or her cross complaint to the Supreme Court within 30 days from the day of service of the true copy of the cassation complaint.

(2) In submitting a cross complaint, the provisions of Sections 450, 451, 452, 453, 457 and 458 of this Law shall be observed.

(3) The Supreme Court shall send a true copy of the cross complaint to other participants to the proceedings and notify that they have the right to submit explanations to the Supreme Court in relation to the cross complaint within 30 days after sending a true copy.

(4) If a cassation complaint is withdrawn, the cross complaint shall be examined independently.

[22 May 2008; 5 February 2009; 30 October 2014]

Chapter 57
Initiation of Cassation Proceedings and Examination of Cases at Cassation Courts

[22 May 2008]

Section 464. The Supreme Court Assignments Hearing

(1) In order to decide on an issue regarding the initiation of cassation proceedings, cassation complaints, cross complaints and protests after expiry of the time period for submitting the explanations provided for in Section 460, Paragraph one and Section 463, Paragraph three of this Law shall be examined at the Supreme Court assignments hearing by a judicial collegium established in accordance with the procedures laid down by the Chairperson of the Department in the composition of three judges.

(2) If at least one of the judges considers that the case should be examined at a cassation court, the judicial collegium shall take a decision on the initiation of cassation proceedings. It shall be established in the decision that the case should be examined by the written procedure or examined in a court hearing.

(3) If the judicial collegium unanimously finds that the initiation of cassation proceedings is to be refused, it shall refuse by an assignments hearing decision to initiate cassation proceedings.

(4) By a unanimous decision of the judicial collegium, the case may be referred for examination, in accordance with the cassation procedures, to the Supreme Court in expanded composition.

(41) The decision referred to in Paragraphs two, three, four and seven of this Section may be drawn up in the form of a resolution in conformity with that laid down in Section 229, Paragraph two of this Law.

(5) If cassation proceedings are initiated, the judicial collegium, upon a request of a party, may take a decision to stay the enforcement of the judgment until examination of the case in accordance with the cassation procedures.

(6) In a Supreme Court assignments hearing the judicial collegium may also decide on an issue regarding refusal to accept the submitted ancillary complaint and other procedural issues, for the deciding of which a court hearing is not necessary, and also take a decision to make a request to the Court of Justice of the European Union for the giving of a preliminary ruling or to submit an application to the Constitutional Court regarding compliance of legal provisions with the Constitution or principles of international law (legislation).

(7) If the judicial collegium has no clear evidence to deem that upon examining an ancillary complaint the appealed decision will be revoked or amended completely or in any part thereof, it may refuse to accept the ancillary complaint by an unanimous decision in the assignment hearing of the Supreme Court. In such case the State fee paid for the ancillary complaint shall not be refunded.

[22 May 2008; 8 September 2011; 15 March 2012; 30 October 2014; 12 February 2015; 9 June 2016]

Section 464.1 Grounds for the Refusal to Initiate Cassation Proceedings

(1) A judicial collegium of the Senate shall refuse to initiate cassation proceedings, if a cassation complaint fails to conform to the requirements of Sections 450-454 of this Law.

(2) If a cassation complaint formally complies with the requirements referred to in Paragraph one of this Section and if the court, which has given the appealed judgment, has not allowed breach of the provisions of Section 452, Paragraph three of this Law, the judicial collegium may refuse to initiate cassation proceedings also in the following cases:

1) jurisdiction of the Supreme Court has established in the issues of application of legal norms indicated in the cassation complaint, and the appealed judgment does not comply with it;

2) upon having assessed the arguments referred to in the cassation complaint, there is no clear evidence to deem that outcome of the case included in the appealed judgment is incorrect and that the case to be examined has a significant meaning for ensuring a unified case-law or further formation of law.

(3) If a cassation complaint formally complies with the requirements referred to in Paragraph one of this Section and if the court has not breached the provisions of Section 452, Paragraph three of this Law and the case to be examined has no significant meaning for ensuring a unified case-law or further formation of law, the judicial collegium may refuse to initiate cassation proceedings also in disputes of a financial nature, if the part thereof, in which the judgment is appealed, is less than EUR 2000.

[22 May 2008; 30 October 2014; 12 February 2015; 9 June 2016]

Section 464.2 Determination of Examination of a Case

Examination of a case shall be determined by the written procedure, if a ruling can be given in accordance with the materials of the case. If additional explanations of participants in the case are necessary or according to the opinion of the Supreme Court the relevant case may have a special significance in the interpretation of legal norms, examination of the case in a court hearing may be determined.

[15 March 2012; 30 October 2014; 9 June 2016]

Section 464.3 Examination of a Case in the Written Procedure, Drawing-up and Declaration of a Judgment

(1) A case shall be examined in the written procedure according to the materials of the case in conformity with the competence of the cassation court.

(2) The persons who have submitted a complaint or a protest, as well as the persons whose interests are affected by the complaint or protest shall be notified that the case will be examined in the written procedure, they will be explained their procedural rights, informed regarding the composition of the court examining the case, explained the right to apply removal of a judge and informed regarding the date when a true copy of the judgment may be received in the Court Registry. This date shall be deemed as the date when the full judgment has been drawn up.

(21) If during drawing up a judgment the court finds that due to the complexity of the case a longer time period is necessary for the drawing up of a judgment, it may extend the abovementioned time period, however it should not exceed two months. The court shall immediately inform the participants in the case referred to in Paragraph two of this Section regarding a new date for the drawing up of a full judgment, when the judgment may be received in the Court Registry.

(3) The parties are entitled to exercise the civil procedural rights referred to in this Law, which are related to the preparation of the case for trial, not later than within seven days prior to date, when the true copy of the judgment may be received in the Court Registry.

(4) If necessary, a court shall request the submission of the views of the public prosecutor within 10 days.

(5) A court judgment shall be declared and a true copy of the judgment shall be issued to the parties without delay after drawing up of the judgment.

(6) Upon a written request of a party a true copy of the judgment may be sent by post or, if possible, by the use of other means in accordance with the procedures for delivery and issuance of court documents laid down in this Law. A true copy of the judgment shall be sent to the parties without delay after the date when the full judgment has been drawn up.

(7) A decision to transfer a case for examination in a court hearing may also be taken in the written procedure.

[15 March 2012; 9 June 2016]

Section 465. Listing a Case for Examination at a Supreme Court Hearing

(1) The time, composition of the court and referent for the examination of a case shall be determined by the Chairperson of the Department of the Supreme Court. The participants in the case shall be notified of the time and place of examination.

(2) The case shall be examined at a cassation court by three judges, but in the cases provided for by this Law, by a judicial collegium composed of not less than seven judges.

[30 October 2014; 12 February 2015]

Section 466. Commencement of Examination of a Case

(1) The chairperson of the hearing shall open the court hearing and inform as to what proceeding is being examined by the Supreme Court.

(2) The chairperson of the hearing shall ascertain which participants in the case have arrived, their identity and the authorisation of representatives.

[31 October 2002; 12 February 2004; 30 October 2014]

Section 467. Explanation of Rights and Obligations to the Participants in a Case

(1) The chairperson of the hearing shall announce the court panel and the name of the public prosecutor and the interpreter, if they participate in the court hearing, and shall explain to the participants in the case their right to apply for a removal, as well as other procedural rights and obligations.

(2) The grounds for removal and procedures for taking decisions on removal are as prescribed by Sections 19 -21 of this Law.

[31 October 2002; 12 February 2004]

Section 468. Consequences Resulting from a Failure to Attend by Participants in a Case

Failure of the participants in a case who have duly been notified of the time and place of a hearing of a cassation court shall not constitute a bar for the examination of the case.

Section 469. Deciding on an Application

Applications of participants in a case relating to the examination of the case shall be decided after hearing the opinions of the other participants in the case.

[31 October 2002; 12 February 2004]

Section 470. Report on a Case

Examination of a case shall commence with a report on the case by the referent judge.

[12 February 2015]

Section 471. Explanations of Participants in a Case and Opinion of the Public Prosecutor

(1) Following the report of the judge, a court shall give a hearing to explanations by the parties or the representatives thereof. The court may previously set a time for providing of explanations; however, both sides shall be allotted equal time.

(2) The participant who submitted the cassation complaint, or a public prosecutor, if he or she has submitted a protest, shall speak first. If a judgment has been appealed by both parties, the plaintiff shall speak first.

(3) Judges may ask questions of the participants in the case.

(4) Each party has the right to one reply.

(5) If a public prosecutor participates in a proceeding for which a cassation protest has not been submitted, he or she shall deliver an opinion following the explanations and replies of the parties.

[31 October 2002; 12 February 2004; 12 February 2015]

Section 472. Giving a Judgment

(1) Subsequent to the explanations of the participants in the case and the opinion of the public prosecutor, a court shall retire to the deliberation room to give a judgment.

(2) If, when examining the case in the composition of three judges, a court does not reach an unanimous opinion, or all the judges consider that the case should be examined in expanded composition, the court shall take a decision to refer the case to the Supreme Court for it to be examined in expanded composition.

(3) When examining the case in expanded composition, judgment shall be given by a majority vote and signed by all the judges.

(4) Subsequent to deliberation by the judges, a court shall return to the courtroom, and the chairperson of the hearing shall declare the judgment, by reading its operative part, and shall inform the participants in the case as to when they may become acquainted with the full text of the judgment.

(5) A judge who, during examination of the case in the expanded composition of the Supreme Court, has a different opinion regarding translation of the law or application of the law, he or she, within 15 days after drawing up of full text of the judgment, is entitled to express his or her certain thoughts in writing which are to be attached to the case.

(6) If the judges acknowledge that a judgment cannot be given in this court hearing, the Supreme Court shall determine the next court hearing in which shall take place within the nearest 14 days and in which it shall declare the judgment.

[19 June 2003; 5 February 2009; 30 October 2014; 12 February 2015; 9 June 2016]

Section 472.1 Suspension of Court Proceeding in a Cassation Court

If the cassation court takes a decision to make a request to the Court of Justice of the European Union for the giving of a preliminary ruling, it shall stay the court proceedings until the ruling of the Court of Justice of the European Union comes into legal effect.

[7 April 2004; 8 September 2011]

Chapter 58
Judgment of a Cassation Court

Section 473. Limits Regarding Examination of Cases

(1) In examining a case in accordance with the cassation procedure, a court shall examine the validity of the existing judgment for the appealed part of the case regarding persons who have appealed the judgment or who have joined in the cassation complaint and regarding arguments which have been mentioned in the cassation complaint.

(2) A court may revoke the entire judgment, even though only a part of it has been appealed, if it finds that such breach of law exist which has led to a wrongful trial of the entire case.

Section 474. Rights of a Cassation Court

A court, following its examination of the case, may give one of the following judgments:

1) to leave the judgment unamended and to dismiss the complaint;

2) to revoke the whole judgment or a part thereof, and transfer the case for re-examination to an appellate court or court of first instance;

3) to revoke the whole judgment or a part thereof, and leave the application without examination, or to terminate the court proceeding, if the court of second instance has not complied with the provisions of Section 219 or 223 of this Law;

4) amend the judgment in regard to the part thereof pertaining to the extent of the claim, if, as a result of erroneous application of a substantive legal norm, it has been determined incorrectly.

[31 October 2002]

Section 475. Contents of a Judgment of a Cassation Court

(1) A judgment of a cassation court shall consist of an introduction, a descriptive part, a reasoned part and an operative part.

(2) In the introductory part the court shall set out:

1) the name and composition of the court;

2) the time when the judgment is given;

3) the participants in the case and the subject-matter of the dispute;

4) the persons who have submitted the cassation complaint (cross-complaint) or have joined in it.

(3) In the descriptive part the court shall set out:

1) a brief description of the circumstances of the case;

2) the nature of the appellate court judgment;

3) the arguments of the cassation complaint;

4) the arguments of the cross complaint or the nature of the explanations.

(4) In the reasoned part the court shall set out:

1) when dismissing a cassation complaint - arguments due to which the complaint has been dismissed;

2) when satisfying a cassation complaint - arguments regarding the breach of norms of law allowed by the court and the erroneous application thereof or the exceeding of the scope of its competence.

(5) In the operative part the court shall set out the ruling in accordance with the relevant Clause of Section 474 of this Law.

(6) If the court, in examining the case, recognises, that the justification in the issue of application of legal norms included in the appealed judgment is correct, it may indicate in the reasoned part that it recognises the relevant argumentation as correct. In such case the arguments laid down in Paragraph four, Clause 1 of this Section need not be indicated in the reasoned part of the judgment.

(7) If the court, in examining the case, recognises that the appealed judgment fails to comply with the jurisdiction of the Supreme court which has established in other similar cases and it is not indicated by arguments in the appealed judgment why such deviation from the jurisdiction has occurred, the court may give a judgment in the reasoned part of which it indicates the jurisdiction which has not been complied with or non-compliance with which has not been justified. In such case the descriptive part need not be included in the judgment and the arguments laid down in Paragraph four, Clause 2 of this Section need not be indicated in the reasoned part of the judgment.

[9 June 2016]

Section 476. Compulsory Nature of an Instruction of a Cassation Court

(1) The interpretation of law expressed in a judgment of a cassation court shall be mandatory for the court which re-examines the case.

(2) In its judgment a cassation court shall not set out what judgment shall be given when the re-examined.

Section 477. Lawful Effect of a Judgment of a Cassation Court

A judgment of a cassation court may not be appealed and enters into effect at the time it is declared.

Section 477.1 Action of a Cassation Court after Examination of a Cassation Complaint and Cassation Protest

A cassation court shall, after giving (accepting) of full ruling referred to in Section 462, Paragraph two, Section 464, Paragraph three, Section 464.3, Paragraph two and Section 474, Clauses 1 and 4 of this Law, immediately send the case to an appellate court for issue of a writ of execution.

[22 May 2008; 15 March 2012]

Division Eleven
Re-examination of a Case in which a Judgment or a Decision has Entered into Lawful Effect

Chapter 59
|Re-examination of a Case in Connection with Newly-Discovered Circumstances

Section 478. Submission of an Application

(1) A new examination of the case in connection with newly-discovered circumstances shall be initiated according to application by a participant in the case. The application shall be submitted to the same court by a judgment or decision of which examination of the case on the merits is completed.

(2) The application may be submitted within three months from the day when the circumstances forming the basis for re-examination of the case have been established.

(3) The application may not be submitted if more than 10 years have elapsed since the judgment or the decision has come into effect.

(31) An application which is not signed shall be regarded as not submitted and shall be sent back to the submitter, by refunding a security deposit.

(4) The judge shall take a decision to refuse to accept the application, if:

1) a power of attorney or other document which certifies authorisation of the representative to apply to the court with the application is not attached to the application;

2) a security deposit is not paid in accordance with the procedures and amount laid down in the law;

3) the time limit laid down in Paragraph two or three of this Section is delayed;

4) the circumstances that in accordance with Section 479 of this Law may be recognised as newly-discovered circumstances have not been indicated in the application;

5) the application is submitted repeatedly and it is not arising from it that actual or legal circumstances have significantly changed for deciding the issue.

(5) A decision of the judge to refuse to accept an application in accordance with Paragraph four, Clauses 1 and 2 of this Section shall not be appealed. An ancillary complaint may be submitted regarding a decision of the judge to refuse to accept an application in accordance with Paragraph four, Clauses 3, 4 and 5 of this Section.

(6) If an authorisation does not arise from the power of attorney or other document attached to the application for a representative to apply to the court with such application, the judge shall leave the application not proceeded with and the consequences provided for in Section 133 of this Law shall set in.

(7) Upon an application being submitted, a security deposit shall be paid in the amount of EUR 300. If the court fully or partially withdraws the contested court ruling, or if the application is revoked until examination thereof, the security deposit shall be refunded.

(8) If the court refuses to accept the application on the basis of Paragraph four, Clauses 1 and 2 of this Section, the security deposit paid shall be refunded. If the court refuses to accept the application on the basis of Paragraph four, Clauses 3, 4 and 5 of this Section, the security deposit paid shall not be refunded.

[5 February 2009; 30 October 2014; 9 June 2016]

Section 479. Newly-Discovered Circumstances

The following shall be recognised as newly-discovered circumstances:

1) essential circumstances of a case which existed at the time of examination of the case but were not and could not have been known to the applicant;

2) the finding, pursuant to a court judgment on a criminal case which has entered into lawful effect, that a false testimony of witnesses, expert opinion or translations were intentionally provided, or there were fraudulent written or material evidence, upon which the giving of a judgment was based;

3) the finding, pursuant to a court judgment in a criminal case that has entered into lawful effect, of criminal acts due to which an unlawful or unfounded judgment has been given or a decision taken;

4) the revocation of such court judgment or such decision by another institution as was a basis for the giving of the judgment or taking of the decision in this case;

5) the acknowledgement of a norm of law applied in the atrial of the case as not in conformity with a higher norm of law in lawful effect;

6) a ruling of the European Court of Human Rights or other international or trans-national court in such case, out of which it arises that court proceedings should be commenced anew. In such case the court, when giving a ruling in the resumed case, must base on the facts established in the ruling of the European Court of Human Rights or other international or trans-national court and their judicial assessment.

[20 June 2001; 22 May 2008]

Section 480. Calculation of the Time Period for Submission of an Application

The time period for submission of an application shall be calculated:

1) regarding the facts set out in Section 479, Clause 1 of this Law, from the day such circumstances become disclosed;

2) in the cases set out in Section 479, Clauses 2 and 3 of this Law, from the day the judgment in the criminal case has entered into lawful effect;

3) in the cases set out in Section 479, Clause 4 of this Law, from the day of entering into lawful effect of a court ruling by which a judgment in a civil case or a criminal case has been revoked or from the day of revocation of a decision of another institution, on which the judgment or decision being requested to be revoked due to newly-discovered circumstances is based;

4) in the case set out in Section 479, Clause 5 of this Law, from the day of entering into lawful effect of a judgment or other decision in relation to which the norm of law applied loses effect as not in conformity with a higher norm of law in lawful effect.

[20 June 2001]

Section 481. Examination of an Application

(1) An application in connection with newly-discovered circumstances shall be examined in the written procedure.

(2) In examining an application, the provisions of the Law regarding non-permissibility of the judge to participate in repeated examination of the case shall not be applied.

[5 February 2009; 9 June 2016]

Section 482. Court Decision

(1) After examining the application, a court shall examine whether the circumstances indicated by the applicant are to be found to be newly-discovered circumstances in accordance with Section 479 of this Law.

(2) If a court finds that there are newly-discovered circumstances, it shall revoke the appealed judgment or decision in full or as to part thereof and refer the case for it to be re-examined in the court of the same ort lower instance.

(3) If a court finds that the circumstances indicated in an application are not to be found to be newly-discovered, it shall dismiss the application.

(4) An ancillary complaint may be submitted regarding a court decision by which the application for the examination of the case anew due to newly-discovered circumstances is refused.

[9 June 2016]

Chapter 60
Examination of Cases in Connection with Breach of Significant Substantive or Procedural Norms of Law

Section 483. Submitting a Protest

A protest regarding a court ruling that has entered into effect may be submitted to the Supreme Court by the Prosecutor General or the senior prosecutor of the Department for the Protection of the Rights of Individuals and State of the Office of the Prosecutor General, provided that not more than 10 years have elapsed since the ruling entered into effect.

[29 November 2012; 30 October 2014 / Section shall be recognised as non-conforming to the first sentence of Section 92 of the Constitution of the Republic of Latvia by the Judgment of the Constitutional Court of 14 May 2013 in the part regarding the right of the Chairperson of the Civil Cases Department of the Senate of the Supreme Court to submit a protest (in the wording which was in force until 1 January 2013]

Section 484. Grounds for Submitting a Protest

The grounds for submitting a protest regarding a court ruling is the breach of substantive or procedural norms of law that has been found in cases which have only been examined in a court of first instance, if the court ruling has not been appealed in accordance with the procedures laid down in law due to reasons independent of the participants in the case, or the infringement, pursuant to a court ruling, of the rights of State or local government institutions or of such persons as were not participants in the case.

Section 485. Procedures for Examining Protests

A protest shall be examined by the Supreme Court in accordance with the procedures laid down in Sections 464-477 of this Law.

[30 October 2014]

Chapter 60.1
Re-examining Cases in Connection with Review of a Ruling in Cases Provided for in Legal Norms of the European Union

[8 September 2011]

Section 485.1 Submission of an Application

(1) Re-examination of a case in connection with review of a ruling may be initiated by a defendant on the basis of Article 19 of the Regulation (EC) No 805/2004 of the European Parliament and of the Council of 21 April 2004 creating a European Enforcement Order for uncontested claims (hereinafter - Regulation No 805/2004 of the European Parliament and of the Council), Article 18 of the Regulation No 861/2007 of the European Parliament and of the Council, Article 20 of Regulation No 1896/2006 of the European Parliament and Council or Article 19 of Council Regulation (EC) No 4/2009 of 18 December 2008 on jurisdiction, applicable law, recognition and enforcement of decisions and cooperation in matters relating to maintenance obligations (hereinafter - Council Regulation No 4/2009), by submitting an application:

1) regarding the review of a judgment or a decision of a district (city) court - to the regional court concerned;

2) regarding the review of a judgment or a decision of a regional court - to the Supreme Court;

3) regarding the review of a judgment or a decision of the Chamber of the Court - to the Civil Cases Department of the Supreme Court.

(2) The application may be submitted within 45 days from the day when the circumstances of review provided for in the legal norms of the European Union referred to in Paragraph one of this Section have been ascertained.

(3) The application cannot be submitted if limitation period for the submission of an enforcement document regarding the relevant ruling has set in.

(4) An application, in which the circumstances that in accordance with the legal norms of the European Union referred to in Paragraph one of this Section may be recognised as circumstances of review of a ruling have not been indicated, shall not be accepted and returned to the applicant. A judge shall refuse to accept for examination an application for the examination of a case anew due to review of a ruling, even if the application has been submitted repeatedly and it does not arise from it that the circumstances for review of the ruling for deciding the issue have changed. An ancillary complaint may be submitted regarding such decision of the judge.

[30 October 2014; 29 October 2015]

Section 485.2 Examination of an Application

An application for the review of a ruling shall be examined in the written procedure.

Section 485.3 Court Decision

(1) After examining an application, the court shall examine whether the circumstances indicated by the applicant are to be found as circumstances for review of the ruling in accordance with the legal norms of the European Union referred to in Section 485.1, Paragraph one of this Law.

(2) If the court finds that there are circumstances for review of a ruling, it shall fully revoke the appealed ruling and refer the case for re-examination in a court of first instance.

(3) If the court finds that the circumstances indicated in the application are not to be considered as circumstances for review of the ruling, it shall dismiss the application.

(4) An ancillary complaint may be submitted regarding a decision of a court.

Part D
Arbitration Court

Division Twelve
Procedures for Execution of a Judgment of a Permanent Arbitration Court

[11 September 2014 / The new wording of the Division shall come into force on 1 January 2015. See Paragraph 83 of Transitional Provisions]

Chapter 61
General Provisions

[11 September 2014 / See Paragraph 83 of Transitional Provisions]

Section 486. Establishment of an Arbitration Court

[11 September 2014]

Section 486.1 Rules of Procedure of Arbitration Court

[11 September 2014]

Section 487. Disputes Resolvable by Arbitration Courts

[11 September 2014]

Section 488. Procedural Norms Applicable to Resolution of Disputes

[11 September 2014]

Section 489. Norms of Substantive Law Applicable to Resolution of Disputes

[11 September 2014]

Chapter 62
Arbitration Agreement

[11 September 2014 / See Paragraph 83 of Transitional Provisions]

Section 490. Concept of an Arbitration Agreement

[11 September 2014]

Section 491. Parties to an Arbitration Agreement

[11 September 2014]

Section 492. Form of an Arbitration Court Agreement

[11 September 2014]

Section 493. Validity of an Arbitration Agreement

[11 September 2014]

Section 494. Law Applicable to an Arbitration Court Agreement

[11 September 2014]

Chapter 63
Preparation of Arbitration Proceedings

[11 September 2014 / See Paragraph 83 of Transitional Provisions]

Section 495. Determination of the Allocation of a Dispute

[11 September 2014]

Section 496. Securing a Claim before the Claim is Raised in Disputes which are Subject to Resolution by an Arbitration Court

[11 September 2014]

Section 497. Arbitrator

[11 September 2014]

Section 498. Number of Arbitrators

[11 September 2014]

Section 499. Appointing of Arbitrators

[11 September 2014]

Section 500. Dismissal of Arbitrators

[11 September 2014]

Section 501. Grounds for Removal of an Arbitrator

[11 September 2014]

Section 502. Procedures for Removing an Arbitrator

[11 September 2014]

Section 503. Termination of the Term of Office of an Arbitrator

[11 September 2014]

Section 504. Appointing of a New Arbitrator

[11 September 2014]

Chapter 64
Resolution of a Dispute by an Arbitration Court

[11 September 2014 / See Paragraph 83 of Transitional Provisions]

Section 505. Equality of the Parties and Adversary Proceedings

[11 September 2014]

Section 506. Determining the Procedures for Arbitration Proceedings

[11 September 2014]

Section 507. Time Periods

[11 September 2014]

Section 508. Place for Resolving a Dispute

[11 September 2014]

Section 509. Language of the Arbitration Court

[11 September 2014]

Section 510. Representation of Parties

[11 September 2014]

Section 511. Costs of an Arbitration Proceedings

[11 September 2014]

Section 512. Confidentiality of Arbitration Proceedings

[11 September 2014]

Section 513. Initiation of an Arbitration Proceedings

[11 September 2014]

Section 514. Submitting an Application for a Claim

[11 September 2014]

Section 515. Response to a Claim

[11 September 2014]

Section 516. Counterclaim

[11 September 2014]

Section 517. Amendment and Supplementation of a Claim

[11 September 2014]

Section 518. Resolution of a Dispute by an Arbitration Court

[11 September 2014]

Section 519. Correspondence

[11 September 2014]

Section 520. Consequences, if Parties do not Participate in the Arbitration Procedure

[11 September 2014]

Section 521. Evidence

[11 September 2014]

Section 522. Expert-examination

[11 September 2014]

Section 523. Securing a Claim

[11 September 2014]

Section 524. Procedural Consequences of Withdrawal of a Party

[11 September 2014]

Section 525. Rights to Object

[11 September 2014]

Section 526. Minutes

[11 September 2014]

Section 527. Storage of Procedure Documents after Completion of the Arbitration Court Procedure

[11 September 2014]

Chapter 65
Awards of an Arbitration Court

[11 September 2014 / See Paragraph 83 of Transitional Provisions]

Section 528. Making of Awards by an Arbitration Court

[11 September 2014]

Section 529. Settlement

[11 September 2014]

Section 530. Judgement of an Arbitration Court

[11 September 2014]

Section 531. Procedures for Certifying Signatures of Arbitrators on an Award

[11 September 2014]

Section 532. Completion of Arbitration Proceedings

[11 September 2014]

Chapter 66
Enforcement of Arbitration Court Awards

Section 533. Procedures for Enforcement of Arbitration Court Awards

[11 September 2014 / See Paragraph 83 of Transitional Provisions]

Section 534. Submission of an Application for Issue of a Writ of Execution for Enforcement of a Judgment of a Permanent Arbitration Court

(1) If a judgment of a permanent arbitration court is to be enforced in Latvia and is not being enforced voluntarily, the interested party is entitled to submit an application for the issue of a writ of execution for the enforcement of a judgment of a permanent arbitration court to the district (city) court based on the declared place of residence, but if none, according to the place of residence of a debtor or his or her legal address, or according to the place of enforcement of the judgment of the arbitration court.

(2) The following shall be attached to an application for issue of a writ of execution for enforcement of a judgment of a permanent arbitration court:

1) a true copy of the judgment of the permanent arbitration court;

2) an arbitration court agreement which confirms the agreement in writing by the parties to refer a civil legal dispute for examination to an arbitration court, or a true copy thereof;

3) true copies of the application in conformity with the number of the remaining participants in the case;

4) documents which approve payment of the State fee and costs related to application for the issue of a writ of execution for enforcement of a judgment of a permanent arbitration court.

(3) The documents referred to in Paragraph two, Clause 4 of this Section need not be attached, if the information regarding payment of the State fee and costs related to application for the issue of a writ of execution for enforcement of a judgment of a permanent arbitration court carried out is included in the application, by indicating payer's identification data - given name, surname, personal identification number or firm name and registration number, if they differ from the applicant's data, and also the date and number of the payment order. When carrying out a payment, information regarding a debtor shall be indicated in the purpose of the order for payment - his or her given name, surname, personal identity number or firm name and registration number. In such case a district (city) court shall recognise the abovementioned payments to be received into the State budget, by using budget electronic settlement system.

(4) An arbitration court agreement, which confirms the agreement in writing by the parties to refer a dispute for examination to an arbitration court, may be issued back by replacing it with a certified true copy thereof.

[11 September 2014 / The new wording of Section shall come into force on 1 January 2015. See Paragraph 83 of Transitional Provisions]

Section 534.1 Sending an Application for Issue of a Writ of Execution for Enforcement of a Judgment of a Permanent Arbitration Court to Participants in the Case

(1) When a district (city) court has received an application for the issue of a writ of execution for the enforcement of a judgment of a permanent arbitration court, it shall, without delay, be sent to the remaining participants in the case by registered mail, determining a time period for the submission of a written explanation, which is not less than 20 days from the day of the sending of the application.

(2) In the explanation the participants in the case shall indicate:

1) whether he or she admits the application in full or a part thereof;

2) his or her objections to the application and the justification thereof;

3) evidence, which certify his or her objections and the justification thereof, as well as the law upon which they are based;

4) requests for the acceptance or request thereof of evidence;

5) other circumstances, which he or she considers to be important in the examination of the application.

(3) The participant in the case shall attach to the explanation true copies thereof in conformity with the number of the remaining participants in the case.

(4) After receipt of the explanation, the judge shall send the true copies thereof to the remaining participants in the case.

(5) The non-submission of an explanation shall not constitute a bar for the examination of the issuing of a writ of execution.

[17 February 2005; 11 September 2014 / The new wording of the title and Paragraph one of Section shall come into force on 1 January 2015. See Paragraph 83 of Transitional Provisions]

Section 535. Deciding on an Application for Issue of a Writ of Execution for Enforcement of a Judgment of a Permanent Arbitration Court

(1) A decision to issue a writ of execution for enforcement of a judgment of a permanent arbitration court or a decision to refuse to issue a writ of execution for enforcement of a judgment of a permanent arbitration court shall be taken by a judge on the basis of the submitted documents, without inviting participants in the case, within 20 days from the day explanations are sent to other participants in the case, or within 20 days from the day when a time period for the submission of explanations is expired. When taking a decision to issue a writ of execution for enforcement of a judgment of a permanent arbitration court, a judge shall also decide an issue whether the State fee is to be compensated for the issue of such writ of execution and whether the expenditure related to examination of the case is to be compensated. A true copy of the decision shall be sent within three days. A decision to refuse to issue a writ of execution for enforcement of a judgment of a permanent arbitration court shall be sent to an permanent arbitration court to the electronic mail address indicated in the website thereof.

(2) A court may request a case from a permanent arbitration court or other information, if it is necessary for taking the decision referred to in Paragraph one of this Section.

The decision to issue of a writ of execution for enforcement of a judgment of a permanent arbitration court may not be appealed.

(4) An ancillary complaint may be submitted regarding a decision to issue a writ of execution for enforcement of a judgment of a permanent arbitration court within 10 days from the day of receipt of a true copy of the decision.

(5) A decision to refuse to issue a writ of execution for enforcement of a judgment of a permanent arbitration court shall come into force after the time limit for the submission of an ancillary complaint is expired and the ancillary complaint has not been submitted.

[11 September 2014 / The new wording of Section shall come into force on 1 January 2015. See Paragraph 83 of Transitional Provisions]

Section 536. Basis for Refusal to Issue a Writ of Execution for Enforcement of a Judgment of a Permanent Arbitration Court

(1) A judge may refuse to issue a writ of execution for enforcement of a judgment of a permanent arbitration court, if:

1) the particular civil legal dispute may be resolved only by a court;

2) the arbitration court agreement has been entered into by a natural person, who has restricted capacity to act, or by a minor;

3) the arbitration court agreement, in accordance with the law applying thereto, has been revoked or declared null and void;

4) the party was not notified of the arbitration court proceedings in the appropriate manner, or due to other reasons was unable to submit his or her explanations, and this significantly has or could have affected the arbitration court proceedings;

5) the party was not notified of the appointing of an arbitrator in the appropriate manner, and this significantly has or could have affected the arbitration court proceedings;

6) the arbitration judge does not conform to the requirements of Arbitration Law, the arbitration court was not established or the arbitration court proceedings did not take place in accordance with the provisions of the arbitration court agreement or of Arbitration Law;

7) the judgment of the arbitration court was given on a civil legal dispute which was not provided for in the arbitration court agreement or does not conform to the provisions of the arbitration court agreement, or also issues are decided in it as not within the scope of the arbitration court agreement.

(2) If it is not possible to issue a writ of execution for enforcement of a judgment of a permanent arbitration court due to the reasons referred to in Paragraph one of this Section for some part of the judgment of a permanent arbitration court, it may be issued for the remaining part of the judgment of the arbitration court.

[11 September 2014 / The new wording of Section shall come into force on 1 January 2015. See Paragraph 83 of Transitional Provisions]

Section 537. Consequences of Refusal to Issue a Writ of Execution for Enforcement of a Judgment of a Permanent Arbitration Court

After a decision to refuse to issue a writ of execution for enforcement of a judgment of a permanent arbitration court has entered into effect:

1) the civil legal dispute may be resolved in a court according to the general procedures, if issue of the writ of execution for enforcement of a judgment of a permanent arbitration court has been refused on the basis of Section 536, Paragraph one, Clauses 1, 2, 3 and 7 of this Law;

2) the civil legal dispute may be repeatedly referred for resolution to an arbitration court, if the issue of the writ of execution for enforcement of a judgment of a permanent arbitration court has been refused on the basis of Section 536, Paragraph one, Clauses 4, 5 and 6 of this Law.

[11 September 2014 / The new wording of Section shall come into force on 1 January 2015. See Paragraph 83 of Transitional Provisions]

Part E
Enforcement of Court Judgments

Division Thirteen
General Provisions Regarding Enforcement of Court Judgments

Chapter 67
Enforcement Documents

Section 538. Enforcement of Court Judgments and Decisions

Court judgments and decisions shall be enforced after they enter into lawful effect, except in cases where pursuant to law or a court judgment they are to be enforced without delay. The indication that the judgment and decision shall be enforced without delay must be contained in the writ of execution itself.

[31 October 2002]

Section 539. Rulings of Courts and Other Institutions, which must be Enforced

(1) In accordance with the procedures laid down in this Law for the enforcement of court judgments, the following court rulings decisions of judges or rulings of other institutions shall be enforced:

1) court judgments and decisions by a court or a judge in civil cases and in cases which arise out of administrative legal relations;

2) recovery;

3) in such part of decisions by a judge or a court in cases regarding administrative violations as pertains to financial recovery;

4) court decisions on approval of settlements;

5) awards by a permanent arbitration court;

6) rulings of foreign courts or competent authorities and foreign arbitration courts in cases provided for in law;

7) court decisions on application of procedural sanctions - imposition of fines;

8) decisions by labour disputes commissions;

9) decisions of the institution regulating State public utilities (hereinafter - the regulator) on the examination of a dispute.

(2) The following shall also be enforced in accordance with the procedures laid down for the enforcement of court judgments unless otherwise provided for by the law:

1) decisions by institutions and officials in cases of administrative violations and breaches of law in cases provided for in law;

2) administrative acts directed to the payment of money issued by institutions and officials endowed with State authority;

3) rulings of persons belonging to the judicial system (notaries, advocates, bailiffs) on remuneration for work, remuneration for the provided legal aid and expenses related to services provided, and the State fee;

4) the statements of the Council of Europe, Commission or European Central Bank adopted in accordance with Article 299 of the Treaty on the Functioning of the European Union.

5) the notarial deeds drawn up in accordance with Division D1of the Notariate Law.

(3) [4 February 2016 / See Paragraph 113 of Transitional Provisions]

[31 October 2002; 12 February 2004; 7 April 2004; 17 February 2005; 7 September 2006; 26 October 2006; 5 February 2009; 8 September 2011; 23 May 2013; 4 February 2016]

Section 540. Enforcement Documents

Enforcement documents are:

1) writs of execution which are issued on the basis of court judgments or decisions of a court or a judge in civil cases, as well as in cases arising from legal administrative relations and criminal cases, court decisions on approval of settlements, permanent arbitration court rulings, decisions by a labour disputes commission, decisions by a regulator on examination of a dispute and rulings of foreign courts and foreign arbitration courts, in accordance with the statements of the Council of Europe, Commission or European Central Bank adopted in accordance with Article 299 of the Treaty on the Functioning of the European Union;

2) decisions by institutions and officials in cases of administrative violations and breaches of law;

21) rulings of the court or judge in administrative violations cases;

3) enforcement orders issued the basis of administrative acts (Section 539, Paragraph two, Clause 2 of this Law);

4) decisions of a judge on carrying out of undisputed enforcement of obligations, enforcement of obligations according to warning procedures or the voluntary sale at auction of immovable property through the court;

5) court decisions on application of procedural sanctions - imposition of a fine;

6) invoices issued by notaries, advocates and bailiffs;

7) European Enforcement Order issued by a foreign court or competent authority in accordance with Regulation No 805/2004 of the European Parliament and of the Council;

71) certificates issued by foreign courts or competent authorities in accordance with Article 41(1) of Council Regulation No 2201/2003;

8) certificates issued by foreign courts or competent authorities in accordance with Article 42(1) of Council Regulation No 2201/2003;

9) [4 February 2016 / See Paragraph 113 of Transitional Provisions];

10) a certificate issued by a court, also a foreign court, in accordance with Article 20(2) of Regulation No 861/2007 of the European Parliament and of the Council;

11) a European order for payment issued by a court, also a foreign court, in accordance with Article 18 of Regulation No 1896/2006 of the European Parliament and of the Council;

12) a court decision on permission for a secured creditor to sell the pledged property of the debtor in the legal protection proceedings (Section 37, Paragraph two of the Insolvency Law);

13) an extract from the ruling issued by the court or competent authority of the foreign country in accordance with Article 20(1)(b) of Council Regulation No 4/2009;

14) an extract from the authentic instrument issued by the competent authority of the foreign country in accordance with Article 48 of Council Regulation No 4/2009;

15) the uniform instrument permitting enforcement in the requested Member State and laid down in Annex II to Commission Implementing Regulation (EU) No 1189/2011 of 18 November 2011;

16) the notarial deeds of enforcement issued in accordance with Division D1of the Notariate Law;

17) a certificate issue of a foreign court or competent institution in accordance with Article 53 or 60 of Regulation (EU) No 1215/2012 of the European Parliament and of the Council of 12 December 2012 on jurisdiction and the recognition and enforcement of judgments in civil and commercial matters (hereinafter - Regulation No 1215/2012 of the European Parliament and of the Council);

18) a true copy of the decision of a competent institution of the European Union Member State or European Economic Area State on imposition of an administrative fine related to infringements in the field of the posting of workers and received in the Internal Market Information System (IMI);

19) part A of a European Account Preservation Order issued by a court, also a foreign court, in accordance with Article 19(1)(a) of Regulation No 655/2014 of the European Parliament and of the Council.

[31 October 2002; 19 June 2003; 12 February 2004; 7 April 2004; 17 February 2005; 7 September 2006; 26 October 2006; 5 February 2009; 30 September 2010; 9 June 2011; 8 September 2011; 15 March 2012; 23 May 2013; 30 October 2014; 29 October 2015; 4 February 2016; 8 December 2016 / Clause 19 regarding the European Account Preservation Order shall come into force on 18 January 2017. See Paragraph 121 of Transitional Provisions]

Section 541. Issuing of Writs of Execution

(1) A writ of execution shall be drawn up by a court of first instance or an appellate court after a judgment or a decision has entered into lawful effect, but in cases where the judgment or the decision is to be enforced without delay, immediately after the judgment is declared or the decision taken.

(2) If the enforcement of the court judgment specifies a time period for voluntary enforcement and the judgment has not been enforced, a court shall issue the writ of execution after the termination of the time period for voluntary enforcement.

(3) A writ of execution shall be issued to a creditor at his or her written request by the court in which the case is then found.

(31) In the case referred to in Section 539, Paragraph two, Clause 4 of this Law a writ of execution shall be issued to a creditor upon his or her written request by the Vidzeme Suburb Court of Riga City.

(32) In the case referred to in Sections 544.1 and 544.2 of this Law a writ of execution shall be issued to a creditor upon his or her written request by the district (city) court based on the place of enforcement of the ruling or based on the declared place of residence, but if none, the place of residence of a debtor - natural person or based on the legal address of a legal person.

(4) If in accordance with a court judgment an amount of money is to be collected as State revenues, after the termination of the time period for voluntary enforcement a court shall send a writ of execution to a bailiff based on the declared place of residence, but if none, the place of residence of a debtor, if a natural person, or the legal address, if a legal person.

[31 October 2002; 17 February 2005; 5 February 2009; 8 September 2011; 29 November 2012; 30 October 2014]

Section 541.1 European Union Enforcement Documents and Service of Documents Associated with Enforcement

(1) A court shall draw up a European Enforcement Order based upon European Parliament and Council Regulation No 805/2004 on the basis of request from a creditor when the judgment or decision has entered into lawful effect, but in cases where the judgment or decision has to be enforced without delay - immediately after declaration of the judgment or the taking of the decision.

(2) A court shall draw up the certificate referred to in Article 41(1) or Article 42(1) of Council Regulation No 2201/2003, based upon the provisions of the regulation, on its own initiative or the request of a participant in the case when the judgment or decision has entered into lawful effect, but in cases where the judgment or decision has to be enforced without delay - immediately after the declaration of the judgment or the taking of the decision.

(3) A court shall draw up the certificate referred to in Articles 54 and 58 of Lugano Convention on jurisdiction and the recognition and enforcement of judgments in civil and commercial cases of 30 October 2007 and certificates referred to in Article 39 of Council Regulation No 2201/2003 upon request of a participant in the case.

(4) A court shall draw up the form referred to in Article 6(2) and (3) of Regulation No 805/2004 of the European Parliament and of the Council upon request of a participant in the case.

(41) A court shall draw up the certificate referred to in Article 20(2) of Regulation No 861/2007 of the European Parliament and of the Council upon request of a participant in the case.

(42) A court shall draw up a European order for payment in accordance with Article 18 of Regulation No 1896/2006 of the European Parliament and of the Council.

(43) The court shall issue the extract from the ruling referred to in Article 20(1)(b) of the Council Regulation No 4/2009 upon a request of a participant in the case, when the judgment or decision has entered into lawful effect, but in the cases when the judgment or decision is to be enforced without delay - immediately after declaration of the judgment or taking of the decision.

(44) The court shall draw up the certificate referred to in Articles 53 and 60 of Council Regulation No 1215/2012 upon a request of a participant in the case, when the judgment or decision has entered into lawful effect, but in the cases when the judgment or decision is to be enforced without delay - immediately after declaration of the judgment or taking of the decision.

(45) The court shall draw up the certificate referred to in Article 5 of the Regulation (EU) No 606/2013 of the European Parliament and of the Council of 12 June 2013 on mutual recognition of protection measures in civil matters (hereinafter - Regulation No 606/2013 of the European Parliament and of the Council) upon a request of a plaintiff when a decision is taken. The court shall notify the plaintiff of the service of the certificate abovementioned in this Paragraph in accordance with Article 8 of Regulation No 606/2013 of the European Parliament and of the Council. The court shall, upon request of the plaintiff, carry out transliteration and translation of the certificate abovementioned in this Paragraph, on the basis of Article 5(3) of Regulation No 606/2013 of the European Parliament and of the Council.

(46) A court shall draw up the certificate referred to in Article 14 of Regulation No 606/2013 of the European Parliament and of the Council upon request of a participant in the case.

(5) The court, in which the case is located at that time, shall serve the documents referred to in Paragraphs one, two, three, four, 4.1, 4.3, 4.4, 4.5 and 4.6 of this Section.

(6) A court shall take a reasoned decision to refuse to serve the documents referred to in Paragraphs one, two and 4.5 of this Section.

(7) An ancillary complaint may be submitted in respect of refusal by a court to serve the documents referred to in Paragraphs one, two and 4.5 of this Section.

[7 September 2006; 5 February 2009; 9 June 2011; 8 September 2011; 29 November 2012; 30 October 2014 / Amendments in relation to Council Regulation No 44/2001 and Regulation No 1215/2012 of the European Parliament and of the Council shall come into force on 10 January 2015. In its turn amendments in relation to Regulation No 606/2013 of the European Parliament and of the Council shall come into force on 11 January 2015. See Paragraphs 97 and 98 of Transitional Provisions]

Section 542. Issuing Several Writs of Execution for One Judgment

(1) One writ of execution shall be issued for each judgment.

(2) If the enforcement of a judgment is to be carried out in several places, a judgment in a part thereof is to be enforced without delay or a judgment has been given for the benefit of several plaintiffs or is directed against several defendants, a court shall, upon a request of the creditor, issue several writs of execution. Where several writs of execution are issued, there shall accurately be set out in each of them the place of enforcement or that part of the judgment under which such writ of execution is to be enforced, but in cases of joint collection, also the defendant against whom recovery is directed under such writ of execution.

[31 October 2002]

Section 543. Contents of a Writ of Execution

(1) There shall be set out in a writ of execution:

1) the name of the court which has issued the writ of execution;

2) the case in which the writ of execution has been issued;

3) the time when the ruling was given;

4) the operative part of the ruling;

5) the time when the ruling enters into lawful effect, or an indication that the ruling shall be enforced without a delay;

6) when the writ of execution was issued;

7) information concerning the creditor and the debtor: for natural persons - the given name, surname, personal identity number, declared place of residence, the additional address (addresses) indicated in the declaration and place of residence, if different, but for legal persons - the name, legal address and registration number;

8) information regarding the child - given name, surname, personal identity number and location - in cases when a decision on return of a child to the state, which is his or her place of residence, or ruling in the case arising from custody or access rights is to be enforced;

9) information regarding the access person in the presence of which the access rights are to be exercised (for natural persons - given name, surname, personal identity number and address, for legal persons - name, legal address and registration number), if in the ruling in the case arising from the access rights the access person is determined in the presence of which the access is to be exercised, and the abovementioned person is not a representative of the Orphan's court or a person authorised by the Orphan's court;

10) information regarding the place where the access rights are to be exercised, if the place for exercising the access rights, other than premises of the Orphan's court, is determined in the ruling in the case arising from the access rights;

11) information regarding opening of premises by force - the address and time period when the premises shall be opened - if the court has determined that the premises shall be opened by forced enforcement (Section 244.13, Paragraph eleven of this Law) in the ruling on the review of the time and place for exercising the access rights).

(2) A writ of execution shall be signed by a judge and shall be confirmed with the seal of the court.

(3) The contents of other enforcement documents shall be as prescribed by applicable laws.

[31 October 2002; 4 August 2011; 29 November 2012; 29 October 2015]

Section 543.1 Correction of Errors in European Union Enforcement Documents

(1) A court, which has given a judgment or taken a decision, on the basis of a request by a participant in the case may rectify errors in a European Enforcement Order, based on Article 10 of Regulation No 805/2004 of the European Parliament and of the Council, in the certificate referred to in Article 41(1) or Article 42(1) of Council Regulation No 2201/2003, based on Council Regulation No 2201/2003, or in the certificate referred to in Article 5 of Regulation No 606/2013 of the European parliament and of the Council, on the basis of Article 9(1) (a) of Council Regulation No 606/2013. A court may correct mistakes in the certificate referred to in Article 5 of Regulation No 606/2013 of the European Parliament and of the Council also upon its own initiative.

(2) In submitting an application for the rectifying of a European Enforcement Order, the form referred to in Article 10(3) of Regulation No 805/2004 of the European Parliament and of the Council shall be used.

(3) The issue of correction of errors shall be examined in a court hearing, previously notifying the participants in the case thereof. Failure of such persons to attend shall not constitute a bar for the examination of the issue.

(4) Errors in the enforcement document referred to in Paragraph one of this Section shall be rectified by a court decision.

(5) An ancillary complaint may be submitted in respect of a decision of a court to the correction of errors made in enforcement documents.

[7 September 2006; 30 October 2014 / Amendment to Section in relation to Regulation No 606/2013 of the European Parliament and of the Council shall come into force on 11 January 2015. See Paragraph 98 of Transitional Provisions]

Section 544. Issuing a Duplicate Copy of a Writ of Execution

(1) If a writ of execution has been lost, stolen or destroyed the court which has made the ruling may, upon an application of the creditor or, if this has occurred during the process of enforcement of the judgment, upon an application of the bailiff, issue a duplicate copy of the writ of execution. There shall be set out in the application the circumstances in which the document was lost, stolen or destroyed.

(2) An application for the issue of a duplicate copy shall be examined in a court hearing, upon prior notice to the creditor and the debtor thereof. Failure of such persons to attend shall not constitute a bar for the examination of the application for the issuing of the duplicate copy of the writ of execution.

(3) In making a decision to issue a duplicate copy of a writ of execution, a court shall at the same time declare the lost, stolen or destroyed writ of execution to have ceased to be in effect, and exempt the creditor from the payment of office fees if it is not found that the creditor is at fault for the loss, destruction or theft of the writ of execution.

(4) An ancillary complaint may be submitted regarding a decision of a court.

(5) The duplicate copy of the writ of execution shall be issued to the creditor after the decision has come into effect and office fees have been paid, unless the creditor has been exempted therefrom.

[31 October 2002]

Section 544.1 Enforcement of Decisions by Labour Disputes Commissions

(1) A decision of a labour disputes commission shall be attached to an application submitted to the court for the issuing of a writ of execution.

(2) A decision to issue a writ of execution or a reasoned refusal to issue such shall be taken by a judge sitting alone on the basis of the submitted application and the decision of the labour disputes commission attached thereto within three days from the day the application was submitted, without summoning the parties.

(3) The decision to issue a writ of execution shall come into effect without delay.

(4) An ancillary complaint may be submitted regarding a decision to refuse issuing of a writ of execution within 10 days from the day when a true copy of the decision has been issued to the plaintiff.

(5) The court shall refuse issuing of a writ of execution if it finds that in accordance with law the specific dispute may only be resolved at court.

[31 October 2002; 5 February 2009]

Section 544.2 Enforcement of Decisions by the Regulator on Examination of Dispute

(1) A decision of the regulator on examination of a dispute shall be attached to an application submitted to the court for the issuing of a writ of execution.

(2) A decision to issue a writ of execution or a reasoned refusal to issue it shall be taken by a judge sitting alone on the basis of the submitted application and the decision of the regulator on examination of a dispute attached thereto within three days from the day when the application was submitted, without summoning the parties.

(3) The decision to issue a writ of execution shall come into effect without delay.

(4) An ancillary complaint may be submitted regarding a decision to refuse issuing of a writ of execution within 10 days from the day when a true copy of the decision has been issued to the plaintiff.

(5) The court shall refuse issuing of a writ of execution if it finds that in accordance with law the specific dispute may only be resolved at court.

[8 September 2011]

Section 545. Liability for Storage of an Enforcement Document

A court may impose a fine of up to EUR 150 on an official who has failed to ensure the storage of an enforcement document deposited with him or her. An ancillary complaint may be submitted regarding the decision of the court.

[12 September 2013; 9 June 2016]

Section 545.1 Withdrawal of a European Enforcement Order and Certificate Referred to in Article 5 of Regulation No 606/2013 of the European Parliament and of the Council

(1) A court, which has given a judgment or taken a decision after receipt of an application from a participant in the case, using the form referred to in Article 10(3) of Regulation No 805/2004 of the European Parliament and of the Council, may withdraw a European Enforcement Order, based upon Article 10 of Regulation No 805/2004 of the European Parliament and of the Council.

(11) A court, which has taken a decision after receipt of an application from a participant in the case or upon its own initiative, using the certificate referred to in Article 14 of Regulation No 606/2013 of the European Parliament and of the Council, may withdraw the certificate referred to in Article 5 of Regulation No 606/2013 of the European Parliament and of the Council on the basis of Article 9 (1) (b) of Council Regulation No 606/2013.

(2) An application for withdrawal of a European Enforcement Order or withdrawal of the certificate referred to in Article 5 of Regulation No 606/2013 of the European Parliament and of the Council shall be examined in a court hearing by notifying the participants in the case thereof in advance. Failure of such persons to attend shall not constitute a bar for the examination of the issue.

(3) An ancillary complaint may be submitted regarding a decision of a court.

[7 September 2006; 30 October 2014 / Amendments in relation to Regulation No 606/2013 of the European Parliament and of the Council shall come into force on 11 January 2015. See Paragraph 98 of Transitional Provisions]

Section 546. Time Periods for Submission of Enforcement Documents for their Enforcement

(1) Enforcement documents may be submitted for forced enforcement within 10 years from the day when a ruling of a court or a judge comes into effect, provided that other limitation periods are not provided for in law.

(2) Where periodic payments are recovered as a result of a court judgment, the enforcement document shall remain in effect for the whole period during which the periodic payments have been adjudged, but the running of the time period provided for by Paragraph one of this Section shall begin from the final day for each payment.

(3) Time periods within which other enforcement documents specified in Section 540 of this Law shall be submitted for enforcement shall be prescribed by applicable laws.

[31 October 2002]

Section 547. Suspension of Limitation Periods for Submission of Enforcement Documents

(1) A limitation period shall be stayed upon an enforcement document being submitted for enforcement. The limitation period shall also be stayed by partial voluntary enforcement of a ruling.

(2) After suspension, the running of the limitation period shall begin anew, excluding the time period elapsed. If complete recovery has not been made pursuant to the enforcement document and the document has been returned to the creditor, a new time period for submission of the document shall be calculated from the day when it has been provided to the creditor.

[31 October 2002]

Section 547.1 Time Periods within which Requests for Assistance of Recovery shall be Enforced

If an enforcement document is issued for enforcement of a foreign tax claim, enforcement shall be carried out within a time period indicated in the request of a foreign institution for assistance of recovery, but in case of changes therein within a time period indicated by the foreign institution in the notification submitted to the State Revenue Service.

[15 March 2012]

Chapter 68
Status of a Bailiff

Section 548. Bailiff

(1) Court rulings and other rulings set out in Section 539 of this Law shall be enforced by a bailiff.

(2) Supervision of bailiff's activities shall be performed in accordance with the procedures laid down by this Law and the Law On Bailiffs.

[31 October 2002]

Section 549. General Provisions Regarding the Activities of Bailiffs

(1) A bailiff shall, pursuant to an application in writing by a creditor and in cases set out in law pursuant to the initiative of the Latvian Council of Sworn Bailiffs, competent authorities or a court, commence enforcement activities on the basis of an enforcement document.

(2) A bailiff must accept for enforcement the enforcement document if the place of residence of the debtor (for legal persons - legal address), location of his or her property or workplace is located within the specified borders (district) of the official appointment location of the bailiff, as well as in the case referred to in Paragraph 2.1 of this Section. A bailiff may also accept other enforcement documents, which are to be enforced within the operational territory of the regional court to which the bailiff is attached.

(21) A bailiff shall accept for enforcement a decision by an institution on forced enforcement of sanctions specified by international organisations, and the amount of the official remuneration rates and the performance of enforcement activities necessary expenses shall be covered from State budget funds according to the procedures stipulated by the Cabinet.

(22) A bailiff shall accept for enforcement an enforcement document regarding return of a child to the state, which is his or her place of residence, an enforcement document in the case arising from custody or access rights, or the enforcement document indicated in Section 540, Clause 7.1or 8 of this Law, if location of the child is within the specified boundaries (district) of the official appointment location of the bailiff.

(23) If the place of residence of the debtor (for legal persons - legal address), location of his or her property or workplace is not in Latvia, the bailiff must accept for enforcement the enforcement document referred to in Section 540, Clause 19 of this Law, irrespective of the place of residence of the debtor (for legal persons - legal address), location of his or her property or workplace.

(3) A bailiff shall perform enforcement of judgments outside the boundaries of his or her district, as well as in relation to debtors whose place of residence (for legal persons - legal address) is another district in communication with the bailiff of the relevant district in accordance with the procedures, which are determined by the Cabinet.

(4) The enforcement of a judgment on Sundays and holidays is permitted only in cases of emergency.

(5) Enforcement of a judgment between 24:00 and 6:00 o'clock is not permitted.

(6) Creditors and debtors have the right to be present during enforcement activities, inviting not more than two witnesses, and to obtain information concerning the enforcement of the judgment.

(7) The bailiff pursuant to his or her own initiative or upon request of the interested party, by taking a relevant decision, may correct clerical errors in the procedural documents drawn up in the enforcement cases within his or her management. Prior to correction of errors he or she shall request a reference from the persons who participated in the drawing up of the statement. Obvious errors may be corrected without requesting a comment. The decision of the bailiff in accordance with which errors are corrected shall have no consequences in respect of persons whose rights or obligations arise from the procedural document.

[31 October 2002; 19 June 2003; 7 September 2006; 26 October 2006; 4 August 2011; 29 October 2015; 8 December 2016 / Paragraph 2.3 regarding the European Account Preservation Order shall come into force on 18 January 2017. See Paragraph 121 of Transitional Provisions]

Section 550. Withdrawal or Removal of a Bailiff

(1) A bailiff is prohibited from performing enforcement activities in cases, where one of the parties is the bailiff himself or herself, his or her spouse, including former spouse, his or her or his or her spouse's kin in a direct line of all degrees, in collateral line - to the fourth degree and in affinity relations - to the third degree, persons under guardianship and trusteeship of the bailiff or his or her spouse or adopters or adoptees of the bailiff or his or her spouse, as well as in case there are other circumstances under the influence of which the bailiff cannot retain objectivity and neutrality due to justified reasons.

(2) Removal of a bailiff, by submitting a written application to him or her, may be applied for by a creditor or a debtor if there are circumstances, which cause well-founded doubt regarding the objectivity of the bailiff. The bailiff shall decide on the application without delay. A decision by which the application has been left without satisfaction may be appealed to the district (city) court according to the official appointment location of the bailiff. Submission of a complaint shall not stay enforcement activities.

(3) An ancillary complaint may be submitted regarding a court decision to refuse removal of a bailiff.

(4) If a bailiff has withdrawn himself or herself or has been removed, he or she shall transfer enforcement document for enforcement to another bailiff in accordance with the procedures laid down in the Latvian Council of Sworn Bailiffs.

[31 October 2002; 5 February 2009]

Section 551. Mandatory Nature of a Bailiff's Requirements or Orders

(1) Requirements and orders of a bailiff, when executing court judgments and other rulings, are mandatory for all natural or legal persons throughout the territory of the State. Information necessary to ensure enforcement of judgments and other rulings shall be provided free of charge to a sworn bailiff of a State institution.

(2) If a bailiff's requirements or orders are not enforced, the bailiff shall draw up a statement and submit it to a court to decide the issue regarding liability. The court may impose a fine on persons at fault - for a natural person up to EUR 360, but for an official up to EUR 750. An ancillary complaint may be submitted regarding the decision of the court.

(3) A court may impose a fine of up to EUR 150 on a person (employer) who pursuant to a court ruling was required to deduct child or parent support and who within the time period laid down in law has not notified the bailiff and the receiver of support, of the dismissal from employment of the payer of support and of his or her new place of work or residence, if such person had knowledge thereof. An ancillary complaint may be submitted regarding the decision of the court.

(4) If, when a judgment is being enforced, resistance is shown, a bailiff shall, in the presence of invited persons, but if it is not possible to invite persons - singly, draw up a statement thereon, and in order to eliminate hindrances apply for assistance to the police. The statement shall be submitted to the court for it to decide the issue regarding the liability of those persons who have resisted the enforcement of the judgment.

(5) If the creditor or the debtor refuses to sign the statement drawn up by the bailiff, a notation in respect of that shall be made in the drawn up statement, specifying the reasons for the refusal. Refusal to sign the statement drawn up by the bailiff shall not affect the effect of the statement.

[31 October 2002; 19 June 2003; 9 June 2011; 23 May 2013; 12 September 2013; 9 June 2016]

Section 552. Obligations of Debtors and Consequences for Failing to Fulfil Them

(1) A debtor, pursuant to a summons, shall attend before a bailiff and provide explanations regarding his or her financial situation and place of work by concurrently providing information on the sums exempt from the bringing of recovery proceedings (Section 596).

(2) A debtor shall notify a bailiff of a change of place of work or declared place of residence, the additional address indicated in the declaration or place of residence during enforcement of the ruling, as well as of additional sources of income.

(3) If a debtor does not appear before a bailiff pursuant to a summons, refuses to furnish explanations or does not provide the information laid down in law, the bailiff may apply to a court for it to decide on the issue of the liability of such person. The court may take a decision on the forced conveyance of the debtor, and impose on a natural person a fine of up to EUR 80, but on an official - of up to EUR 360. An ancillary complaint may be submitted regarding the decision of the court.

(4) If the information provided by the debtor is found to be false, a bailiff shall send an application to a public prosecutor.

[31 October 2002; 19 June 2003; 8 September 2011; 29 November 2012; 12 September 2013; 29 October 2015, 9 June 2016]

Chapter 69
General Provisions for Enforcement Proceedings

Section 552.1 Implementation of an Enforcement Case

(1) A bailiff shall initiate a separate enforcement case for each enforcement document received.

(2) If an enforcement document has not been drawn up in accordance with the procedures laid down in the law or the documents required in accordance with the international agreements binding upon the Republic of Latvia or legal norms of the European Union have not been attached thereto, the State fee or other enforcement of judgment expenses have not been paid, a bailiff shall determine a time period for the elimination of deficiencies which may not be shorter than 10 days.

(3) If deficiencies are eliminated within the time period specified, an enforcement case shall be initiated and the enforcement document shall be deemed to have been submitted on the date when it was first submitted to the bailiff.

(4) If the creditor fails to eliminate deficiencies within the time period specified, the enforcement document shall be deemed not to have been submitted and it shall be returned to the creditor.

(5) Returning of the enforcement document to the creditor shall not constitute a bar for the repeated submission thereof to the bailiff in conformity with the procedures for submission of enforcement documents laid down in law.

(6) If a bailiff finds that an insolvency procedures of a debtor have been declared, an enforcement case shall not be initiated and enforcement document shall be returned to an applicant, except in cases when the enforcement document is issued in claims the enforcement of which is not related to the bringing of recovery proceedings against the property or money resources of a debtor. The enforcement case shall also not be initiated regarding voluntary sale of the immovable property at an auction or transfer of movable property.

[31 October 2002; 30 September 2010; 18 April 2013; 30 October 2014]

Section 553. Explanation of a Court Ruling to be Enforced

If the court ruling to be enforced is not clear, a bailiff is entitled to request the court which has made the decision, to explain it. Explanation of the ruling shall take place in accordance with the procedure specified in Section 202 or 437 of this Law.

[31 October 2002]

Section 554. Postponement, Division into Time Periods, Varying the Form and Procedure of Enforcement of a Judgment

(1) If there are circumstances which make the enforcement of a court judgment difficult or impossible, a bailiff is entitled to submit a proposal for the postponement, division into time periods, varying the form and procedure of enforcement of the judgment to the court which gave the judgment in the case.

(2) An application by the bailiff for the postponement, division into time periods, varying the form and procedure of enforcement of the judgment shall be examined by the court in accordance with the procedures laid down in Section 206 or 438 of this Law.

[31 October 2002]

Section 555. Notification of an Obligation to Enforce the Ruling

(1) A bailiff, when about to commence enforcement, shall notify the debtor by sending or issuing a notification regarding an obligation to enforce the ruling within 10 days. If the ruling is to be enforced without a delay, the time period for voluntary enforcement of not less than three days shall be set. In the cases regarding the recovery of remuneration for work, reinstatement to employment (position), compensation for mutilation or other injury to health, and also regarding the recovery of the maintenance as a result of the death of a person who had an obligation to support someone, a notification regarding an obligation to enforce the judgment shall not be sent.

(11) Commencing enforcement of the enforcement document referred to in Section 540, Clause 17 of this Law (except in cases when the enforcement document provides for enforcement of the securing of a claim or means of provisional protection), a bailiff shall, together with a notification, send or issue a copy of the enforcement documents to a debtor. If it cannot be seen from the documents submitted to the bailiff, that the court ruling, an authentic instrument or settlement to be enforced has been issued to a debtor, a copy of the court ruling, the authentic instrument or settlement to be enforced shall also be attached to a copy of the enforcement document.

(2) If the debtor is a natural person, the bailiff shall send the notification to the debtor by registered mail to his or her last known place of residence or issue it to the debtor in person for which the debtor shall sign. If the bailiff does not meet the debtor at their place of residence, the bailiff shall give the notification to an adult family member residing with the debtor.

(3) If the place of residence of the debtor - a natural person - is not known, the notification of an obligation to enforce the ruling shall be published in the official gazette Latvijas Vēstnesis.

(4) If the debtor is a legal person, the bailiff shall send the notification by registered mail to the legal address or issue it in person to a representative of the executive body of the debtor for which he or she shall sign.

(5) If the debtor or a representative of the executive body of the debtor refuses to accept or sign the notification, the bailiff or the server of the proposal shall draw up a statement in respect of that in the presence of two invited persons. Refusal to accept or sign the notification shall not constitute a bar for the enforcement of the ruling.

(6) If a notification (in the case referred to in Paragraph 1.1 of this Section - also specified copies of the documents) has been delivered in accordance with the procedures laid down in this Section, it shall be regarded that a debtor has been notified regarding the ruling and time period for enforcement thereof.

(7) In any stage of enforcement procedure the bailiff may:

1) request that the debtor declare his or her financial situation and changes therein during the last year, warning the debtor regarding criminal liability;

2) seize debtor's property, including the seizing of funds and deposits in a credit institution or with other payment service providers, funds due from other persons or property which is located by other persons;

3) submit a request for corroboration to the Land Registry Office regarding making of a notation in the Land Register regarding recovery or send an order to another public register for the entering of an alienation or prohibition of other activities.

[31 October 2002; 19 June 2003; 5 February 2009; 4 August 2011; 8 September 2011; 29 November 2012; 30 October 2014; 29 October 2015; 23 November 2016 / Amendments to the Section shall come into force on 1 July 2017. See Paragraph 120 of Transitional Provisions]

Section 556. Enforcement of a Court Judgment

[8 September 2011]

Section 557. Enforcement Measures

Enforcement measures are:

1) bringing of recovery proceedings against the movable property of a debtor, including the property in the possession of other persons and intangible property, by sale thereof;

2) bringing of recovery proceedings against money due to the debtor from other persons (remuneration for work, payments equivalent thereto, other income of the debtor, deposits in credit institutions or with other payment service providers);

3) bringing of recovery proceedings against the immovable property of the debtor, by sale thereof;

4) transfer of the property adjudged by the court to the creditor and performance of activities imposed by a court judgment;

5) eviction of persons and removing of property specified in the judgment from premises;

6) placing in possession;

61) return of a child to the state, which is his or her place of residence;

7) other measures as set out in a judgment.

[31 October 2002; 4 August 2011; 23 November 2016 / Amendments to the Section shall come into force on 1 July 2017. See Paragraph 120 of Transitional Provisions]

Section 558. Inspection of Premises of a Debtor

(1) A bailiff is entitled, where it is necessary to carry out enforcement, to carry out inspection of the premises or storage-places of a debtor. If the debtor does not participate in the inspection of such premises or storage-places, it shall be carried out in the presence of invited persons.

(2) If a debtor refuses to allow a bailiff entry into premises the debtor is in occupation of or the place where property is located, or refuses to open a storage-place, the bailiff shall invite a police representative, in the presence of whom the premises or the storage-places shall be opened and the inspection thereof conducted.

(3) If the manager of immovable property owned by the debtor during enforcement of a ruling avoids or refuses to allow a bailiff entry into the immovable property and the manager has been notified of the time of inspection of the immovable property in writing at least five days in advance, the bailiff may conduct inspection of the immovable property in the presence of a police representative without participation of the manager.

[31 October 2002; 19 June 2003]

Section 559. Postponement of Enforcement Activities

(1) A bailiff shall postpone enforcement activities on the basis of an application by a creditor or of a decision by a court or a judge for the postponement of enforcement activities or stay of sale of property taken in accordance with Section 138, Paragraph one, Clause 7 of this Law or a court decision on the postponement of the enforcement of the judgment or the dividing thereof into time periods, which has been taken in accordance with Section 206, 438, 644.1, 620.16, 620.22 or 620.29 of this Law.

(2) A bailiff may postpone an enforcement activity on the basis of a court decision on the enforcement replacement of a foreign court or a ruling of the competent authority with the measures provided for in Section 138 of this Law to ensure the enforcement of such decision (Section 644.2).

(21) A bailiff shall postpone the bringing of recovery proceedings against the property upon which an attachment has been imposed in accordance with the procedures of criminal proceedings and for the marketing of which the person directing proceedings has not provided the consent until revocation of attachment of property in the criminal proceedings or receipt of consent from the person directing proceedings.

(3) A bailiff shall notify a creditor and a debtor of the postponement of enforcement activities if it is not possible to be performed due to technical or other reasons independent of the bailiff.

(4) If within 30 days after the day of sending of the documents referred to in Section 555, Paragraph 1.1 of this Law a bailiff receives a request of a debtor to send a translation of the court adjudication, authentic instrument or settlement to be enforced, a bailiff, having established the circumstances referred to in Article 43(2) of Regulation No 1215/2012 of the European Parliament and of the Council, shall suspend enforcement activity until sending the translation to the debtor.

[31 October 2002; 19 June 2003; 7 September 2006; 5 February 2009; 4 August 2011; 30 October 2014; 29 October 2015]

Section 560. Obligation of a Bailiff to Stay Enforcement Proceedings

(1) A bailiff shall stay enforcement proceedings if:

1) a natural person who is a debtor or a creditor dies or the legal person who is a debtor ceases to exist, and the legal relations established by the court allow the taking over of rights;

2) the capacity to act of the debtor has been restricted by a court judgment to the extent in which enforcement proceedings are taking place;

3) the Supreme Court in the assignments hearing has taken a decision to stay enforcement of the judgment;

4) enforcement of a decision of an institution or an official shall be stayed in accordance with the law or a court ruling;

5) a court or a judge has taken a decision to stay enforcement of obligations (Sections 406 and 406.10);

6) a court has taken a decision to staythe enforcement of a ruling of a foreign court or competent authority (Section 644.2);

7) legal protection proceedings have been initiated for a debtor or a ruling on the implementation of legal protection proceedings has been given in the case of extrajudicial legal protection proceedings;

8) insolvency proceedings of a natural person have been declared for the debtor;

9) in a case regarding return of a child to the state, which is his or her place of residence, or in a case arising from custody rights, the Orphan's Court cannot ascertain the daily regimen of the child or it is not possible to meet the child;

10) an act on evasion from enforcement of the ruling in a case arising from access rights is sent to the Orphan's Court.

(2) If there is a decision taken in accordance with the procedures laid down in law to privatise an undertaking or company, enforcement proceedings, upon request of the institution carrying out the privatisation, shall be stayed except for enforcement proceedings regarding compensation for losses in the event of an occupational accident or disease.

(21) If a debtor whose debt is being recovered on the basis of the uniform instrument permitting the enforcement in the receiving Member State, has contested or appealed a claim in the receiving Member State or has submitted a complaint regarding the enforcement activities carried out in the receiving Member State and the procedure for the examination of the complaint has been initiated in the institution of the Member State, enforcement proceedings upon a request of the State Revenue Service shall be stayed in relation to the disputed or appealed part of the claim and according to the request of the institution of such Member State which has requested mutual assistance for the recovery of claims.

(22) If a debtor, whose debt is being recovered, on the basis of the decision of a competent institution of the European Union Member State or European Economic Area State regarding imposition of an administrative fine related to infringements in the field of the posting of workers, has contested or appealed a decision in the receiving Member State, enforcement proceedings upon request of the State Labour Inspectorate shall be stayed in relation to the disputed or appealed part of the decision and in accordance with a notification of the receiving Member State.

(3) In the case referred to in Paragraph one, Clause 7 of this Section a bailiff shall deduct the enforcement of judgment expenses from the sum recovered and satisfy the claim of the creditor in accordance with the procedures laid down in this Law. If the plan for measures of legal protection proceedings has been approved, the bailiff shall deduct the enforcement of judgment expenses from the sum recovered and satisfy the claim of the creditor in the amount and in accordance with the procedures laid down in the plan for measure of legal protection proceedings.

(4) In the case referred to in Paragraph one, Clause 8 of this Section a bailiff shall complete the commenced sale of the property, is any has been already announced or the property has been transferred to a commercial undertaking for sale, except in the case when in the plan for sale of the property of a natural person it is intended to postpone the sale of the dwelling in accordance with Section 148 of the Insolvency Law. From the money received from the sale the bailiff shall deduct the enforcement of judgment expenses and transfer the remaining money to the administrator for covering of creditors' claims in accordance with the procedures laid down in the Insolvency Law, taking into account the rights of the secured creditor.

(5) Provisions of Paragraph one, Clause 8 of this Section shall not apply to enforcement cases regarding claims the enforcement of which is not related to the bringing of recovery proceedings against the property or funds of a debtor. A bailiff shall also stay the enforcement legal proceedings, if the enforcement document has been issued in claims the enforcement of which is related to voluntary sale at auction of immovable property or transfer of movable property.

[31 October 2002; 7 September 2006; 5 February 2009; 11 June 2009; 30 September 2010; 4 August 2011; 15 March 2012; 29 November 2012; 18 April 2013; 30 October 2014; 29 October 2015; 4 February 2016 / Paragraph 2.2 shall come into force on 18 June 2016. See Paragraph 115 of Transitional Provisions]

Section 561. Right of a Bailiff to Stay Enforcement Proceedings

A bailiff may stay enforcement proceedings if:

1) the debtor is placed in a medical treatment institution and this impedes the carrying out of enforcement activities;

2) a complaint is submitted regarding the actions of the bailiff;

3) [31 October 2002].

4) [14 December 2006].

[31 October 2002; 19 June 2003; 14 December 2006]

Section 562. Duration of Stay of Enforcement Proceedings

(1) Enforcement proceedings shall be stayed:

1) in cases provided for in Section 560, Paragraph one, Clause 1 of this Law, until the determination of the successor in interest of the debtor or creditor;

2) in cases provided for in Section 560, Paragraph one, Clause 2 of this Law, until the appointing of a trustee;

3) in cases provided for in Section 560, Paragraph one, Clauses 3, 5 and 6 of this Law, until the time set out in the court decision, or until such decision is revoked;

4) [19 June 2003];

5) in cases provided for in Section 560, Paragraph one, Clause 4 of this Law - until the time when in accordance with law the stay terminates or the time specified in the court ruling or until such ruling is revoked;

6) in cases provided for in Section 560, Paragraph two of this Law, until the determination of the successor in interest of the debtor and transfer of the undertaking to such successor, or the making of amendments to the basic documents of the company in the Enterprise Register;

7) in the case provided for in Section 561, Clause 1 of this Law, until the time when the circumstances mentioned in this Clause have ceased;

8) in cases provided for in Section 561, Clause 2 of this Law, until the time when the court judgment or decision in connection with the complaint enters into lawful effect;

9) [19 June 2003];

10) in the cases provided for in Section 560, Paragraph one, Clause 7 of this Law - until the time when one of the following conditions has set in:

a) legal protection proceedings against the debtor have been terminated,

b) the implementation of legal protection proceedings has been declared in respect of the debtor and it has not been indicated in the judgment regarding the implementation of legal protection proceedings that the debtor's (pledged) property serving as the security has been included in the plan for measures of legal protection proceedings and restrictions are applicable thereto, in accordance with which the secured creditors may not implement their rights to such property,

c) the court provides a permit to sell the pledged property of the debtor in the case referred to in Section 341.5, Paragraph two, Clause 2 of this Law;

11) in the case provided for in Section 560, Paragraph one, Clause 8 of this Law - until the ruling on the termination of the bankruptcy procedure or until the ruling on the termination of the procedure for extinguishing of obligations. Enforcement proceedings shall be resumed in the amount of the remaining debt;

12) in the case provided for in Section 560, Paragraph one, Clause 9 of this Law - until ascertaining the location of a child;

13) in the case provided for in Section 560, Paragraph 2.1 of this Law - until the time when a notification of the State Revenue Service has been received that the ruling given in the procedure for the examination of a complaint on the disputing or enforcement of a claim, according to the information provided by the institution of such Member State which has requested mutual assistance for the recovery of claims has become enforceable;

14) in the case referred to in Section 560, Paragraph one, Clause 10 of this Law - until the time when a decision of the Orphan's Court has come into effect or evaluation of the Orphan's Court has been received;

15) in the case provided for in Section 560, Paragraph 2.2 of this Law - until the time when a notification of the State Labour Inspectorate has been received that the ruling given in the procedure of examination of a complaint regarding disputing or appeal of a decision in accordance with the information provided by the receiving Member State has become enforceable.

(2) During the time when the enforcement proceedings are stayed the bailiff shall not perform enforcement activities.

(21) In the cases referred to in Section 560, Clauses 7 and 8 of this Law the bailiff shall stay the operation of the issued orders for the time period of suspension of enforcement proceedings, retaining the enforcement activities. The bailiff shall notify the storer of the property of the obligation to transfer to the administrator the property the sale of which has not been commenced. The enforcement measures applied shall be cancelled if:

1) a plan for measures of legal protection proceedings where the action with the property owned by the debtors thereof is provided for in and whereto the bailiff has applied enforcement measures;

2) an application of the administrator for the necessity of the property has been submitted within the framework of the bankruptcy procedure.

(3) Enforcement proceedings shall be resumed pursuant to the application of a creditor or the initiative of the bailiff.

(4) In the cases referred to in Paragraph one, Clause 10, Sub-clauses "b" and "c" of this Section the bailiff shall sell only the pledged property in the resumed enforcement proceedings.

[31 October 2002; 19 June 2003; 7 September 2006; 14 December 2006; 11 June 2009; 30 September 2010; 4 August 2011; 15 March 2012; 29 November 2012; 29 October 2015; 4 February 2016 / Paragraph one, Clause 15 shall come into force on 18 June 2016. See Paragraph 115 of Transitional Provisions]

Section 563. Termination of Enforcement Proceedings

(1) Enforcement proceedings, upon request of an interested party, shall be terminated if:

1) the creditor has waived recovery and the court has taken an appropriate decision on it;

2) a settlement between the creditor and the debtor confirmed by the court has been submitted;

3) the claim or obligation is not capable of passing to a successor in interests after the death of such natural person or the cessation of such legal person as was a creditor or a debtor;

4) the limitation period laid down in law for this form of recovery has expired;

5) the court ruling or the decision of the relevant institution or official, on the basis of which the enforcement document has been issued, is revoked;

6) the time period for submission of a notice of appeal, cassation or ancillary complaint regarding a court ruling, on the basis of which the enforcement document has been issued, is renewed;

7) the enforcement of a ruling of a foreign court or a competent authority has been refused (Section 644.3);

8) a foreign court or competent authority withdraws the issued European Enforcement Order in accordance with Regulation No 805/2004 of the European Parliament and of the Council;

9) the court ruling on the termination of legal protection proceedings due to the fulfilment of the plan for measures of legal protection proceedings has been given;

91) enforcement of the decision on return of a child to the state, which is his or her place of residence, or the enforcement document issued by a foreign court or institution and indicated in Section 540, Clause 8 of this Law has been refused;

92) enforcement of the ruling of a foreign court in the case arising from the access rights or the custody rights or of the enforcement document indicated in Section 540, Paragraph 7.1 of this Law has been refused;

10) a court ruling is given on the termination of procedure for extinguishing of obligations, by releasing a natural person from the debt obligations thereof, or a court ruling on the termination of bankruptcy procedure is given, if creditors' claims are not submitted in accordance with the procedures laid down in the Insolvency Law, by concurrently terminating insolvency proceedings of a natural person;

11) a foreign institution withdraws a request of assistance for the recovery of tax, fee, expenses related to recovery or other mandatory payments;

12) a notification of the State Labour Inspectorate has been received, that in accordance with the information provided by the receiving Member State the decision of a competent institution of the European Union Member State or European Economic Area State regarding imposition of an administrative fine related to infringements in the field of the posting of workers has been repealed;

13) a court or a foreign court withdraws the issued European Account Preservation Order or refuses enforcement thereof in accordance with Regulation No 655/2014 of the European Parliament and of the Council.

(2) Enforcement proceedings regarding recovery from legal persons, partnerships, individual merchants, persons registered abroad that perform permanent economic activities in Latvia, and agricultural producers of the monetary amount adjudged shall be terminated according to the application of an administrator, if the debtor in accordance with the procedures laid down in law is declared insolvent. In such case the bailiff shall complete the commenced sale of property if such has already been announced or if the property has been transferred to a trading undertaking for sale unless the administrator has requested to cancel the announced auctions in order to ensure the sale of the property in the composition of aggregations of property. From the money received from the sale the bailiff shall deduct the enforcement of judgment expenses and transfer the remaining money to the administrator for covering of creditors' claims in accordance with the procedures laid down in the Insolvency Law, taking into account the rights of the secured creditor. The bailiff shall notify the storer of the property of the obligation to transfer to the administrator the property the sale of which has not been commenced.

(3) In cases provided for by Paragraph one, Clauses 3 and 4 of this Section, a bailiff may also terminate enforcement proceedings pursuant to his or her own initiative.

(31) In the cases provided for in Paragraph one, Clause 10 of this Section enforcement proceedings regarding the recovery of maintenance, enforcement proceedings regarding claims from breached act, enforcement proceedings regarding claims regarding punishments stipulated in the Latvian Administrative Violations Code and Criminal Law, and also enforcement proceedings regarding claims in respect of compensation for damages related to criminal offence, are not terminated.

(4) If enforcement proceedings are terminated, subsequent to covering of enforcement of judgment expenses all enforcement measures taken by the bailiff shall be cancelled.

(5) Terminated enforcement proceedings may not be recommenced.

(6) If a foreign court or competent authority rectifies a European Enforcement Order, which is issued based upon the Regulation No 805/2004 of the European Parliament and of the Council, the withdrawn part of enforcement of the ruling shall be terminated and enforcement continued in conformity with the rectified European Enforcement Order.

(7) If a court, a foreign court or a competent authority amends a European Account Preservation Order on the basis of the Regulation No 655/2014 of the European Parliament and of the Council, the withdrawn part of enforcement of the ruling shall be terminated and enforcement continued in conformity with the amended European Account Preservation Order.

[31 October 2002; 7 September 2006; 5 February 2009; 30 September 2010; 4 August 2011; 15 March 2012; 29 November 2012; 12 February 2015; 29 October 2015; 4 February 2016; 8 December 2016 / Paragraph one, Clause 13 and Paragraph seven regarding the European Account Preservation Order shall come into force on 18 January 2017. See Paragraph 121 of Transitional Provisions]

Section 564. Procedures for Staying Enforcement Proceedings, Staying Enforcement Record-keeping, Resuming or Terminating Enforcement Proceedings

(1) The bailiff in whose record-keeping the enforcement document is located shall decide as to stay of enforcement proceedings, suspension of enforcement record-keeping, resumption or termination of enforcement proceedings.

(2) A bailiff shall take the decision up to the activity to be stayed or enforced, but not later than within three days from the day of receipt of the submission.

(3) A bailiff shall notify the decision to the creditor, debtor and the relevant third person who has submitted the request within three days after taking of the decision.

[19 June 2003]

Section 565. Returning of an Enforcement Document to a Creditor

(1) An enforcement document pursuant to which recovery has not been carried out or has been incompletely carried out shall be returned to the creditor:

1) pursuant to an application of the creditor;

2) if the debtor does not have any property or income against which recovery may be directed;

3) if the creditor has refused to receive the articles removed from the debtor which are set out in the court judgment;

4) if the debtor does not live or work at the address indicated by the creditor or property of the debtor is not located there;

5) if a creditor who is not exempted from payment of the enforcement of judgment expenses, has not paid such costs;

6) if through application of the enforcement measure indicated by the creditor it is not possible to enforce the judgment and within 10 days after service of an invitation the creditor has failed to notify regarding application of another enforcement measure;

7) if in a case regarding return of a child to the state, which is his or her place of residence, or in a case arising from custody or access rights, a bailiff finds that the location of the child is outside the operational territory of the regional court to which the bailiff is attached, or in a foreign country;

8) if in a case regarding return of a child to the state, which is his or her place of residence, a creditor upon invitation of a bailiff, the Ministry of Justice or the Orphan's Court has not provided for two times the time and place when and where the child is to be taken to, or the time and place (as near as possible to the location of the child) when and where he or she will meet with the child, in order to renew the connection between the creditor and the child;

9) if in the enforcement case arising from custody rights and access rights, a creditor fails to repeatedly arrive in time laid down by the bailiff in order to receive or meet the child;

10) if in relation to evasion from enforcement of the ruling in a case arising from custody or access rights, the custody rights of the debtor have been suspended;

11) if in accordance with Section 620.27 of this Law the bailiff finds that enforcement of the ruling is not possible.

(2) In cases referred to in Paragraph one, Clauses 2, 3 and 4 of this Section, a bailiff shall draw up an appropriate statement.

(21) If in the enforcement case regarding periodical recovery of payments the debt and enforcement of judgment expenses are covered completely, an enforcement document shall be issued to the creditor.

(22) If in the enforcement case arising from the access rights, the bailiff has found that the ruling is being enforced, and also enforcement of judgment expenses are covered, an enforcement document shall be issued to the creditor.

(3) An enforcement document shall be issued to the creditor, if enforcement of judgment expenses have been covered, except in the case when enforcement of judgment expenses shall be covered by the creditor in accordance with the provisions of this Law. When issuing the enforcement document to the creditor, the bailiff shall cancel all enforcement measures taken.

(4) The return of an enforcement document to a creditor shall not constitute a bar for a new submission of such document for enforcement within the time period provided for in law.

(5) The bailiff shall issue the enforcement document according to which enforcement in State revenue is to be performed to the State Revenue Service.

(6) [5 February 2009]

[31 October 2002; 19 June 2003; 17 June 2004; 5 February 2009; 4 August 2011; 29 October 2015]

Section 566. Enforcement of Judgment Expenses

(1) Enforcement of judgment expenses shall include the State fee and expenses related to the enforcement of court judgments (Section 39): remuneration for the bailiff according to the tariff and expenses required for the performance of enforcement activities. They shall be as follows:

1) expenses associated with the delivery and issue of summonses and other documents;

2) expenses relating to the receipt of necessary information in a case for enforcement;

3) expenses relating to bank and other institution services;

4) expenses relating to the storage, transport or destruction of the property of the debtor;

5) travel expenses to the place of enforcement of the judgment;

6) expert fees;

7) payment for the publication of advertisements regarding auction of property, invitations and other necessary advertising during the course of enforcement;

71) expenses relating to examination of the case, which have arisen in relation to the submitting of the application for the corroboration of immovable property in the name of the acquirer;

8) other necessary expenses for the performance of enforcement activities.

(2) [31 October 2002].

(3) In determining the expenses related to securing of a claim, the provisions regarding enforcement of judgment expenses shall be applied insofar as such activities have been performed by the bailiff.

[20 June 2001; 31 October 2002; 20 December 2010; 4 August 2011 / Paragraph three shall come into force on 1 January 2012. See Paragraphs 12 and 56 of Transitional Provisions]

Section 567. Procedures for Paying Enforcement of Judgment Expenses during Enforcement Process

(1) A creditor, when submitting an enforcement document for enforcement, shall indicate a enforcement measure in conformity with provisions of Sections 570 and 572 of this Law, pay the State fee and cover other enforcement of judgment expenses to the extent required for commencement of the enforcement in the manner indicated by the creditor. During enforcement of the judgment the creditor pursuant to bailiff's instructions shall pay additionally required enforcement of judgment expenses. In the cases laid down in law during enforcement of the judgment the enforcement of judgment expenses for separate procedural actions shall be paid by the debtor.

(2) Creditors shall be exempt from payment of enforcement of judgment expenses to the bailiff:

1) in regard to claims regarding the recovery of remuneration for work and other claims of employees and persons in service arising from legal employment or service relations or being related to such;

2) in regard to claims arising from personal injuries that result in mutilation or other damage to health, or the death of a person;

3) in claims regarding the recovery of child maintenance or parent support;

4) in cases where enforcement in State revenue is to be performed;

5) in cases where the person is released from the payment of court expenses by a court decision - fully or partially in conformity with the court decision;

6) in cases where the recovery must be carried out according to the uniform instrument permitting enforcement in the receiving Member State, except in cases when the State Revenue Service has reached an agreement with the institution of the Member State which has requested mutual assistance for the recovery of claims, regarding special procedures for reimbursement of enforcement costs.

(3) In cases where a creditor is exempted from payment of enforcement of judgment expenses, a compensation shall be disbursed to a sworn bailiff from the funds of the State budget for covering of the expenses related to the performance of enforcement activities.

(4) The amount of the expenses necessary for the performance of enforcement activities and procedures for payment thereof, and also the procedures for determination of the amount of compensation and disbursement thereof, when a creditor is exempted from payment of enforcement of judgment expenses, shall be determined by the Cabinet.

(5) [4 February 2016 / See Paragraph 113 of Transitional Provisions]

(6) A bailiff may submit to the State Revenue Service a request of enforcement of judgment expenses necessary for the enforcement to be carried out and request that they reach an agreement with the institution of the relevant Member State, which has requested mutual assistance for the recovery of claims, regarding special procedures for reimbursement of enforcement costs, if at least one of the following cases is found:

1) the enforcement of judgment expenses for tax recovery claim concern a very large amount;

2) recovery is directed towards property of a participant of an organised group, which has been confiscated by a judgment in a criminal case (Article 20 of Council Directive 2010/24/EU).

[31 October 2002; 19 June 2003; 26 October 2006; 5 February 2009; 9 June 2011; 15 March 2012; 19 December 2013; 4 February 2016]

Section 568. Deduction of Enforcement of Judgment Expenses

(1) Enforcement of a judgment shall be performed at the expense of the debtor. When the enforcement document has been submitted for enforcement, voluntary enforcement of a judgment or enforcement of a judgment directly to the creditor shall not exempt the debtor from reimbursement of the enforcement of judgment expenses.

(11) If an enforcement document is issued to a creditor (also in the cases referred to in Section 567, Paragraph two, Clauses 1, 2, 3 and 5 of this Law) in accordance with Section 565, Paragraph one, Clause 1 of this Law or after introduction of the enforcement case the bailiff finds that a debtor has fulfilled his or her obligations prior to submitting the enforcement document, the enforcement of judgment expenses shall be covered by the creditor.

(2) A bailiff shall make a calculation regarding the enforcement of judgment expenses and send it to the debtor and creditor. The calculation may be appealed in accordance with the procedures laid down in Section 632 of this Law.

(3) The calculation shall specify the extent to which the enforcement of judgment expenses shall be reimbursed to the bailiff (remuneration for work), creditor (his or her paid State fee and other judgment enforcement expenses) or transferred to State revenue.

(4) If it is not possible to deduct enforcement of judgment expenses from the debtor or creditor, the bailiff shall issue an invoice on the basis of the calculation drawn up and transfer it for enforcement.

(5) The invoice shall be transferred for enforcement when the time period for appeal of the enforcement of judgment expenses calculation drawn up by the bailiff has expired, but if it has been appealed - after entering into lawful effect of the court ruling.

(6) Costs related to the decision of the court to secure a claim, to specify means of provisional remedy or to enforce a European Account Preservation Order shall be covered by the plaintiff.

(7) If enforcement record-keeping is terminated in accordance with Section 563, Paragraph one, Clause 11 of this Law and the reason for revocation of a request for assistance is revocation of the claim to be recovered or the document issued for enforcement thereof, a bailiff shall submit a cost estimate of enforcement expenses to the State Revenue Service and request that it reaches an agreement with the institution of the Member State, which has requested mutual assistance for the recovery of requests, regarding reimbursement of enforcement costs.

[31 October 2002; 5 February 2009; 15 March 2012; 8 December 2016 / Paragraph six regarding the European Account Preservation Order shall come into force on 18 January 2017. See Paragraph 121 of Transitional Provisions]

Section 569. Search for a Debtor or Child

(1) If the location of a debtor is not known, a judge shall, upon a request of an interested party, take a decision to search for the debtor with the aid of the police in the following cases:

1) regarding the recovery of child maintenance or parent support;

2) regarding claims arising due to personal injury resulting in mutilation or other injury to health, or in the death of a person;

3) regarding the recovery of revenues for the State.

(11) If the location of a child or a debtor and a child is not known, a judge shall, upon a request of a bailiff, take a decision to search for the abovementioned persons with the aid of the police in the following cases:

1) in cases regarding return of the child to the state, which is his or her place of residence;

2) when the enforcement document referred to in Section 540, Clause 8 of this Law has been received;

3) in cases arising from custody rights.

(2) Pursuant to an application of the police authorities, a court shall take a decision on the recovery of costs relating to a search for a debtor.

[9 June 2011; 4 August 2011; 29 October 2015]

Division Fourteen
Application of Enforcement Measures

[31 October 2002]

Chapter 70
General Provisions for Enforcement

Section 570. Bringing of Recovery Proceedings against Property of Natural Persons

(1) Enforcement shall be applied against the property of a natural person and against the share of such person in joint property and in joint spousal property and in cases provided for in law, against aggregate spousal property.

(2) Enforcement shall not be applied against property of a debtor, if the debtor works or receives a pension or a scholarship and the amount to be recovered does not exceed that part of a monthly income to which the enforced might be applied in accordance with the law.

(3) Bringing of recovery proceedings against immovable property of a debtor is permissible, if, the claim of the creditor cannot be satisfied within a reasonable time period by applying other enforcement measures. Such procedures shall not apply to enforcement against the debts, which are secured by pledging the relevant immovable property.

[22 May 2014]

Section 571. Property Exempt from the Enforcement

When executing judgments, enforcement recovery may not be applied to the property referred to in Annex 1 to this Law, except for enforcement against debts, which are secured by pledging the relevant articles.

[31 October 2002]

Section 572. Enforcement made against Legal Persons

(1) Pursuant to enforcement documents a bailiff shall first make the enforcement against monetary funds of a legal person which are deposited in credit institutions or with other payment service providers.

(2) If by applying the enforcement against monetary funds of a legal person in credit institutions or with other payment service providers the claim of the creditor is not satisfied, the bailiff shall apply enforcement against the property of the legal person.

[31 October 2002; 23 November 2016 / Amendments to the Section shall come into force on 1 July 2017. See Paragraph 120 of Transitional Provisions]

Section 572.1 Application of the Enforcement for the Benefit of the Administration of Maintenance Guarantee Fund

(1) If a creditor has made the relevant request, as well as the request to apply all enforcement measures referred to in Section 557, Clauses 1, 2 and 3, and if the debtor has failed to transfer the sum indicated in the notification to the bailiff's deposit account regarding obligation to enforce ruling within the time period specified in the notification, the bailiff shall give notice to the Administration of Maintenance Guarantee Fund that the ruling on the recovery of child maintenance or the notarial deed, which contains an agreement on periodical maintenance payments and is to be enforced in accordance with the procedures for the enforcement of court judgments, is not being enforced.

(2) If the Administration of Maintenance Guarantee Fund, based upon the Maintenance Guarantee Fund Law, has taken the place of the creditor in the case regarding the recovery of maintenance in the part regarding the recovery of such maintenance from the debtor which is disbursed from the Maintenance Guarantee Fund, it shall have all rights and obligations of the creditor laid down in this Law.

(3) An enforcement order of the Administration of Maintenance Guarantee Fund regarding the recovery of the amount of maintenance disbursed without justification from the applicant shall not be returned to the creditor. If the bailiff, upon a request of a creditor, has provided the information referred to in Paragraph one of this Section to the Administration of Maintenance Guarantee Fund, an enforcement document shall be issued to the creditor only after the certification regarding non-existence of the claim is received from the Administration of Maintenance Guarantee Fund.

[5 February 2009; 12 June 2009; 19 December 2013; 8 December 2016 / The new wording of Paragraphs one and three regarding application of the enforcement for the benefit of the Administration of Maintenance Guarantee Fund shall come into force on 1 February 2017 and refer to enforcement cases commenced starting from 1 February 2017. See Paragraph 123 of Transitional Provisions]

Chapter 71
Bringing of Recovery Proceedings Against Movable Property

Section 573. Seizing of the Movable Property of a Debtor

(1) Seizing of the movable property of a debtor is performed in the form of inventorying, sealing (indicating by whom and in which case the property is seized) and guarding of such property. Sealing of the property need not be carried out if it may damage the property or significantly affect the value thereof. The property included in the movable property registers shall not be sealed. The Cabinet shall determine the procedures for the sealing of seized movable items.

(2) [5 February 2009]

(3) A bailiff shall not seize movable properties, if it would be impossible to sell them and the enforcement of judgment expenses could exceed the amount of money to be obtained from the sale thereof.

[31 October 2002; 7 September 2006; 5 February 2009]

Section 574. General Provisions for Seizing of Movable Property of a Debtor

(1) A bailiff shall seize movable property of a debtor in such amount which is necessary in order to extinguish the sum to be recovered and cover the enforcement of judgment expenses. The bailiff shall not seize ancillary articles of the main article separately from the main article.

(2) The bailiff may seize movable property of a debtor the value of which does not exceed the amount adjudged for the creditor and enforcement of judgment expenses, if the no other property of the debtor is subject to seizing or the value of such properties does not cover the amount to be recovered and enforcement of judgment expenses.

(3) After seizing of the movable property a bailiff shall request information from movable property registers on the belonging of such articles to the debtor, and also ascertain in the Commercial Pledge Register, whether the movable items owned by the debtor are pledged. If the bailiff finds that the seized property belongs to third parties, he or she shall immediately release it from seizure. If in the Commercial Pledge Register a commercial pledge is registered in respect of the movable property of the debtor in the benefit of third parties, the bailiff shall request that the debtor and commercial pledgee notify the amount of the remaining debt.

(4) In respect of movable articles which are pledged as a commercial pledge or possessory pledge for security of claims of third parties, a bailiff is entitled to direct recovery upon consent of the relevant pledgee, and also direct recovery in respect of surplus of money in case of sale of the pledge. If the pledgee does not agree to the sale and hesitate to sale the pledged article by himself or herself without any justifying reason, the bailiff shall explain the creditor that he or she may request the court to determine time period for the sale of pledged articles in order to direct recovery in respect of surplus of money, and also explain the right to establish a commercial pledge.

(5) If a bailiff finds that a movable property is already seized for other recovery, he or she shall compare the property with the property inventory statement drawn up in the previous seizing and seize only those articles which are not entered in the previous inventory statement.

(6) If a debtor is absent or avoids the enforcement of the ruling, the movable property shall be seized by a bailiff in the presence of a representative of the local government or police.

(7) The debtor and the creditor have the right to invite not more than two witnesses to the seizing of the movable property of the debtor. Failure of witnesses to attend shall not stay the seizing of property.

(8) When the movable property is being seized, a debtor is entitled to notify a bailiff against which articles the enforcement should be applied at first. The bailiff shall satisfy such application, if it is not in contradiction with the norms of this Law and does not prevent enforcement of the ruling.

(9) [5 February 2009]

(10) Seizure of a ship shall apply not only to hull area of the ship, but also to all ship equipment, including that ensuring navigation of the ship. A ship under joint ownership shall be seized in all composition thereof by not separating the right of the debtor to his or her part in advance. Seizing of a ship shall be notified to the Ship Register.

(11) If a vehicle or other movable property subject to registration is seized, a bailiff shall notify the relevant register institution of the seizure thereof.

[31 October 2002; 7 September 2006; 5 February 2009]

Section 575. Seizing of the Property of a Debtor, if the Property is Located at Other Person

(1) If there is evidence that the property of a debtor is located at other person, a bailiff shall seize such property in accordance with the general procedures.

(2) [31 October 2002]

(3) If location of the property of a debtor at other person is determined by a mutually entered into agreement, an issue regarding retaining of the rights of other person arising from the agreement shall be settled by the court in accordance with procedures for court proceedings by way of action.

[31 October 2002]

Section 576. Inventorying of Movable Property

(1) In inventorying movable property, its individual qualities and quantity shall be accurately indicated.

(2) In inventorying movable property, new articles shall be distinguished from used articles, and the degree of wear and tear shall be indicated for the latter.

(3) In inventorying precious metals, official hallmarks (assay marks) shall be indicated, if such are known. If inventorying articles decorated with precious stones, the number, size and name of the stones shall be indicated.

(4) In inventorying goods, including products and materials kept in goods packaging, the numbers or marks on their packaging and the names and description of the goods to be kept in such packaging shall be indicated.

(5) In inventorying securities, their quantity, class, nominal value and numbers shall be indicated.

(6) When inventorying movable property the bailiff may pack separate articles in packages, indicating on the packaging the names of the articles inventoried.

[31 October 2002]

Section 577. Property Inventory Statement

(1) There following shall be indicated in a property inventory statement:

1) the time and place of drawing up of the statement;

2) the official appointment location of the bailiff and location of his or her practice, and the given name and surname of the bailiff;

3) the ruling of the court, other institution or official, which is being enforced;

4) the given name and surname of the creditor and the debtor or of their authorised representatives present at the inventorying of the property;

5) the given name, surname and declared place of residence, the additional address indicated in the declaration, but if none, place of residence of witnesses and the given name, surname and official position of officials;

6) the name of each article inventoried and its individual features (Section 576), the appraisal of each individual article and the value of the entire property;

7) [31 October 2002].

8) the given name, surname and declared place of residence, the additional address indicated in the declaration, but if none, place of residence of the person to whom the property has been transferred for storage;

9) confirmation that the procedures and time periods regarding appeal of the actions of the bailiff have been explained to the creditor and the debtor;

10) confirmation that the procedures regarding storage of the inventoried property and civil and criminal liability, if the property transferred for storage is embezzled, alienated, concealed or substituted, has been explained to the person who stores the property;

11) the remarks and objections made by the creditor or debtor, or other persons present at the inventorying of the property.

(2) A property inventory statement shall be signed by a bailiff, creditor, debtor, storer of the property and by other persons, who have taken part in the inventorying of the property. If the creditor, debtor or their representatives do not sign the property inventory statement, the bailiff shall make an appropriate notation thereon in the statement.

(3) A creditor or debtor who has signed the inventory statement without making any notes does not have the right to subsequently submit a complaint regarding errors in the inventory statement.

[31 October 2002; 29 November 2012]

Section 578. Appraisal of the Property to be Seized

(1) Appraisal of the property of a debtor shall be made by a bailiff in accordance with the prices prevalent in the area and taking into account the degree of wear and tear thereof. An expert shall be invited for appraisal of a ship.

(2) Until announcement of an auction of the seized property or conclusion of a contract regarding commission the creditor or the debtor may request the bailiff in writing to invite an expert for repeated appraisal of the property. Prior to inviting an expert the bailiff shall notify the person who requested inviting of an expert of the amount of appraisal costs in writing. Appraisal costs shall be covered by the person who requested inviting of an expert by transferring the required amount of money to the bailiff's account within five days after receipt of the notification. If the amount of money required for appraisal has not been paid, the bailiff shall dismiss the request to invite an expert.

(3) If upon a request of a party it is not possible to invite an expert on the day when the property is inventoried, the bailiff shall specify in the property inventory statement the value of the property determined by himself or herself.

[31 October 2002]

Section 579. Guarding of Property

(1) In order to ensure guarding of seized property the bailiff shall appoint a storer of property. The seized property of the debtor shall be delivered by the bailiff for storage to a natural person upon signature therefor. If the storer of the property is not able to ensure guarding of the seized property at the address where it was seized, the bailiff shall remove the property and deliver it to the storer of the property. The bailiff is entitled to take a decision to replace the storer of the property at any stage of enforcement of the ruling, if the storer is not able to continue performance of his or her obligations or does not ensure appropriate storage of the property.

(2) The debtor or members of his or her family may use the property left with him or her for storage if, due to the characteristics of such property, the use thereof does not destroy the property or decrease its value significantly.

(3) If the storer is not the debtor or a member of the debtor's family, the storer shall receive remuneration for storage.

(4) When seizing movable property, signature shall be obtained from the debtor or the storer attesting that they will not alienate, pledge or use the property for any other function or purpose and that they may be held criminally liable for its embezzlement, alienation, concealment or substitution.

(5) Upon request of the bailiff the storer of the property shall present the property which was seized and delivered to him or her for storage.

[31 October 2002]

Section 580. Storage of Valuable Property Removed from a Debtor

(1) The bailiff shall inventorise gold and silver articles and other valuables, as well as securities found in the possession of a debtor according to the general procedure. The bailiff shall remove the inventoried valuables and securities and, if storage thereof cannot be ensured, transfer them for storage to a credit institution.

(2) Money found in the possession of a debtor shall, in such amount as is required for the discharge of the debt to be recovered and of the enforcement expenses, be removed by the bailiff and paid into the bailiff's deposit account.

[31 October 2002]

Section 581. Sale of Seized Property

(1) The bailiff has the right to sell the property of a debtor if within 10 days after the property is seized no complaints regarding the actions of the bailiff have been submitted or no request regarding invitation of an expert for repeated appraisal of the property has been submitted. If complaints have been submitted, the bailiff has the right to sell the property of a debtor after the complaints have been decided on but not earlier than 10 days after seizing of the property. If a request regarding invitation of an expert has been submitted - after repeated appraisal of the property or dismissal of the request but not earlier than 10 days after seizing of the property.

(2) In cases where, as a result of particular circumstances, a delay in the enforcement of a ruling may cause significant losses to a creditor, or the recovery itself may become impossible, the property shall be removed and sold without delay.

(3) The bailiff may sell the seized property by auction as one auction item, if identical articles or main article and ancillary articles thereof have been seized or it is not useful to sell seized articles individually.

(4) If the bailiff decides to sell the seized property by auction, he or she shall send an invitation to the debtor by registered mail to submit information on whether the debtor is registered as a payer of the value added tax and whether, by selling his or her seized property by auction, the auction price in accordance with the laws and regulations governing the value added tax is taxable with the value added tax and what is the taxable value of such price.

[31 October 2002; 5 February 2009; 20 December 2010; 23 May 2013]

Section 582. Procedures for Selling of Seized Property

(1) A bailiff shall the sell seized property by auction, but if requested by the creditor and the debtor does not object, the bailiff may transfer the seized property to a trading undertaking for sale pursuant to terms regarding commission. If not requested by the creditor, the seized property may be transferred to a trading undertaking on commission only in cases provided for in this Law.

(2) Capital shares of a company, co-operative shares and non-publicly issued stocks, as well as other intangible property shall be sold at auction by a bailiff, but publicly traded stocks and other securities shall be delivered for the sale thereof at the Riga Stock Exchange.

(3) The bailiff may remove the seized movable property:

1) to transfer it for sale on commission;

2) prior to selling at an auction, if necessary;

3) in order to transfer it, in the cases laid down in this Law, to the highest bidder of the movable property, creditor or debtor.

(4) If a debtor pays the debt and enforcement of judgment expenses in full prior to the sale of the seized property, the sale shall be stayed and the seized property returned to the debtor.

(5) After sale of the seized property or transfer thereof to the creditor (in the cases laid down in this Law) the bailiff shall take a decision to release the sold property from seizure, and also send a notification to the relevant holder of a movable property register or another public register regarding revoking of the prohibition and release of the property from seizure.

[31 October 2002]

Section 583. Sale of Seized Property on Commission

(1) Seized property of a debtor shall be sold on commission through a trading undertaking.

(2) Sale of property shall be permitted within the boundaries of the judicial region of the official appointment location of the bailiff.

(3) Seized property shall be delivered by a bailiff for sale in conformity with the time periods laid down in Section 581 of this Law. The seized property shall be delivered for sale according to the price assessed by the bailiff, but if one or several repeated expert appraisals have been performed - according to the highest price assessed by the expert.

(4) Things, which are subject to rapid deterioration, shall be removed and delivered for sale without delay.

(5) Within a month from the transfer of property on commission, trading undertakings shall pay the amounts received to the bailiff's account. The trading undertaking shall receive remuneration in accordance with the terms of the contract.

(6) Property of a debtor, which is not sold within a month after it is delivered to a trading undertaking, shall be re-appraised by the bailiff together with a representative of the trading undertaking, but not more than by 50 per cent of the initial price of the property. The creditor and the debtor shall be notified of re-appraisement.

(7) If the property is not sold within two months after its re-appraisement, the creditor has the right to retain such property for himself or herself at the re-appraised amount, notifying the bailiff thereof in writing within 10 days. If the creditor does not retain the property, the bailiff shall return it to the debtor, releasing it from seizure, or sell by auction pursuant to provisions of the second auction at a price determined after re-appraisal.

[31 October 2002]

Section 584. Notification of an Auction of Movable Property

(1) Notification of an auction of movable property, except an auction of a ship, shall be given by a bailiff at least seven days prior thereto. The articles to be sold and their appraisal, the amount of security to be paid into the bailiff's deposit account, the place and time of sale, the given name and surname of the debtor, as well as the given name, surname and official appointment location of the bailiff shall be set out in the notice. Additional information on whether the auction price is taxable with the value added tax and what is the taxable value of such price shall be set out in the notice.

(2) Notification of an auction shall be posted at the location of bailiff's practice, at the building where the auction is going to take place, and in a place determined by the local government.

(3) If the total appraisal of the property exceeds EUR 1420 the sale thereof shall also be announced in a local newspaper.

(4) An interested person, at their own expense, may place a notice of an auction in newspapers and other mass media, as well as post the notice in public places in accordance with procedures stipulated by the relevant local government.

(5) The creditor and the debtor shall be notified of the auction.

[31 October 2002; 19 June 2003; 20 December 2010; 20 January 2011; 12 September 2013]

Section 584.1 Security for the Purchase of Movable Property

(1) Persons wishing to participate in an auction of movable property shall pay, by way of security, the amount of 10 per cent of the appraised value of the movable property into the bailiff's deposit account.

(2) Prior to an auction the bailiff shall ascertain whether the amount of security has been transferred to the bailiff's deposit account.

(3) Security which has been paid by a person who has bid the highest price for movable property at an auction shall be included in the purchase price. After the auction, security paid in shall be returned, without delay, to other participants of the auction.

[28 October 2010]

Section 585. Notification of an Auction of a Ship

Notification of an auction of a ship shall take place in accordance with the procedures laid down in Section 55 of the Maritime Code.

[19 June 2003]

Section 586. Persons Having no Right to Participate in Bidding

A debtor, his or her guardian or trustee, a person who has participated in the seizure of the property, the auctioneer of the property and a representative of the police or local government present at an auction do not have the right to participate in the bidding. A creditor has the right to participate in the bidding in accordance with the general procedure.

[31 October 2002]

Section 587. Procedures for the Auctioning of Movable Property

(1) An auction of movable property shall be commenced upon an appraisal made by the bailiff but if one or several repeated appraisals have been made - upon the highest appraisal made by the expert. Before an auction the bailiff shall inform whether the auction price is taxable with the value added tax and what is the taxable value of such price. In opening an auction of each auction article, the bailiff shall announce the initial auction price of the article, determine the bid increment of not less than one per cent and not more than 10 per cent of the initial auction price of the property and ask the participants of the auction whether anybody bids more. The bailiff shall orally announce the prices bid by bidders and record them in the statement of auction so long as bidding of a higher price continues.

(2) When bidding of a higher price ceases, the bailiff shall ask three times if there is anyone who bids more. If the third time is not followed by a higher bid, the bailiff shall make a rap of the gavel and announce that higher bids are no longer accepted and the article to be auctioned is sold.

(3) An auction of a ship shall take place pursuant to the provisions provided for auctions of immovable property.

(4) A debtor has the right to determine the order in which articles are to be auctioned.

(5) If the amount received from selling part of the seized property is sufficient to cover the full amount to be recovered and enforcement of judgment expenses, the remaining articles shall not be auctioned. When the bidders have paid the purchase price in full and the value added tax, if the auction price is taxable with the value added tax, these articles shall be released from the seizure and returned to the debtor, and the bailiff shall draw up a statement to this effect.

(6) The person who has bid the highest price for an article being sold, shall pay the full amount bid and the value added tax, if the auction price is taxable with the value added tax, not later than on the next working day after the auction. If the amount bid exceeds EUR 1420, the bailiff, upon a request of the highest bidder, may postpone the payment of the full price of the purchase and the value added tax for a period up to seven days. If the amount bid exceeds EUR 142,280, the bailiff, upon a request of the highest bidder, may postpone the payment of the full price of the purchase and the value added tax for a period up to 14 days. After the amount bid at the auction and the value added tax have been paid in full, the purchased articles shall be given to the highest bidder and the bailiff shall draw up a statement to this effect.

(7) When the time period for appeal of the calculation drawn up by the bailiff has expired and such calculation has not been appealed, or, if such calculation has been appealed - when the court ruling on the calculation drawn up has come into effect, the bailiff shall pay into the State budget the value added tax paid by the highest bidder and notify the debtor and the State Revenue Service thereof.

[31 October 2002; 5 February 2009; 28 October 2010; 20 December 2010; 12 September 2013]

Section 588. Statement of Auction

In a statement of auction a bailiff shall set out the following:

1) the date and place of the auction;

2) the given name, surname, official appointment location and location of practice of the bailiff;

3) the ruling which is being enforced;

4) the name or number of article to be sold, according to the inventory statement;

5) the initial auction price of the article to be sold and the bid increment;

6) the highest price bid at the auction;

7) the given name, surname, personal identity number and address of the highest bidder;

8) whether the debtor or their representative were present at the sale.

[31 October 2002; 5 February 2009]

Section 589. Announcement of an Auction as not Having Taken Place

(1) A bailiff shall announce an auction as not having taken place if:

1) the bidders have failed to attend or only one bidder has attended the auction;

2) no one of the bidders present bids more than the initial auction price;

3) the highest bidder, within the time period set, does not pay the whole amount due from him or her (Section 587, Paragraphs five and six).

(2) In the case provided for in Paragraph one, Clause 3 of this Section the security paid in shall not be refunded, but shall be added to the total amount received for the property. The security paid in shall be added also to the total amount, if it is found that the highest bidder had no right to participate in the auction (Section 586).

[5 February 2009; 28 October 2010; 20 December 2010]

Section 590. Consequences Resulting from Announcement of an Auction as not Having Taken Place and Second Auction

(1) If an auction is announced as not having taken place, a creditor has the right to retain the seized property at the initial auction price, notifying the bailiff thereof in writing within two weeks from the day of the auction.

(2) If several creditors wish to retain the seized property at the initial auction price, a repeated first auction shall be organised with the participation of the creditors who wish to retain the seized property for themselves at the initial price, and the bidding shall commence from the initial price of the first auction. The bailiff shall notify creditors of the time and place of the auction in writing seven days in advance. The failure of a creditor to attend the auction shall be considered as his or her waiver of the right to retain the property for himself or herself. If only one creditor attends the auction he or she may retain the seized property without bidding. If none of the creditors attend the auction, the bailiff shall, without delay, set a second auction.

(21) In the cases provided for in Paragraphs one and two of this Section a person who retains the seized property for himself or herself at the initial auction price shall make payment and receive the seized property in accordance with the procedures laid down in Section 587 of this Law.

(3) If an application of a creditor regarding retention of the seized property at the initial auction price has not been received within two weeks from the date of the auction, a bailiff shall, without delay, order a second auction. Notification of a second auction shall take place in conformity with the provisions regarding the first auction.

(4) Bidding in the second auction of movable property shall be commenced from the initial price of the first auction and it shall take place in accordance with the procedures provided for in Section 587, Paragraph one of this Law.

(5) If none of those who have arrived bid more than the initial auction price, the bailiff shall announce that auctioning of the article with a decreasing bid is commenced. The bailiff shall decrease the initial auction price of the article by the previously specified bid decrement which may not be greater than 10 per cent of the initial auction price and ask whether anybody of the persons present bid such price. For each lowering of the price the bailiff shall make a notation in the statement of auction. The bailiff shall discontinue auctioning of the article if none of the persons who have arrived bid even 10 per cent of the initial auction price of the article.

(6) If any of the persons present at the second auction bids the announced price of the article, the bailiff shall ask three times if there is anyone who bids more and if no higher bid follows, make a rap of the gavel and announce that higher bids are no more accepted and the article to be auctioned is sold. If anyone bids more, the auction shall continue with an increasing bid in accordance with the provisions of Section 587, Paragraph two of this Law.

(7) A person who has bid for an article being sold below the initial price of the second auction, shall without delay pay the full amount bid and value added tax, if the auction price is taxable with value added tax. A person who has bid for the article being sold at a price higher than the initial price, shall pay the price bid and receive the article purchased in accordance with the procedures laid down in Section 587 of this Law.

(8) If the second auction is also announced as not having taken place and the creditor within two weeks from the second auction has not informed of his or her wish to retain the pledged property for himself or herself at the last bid price or the last price called by the bailiff, the property shall be returned to the debtor, releasing it from seizure and the bailiff shall draw up a statement to this effect.

[31 October 2002; 20 December 2010]

Section 591. Declaration of an Auction as Invalid

(1) A court shall declare an auction to be invalid, if:

1) any person has unjustifiably not been allowed to participate in the auction, or a higher bid has wrongly been refused;

2) the property was bought by a person such as was not entitled to participate in the auction;

3) the property was sold before the time period stipulated by the notice of sale;

4) the bailiff, creditor or buyer has demonstrated bad faith.

(2) An ancillary complaint may be submitted regarding a decision of a court.

Chapter 72
Bringing of Recovery Proceedings against Remuneration for Work, Payments Equivalent thereto and other Amounts of Money

[31 October 2002; 7 September 2006]

Section 592. Bringing of Recovery Proceedings against Remuneration for Work

(1) Recovery shall be directed against remuneration for work of a debtor, also against payment received by the debtor for fulfilling a position in the civil service or military service if:

1) the ruling on the recovery of periodic payments is being enforced;

2) the amount to be recovered does not exceed such part of monthly payments for work or payments equivalent thereto as recovery may be directed against pursuant to law;

3) a creditor has requested to direct recovery against remuneration for work or payments equivalent thereto.

(2) Recovery shall also be directed against remuneration for work of a debtor in instances where the debtor does not have property or it does not suffice for the recovery of debt.

[31 October 2002]

Section 593. Information Concerning Debtor's Remuneration for Work and Payments Equivalent thereto

An employer, upon request of a bailiff and within his or her specified time period, shall provide information as to whether a debtor works for him or her and what the remuneration for work and payments equivalent thereto of the debtor within the time period specified by the bailiff are.

[31 October 2002]

Section 594. Amount of Deductions from Remuneration for Work and Equivalent Payments of a Debtor

(1) Until the debt to be recovered is discharged, deductions shall be made, in accordance with the enforcement documents, from remuneration for work and payments equivalent thereto paid to a debtor:

1) in cases regarding the recovery of maintenance for the support of minor children or for the benefit of the Administration of Maintenance Guarantee Fund - in preserving the work remuneration of the debtor and payments equivalent thereto in the amount of 50 per cent of the minimum monthly wage and preserving the funds for each dependent minor child in the amount of the State social insurance benefit;

2) when recovering maintenance, losses or compensation for losses arising from personal injuries which have resulted in mutilation or other injury to health or in the death of a person, or compensation for damage which has been occasioned through commission of a criminal offence, and also in enforcing rulings taken in administrative violations cases - 50 per cent, preserving the work remuneration of the debtor and payments equivalent thereto in the amount of 50 per cent of the minimum monthly wage and preserving the funds for each dependent minor child in the amount of the State social insurance benefit;

3) in other types of recovery, unless it is otherwise provided for in the law - 30 per cent, preserving the work remuneration of the debtor and payments equivalent thereto in the amount of the minimum monthly wage and preserving the funds for each dependent minor child in the amount of the State social insurance benefit.

(2) If recovery is directed against remuneration for work pursuant to several enforcement documents, the employee shall in any event retain 50 per cent of the remuneration for work and payments equivalent thereto, however not less than in the amount of the minimum monthly wage, and funds for each dependent minor child in the amount of the State social insurance benefit, except the case specified in Paragraph one, Clause 1 and 2 of this Section.

(3) [31 October 2002]

(4) The amount to be deducted from remuneration for work and payments equivalent thereto shall be calculated from the amount to be received by a debtor after payment of taxes.

(5) Funds in the amount of the State social insurance benefit for each minor child dependent on the debtor shall be retained, if a child is dependent on the debtor at the time, when deductions from the debtor's work remuneration or payments equivalent thereto are made. The amount of funds to be retained shall be calculated by the employer or relevant legal person, by taking into account the number of persons dependent on the debtor at the time, when deductions are made.

[31 October 2002; 17 June 2004; 23 May 2013; 19 December 2013; 28 May 2015 / See Paragraph 107 of Transitional Provisions]

Section 595. Bringing of Recovery Proceedings against Income of a Debtor other than Remuneration for Work

(1) The conditions and procedures laid down in this Chapter which shall be observed when directing recovery against remuneration for work also apply in instances where a debtor receives:

1) a scholarship to an educational institution;

2) amounts as compensation for losses arising from personal injuries which have resulted in mutilation or other injury to health, or in the death of a person;

3) [17 December 2009].

(2) In bringing recovery proceedings against the State pensions, State social insurance benefits and compensations, provisions for the bringing of recovery proceedings against remuneration for work shall be applied, unless other laws do not provide for other restrictions for deductions.

[31 October 2002; 17 December 2009; 19 December 2013]

Section 596. Amounts against which Recovery may not be Directed

Recovery may not be directed against:

1) severance pay, funeral benefit, lump sum benefit to the surviving spouse, State social benefits, State support to a child having celiac disease, survivor's pension and allowance for the loss of provider;

2) compensation for wear and tear of tools belonging to an employee and other compensation in accordance with laws and regulations governing lawful employment relations;

3) amounts to be paid to an employee in connection with official travel, transfer, and assignment to work in another populated area;

4) social assistance benefits;

5) child maintenance in the amount of minimum child maintenance stipulated by the Cabinet which on the basis of a court ruling or a decision taken by the Administration of Maintenance Guarantee Fund shall be paid by one of the parents, as well as child maintenance to be disbursed by the Maintenance Guarantee Fund.

[31 October 2002; 17 December 2009; 12 February 2015; 8 December 2016 / Amendment to Clause 5 regarding not bringing of recovery proceedings against the child maintenance in the minimum amount stipulated by the Cabinet which on the basis of a decision taken by the Administration of Maintenance Guarantee Fund is paid by one of the parents shall come into force on 1 April 2017. See Paragraph 122 of Transitional Provisions]

Section 597. Procedures for the Bringing of Recovery Proceedings against Remuneration for Work, Payments Equivalent thereto and Other Income of a Debtor

(1) A bailiff shall send an order to an employer or to the relevant legal person with instructions to make deductions from remuneration for work or other remuneration, a pension, a scholarship or benefits of a debtor and, at the expense of the debtor, transfer the amounts deducted to deposit account of the bailiff.

(2) When terminating employment relations with the debtor, the employer shall inform the bailiff thereof, as well as indicate the new place of work of the debtor, if such is known. These provisions shall also apply to legal persons who have made deductions from a pension, a scholarship or benefits paid to a debtor, if the making of such payments is terminated.

[31 October 2002; 19 June 2003; 5 February 2009]

Section 598. Control of the Correctness of Deductions

A bailiff, pursuant to a written request of a creditor, shall examine whether an employer (the relevant legal person) has correctly and duly made deductions from the remuneration for work and other income of a debtor and whether the amounts deducted have been transferred to deposit account of the bailiff.

[31 October 2002; 5 February 2009]

Section 599. Bringing of Recovery Proceedings against Monetary Funds, which are Due from Other Persons

(1) If recovery is directed against monetary funds, which are due from other persons, including from another bailiff, a bailiff shall forward a request to such persons to inform whether they have an obligation to pay any amounts to a debtor, on what basis and within what time period.

(2) Simultaneously with the request, the bailiff shall give notice that such monetary funds shall be seized in the amount to be recovered and the amount of enforcement of judgment expenses, and that until the amount to be recovered and the amount of enforcement of the judgment expenses is fully discharged, these persons shall pay in the monetary funds into the bailiff's deposit account.

(3) [23 November 2016]

[7 September 2006; 5 February 2009; 23 November 2016 / Amendment regarding deletion of Paragraph three shall come into force on 1 July 2017. See Paragraph 120 of Transitional Provisions]

Section 599.1 Bringing of Recovery Proceedings against Monetary Funds in Credit Institutions or with Other Payment Service Providers

(1) By bringing recovery proceedings against monetary funds of a debtor in a credit institution or with other payment service provider, the bailiff shall prepare and send to the credit institution or other payment service provider an order for seizing of monetary funds in the amount indicated in the order. The order shall, in accordance with the information from the account register regarding opened accounts of the debtor, be sent to the relevant credit institution or payment service provider.

(2) The bailiff shall indicate the restriction referred to in Paragraph 3 of Annex 1 to this Law regarding the debtor - natural person - to one of the credit institutions or payment service providers in the order referred to in Paragraph one of this Section.

(3) A credit institution or other payment service provider shall, within three working days upon the receipt of the order, send a notification to the person issuing the order in the Enforcement Case Register regarding amount of the seized sum by using the State information system integrator managed by the State Regional Development Agency.

(4) A credit institution or other payment service provider does not have the right to pay out the monetary funds seized for recovery to another person or allow the debtor to manage them.

(5) The bailiff shall, within four working days upon the receipt of the notification provided by the credit institution or other payment service provider, consider the information provided in the notification and send the following order to the credit institution or other payment service provider:

1) for the transfer of monetary funds to the bailiff's deposit account in the amount indicated in the order until the amount to be recovered and enforcement of judgement expenses are discharged;

2) for the transfer of monetary funds to the bailiff's deposit account in the amount indicated in the order by preserving monetary funds of the debtor - a natural person - in the amount specified in Paragraph 3 of Annex 1 to this Law until the amount to be recovered and enforcement of judgement expenses are discharged;

3) for adjusting of the action or amount of monetary funds, or revocation of the order.

(6) A debtor - a natural person - has the right to inform the bailiff of an account in which the monetary funds not seized shall be preserved in the amount specified in Paragraph 3 of Annex 1 to this Law.

(7) The order referred to in Paragraph five, Clause 3 of this Section for adjusting of the order given by the bailiff previously may be drawn up and sent to a credit institution or other payment service provider through the system of the Enforcement Case Register by taking into account the remaining amount to be recovered in the enforcement case and the amount of the enforcement of judgment expenses.

(8) If a debtor has only one account or an order for seizing of monetary funds is already being enforced in another enforcement case, which is in the record-keeping of the same bailiff, the bailiff may immediately give the order referred to in Paragraph five of this Section to the credit institution or other payment service provider.

(9) The bailiff shall ensure that the total amount of the monetary funds received from credit institutions or other payment service providers in the deposit account does not exceed the amount of debt and the amount necessary for covering of the enforcement of judgment expenses. If the total amount of the received monetary funds exceeds the amount of the debt to be recovered and the amount necessary for covering of the enforcement of judgment expenses, the bailiff shall immediately, but not later than within seven days from the day they are transferred to the bailiff's deposit account, repay the debtor the overpaid monetary funds. If it is impossible to observe this time period due to objective circumstances, the bailiff shall, upon prevention or termination of the objective circumstances, immediately repay the debtor the monetary funds in the amount of the overpaid sum.

(10) The bailiff shall send the orders referred to in this Section to a credit institution or other payment service provider and receive notifications from a credit institution or other payment service provider electronically by using the State information system integrator managed by the State Regional Development Agency.

(11) When receiving several orders for seizing of monetary funds of a debtor or the orders referred to in Paragraph eight of this Section, a credit institution or other payment service provider shall enforce them in such order as they were posted in the State information system integrator managed by the State Regional Development Agency.

[23 November 2016 / Section shall come into force from 1 July 2017. See Paragraphs 118, 119 and 120 of Transitional Provisions]

Chapter 73
Bringing of Recovery Proceedings against Immovable Property

Section 600. Notice of the Bringing of Recovery Proceedings against Immovable Property

(1) If a creditor requests that recovery be directed against immovable property, a bailiff shall forward a notice by registered mail to a debtor and invite the debtor to settle the debt, and also to provide the information on whether the debtor is registered as a payer of the value added tax and whether upon selling by auction his or her immovable property the auction price shall be taxable with value added tax and what is the taxable value of such price. The request of the creditor shall be accompanied by as many true copies of the rulings issued by court which have entered into lawful effect as there are immovable properties against which recovery is directed.

(2) The bailiff shall submit a request for corroboration to the Land Registry Office regarding making of a notation of recovery. The consequences of such notation are laid down in Section 1077, Paragraph one; Sections 1082 and 1305 of The Civil Law, as well as in Section 46 of the Land Register Law.

(3) The bailiff shall request a true copy of the relevant Land Registry subdivision from the Land Registry Office and send a notice by registered mail to the owner of the immovable property, if he or she is not a debtor, to joint owners of the immovable property, except joint owners of such multi-residential house which is not divided in apartment properties, mortgage creditors and persons in the favour of whom a notice of pledge rights or pledge notation is registered, indicating:

1) the person whose claim the recovery against the immovable property are being directed to satisfy;

2) what the amount of the debt is and whether the debt has been secured by a mortgage on the relevant immovable property.

(4) In the notice referred to in Paragraph three of this Section the bailiff shall request that the mortgage creditors in a time period specified by the bailiff that is not less than 10 days submit information regarding the amount of the remaining mortgage debt.

(5) The bailiff shall request from a local government information on the tax arrears of the immovable property and invite the local government to submit a decision on the recovery of tax arrears if such exist.

(6) If the debtor not later than seven days before the final date of auction indicated in the advertisement regarding auction has fully paid a debt and the enforcement of the judgment expenses to the bailiff, sale of the immovable property shall be cancelled, but the auction already commenced - terminated.

[31 October 2002; 19 June 2003; 5 February 2009; 20 December 2010; 8 September 2011; 23 May 2013; 11 September 2014; 28 May 2015]

Section 601. Obligations of a Debtor

(1) From the date of receipt of a notice by a bailiff, a debtor is prohibited from:

1) alienating such immovable property or placing a lien thereon;

2) felling trees thereon, except as necessary to maintain the household;

3) alienating or damaging accessories of the immovable property;

4) transfer such immovable property in the possession to other person, including entering into rental, hiring and other agreements encumbering immovable property.

(2) Agreements which a debtor of immovable property has entered into after a notation has been made in the Land Register regarding recovery have no effect as against the creditor and a buyer of the immovable property at auction.

(3) The effect of those agreements which the debtor has entered into regarding the immovable property before a notation has been made in the Land Register regarding recovery shall be determined both as against the parties which participated in such agreements and as against the buyer of the immovable property at auction in accordance with The Civil Law.

(4) A debtor has an obligation to notify a bailiff within the specified time period regarding the actual possessor and manager of the immovable property, if any, as well as regarding all rental, hiring and other agreements encumbering immovable property entered into in respect of this immovable property, submitting copies of the abovementioned agreements and concurrently presenting originals thereof.

(5) A debtor has an obligation to notify a bailiff whether he or she is registered as a payer of the value added tax and whether upon selling by auction his or her immovable property the auction price shall be taxable with value added tax and what is the taxable value of such price. If the auction price in accordance with the laws and regulations governing value added tax is taxable with value added tax, the debtor shall indicate the taxable value of such price in the abovementioned information.

[31 October 2002; 5 February 2009; 20 December 2010; 8 September 2011; 23 May 2013]

Section 602. Rights of Creditors and Other Creditors

(1) A creditor irrespective of the bringing of recovery proceedings against immovable property shall have the right to request that a mortgage be corroborated on his or her behalf in the Land Register to the extent of the amount to be recovered.

(2) A mortgage creditor has the right to participate in the inventorying of immovable property, to receive an inventory statement and to publish advertisements for an auction using his or her own resources, notifying the bailiff thereof.

(3) A mortgage creditor and a creditor have the right to participate in bidding, paying in the security specified in Section 607, Paragraph one of this Law.

(4) A creditor, when submitting a notification to the bailiff, may ask to suspend an auction or issue an enforcement document according to which recovery has not been carried out or has been incompletely carried out, if such request of the creditor is received not later than seven days before the final date of auction indicated in the notice of the auction.

[31 October 2002; 5 February 2009; 4 February 2016]

Section 603. Inventorying of Immovable Property

(1) A bailiff shall inventorise immovable property upon a request of a creditor. The bailiff shall notify the debtor by sending a notice provided for in Section 600 of this Law and the creditor of the time of inventorying of immovable property. The debtor and the creditor has the right to invite up to two witnesses to inventorying of immovable property. Failure of the debtor, creditor or witnesses to attend does not stay the inventorying.

(2) The following shall be indicated in an inventory statement:

1) the given name, surname, official appointment location and location of practice of the bailiff;

2) the ruling of a court or another institution which is being enforced;

3) the given name and surname of the creditor and debtor or their authorised representatives if such participate in the inventorying;

4) the given name, surname, declared place of residence and additional address indicated in the declaration, but if none, place of residence of the witnesses if such participate in the inventorying;

5) the place where the immovable property is situated;

6) the component parts of the immovable property;

7) on the basis of entries in the Land Register:

a) the value of the immovable property to be inventoried, if such is specified, its owner, encumbrances with debt and their amount, as well as restrictions and encumbrances imposed on the immovable property,

b) information regarding the state of the immovable property and agreements entered into regarding such property, if the bailiff has knowledge thereof, as well as information regarding movable property which is an accessory of the immovable property;

8) the actual possessor or manager of the immovable property, if such are known.

(3) In inventorying a technologically mutually linked set of installations and buildings, the buildings in which they are situated, the size and composition of the buildings occupied, the number of workrooms, machine tool benches and other equipment shall be indicated.

(4) In inventorying immovable property, provisions of Sections 576 and 577 shall also be applied.

(5) The debtor shall submit documents and plans by which the area of the immovable property to be inventoried and the rights of the debtor to such property have been established, as well as notify the bailiff of the actual possessor and manager of the immovable property.

(6) A bailiff, upon a request of the interested parties and at their expense, may request from the Land Registry Office true copies of such documents as pertain to the immovable property to be inventoried.

(7) Non-receipt of the documents mentioned in Paragraphs five and six of this Section does not stay the inventorying.

(8) If the debtor or the creditor has not participated in the inventorying of the immovable property, the bailiff shall send them the inventory statement within three days after the inventorying.

[31 October 2002; 29 November 2012]

Section 604. Appraisal of Immovable Property

(1) The appraisal of immovable property shall be made upon request of a bailiff using the resources of a debtor by a certified immovable property appraiser, determining the value of forced sale of the immovable property.

(2) A bailiff shall notify the debtor, creditor and mortgage creditor regarding appraisal by a registered mail, concurrently explaining their rights to request re-appraisal of the immovable property within 10 days from the day of sending the notification.

(3) A person who has requested re-appraisal shall cover appraisal expenses within the time period specified by the bailiff by paying the required sum of money into the bailiff's account. If the sum of money required for appraisal is not paid in within such time period, the bailiff shall dismiss the request regarding re-appraisal of immovable property.

[5 February 2009]

Section 605. Administration of Immovable Property

(1) Inventoried immovable property shall, until the transfer to the new owner, remain in the administration of the former possessor or manager.

(2) The possessor or manager of property shall preserve the inventoried immovable property in the condition in which it was at the moment of inventorying and together with the same movable property.

(3) If the possessor or manager of immovable property is not known, the bailiff may at his or her discretion appoint a manager of the immovable property. The manager of immovable property appointed by the bailiff shall have the same liability as the storer of movable property provided for by this Law.

(4) The possessor and manager of immovable property shall provide an accounting to a bailiff regarding the period of administration of the inventoried property. Income received from the immovable property shall be delivered to the bailiff and added to the amount received from the sale of such property.

[31 October 2002]

Section 605.1 Site of Electronic Auctions

(1) A site of electronic auctions is a module of the Register of Enforcement Cases which ensures posting of notices regarding auctions, registration of participants of the auction, accumulation of information regarding registered participants of the auction, authorisation of the registered participants of the auction for participation in the announced auction, and also a set of technological tools for making and registering bids.

(2) A bailiff, in performing his or her office obligations, shall post notices regarding auctions in the site of electronic auctions, register participants of auctions, authorise them for participation in the announced auction, and also carry out other actions related to organising of the auction.

(3) The procedures for carrying out activities in the site of electronic auctions shall be determined by the Cabinet.

[28 May 2015 / See Paragraph 106 of Transitional Provisions]

Section 605.2 Register of Participants of Auctions

(1) The Register of Participants of Auction shall contain information regarding persons who have agreed to the provisions for use of the site of electronic auctions and are registered as participants of auctions. The persons included in the Register of Participants of Auctions have an obligation to notify regarding changes in their data. The information included in the Register of Participant of Auctions shall be restricted access information.

(2) The Cabinet shall determine the procedures for inclusion of data of a person in the Register of Participants of Auctions, the amount of data to be included, and also procedures for updating and deleting of such data.

[28 May 2015 / See Paragraph 106 of Transitional Provisions]

Section 606. Announcement of an Auction of Immovable Property

(1) A bailiff shall announce an auction of immovable property, if no request regarding re-appraisal of immovable property has been submitted within the time period specified in Section 604 of this Law or it has been dismissed.

(2) A notice of an auction of immovable property shall be sent for publication by a bailiff in the official gazette Latvijas Vēstnesis, and posted in the site of electronic auctions.

(3) There shall be set out in a notice regarding an auction of immovable property:

1) the given name and surname of the owner and of the creditor of the immovable property, and for legal persons, their name and legal address;

2) the given name, surname, official appointment location and location of practice of the bailiff;

3) a short description, location and cadastre number of the immovable property;

4) an appraisal of the immovable property;

5) which auction, in order, it is;

6) the initial auction price and the bid increment;

7) the start date and final date and time of the auction;

8) whether the auction price is taxable with value added tax and what is the applicable value of such price;

9) the amount of security as is to be paid into the bailiff's deposit account;

10) the date until which a person, who wishes to participate in the auction, may pay the amount of security and ask the bailiff to authorise it for participation in the account;

11) indication to a website, where information regarding procedures and provisions for registration of persons for participation in the auction and participating in bidding are available.

(4) The start date of the auction indicated in the notice may not be later than 10 working days counting from the date on which the notice is sent for publication in the official gazette Latvijas Vēstnesis.

(5) Concurrently with sending a notice of an auction of immovable property for publication in the official gazette Latvijas Vēstnesis, the bailiff shall notify the debtor and creditor, the owner of the immovable property, the joint owner, except joint owners of such multi-residential house which is not divided in apartment properties, the mortgage creditor and a person in the favour of whom a notice of pledge rights or pledge notation is registered, if any, regarding the auction by a registered postal consignment. It shall also be indicated in the notice whether the auction price is taxable with value added tax and what is the taxable value of such price.

(6) The bailiff shall determine the bid increment, which is not less than one per cent and not more than 10 per cent of the initial price of the auction of the immovable property.

(7) All documents relating to a sale of the immovable property at auction shall be available to all persons who wish to familiarise themselves with such, from the day of notification of the auction.

(8) Participants authorised for an auction may make bids during the course of the entire auction.

[28 May 2015 / See Paragraph 106 of Transitional Provisions]

Section 607. Security of Purchase of the Immovable Property and Authorisation of Participants of the Auction

(1) A person who wishes to participate in an auction of the immovable property shall pay a security in the amount of 10 per cent of the assessment of the immovable property in the deposit account of the bailiff indicated in the notice of the auction within 20 days from the initial date of the auction indicated in the notice of the auction of the immovable property, and shall send a request to the bailiff, by using a site of electronic auction, to authorise him or her for participation in the auction.

(2) A bailiff shall authorise a person for participation in the auction within five working days after the day of receipt of the security and request of the person, if restrictions referred to in Paragraph three of this Section do not exist. If the security or request for authorisation is not received within a time period indicated in Paragraph one of this Section or a person has no right to participate in the auction in accordance with Paragraph three of this Section, the bailiff shall refuse authorisation of the person for the auction.

(3) A debtor, his or her guardian or trustee, a person who has performed the assessment referred to in Section 604 of this Law, and also the bailiff, who organises an auction, have no right to participate in an auction. The participants themselves are responsible for the observing of restrictions specified in other laws and regulations in respect of purchase of immovable properties.

(4) Security which has been paid by a person who has bought immovable property at auction shall be included in the purchase price. When the auction is ended, security paid in by other participants in the auction shall be returned, without delay, thereto.

[28 May 2015; 4 February 2016]

Section 607.1 Initial Auction Price

An auction shall commence from the forced sale value indicated in the appraisal of immovable property. If there have been two appraisals, the auction shall start from the highest amount of appraisal of immovable property.

[5 February 2009]

Section 608. Procedures for an Auction of Immovable Property

(1) A participant in an auction may electronically perform bids from the time when he or she is authorised for participation in the auction in accordance with the procedures laid down in Section 607 of this Law until the time when the auction is ended.

(2) Bidding shall start from the initial auction price. A bidder may not register a bid which is less than the initial auction price or equal thereto, differ from the bid increment laid down in a notice of an auction or is less than previously registered bids or equal thereto. Registered bids may not be revoked or changed.

(3) Bids on a site of electronic auctions shall be registered in a chronological order, by recording the amount bid and the time of the bid registration. During the course of the auction this information shall be available for the bailiff and participants in the auction. During the course of the auction and after the end of the auction the information regarding the highest price bid shall be publicly available in the site of electronic auctions.

(4) An auction shall end on the thirtieth day at 13.00 o'clock from the start date of the auction indicated in the notice of the auction of the immovable property, but if the thirtieth day is on a non-working day or official holiday - on the next working day until 13.00 o'clock. If during the last five minutes before the time laid down for ending of the auction a bid is registered, the duration of the auction shall be automatically extended for five minutes. If during the last hour before the time laid down for ending of the auction significant technical disorders are found, which may affect the result of the auction, and they are not related to system security infringements, the duration of the auction shall be automatically extended until 13.00 o'clock on the next working day. After the end of the auction bids shall not be registered and the end date and time of the auction and the last bid made shall be indicated in the site of electronic auctions.

(5) The bailiff may terminate the auction of the immovable property in the cases laid down in this Law. A notice regarding suspension of the auction shall be published in the site of electronic auctions.

[28 May 2015; 4 February 2016]

Section 609. Double Auction

(1) A double auction may be requested by a mortgage creditor if, after a mortgage has been corroborated, such encumbrance of immovable property has been entered in the Land Register, without the consent of the mortgage creditor, as may affect the amount realisable by the mortgage creditor, and the auction takes place directly regarding the recovery of the claim of such mortgage creditor or of the claim of a mortgage creditor entered in the Land Register in priority to such mortgage creditor.

(2) The immovable property may be sold at auction with the condition that the mentioned encumbrance is to remain or with the condition that the mentioned encumbrance is to be discharged.

(3) If no person wishes to acquire the immovable property with the encumbrance remaining thereon, it shall go to the highest bidder therefor with the condition that the encumbrance is to be discharged.

(4) If there are bidders wishing to purchase the immovable property with the encumbrance and others wishing to purchase it with the encumbrance discharged, the immovable property shall go to the highest bidder provided the encumbrance is discharged only if the price bid exceeds not only the highest price which has been bid on condition the encumbrance is to remain but also the amount of claims which have priority as compared to the claims of the mortgage creditor who has requested that there be a double auction.

[31 October 2002]

Section 610. Statement of Auction

(1) A bailiff shall set out in a statement of auction:

1) the start and final date and time of the auction;

2) the given name, surname, official appointment location and location of practice of the bailiff;

3) the ruling which is being enforced;

4) what immovable property is sold by auction and the initial auction price;

5) persons authorised for participation in the auction;

6) prices bid at the auction and the given name and surname of the bidder or firm (name);

7) the highest price bid, the given name and surname or name, personal identity number or registration number and address of the highest bidder;

8) encumbrances if the immovable property is sold with a condition that they are to remain.

(2) A bailiff shall send a statement of auction to the highest bidder by using the site of electronic auctions. A statement of auction drawn up in the site of electronic auctions shall be valid without a signature of the bailiff.

[31 October 2002; 5 February 2009; 28 May 2015 / See Paragraph 106 of Transitional Provisions]

Section 611. Consequences of an Auction

(1) Immovable property shall go to that person who has bid a price higher than others.

(2) The highest bidder shall, within one month, after the final date of the auction, pay:

1) all amount he or she has bid;

2) value added tax, if the auction price is taxable with value added tax;

3) the State fee laid down in Section 34, Paragraph one, Clause 15 of this Law for the application for the corroboration of the immovable property in the name of the acquirer;

4) the State and office fees laid down in laws and regulations for corroboration of the ownership rights in the Land Registry.

(21) A bank request guarantee letter submitted to a bailiff where the subject of the guarantee, sum and time period that cannot be less than three months counting from the day of approval of the statement of auction shall also be considered as payment of the whole sum, if the creditor and mortgage creditor have agreed on the use of such request guarantee letter.

(3) After the highest bidder of immovable property has paid the whole amount due from him or her, the bailiff shall electronically submit the application for corroboration of the immovable property on the name of the acquirer to the Land Registry Office of a district (city) court in the territory of operation of which the immovable property is located, and ask to corroborate the property rights in the Land Registry in the name of the acquirer.

(31) After the bailiff has submitted a copy of the court decision to the bank regarding approval of the statement of auction, the bank shall, within three days, transmit the sum indicated in the bank request guarantee letter to the deposit account of the bailiff.

(32) After the time period for appeal of the calculation drawn up by the bailiff has expired and such calculation has not been appealed, or, if such calculation has been appealed - when the court ruling on the calculation drawn up has come into effect, the bailiff shall pay into the State budget the value added tax paid by the highest bidder and notify the debtor and the State Revenue Service thereof.

(4) If the highest bidder does not pay the whole amount due from him or her within the time period set, the security paid in shall be included in the total amount received for the property and divided pursuant to the same procedures as such amount. Security paid in shall also be included in the total amount where it is found that the bidder did not have the right to take part in the auction (Section 607, Paragraph three).

[31 October 2002; 5 February 2009; 17 December 2009; 20 December 2010; 12 September 2013; 11 September 2014; 28 May 2015]

Section 612. Inclusions in Purchase Price

(1) The highest bidder shall be allowed to have included in the purchase price the highest bidder's mortgage claim which is justified by an enforcement document, as well as other mortgage debts if the mortgage creditors agree to leave them on the immovable property, transferring such debts to the highest bidder.

(2) If the amount received from the sale does not suffice to satisfy all the recovery and mortgage debts, the claims of the highest bidder may be included in the purchase price only to the extent of the amount which pursuant to calculation is due to the highest bidder after the claims having priority as compared to the highest bidder's claims, have been covered.

[5 February 2009]

Section 613. Approval of a Statement of Auction of Immovable Property

(1) A court shall examine a case regarding corroboration of immovable property in the name of the acquirer (a person who has subrogated immovable property or the highest bidder) in the written procedure within 30 days from submitting the application of the bailiff to the court. The court shall notify the bailiff, and also creditor, debtor, acquirer of the immovable property, owner of the immovable property, mortgage creditor and the person who has submitted the complaint referred to in Section 617, Paragraph two of this Law, if such complaint has been submitted, regarding examination of the case.

(2) The bailiff shall include the information in the application for the enforcement activities carried out in the case which are related to bringing of recovery proceedings against the immovable property, and attest payment of court expenses laid down in Section 611, Paragraph two, Clauses 3 and 4 of this Law regarding submission of the referred to application to the court.

(3) When examining the case, the court shall verify in the register of Enforcement Cases. The court is entitled to require from the participants in the case written explanations and evidence in order to clarify circumstances of the case and evidence.

(4) Concurrently with an application for the corroboration of the immovable property in the name of the acquirer the court may also examine a complaint regarding bailiff's actions, if the submitter of the complaint requests to announce an auction as invalid (Section 617, Paragraph two).

(5) In satisfying an application the court may take a decision:

1) to approve the statement of auction and corroboration of the sold immovable property in the name of the acquirer;

2) regardless of the consent of the creditor - to discharge all debt obligations entered in the Land Register against such property, regarding which the acquirer has not given a direct notice that the acquirer has subrogated them;

3) regardless of the consent of the creditor - to discharge such encumbrances, which have been accepted as a condition in acquiring the property (Section 609);

4) to discharge pledge notations entered in the Land Register against such property;

5) to refusal declaration of auction as invalid, if such claim has been submitted.

(6) By refusing an application, the court shall declare an auction as invalid.

(7) Upon request of the acquirer the court shall decide on his or her being placed in possession of the acquired immovable property.

(8) Upon request of the bank whose issued request guarantee letter has been used for the payment of the purchase sum, the court shall decide on establishment of the pledge right for the immovable property sold.

(9) If a refusal declaration of an auction as invalid has not been submitted in the case or a request regarding introduction of the acquired immovable property in the possession has not been submitted, a decision by which a statement of auction is approved or application for corroboration of the immovable property in the name of the highest bidder, co-owner or creditor (Section 615, Paragraph five) is satisfied, shall be drawn up by the court in the form of resolution.

(10) An ancillary complaint regarding the decision of the court may be submitted to the regional court.

(11) After a court decision, by which the application for corroboration of the immovable property in the name of the acquirer is satisfied, the bailiff shall pay the State and office fee referred to in Section 611, Paragraph two, Clause 4 or Section 615, Paragraph four, Clause 2 of this Law, which is determined by the laws and regulations for corroboration of property rights in the Land Registry, into the State budget and notify the acquirer and the relevant Land Registry office of the district (city) court thereof.

(12) In accordance with the procedures laid down in this Section, in so far as it concerns taking of a decision on approval of the statement of an auction, the Land Registry office of the district (city) court shall approve also a statement of auction of a ship.

[11 September 2014 / See Paragraph 84 of Transitional Provisions]

Section 614. Auction not Having Taken Place

(1) A bailiff shall declare an auction as not to have taken place, if:

1) no participant is authorised for the auction;

2) no person of those who have been authorised for the auction bids more than the initial price;

3) the highest bidder does not pay the whole amount due from him or her (Section 611, Paragraph two) within the time period set;

4) a notification from the security manager of a site of electronic auctions regarding significant technical failures, which may influence the result of the auction, has been received during the course of the auction, except in the case referred to in Section 608, Paragraph four of this Law, or within 24 hours after the end of the auction.

(2) A bailiff shall draw up the statement and shall give notice to the debtor and owner of the immovable property, that the auction shall be deemed as not to have taken place in the cases referred to in Paragraph one, Clause 1 or 2 of this Section. The notification shall be sent to participants, who have been authorised for the participation in the auction, by using a site of electronic auction.

(3) A bailiff shall draw up the statement and shall give notice to the bidder, debtor and owner of the immovable property, that the auction shall be deemed as not to have taken place in the case referred to in Paragraph one, Clause 3 of this Section.

(4) Upon receipt of the notification referred to in Paragraph one, Clause 4 of this Section, a bailiff shall terminate auction and post a notification thereon in the site electronic auctions during the course of the auction.

(5) A bailiff shall draw up the statement and shall give notice to the creditor, debtor and owner of the immovable property, that the auction shall be deemed as not to have taken place in the case referred to in Paragraph one, Clause 4 of this Section. The notification shall be sent to participants, who have been authorised for the participation in the auction, by using a site of electronic auction.

[28 May 2015; 4 February 2016]

Section 615. Consequences of an Auction not Having Taken Place

(1) If an auction is declared as not having taken place for the reasons provided for in Section 614, Paragraph one, Clauses 1 and 2 of this Law, a bailiff shall immediately notify every creditor and joint owner of the debtor thereof, inviting them to retain the immovable property for themselves at the initial price of the auction not having taken place. Every creditor and joint owner of the debtor has the right to notify the bailiff regarding retaining the immovable property for themselves within two weeks from the day when an invitation of the bailiff was sent.

(2) If the auction has been declared as not having taken place for the reasons provided for in Section 614, Paragraph one, Clause 3 of this Law, the bailiff shall immediately notify the last bidder outbid thereof by inviting him or her to retain the immovable property at the highest price he or she has bid. The last bidder outbid has the right to notify the bailiff regarding retaining of the immovable property for him or herself within two weeks. If the last bidder outbid has failed to notify regarding retaining of the immovable property within the time period specified by the law or has refused to retain the immovable property, every creditor or co-owner of the debtor has the right to notify the bailiff regarding retaining of the immovable property for themselves at the initial price of auction organised within two weeks from the day when an invitation of the bailiff was sent.

(21) If the auction is recognised as not occurred due to the reason provided for in Section 614, Paragraph one, Clause 4 of this Law, the bailiff shall immediately announce a repeated auction.

(3) If several persons wish to retain the immovable property for themselves, an auction shall be organised where these persons shall participate, moreover, the bidding shall start from the price of the auction not having taken place. The bailiff shall notify the persons wishing to retain the immovable property for themselves of the time and place of the auction in writing seven days in advance. The failure of a person to attend the auction shall be considered as his or her waiver of the right to participate in bidding. If one person attends the auction, such person may retain the immovable property at the initial price of the auction organised. If nobody attends the auction, the bailiff shall, without delay, announce a second auction.

(4) A person, who retains immovable property for himself or herself, shall, within one month, pay into the deposit account of the bailiff:

1) the State fee laid down in Section 34, Paragraph one, Clause 15 of this Law for the application for corroboration of the immovable property in the name of the acquirer;

2) the State and office fees laid down in the law or regulation for corroboration of the ownership rights in the Land Registry;

3) the amount indicated in Paragraph one, two or three of this Section;

4) the value added tax, if the auction price is taxable with value added tax, in conformity with the calculation drawn up by the bailiff (Section 631, Paragraph three) and the provisions of Section 612 of this Law being taken into account.

(5) After payment of the amount referred to in Paragraph four of this Section, the bailiff shall electronically submit an application to the Land Registry office of the district (city) court, in the territory of which the immovable property is located, for the corroboration of the immovable property in the name of the highest bidder, joint owner or creditor and regarding the extinguishing of debts entered in the Land Registry (Section 613) and request to corroborate the ownership rights in the Land Registry.

(6) If no one has applied for the retaining of immovable property for himself or herself, a second auction shall be organised.

[5 February 2009; 17 December 2009; 20 December 2010; 8 September 2011; 12 September 2013; 11 September 2014; 28 May 2015]

Section 616. Second Auction

(1) A second auction shall be announced and organised, observing the provisions regarding a first auction. However, bidding for immovable property shall start from the amount which corresponds to 75 per cent of the initial price at the first auction.

(2) [17 December 2009]

(3) If the second auction has not taken place and no one intends to retain the immovable property for himself or herself, the immovable property shall remain in the ownership of the previous owner and the notation in the Land Register regarding recovery shall be expunged.

[31 October 2002; 17 December 2009]

Section 617. Invalid Auction

(1) A court shall declare an auction to be invalid, if:

1) any person has unjustifiably not been allowed to participate in the auction, or a higher bid has wrongly been refused;

2) the immovable property was bought by a person who was not entitled to participate in the auction;

3) [28 May 2015];

4) [5 February 2009];

5) the creditor or the bidder has acted in bad faith;

6) by enforcing recovery towards immovable property, the bailiff has allowed important procedural breaches or other important circumstances have been found, which preclude corroboration of the immovable property in the name of the purchaser.

(2) The interested parties may submit a complaint regarding bailiff's actions, which provide the basis for requesting that an auction is declared invalid, to the Land Registry office of the district (city) court according to the location of the immovable property, within 10 days from the day of the end of the auction.

(3) An ancillary complaint may be submitted regarding a decision of a court.

(4) If an auction of immovable property is declared invalid, a repeated auction shall be organised pursuant to provisions of the auction, which was declared invalid.

(5) [5 February 2009]

[31 October 2002; 5 February 2009; 11 September 2014; 28 May 2015]

Section 618. Sale of Immovable Property Held Jointly

(1) When directing recovery against one or several owners of undivided joint property, such property shall be inventoried in its entirety but only the right of a debtor to his or her part, without prior separation thereof, shall be sold at the auction.

(2) Immovable property held jointly may also be sold in its entirety, if the joint owners wish and creditors do not raise objections thereto. The money received from the sale shall be divided between the owners of the immovable property but the amount due to the debtor shall be used for the discharge of the debt.

Chapter 74
Compulsory Delivery of Property Adjudged by a Court; Enforcement of Actions Imposed by a Court Judgment

Section 619. Delivery of Articles Set Out in a Court Judgment to the Creditor

(1) If specific articles set out in a court judgment are adjudged to a creditor, a bailiff in accordance with the procedures laid down in Section 555 of this Law shall notify the debtor of an obligation to enforce the judgment. The bailiff shall also set out in the notification the date when enforcement of the court judgment shall be performed if it is not enforced voluntarily. If the court judgment is to be enforced without delay, the bailiff shall not provide the debtor with a time period for voluntary enforcement of the court judgment but notify in writing the date and time when enforcement of the court judgment shall be performed, for which notice the recipient shall sign or it shall be sent by registered mail.

(2) Upon request of the bailiff during the time set by the bailiff for enforcement of the judgment the debtor has an obligation to present the articles specified in the writ of enforcement which are to be handed over to the creditor. The debtor and the creditor have the right to invite not more than two witnesses to handing over of articles. The failure of witnesses to attend shall not stay enforcement of the judgment.

(3) If during enforcement of a court judgment the debtor fails to present the articles specified in the judgment which are to be handed over to the creditor, refuses to disclose the location thereof and subsequent to inspection of the premises the articles are not found, the bailiff shall draw up a statement to this effect which shall be signed by the bailiff, the creditor and the witnesses if such have participated. When a statement regarding non-existence of the property to be handed over to the creditor has been drawn up the bailiff in conformity with provisions of this Law shall carry out enforcement activities to recover the amount specified in the court judgment (Section 196).

[31 October 2002; 8 September 2011]

Section 620. Consequences Resulting from a Failure to Enforce a Judgment Imposing on a Debtor an obligation to Perform Certain Actions

(1) If there is a failure to enforce a judgment which imposes on a debtor an obligation to perform stipulated actions which are not connected with the providing of property or of an amount of money, a bailiff shall draw up a statement regarding failure to enforce the judgment.

(2) If there are set out in the judgment the consequences of failure to enforce the judgment provided for in Section 197, Paragraph two of this Law, the statement drawn up shall be sent to the district (city) court based on the place of enforcement in order that it take a decision on the application of the consequences set out in the judgment in connection with the fact that the debtor does not perform the stipulated actions.

(3) If the consequences of a failure to enforce the judgment are not set out therein, the statement drawn up shall be sent to the court which gave the judgment in the case, and that court shall decide as to the issue regarding procedures for enforcement of the judgment in accordance with the provisions of Sections 206 and 438 of this Law.

(4) If a judgment which imposes on a debtor an obligation to fulfil actions which may be fulfilled only by himself or herself (Section 197, Paragraph one) is not enforced within the time period specified by the court judgment, the statement drawn up shall be forwarded by the bailiff to the court based on the place of enforcement. The issue regarding failure to enforce the judgment shall be decided at a court hearing. The creditor and debtor shall be notified of the time and place of the hearing; however, failure of such persons to attend shall not constitute a bar for the examination of the issue regarding the failure to enforce the judgment. Where a debtor does not enforce a judgment which imposes on the debtor an obligation to fulfil actions which may only be fulfilled by the debtor himself or herself, within the time limit specified by the court, the court may impose a fine not exceeding EUR 360 on the debtor, stipulating a new time period for the enforcement of the judgment. An ancillary complaint may be submitted regarding the decision of the court. The fine is recoverable from the debtor for payment into State revenues.

(5) If the debtor a second time and repeatedly breaches the time period for the enforcement of the judgment, the court shall take measures provided for by Paragraph four of this Section anew. The court shall impose a fine in the amount of EUR 750 for a repeated failure to enforce the judgment. An ancillary complaint may be submitted regarding the decision of the court. Payment of the fine shall not release the debtor from the obligation to fulfil actions provided for by the court judgment.

(6) If an employer does not enforce a court judgment on the reinstatement of a dismissed or transferred employee, the court, upon a request of the employee, shall take a decision on remuneration for work for the entire period from the day the judgment is given until the day it is enforced.

(7) An ancillary complaint may be submitted regarding a decision of a court.

[12 September 2013; 9 June 2016]

Chapter 74.1
Eviction of Persons and Removal of Property from Premises

[31 October 2002]

Section 620.1 Notification of an Obligation to Enforce the Ruling

(1) A bailiff shall issue a notification regarding an obligation to enforce a court judgment and vacate premises in accordance with the procedures laid down in Section 555 of this Law to each person of legal age who pursuant to the court judgment is to be evicted.

(2) In the notification the bailiff shall also set out the date on which enforcement of the judgment shall take place if the debtor fails to enforce it.

[8 September 2011]

Section 620.2 Eviction in the Presence of the Debtor

(1) A creditor and a debtor have the right to invite to compulsory eviction not more than two witnesses each. The bailiff shall verify the identity of witnesses and specify these persons in the statement. The failure of witnesses to attend shall not stay enforcement.

(2) The bailiff shall invite the debtor to clear the premises specified in the court judgment from property and to vacate such premises together with minor members of the family.

(3) If the debtor fails to fulfil the invitation of the bailiff, the bailiff shall inventorise and make appraisal of the property in conformity with the provisions of Sections 577 and 578 of this Law, as well as appoint a storer of the property, remove the property and transfer it for storage to the storer of the property pursuant to the statement.

(4) The bailiff shall issue one copy of the statement to the debtor.

(5) Subsequent to enforcement of the judgment the premises shall be transferred to the creditor.

(6) If things which are subject to rapid deterioration have been inventorised, the bailiff shall sell such in accordance with provisions of Section 583 of this Law. The received money shall be transferred for covering of enforcement of judgment expenses but the probable money surplus shall be paid to the debtor.

Section 620.3 Eviction in the Absence of the Debtor

(1) If the debtor fails to appear at the time specified for eviction and there is no information regarding the reason for his or her absence or he or she has not appeared due to a justified reason, the bailiff shall postpone the eviction.

(2) If the debtor has repeatedly failed to appear for eviction at the time specified and has not notified the reason for his or her absence or has not appeared due to a reason which is not recognised as justified by the bailiff, the premises shall be opened by forcible means, in the presence of a police representative. The bailiff shall make a notation in the statement regarding opening of premises by forcible means.

(3) Eviction shall be carried out in accordance with the procedures laid down in Section 620.2 of this Law.

(4) The debtor is entitled to receive one copy of the property inventory statement.

Section 620.4 Actions with Debtor's Property

(1) Debtor has the right to receive the property transferred for storage within a month by paying the enforcement of judgment expenses.

(2) If the debtor refuses to pay the enforcement of judgment expenses, the bailiff shall detain debtor's property in the value required for covering the enforcement of judgment expenses but transfer the remaining property to the debtor.

(3) The bailiff shall sell the detained property in accordance with the provisions of Chapter 71 of this Law.

(4) The money received by sale of the property shall be transferred for covering the enforcement of judgment expenses, but probable surplus of money shall be disbursed to the debtor. A bailiff shall notify the debtor regarding sale of the property if he or she has information regarding the place of residence of the debtor.

(5) If within a month the debtor fails to receive the property transferred for storage, a bailiff shall sell it in accordance with the provisions of Chapter 71 of this Law.

(6) Property that has no market value or that cannot be sold and that the debtor has not arrived to receive within a time period and in accordance with the procedures laid down in Paragraph one of this Section, a bailiff shall destroy in the presence of witnesses by drawing up a statement thereon.

[5 February 2009]

Chapter 74.2
Placing in Possession of Immovable Property

[31 October 2002]

Section 620.5 Notification of an Obligation to Enforce the Ruling

(1) A bailiff shall issue a notification regarding an obligation to vacate immovable property and to transfer it to the acquirer in accordance with the procedures laid down in Section 555 of this Law to a person from whose possession immovable property is to be removed (debtor).

(2) In the notification the bailiff shall also set out the date on which placing of the acquirer in possession of immovable property will take place if the debtor fails to enforce the obligation.

(3) Placing in possession shall also take place if the acquirer has not yet corroborated the ownership rights in the Land Register.

[8 September 2011]

Section 620.6 Placing in Possession of Immovable Property in the Presence of the Debtor

(1) A bailiff shall carry out placing in possession of immovable property in the presence of the acquirer of the immovable property and the debtor or his or her family member of legal age. These persons have the right to invite not more than two witnesses each. The bailiff shall verify the identity of witnesses and specify these persons in the statement. The failure of witnesses to attend shall not stay enforcement.

(2) The bailiff shall invite the debtor to clear the immovable property from the property owned by him or her and to vacate the immovable property together with the family members and other persons living together with his or her family.

(3) If the invitation of the bailiff is not fulfilled, the bailiff shall inventorise and make appraisal of the property in conformity with the provisions of Sections 577 and 578 of this Law, as well as appoint a storer of the property, remove the property and transfer it for storage to the storer of the property pursuant to the inventory statement. Movable property belonging to the immovable property shall not be included in this inventory statement and shall not be removed.

(4) The bailiff shall issue one copy of the statement to the debtor or his or her family member of legal age in the presence of which placing of the immovable property in possession of the acquirer was carried out.

(5) The bailiff shall draw up a separate statement regarding the immovable property to be transferred to the acquirer which shall specify the state of the immovable property and movable property belonging thereto, which shall be transferred to the acquirer.

(6) If things which are subject to rapid deterioration have been inventoried and removed, the bailiff shall sell such in accordance with the provisions of Section 583 of this Law. The received money shall be transferred for covering of enforcement of judgment expenses but the probable money surplus shall be paid to the debtor.

[8 September 2011]

Section 620.7 Placing in Possession of Immovable Property in the Absence of the Debtor

(1) If neither debtor nor any of his or her family members of legal age appears at the time specified for placing in possession of immovable property and there is no information regarding the reason for his or her absence or he or she has not appeared due to a justified reason, the bailiff shall postpone placing in possession.

(2) If neither debtor nor any of his or her family members of legal age has repeatedly appeared at the time specified for placing in possession of immovable property and has not notified the reason for his or her absence or has not appeared due to a reason which is not recognised as justified by the bailiff, the premises shall be opened by forcible means, in the presence of a police representative and two witnesses. The bailiff shall make a notation in the statement regarding opening of the premises by forcible means.

(3) Placing in possession of immovable property shall be carried out in accordance with the provisions of Section 620.6 of this Law.

(4) The debtor is entitled to receive one copy of the property inventory statement.

[8 September 2011]

Section 620.8 Disputes and Complaints in Connection with Placing in Possession of Immovable Property

(1) Objections of the possessor whose immovable property has been transferred to the acquirer, as well as objections of third persons against the transfer of the immovable property acquired at auction shall not stay placing in possession. The former possessor and third persons may prove their rights only by bringing an action at court.

(2) A complaint, which is submitted to a court by a third person who is in possession of the immovable property to be transferred, shall stay placing in possession until examination of the complaint. Satisfaction of the complaint does not impede the acquirer of the immovable property to bring an action according to general procedure against the possessor of the immovable property.

Section 620.9 Action with Property Transferred for Storage

(1) Debtor has the right to receive the property transferred for storage within a month by paying the enforcement of judgment expenses.

(2) If the debtor refuses to pay the enforcement of judgment expenses, the bailiff shall detain debtor's property in the value required for covering the enforcement of judgment expenses but transfer the remaining property to the debtor.

(3) The bailiff shall sell the detained property in accordance with the provisions of Chapter 71 of this Law.

(4) The money received by sale of the property shall be transferred for covering the enforcement of judgment expenses, but probable surplus of money shall be disbursed to the debtor. A bailiff shall notify the debtor regarding sale of the property if he or she has information regarding the place of residence of the debtor.

(5) If within a month the debtor fails to receive the property transferred for storage, a bailiff shall sell it in accordance with the provisions of Chapter 71 of this Law.

(6) Property that has no market value or that cannot be sold and that the debtor has not arrived to receive within a time period and in accordance with the procedures laid down in Paragraph one of this Section, a bailiff shall destroy in the presence of witnesses by drawing up a statement thereon.

[8 September 2011]

Chapter 74.3
Return of a Child to the State, which is his or her Place of Residence

[4 August 2011]

Section 620.10 Ruling Enforcement Expenses and Procedures for Payment Thereof

(1) A creditor shall, by submitting an enforcement document for enforcement, pay the State fee and cover the ruling enforcement expenses in accordance with Section 567, Paragraph one of this Law.

(2) A creditor who does not participate in enforcement of the ruling shall, upon a request of a bailiff, in addition to the ruling enforcement expenses referred to Paragraph one of this Section, pay in the sum for covering of the expenses related to the conveyance of the child to a state, which is his or her place of residence (also for covering of the expenses related to the stay of the child in a crises centre or other safe conditions, travel expenses, expenses for the services of an interpreter and psychologist and other expenses). The amount of such expenses and procedures for the payment thereof shall be determined by the Cabinet.

(3) After transfer of the child to a representative of the Orphan's Court a bailiff shall immediately transmit the expenses referred to in Paragraph two of this Section to the account specified by the Orphan's Court.

(4) When issuing an enforcement document to the creditor (Section 565, Paragraph one, Clauses 7 and 8, and Section 620.13, Paragraph three), a bailiff or the Orphan's Court shall repay the expenses referred to in Paragraph two of this Section, which have not been spent for enforcement of the ruling, to the creditor.

(5) A bailiff shall recover the ruling enforcement expenses from the debtor.

[29 October 2015]

Section 620.11 Notification of an Obligation to Enforce the Ruling

(1) A bailiff, when about to commence enforcement, shall notify the debtor in accordance with the procedures laid down in Section 555 of this Section regarding an obligation to enforce the ruling within 10 days. If the creditor submits an enforcement document for enforcement repeatedly after the bailiff has issued it to him or her in accordance with Section 620.13, Paragraph three of this Law, a notification shall not be sent.

(2) Upon receipt of the enforcement document indicated in Section 540, Clause 8 of this Law in which the time period for voluntary enforcement of ruling has not been determined for enforcement, a bailiff shall, in accordance with the procedures laid down in Section 555 of this Law, send a notification to the debtor regarding obligation to enforce the ruling within 30 days. In the notification the bailiff shall warn the debtor regarding consequences provided for in this Section that will set in if the ruling is not enforced.

[29 October 2015]

Section 620.12 Consequences that Arise if Debtor Fails to Voluntarily Enforce a Ruling

(1) A bailiff shall send the information that a debtor has failed to voluntarily enforce a ruling to:

1) the district (city) court that has taken the decision on return of the child to the state, which is his or her place of residence - upon receipt of the abovementioned decision for enforcement; or

2) the district (city) court, in the territory of which the enforcement document referred to in Section 540, Clause 8 of this Law is to be enforced - after the time period for voluntary enforcement of the ruling specified in the enforcement document or in accordance with Section 620.11 of this Law has expired.

(2) The court shall, after receipt of the information referred to in Paragraph one of this Section, shall impose a fine on the debtor in the amount of EUR 750.

(3) The issue regarding imposition of a fine shall be examined bin the written procedure.

(4) A true copy of the court decision on imposition of a fine shall be sent to the debtor.

(5) An ancillary complaint may be submitted regarding a court decision on imposition of fine.

(6) The fine shall be recovered from the debtor into income of the State.

(7) Payment of the fine shall not release the debtor from the obligation to enforce the ruling.

[12 September 2013; 9 June 2016]

Section 620.13 Ascertaining of Daily Regimen of a Child

(1) Concurrently with sending of the information referred to in Section 620.12, Paragraph one of this Law, a bailiff shall, where it is necessary for the enforcement of the ruling, issue an order to the Orphan's Court based on the location of the child to ascertain the daily regimen of the child and inform the bailiff thereof immediately.

(2) The Orphan's Court shall immediately inform the bailiff regarding the information which applies to the child and the location of the child and which it has obtained by executing the order specified in Paragraph one of this Section. If it is not possible to obtain the abovementioned information, the Orphan's Court shall inform the bailiff thereof. The bailiff shall, upon receipt of the information that the location of the child is not known, in accordance with Section 569 of this Law, ask a judge to take a decision on search for the child or the child and debtor with the assistance of the police and stay enforcement proceedings.

(3) The bailiff shall, upon receipt of the information regarding the location of the child from the Orphan's Court or police, which is in the operational territory of the regional court to which the bailiff is not attached, make a notation thereon in the enforcement document, by providing information regarding the location of the child, and shall, without delay, issue the enforcement document to the creditor explaining his right to submit the enforcement document for the enforcement in conformity with the provisions of Section 549 of this Law.

(4) [29 October 2015].

[29 October 2015]

Section 620.14 Transfer of a Child to a Creditor or Representative of the Orphan's Court

(1) Upon receipt of the information referred to in Section 620.13, Paragraph one of this Law, a bailiff shall determine the times and places when and where a child will be transferred to a creditor or representative of the Orphan's Court, if the creditor does not participate in the enforcement, and notify thereof:

1) the creditor by issuing a notification to him or her against a signature or by sending a notification by registered mail or forwarding it through the Ministry of Justice and informing him or her regarding the rights of the creditor to be present at the enforcement activities;

2) the Orphan's Court and the police based on the location of the child by issuing an order for their representatives to participate in enforcement. The Orphan's Court may, at its own discretion, invite a psychologist to participate in the enforcement of the ruling.

(2) The bailiff shall not inform the debtor regarding the times and places when and where the child will be transferred to a creditor or representative of the Orphan's Court, if the creditor does not participate in the enforcement.

(3) Transfer of the child to the creditor or representative of the Orphan's Court shall be performed as soon as possible.

(4) The bailiff, representatives of the Orphan's Court, as well as a psychologist, if the Orphan's Court has invited him or her, shall participate in the transfer of the child. In the time and at the place specified in the order by the bailiff the representative of the Orphan's Court shall, in co-operation with a psychologist if any has been invited, carry out negotiations with a creditor or other persons with whom the child is located in order to convince to return the child to the creditor or representative of the Orphan's Court, if the creditor does not participate in the enforcement, as well as to prepare the child for conveyance back to the state, which is his or her place of residence. The representatives of the police shall ensure public order and compliance with the order by the bailiff.

(5) If the bailiff is not allowed to enter the premises regarding which there is the information that a child is therein, they shall be opened by forced enforcement in the presence of the representative of the police. If no person aged over seven years is met at the premises, after forced opening of the premises the bailiff shall, without inventorying the property present in the premises, take care regarding safe closing and sealing of such premises. A bailiff shall leave a notification near the relevant the immovable property or premises inviting to appear at the bailiff's office in order to collect the keys from the premises. The bailiff shall make a notation in the statement regarding activities related to forced opening of the premises.

(6) If a child is transferred to a creditor, the bailiff shall make a notation in the statement regarding transfer of the child, indicating that the ruling has been enforced.

(7) If the child is transferred to a representative of the Orphan's Court for the performance of further activities in order to convey the child back to the state, which is his or her place of residence, the bailiff shall make a notation in the statement regarding transfer of the child. A copy of the statement shall be issued to the representative of the Orphan's Court. After receipt of the notification from the Orphan's Court that the child has been conveyed back to the state, which is his or her place of residence, the bailiff shall draw up a statement on enforcement of the ruling.

[29 October 2015]

Section 620.15 Action of a Bailiff if it is not Possible to Transfer a Child to a Creditor or Representative of the Orphan's Court

If the Orphan's Court cannot acquire the information referred to in Section 620.13 of this Law or the conveyance of the child back to the state, which is his or her place of residence, is not possible because the child had not been met in the times and at the places specified by the bailiff, the bailiff shall draw up a statement thereon and send such statement to the Office of the Prosecutor in order for it to decide an issue regarding commencement of criminal proceedings against a debtor in relation to his or her malicious evasion from enforcement of the ruling, and stay the enforcement proceedings.

Section 620.16 Refusal or Suspension of Enforcement of a Ruling

(1) A debtor may submit to the district (city) court, which has taken a decision on the return of a child to the state, which is his or her place of residence, or in the territory of which the certificate referred to in Section 540, Clause 8 of this Law is to be enforced, a proposal regarding suspension of enforcement of a ruling or refusal to enforce a ruling if a change of important circumstances has occurred.

(2) The following shall be considered as a change of important conditions within the meaning of this Section:

1) the fact that the conveyance of the child back to the state, which is his or her place of residence, is not possible due to the condition of health or psychological condition of the child which is certified by a statement from the hospital or psychiatrist;

2) objections of the child against his or her conveyance back to the state, which is his or her place of residence, that is certified by an opinion of the psychologist appointed by the Orphan's Court; or

3) the fact that a creditor does not demonstrate any interest regarding renewal of the connection with the child.

(3) The proposal referred to in Paragraph one of this Section may be submitted, if more than a year has passed since the decision on return of the child to the state, which is his or her place of residence (Section 644.20), except in the case referred to in Paragraph two, Clause 1 of this Section.

(4) Such application shall be examined in a court hearing, previously notifying the parties and the Orphan's Court thereof. Failure of such persons to attend shall not constitute a bar for the examination of the application.

(5) In a decision to stay enforcement of a ruling the court shall indicate the obligations of the debtor and creditor during the time period while enforcement of the ruling is stayed, and, if necessary - also procedures by which a connection between the child and creditor is to be renewed.

(6) The decision shall be enforced without delay. An ancillary complaint may be submitted regarding the decision of the court. Submission of an ancillary complaint shall not stay the enforcement of the decision.

[29 October 2015]

Chapter 74.4
Enforcement of Ruling in Cases Arising from Custody Rights

[29 October 2015]

Section 620.17 Notification of an Obligation to Enforce the Ruling

A bailiff shall send a notification regarding an obligation to transfer the child to the creditor within 15 days or issue it to the debtor in accordance with the procedures laid down in Section 555 of this Law. In the notification the bailiff shall warn the debtor regarding consequences that will arise if the ruling is not enforced.

Section 620.18 Civil Procedural Consequences Arising if a Debtor Fails to Enforce a Ruling

(1) If a debtor has failed to enforce the ruling within a time period indicated in the notification of the bailiff, the bailiff shall send the information thereon to the district (city) court which has taken the ruling in the case arising from custody rights, or in the operational territory of which the foreign ruling is to be enforced.

(2) A judge shall, after receipt of the information referred to in Paragraph one of this Section, impose a fine on the debtor up to EUR 1500.

(3) The issue regarding imposition of a fine shall be examined bin the written procedure.

(4) A true copy of the decision by the judge on imposition of a fine shall be sent to the debtor.

(5) An ancillary complaint may be submitted regarding a court decision on imposition of fine.

(6) The fine shall be recovered from the debtor into income of the State.

(7) Payment of the fine shall not release the debtor from the obligation to enforce the ruling.

[9 June 2016]

Section 620.19 Ascertaining of Daily Regimen of a Child

(1) If it is necessary for the enforcement of the ruling, a bailiff shall issue an order to the Orphan's Court based on the location of the child to ascertain the daily regimen of the child and inform the bailiff thereof.

(2) The Orphan's Court shall inform the bailiff regarding the information which applies to the child and his or her location, and which it has obtained by executing the order specified in Paragraph one of this Section. If it is not possible to obtain the abovementioned information, the Orphan's Court shall inform the bailiff thereof.

(3) The bailiff shall, upon receipt of the information that the location of the child is not known, in accordance with Section 569 of this Law, ask a judge to take a decision on search for the child or the child and debtor with the assistance of the police and stay enforcement proceedings.

(4) The bailiff shall, upon receipt of the information regarding the location of the child from the Orphan's Court or police, which is in the operational territory of the regional court to which the bailiff is not attached, make a notation thereon in the enforcement document, by providing information regarding the location of the child, and shall, without delay, issue the enforcement document to the creditor explaining his right to submit the enforcement document for the enforcement in conformity with the provisions of Section 549 of this Law.

Section 620.20 Transfer of the Child to a Creditor

(1) The bailiff shall, upon receipt of the information referred to in Section 620.19, Paragraph one of this Law, determine the place and time where and when the child will be transferred to the creditor, and notify thereof the creditor, the Orphan's Court and the police according to the location of the child, give the order to their representatives to participate in the enforcement. The Orphan's Court may, at its own discretion, invite a psychologist to participate in the enforcement of the ruling.

(2) The bailiff shall not inform the debtor regarding the place and time where and when the child will be transferred.

(3) The child shall be transferred to the creditor as soon as possible.

(4) If the creditor fails to arrive on time and place laid down by the bailiff, the bailiff shall postpone the transfer of the child. If the creditor repeatedly fails to arrive on laid down time and has not notified the reason of non-attendance or has failed to arrive due to such reason which the bailiff does not recognise as justifiable, the enforcement document shall be returned to the creditor without enforcement.

(5) The bailiff, representatives of the Orphan's Court, as well as a psychologist, if the Orphan's Court has invited him or her, shall participate in the transfer of the child. At the place and in the time laid down in the order by the bailiff the representative of the Orphan's Court shall, in co-operation with a psychologist if any has been invited, carry out negotiations with a creditor or other persons with whom the child is located in order to convince them to return the child to the creditor, and also to prepare the child for transfer to the creditor. The representatives of the police shall ensure public order and compliance with the order by the bailiff.

(6) If the bailiff is not allowed to enter the premises regarding which there is the information that a child is therein, they shall be opened by forced enforcement in the presence of the representative of the police. If no person aged over seven years is met at the premises, after forced opening of the premises the bailiff shall, without inventorying the property present in the premises, take care regarding safe closing and sealing of such premises. A bailiff shall leave a notification near the relevant the immovable property or premises inviting to appear at the bailiff's office in order to collect the keys from the premises. The bailiff shall make a notation in the statement regarding activities related to forced opening of the premises.

(7) The bailiff shall make a notation in the statement regarding transfer of the child to the creditor, indicating that the ruling has been enforced.

Section 620.21 Action of a Bailiff if it is not Possible to Transfer a Child to a Creditor

If it is not possible for the Orphan's Court to acquire the information referred to in Section 620.19 of this Law or the transfer of the child to the creditor does not take place, because the child had not been met in the time and at the place laid down by the bailiff, the bailiff shall draw up a statement thereon and send such statement to the Office of the Prosecutor in order for it to decide on an issue regarding commencement of criminal proceedings against a debtor in relation to his or her malicious evasion from enforcement of the ruling, and also send the statement to the Orphan's Court for evaluation of the action of the debtor and stay the enforcement proceedings.

Section 620.22 Refusal or Suspension of Enforcement of a Foreign Ruling

(1) A debtor may ask a district (city) court in the operational territory of which a foreign ruling is to be enforced in the case arising from custody rights to suspend enforcement of the ruling or refuse enforcement thereof, because a change of important circumstances has occurred.

(2) The following shall be considered as a change of important conditions within the meaning of this Section:

1) an opinion of the psychologist assigned by the Orphan's Court on the fact that the transfer of the child fails to comply with the interests of the child;

2) the fact that a creditor does not demonstrate any interest regarding renewal of the connection with the child.

(3) The request referred to in Paragraph one of this Section may be submitted if the ruling in the case arising from custody rights has been given more than 10 years ago.

(4) Such application shall be examined in a court hearing, previously notifying the parties and the Orphan's Court thereof. Failure of the parties to attend shall not constitute a bar for the examination of the application.

(5) In a decision to stay enforcement of a ruling the court shall indicate the obligations of the debtor and creditor during the time period while enforcement of the ruling is stayed, and, if necessary - also procedures by which a connection between the child and creditor is to be renewed.

(6) The decision shall be enforced without delay. An ancillary complaint may be submitted regarding the decision of the court. Submission of an ancillary complaint shall not stay the enforcement of the decision.

Chapter 74.5
Enforcement of Ruling in Cases Arising from Access Rights

[29 October 2015]

Section 620.23 Notification of an Obligation to Enforce the Ruling

(1) If the procedures, time and place for enforcement of the access rights of the creditor are determined in a ruling (including in the enforcement document indicated in Section 540, Clause 7.1 of this Law and the court ruling taken in accordance with the procedures laid down in Section 244.13 of this Law on the review of the time and place for exercising the access rights, if the court has not determined opening of the premises by forced enforcement), the bailiff shall, in accordance with the procedures laid down in Section 555 of this Law, send a notification to the debtor regarding the obligation to enforce the ruling in accordance with the procedures, time and place laid down therein. If the time and place are not determined in the ruling, the bailiff shall determine the place and time for enforcement within a reasonable time period, however not later than after two weeks, unless the ruling provides otherwise. In the notification the bailiff shall warn the debtor regarding consequences provided for in this Chapter that will set in if the ruling is not enforced.

(2) If it is determined in the ruling that the access rights are to be enforced in a specific place or in the presence of the access person or representative of the Orphan's Court, or a person authorised by the Orphan's Court, or in a specific place and in the presence of the access person or representative of the Orphan's Court, or a person authorised by the Orphan's Court, the bailiff shall notify regarding the time and place of the enforcement of the ruling also to the access person, the Orphan's Court and a user of the specified place premises, by giving an order to the access person or representative of the Orphan's Court, or a person authorised by the Orphan's Court to participate in the enforcement and an order to the user of the specified place premises to ensure entering in the specified place.

Section 620.24 Statement on the Enforcement or Non-enforcement of a Ruling

(1) If a debtor ensures access for the creditor to the child on the time and at the place determined by the bailiff in conformity with the procedures for enforcement of the access rights laid down in the ruling, the bailiff shall draw up a statement that the ruling is being enforced. If the child cannot be accessed on the time and at the place indicated by the bailiff and the debtor has not notified a reason, why the child cannot be accessed, or has notified a reason which the bailiff does not recognise as justifiable, or the debtor refuses to enforce the ruling due to such reason which the bailiff does not recognise as justifiable, the bailiff shall draw up a statement regarding non-enforcement of the ruling.

If the child cannot be accessed on the time and at the place indicated by the bailiff but the debtor has notified a reason, why the child cannot be accessed, and the bailiff recognises such reason as justifiable, or the debtor refuses to enforce the ruling due to such reason which the bailiff recognises as justifiable, the bailiff shall draw up a statement regarding justifiable reasons for non-enforcement of the ruling and determine new time and place for enforcement of the ruling.

Section 620.25 Civil Procedural Consequences Arising if a Debtor Fails to Enforce a Ruling

(1) A bailiff shall send a statement regarding non-enforcement of the ruling to the court which has given a ruling in the case arising from the access rights, or in the operational territory of which the foreign ruling or enforcement document indicated in Section 540, Clause 7.1 of this Law is to be enforced.

(2) A judge shall, after receipt of the statement referred to in Paragraph one of this Section, impose a fine on the debtor up to EUR 1500.

(3) The issue regarding imposition of a fine shall be examined bin the written procedure.

(4) A true copy of the decision by the judge on imposition of a fine shall be sent to the debtor.

(5) An ancillary complaint may be submitted regarding a court decision on imposition of fine.

(6) The fine shall be recovered from the debtor into income of the State.

(7) Payment of the fine shall not release the debtor from the obligation to enforce the ruling.

[9 June 2016]

Section 620.26 Action of a Bailiff if it is not Possible to Transfer a Child to a Creditor

If after examination of the issue regarding imposing a fine (Section 620.25), the debtor fails to enforce the order of the bailiff regarding the obligation to enforce the ruling issued repeatedly in accordance with the procedures laid down in Section 620.23 of this Law and a statement regarding non-enforcement of the ruling has been repeatedly drawn up thereon in accordance with Section 620.24, Paragraph one of this Law, the bailiff shall send the abovementioned statement to the Office of the Prosecutor in order for it to decide an issue regarding commencement of criminal proceedings against a debtor in relation to his or her malicious evasion from enforcement of the ruling, and also send the statement to the Orphan's Court for evaluation of the action of the debtor and stay the enforcement proceedings.

Section 620.27 Issue of an Enforcement Document to a Creditor

If after renewal of the enforcement proceedings a debtor continues not to enforce the ruling or there are other circumstances which hinder the enforcement of the ruling or make it impossible, a bailiff shall issue the enforcement document back to the creditor, by informing him or her regarding his or her rights in accordance with Section 244.13 of this Law to ask the court to review the procedures for exercising the access rights.

Section 620.28 Procedures for Enforcement of a Ruling on the Review of the Time and Place for Exercising the Access Rights, if the Court has Established Opening of the Premises by Forced Enforcement

(1) A bailiff shall, upon commencement of enforcement of the court ruling on the review of the time and place for exercising the access rights given in accordance with the procedures laid down in Section 244.13 of this Law, by complying with the address and within the time period indicated in the ruling during which the premises may be opened by forced enforcement, determine the time and place, when and where the child will be transferred to the creditor for exercising the access rights, and notify the following persons thereon:

1) the creditor by issuing a notification to him or her against a signature or by sending a notification by registered mail or forwarding it through the Ministry of Justice and informing him or her regarding the obligation of the creditor to be present at the enforcement activities;

2) the access person in the presence of which the access rights are to be exercised in accordance with that laid down in the ruling, by issuing an order for this person to participate in the enforcement;

3) the Orphan's Court based on the location of the child by issuing an order for its representative to participate in enforcement. The Orphan's Court may, at its own discretion, invite a psychologist to participate in the enforcement of the ruling;

4) the police based on the location of the child by issuing an order for its representative to participate in enforcement.

(2) The bailiff shall not inform the debtor regarding the place and time where and when the child will be transferred for exercising access.

(3) At the place and in the time laid down in the order by the bailiff the representative of the Orphan's Court shall, in co-operation with a psychologist if any has been invited, carry out negotiations with a creditor or other persons with whom the child is located in order to convince to return the child to the creditor for exercising access. The representatives of the police shall ensure public order and compliance with the order by the bailiff.

(4) If a bailiff is not let in the premises indicated in the court ruling, they shall be opened by forced enforcement. If no person aged over seven years is met at the premises, after forced opening of the premises the bailiff shall, without inventorying the property present in the premises, take care regarding safe closing and sealing of such premises. A bailiff shall leave a notification near the relevant the immovable property or premises inviting to appear at the bailiff's office in order to collect the keys from the premises. The bailiff shall make a notation in the statement regarding activities related to forced opening of the premises.

(5) If the child is transferred to the creditor, the bailiff shall draw up a statement regarding enforcement of the ruling.

(6) If access rights are to be implemented in a specific place or in the presence of the access person at another place other than the place of enforcement, the child shall be transferred to a representative of the Orphan's Court or access person in order for him or her together with the creditor to transfer the child for exercising access rights at the specified place. The bailiff shall draw up a statement regarding enforcement of the ruling by indicating a person to whom the child is transferred.

(7) If upon performance of the activities indicated in this Section it was not possible to transfer the child to the creditor, the bailiff shall complete the enforcement case without enforcement and inform the creditor regarding his or her rights in accordance with Section 244.13 of this Law to ask the court to review the procedures for exercising access rights.

Section 620.29 Suspension or Refusal of Enforcement of a Foreign Ruling

(1) A debtor may request a district (city) court, in the operational territory of which a foreign ruling or enforcement document, which is issued by a foreign court or institution and indicated in Section 540, Clause 7.1 of this Law, is to be enforced, to suspend the enforcement of the decision or refuse enforcement thereof, due to a change in important circumstances.

(2) Within the meaning of Paragraph one of this Section, an opinion of the psychologist assigned by the Orphan's Court, which attests that the child objects against his or her transfer to the creditor for implementation of access, shall be deemed as a change in important circumstances.

(3) The request referred to in Paragraph one of this Section may be submitted if the ruling in the case arising from access rights has been given more than a year ago.

(4) Such application shall be examined in a court hearing, previously notifying the parties and the Orphan's Court thereof. Failure of the parties to attend shall not constitute a bar for the examination of the application.

(5) In a decision to stay enforcement of a ruling the court shall indicate the obligations of the debtor and creditor during the time period while enforcement of the ruling is stayed, and, if necessary - also procedures by which a connection between the child and creditor is to be renewed.

(6) The decision shall be enforced without delay. An ancillary complaint may be submitted regarding the decision of the court. Submission of an ancillary complaint shall not stay the enforcement of the decision.

Chapter 75
Apportionment of Amounts Recovered between Creditors

Section 621. Issue of Recovered Amounts to Creditors

(1) Enforcement of judgment expenses shall firstly be covered from the amount recovered by a bailiff from a debtor; and thereafter from the remaining amount claims of creditors, which are justified by enforcement documents present in the record-keeping of the bailiff, shall be satisfied. The amount remaining after satisfaction of all of the claims shall be returned to the debtor.

(2) Amounts recovered from a debtor and to be provided to a creditor shall be paid into the bailiff's deposit account, and afterwards shall be issued or transferred in accordance with the prescribed procedures.

(3) A bailiff shall pay amounts, which are to be paid in to the State revenue, into a budget account of the State Treasury.

(4) Amounts recovered for the benefit of a person who is a foreign resident shall be transferred to the creditor in accordance with the prescribed procedures.

(5) Persons who have enforcement documents in other cases may join in the recovery by submitting the enforcement document to the bailiff who organises the auction not later than seven days before the end day of auction indicated in the notice of the auction or until the day when the property is transferred to a trading undertaking for sale pursuant to terms regarding commission.

[31 October 2002; 5 February 2009; 28 May 2015]

Section 622. Order of Satisfaction of Claims of Creditors

(1) If an amount recovered from a debtor does not suffice to satisfy all the claims pursuant to the enforcement documents, such amount shall be apportioned between the creditors in the order prescribed by this Law unless a specific law prescribes priority for certain creditors.

(2) Claims of every next order shall be satisfied after full satisfaction of claims of the previous order.

(3) If an amount collected does not suffice to fully satisfy all the claims of one order, such claims shall be satisfied in proportion to the amount, which is due to each creditor.

(4) If there are several enforcement cases in the record-keeping of the bailiff commenced regarding the claims referred to in Section 623, Paragraph one of this Law that also include an enforcement case in which the Administration of Maintenance Guarantee Fund has taken the place of the creditor in the part regarding recovery of maintenance from the debtor which is disbursed from the Maintenance Guarantee Fund, and it is not enough with the recovered amount to fully satisfy all claims, the recovered amount shall be divided in proportion to the amount of the debt calculated in enforcement cases or to the total amount of the debts if there are several creditors in the case.

[8 December 2016]

Section 623. First Order of Recovery

(1) The following shall be satisfied first of all:

1) claims regarding the recovery of child maintenance or parent support, or the claims of the Administration of Maintenance Guarantee Fund regarding the recovery of the debt of maintenance;

2) claims regarding the recovery of remuneration for work;

3) claims arising from personal injuries which have resulted in mutilation or other injury to health, or in the death of a person.

(2) If support is paid in accordance with a decision of the Administration of Maintenance Guarantee Fund administration and the amount of support recovered:

1) does not ensure the minimal amount of support which, based upon Section 179, Paragraph five of The Civil Law, has been stipulated by the Cabinet, the recovered support shall be paid into the Maintenance Guarantee Fund;

2) ensures the minimal amount of support which, based upon Section 179, Paragraph five of The Civil Law, has been stipulated by the Cabinet, then support in such amount as based on Section 179, Paragraph five of The Civil Law has been stipulated by the Cabinet, shall be paid out to the applicant, but the surplus amount shall be paid into the Maintenance Guarantee Fund until the debt is fully discharged.

[17 June 2004; 9 June 2011; 8 December 2016 / The new wording of Paragraph one, Clause 1 regarding the claims of the first order of recovery shall come into force on 1 April 2017. See Paragraph 122 of Transitional Provisions]

Section 624. Second Order of Recovery

Claims for taxes and non-tax payments into the budget shall be satisfied in the second order.

Section 625. Third Order of Recovery

Claims of natural persons regarding compensation for the losses which have been caused to their property by a criminal act or administrative violation shall be satisfied in the third order.

Section 626. Fourth Order of Recovery

All other claims shall be satisfied in the fourth order.

Section 627. Apportionment of Money Received for Sale of Movable Property Encumbered by a Pledge

From the money received for the sale of movable property encumbered by a pledge and thereafter, firstly, enforcement of judgment expenses shall be covered and thereafter claims shall be satisfied in the following order:

1) claims secured by a pledge;

2) other claims in accordance with the order laid down in this Law.

Section 628. Apportionment of Money Received for Sale of Immovable Property Encumbered by a Pledge

(1) From the money received for the sale of immovable property encumbered by a pledge, firstly, the enforcement of judgment expenses connected with the sale of immovable property shall be covered, and thereafter claims shall be satisfied in the following order:

1) those claims of employees regarding payment of salaries which are related to the maintenance of the immovable property and social insurance payments related to their salaries;

2) claims for tax payments which are payable regarding such immovable property;

3) real charges entered in the Land Register which have come due;

4) claims secured by a pledge on such immovable property according to the rights of priority thereof;

5) other claims in accordance with the procedures provided for by this Law.

(2) When satisfying mortgage claims according to the rights of priority thereof, the ancillary claims thereof - interest for the last three years up to the day of end of an auction, court expenses adjudged and expenses related to the conducting of the court procedure not exceeding the amount of mortgage entered in the Land Register - shall also be satisfied concurrently. The claim in the remaining part not secured by immovable property pledge (mortgage) shall be satisfied in accordance with the procedures laid down in Section 622 of this Law.

(21) If mortgage creditor has not joined in the recovery (Section 621, Paragraph five), the money shall be transferred into the deposit account of the bailiff who organised an auction in the amount of mortgage sum indicated in the Land Register or in the amount indicated in the notification of mortgage creditor, if any has been received (Section 600, Paragraph four), taking into account the right of priority of the relevant mortgage claim, and shall be kept until receipt of enforcement documents.

(3) If immovable property has been sold in an auction in respect of which a plegde rights notation has been made in the Land Register, money in the amount of the claim in conformity with the claim priority shall be transferred to the bailiff's deposit account and stored until examination of the ensured claim at the court.

[31 October 2002; 5 February 2009; 28 May 2015]

Section 629. Apportionment of Money Received for Sale of a Ship

From the money received for the sale of a ship, the enforcement of judgment expenses and other claims shall be satisfied based on Section 56, Paragraph two of the Maritime Code.

[19 June 2003]

Section 630. Order of Recovery in Cases where Property of a Debtor is Confiscated Pursuant to a Judgment in a Criminal Case

(1) When executing a judgment regarding confiscation of property in a criminal case, a bailiff shall transfer the property of a debtor to financial institutions after satisfaction of all the claims submitted against the debtor which have arisen before the arrest of the property of the convicted person or seizure thereof by preliminary investigation agencies or court.

(2) Claims for support and claims arising from personal injuries which have resulted in mutilation or other injury to health, or in the death of a person, shall also be satisfied if they have arisen after arrest is imposed or a seizure placed on the property of the convicted person.

[31 October 2002]

Section 631. Calculation Drawn up by a Bailiff

(1) If a court has found that a creditor has the right to receive interest on the amount adjudged until the enforcement of the judgment (the day of end of an auction) or if the obligation to pay interest is specified in another law, a bailiff shall draw up a calculation of the total amount to be paid to the creditor.

(2) If there are several creditors and the amount recovered from a debtor does not suffice to fully satisfy all the claims, the bailiff shall make a calculation of the apportionment of the money between the creditors and issue it to the creditors and the debtor.

(3) If an auction of immovable property has been announced as not having taken place and a creditor, joint owner of the debtor or the last bidder outbid has expressed his or her wish to retain the immovable property for himself or herself, the bailiff shall draw up a calculation in order to determine the amount due from such person.

(4) A calculation drawn up by a bailiff may be appealed to the district (city) court according to the bailiff's official appointment location. An ancillary complaint may be submitted regarding the decision of the court.

[19 June 2003; 17 June 2004; 5 February 2009; 28 May 2015]

Chapter 76
Protection of Rights of Creditors, Debtors and Other Persons in Enforcement of a Court Judgment

Section 632. Appeal of Actions of a Bailiff

(1) A creditor or a debtor, by submitting a reasoned complaint, may appeal the actions of a bailiff in executing a judgment or the bailiff's refusal to perform such actions, except in the case specified in Section 617 of this Law, to the district (city) court according to the official appointment location of the bailiff within 10 days from the day when the appealed actions are taken or the day when a complainant, who has not been notified of the time and place of actions to be taken, becomes informed of such actions.

(2) A complaint shall be examined at a court hearing within 15 days. A debtor and a creditor, as well as the bailiff, shall be notified of the court hearing. Failure of such persons to attend shall not constitute a bar for the examination of the issue.

(3) On the basis of a reasoned request from the submitter of a complaint, a judge in accordance with the procedures laid down in Section 140 of this Law, may take a decision on staying of enforcement activities, prohibition to transfer money to a bailiff or creditor or debtor or the suspension of the sale of property. The decision shall be implemented without delay after it has been taken.

(4) An ancillary complaint may be submitted regarding a decision of a court.

[31 October 2002; 19 June 2003; 5 February 2009]

Section 633. Protection of Rights of Other Persons in Enforcement of a Ruling

(1) A person who considers that he or she has any right to the inventoried movable property or immovable property against which the recovery is directed or a part thereof, shall bring an action before a court in accordance with general jurisdiction on cases.

(2) Claims for exclusion of property from an inventory statement, deletion of a notation in the Land Register regarding recovery or another claim shall be submitted against the debtor and the creditor. If the property is inventoried on the basis of a judgment in a criminal case in the part regarding property confiscation, the convicted person and the financial institution shall be summoned as defendants.

(3) If the property has already been sold, a claim shall also be submitted against the persons to which the property was handed over. If the court satisfies a claim for immovable property, the entry in the Land Register regarding transfer of ownership rights to the acquirer thereof shall be declared invalid.

(4) If the claim for return of the already sold property in specie is satisfied, disputes among the acquirer of the property, the creditor and the debtor shall be examined by a court in accordance with the procedures for court proceedings by way of action.

[31 October 2002]

Section 634. Reversal of Enforcement of a Judgment

(1) If an enforced judgement is revoked and, upon re-examination of the case, a judgment is given dismissing the claim or a decision is taken to terminate court proceedings in the case or to leave the case without examination, there shall be returned to the defendant everything which has been recovered from the defendant for the benefit of the plaintiff pursuant to the judgment revoked (reversal of enforcement of a judgment).

(2) If it is impossible to return the property in specie, the court judgment or decision shall provide for compensation for the value of such property.

Section 635. Decision on Issue Regarding Reversal of Enforcement of a Judgment

(1) A court to which a case has been referred for examination anew shall, upon its own initiative, examine the issue regarding the reversal of enforcement of the judgment and decide it in the new judgment or decision by which court proceedings in the case are terminated.

(2) If a court, which examines the case anew, has not decided the case regarding reversal of the enforcement of the judgment revoked, the defendant has the right to submit to such court an application for the reversal of enforcement of the judgment. Such application shall be examined at a court hearing upon prior notice to the participants in the case. Failure of such persons to attend shall not constitute a bar for the examination of the application.

(3) A cassation court, if by its judgment it varies a judgment which has been appealed (protested), revokes it and terminates court proceedings in a case or leaves an application without examination, shall decide on the issue regarding reversal of enforcement of the judgment or transfer the deciding thereof to the court whose judgment has been appealed.

(4) If an appellate court dismisses a claim in a case in which a court of first instance has permitted immediate enforcement of a judgment in accordance with Section 205 of this Law, or court proceedings in such case are terminated or a claim is left without examination, it shall, concurrently decide on the issue regarding the reversal of enforcement of the judgment.

(5) If a judgment is revoked due to newly-discovered circumstances or due to the review of a ruling in the cases provided for in legal norms of the European Union, an issue regarding reversal of enforcement of the judgment shall be decided by the court which upon revocation of the judgment re-examines the case.

(6) Reversal of enforcement of a judgment shall be allowed in cases regarding the recovery of maintenance, recovery of remuneration for work, recovery of losses arising from personal injuries resulting in mutilation or other injury to health, or in the death of a person, if the judgment revoked was based on false information furnished by or forged documents submitted by the plaintiff.

(7) An ancillary complaint may be submitted in regard to a court judgment respecting an issue regarding reversal of enforcement of a judgment.

[8 September 2011 / Paragraph six, insofar it applies to reversal of enforcement of a judgment in cases regarding the recovery of remuneration for work, shall be repealed from 1 November 2015 by the Judgment of the Constitutional Court of 16 April 2015 which comes into force from 20 April 2015]

Part F
International Civil Procedure

[7 April 2004]

Division Fifteen
International Civil Procedural Co-operation

Chapter 77
Recognition and Enforcement of a Ruling of a Foreign Court

Section 636. Ruling of a Foreign Court

(1) A ruling of a foreign court within the meaning of this Chapter is a judgment given by a foreign court, in which the issue of dispute between the parties has been tried on the merits, as well as an approved amicable settlement of a foreign court.

(2) A ruling of a foreign court within the meaning of this Chapter is also a ruling of a foreign competent authority, which is to be enforced in the state that made it if the recognition of the ruling and enforcement thereof arises from directly applicable legal norms of the European Union or international agreements binding upon the Republic of Latvia.

[7 September 2006]

Section 637. Recognition of a Ruling of Foreign Courts

(1) Recognition of a ruling of a foreign court shall take place in accordance with the general provisions of this Chapter.

(2) A ruling of a foreign court shall not be recognised only if one of the following grounds for non-recognition exists:

1) the foreign court, which gave the ruling, was not competent in accordance with the Latvian law to examine the dispute or such dispute is an exclusive jurisdiction of the Latvian courts;

2) the ruling of the foreign court has not entered into lawful effect;

3) the defendant was denied a possibility of defending his or her rights, especially if the defendant who has not participated in the examination of the case was not notified regarding appearance in court in a timely and proper manner, except if the defendant has not appealed such ruling even though he or she had the possibility to do so;

4) the ruling of the foreign court is not compatible with a court ruling already given earlier and entered into lawful effect in Latvia in the same dispute between the same parties or with already earlier commenced court proceedings between the same parties in a Latvian court;

5) the ruling of the foreign court is not compatible with such ruling of another foreign court, which has already been given earlier and has entered into lawful effect, in the same dispute between the same parties, which may be recognised or is already recognised in Latvia;

6) the recognition of the ruling of the foreign court is in conflict with the public structure of Latvia;

7) in giving the ruling of the foreign court, the law of such state was not applied as should have been applied in conformity with the rules on conflict of laws of the Latvian international private law.

(3) A ruling of the foreign court in cases, which arise from the custody, guardianship and access rights, shall not be recognised only if there exists at least one of the grounds for non-recognition referred to in Paragraph two, Clauses 1, 2, 3, 6 and 7 of this Section or one of the following grounds for non-recognition:

1) the ruling of the foreign court is not compatible with a court ruling that has been given later and has entered into law