Distribution of proceeds in enforcement proceedings

Under Article 456(1) of the Bulgarian Code of Civil Procedure, other creditors of the same debtor may join enforcement proceedings at any time before the distribution is drawn up. Under Article 456(2), a creditor joins under paragraph 1 by written application, enclosing the writ of execution or a certificate from the enforcement officer confirming that the writ is held on another enforcement file. Under Article 456(3), the certificate states the outstanding balance of the claim, including principal, interest and costs, and the date as at which that balance was calculated. In this case, sums allocated under the distribution are transferred to the account of the enforcement officer who issued the certificate. That officer records the discharge on the writ of execution.

Under Article 460 of the Code, if the sum recovered is insufficient to satisfy all enforcement creditors, the enforcement officer draws up a distribution, first setting aside the sums payable on claims entitled to priority. The remainder is distributed proportionately among the other claims.

If you have questions about enforcement cases or the protection of a debtor, consult a lawyer practising in enforcement proceedings.