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Executory process / What is the procedure for foreclosure?
In accordance with Art. 54 of the Law of Ukraine "On Enforcement Proceedings" foreclosure on the mortgaged property by way of execution allowed on executive documents to meet the requirements of the creditor-mortgagee.
If the funds received from the sale of the mortgaged property is insufficient to meet the requirements of the creditor-mortgagee under the executive document, based on which foreclosed the mortgaged property, the document is returned to the collector-mortgagee in the manner prescribed by paragraph 8 of the first part of Article 47 of this Law.
To meet the requirements of claimants who are not mortgagees, foreclose on the mortgaged property of the debtor may be subject in the case of:
- The emergence of the right to bail after a court decision to recover from the debtor‘s funds;
- If the value of the collateral exceeds the debtor‘s debt to the pledgee.
On the foreclosure of the mortgaged property to satisfy the claimants, who are not mortgagees, State Executive informs the pledgee not later than the day after the seizure of property, or if it became known that the arrested debtor‘s property is pledged, and explains the mortgagee the right to appeal to court to lift the attachment of the mortgaged property.
Implementation of the mortgaged property shall be as prescribed by the Law "On Enforcement Proceedings".
At the expense of funds received from the sale of the mortgaged property, made deduction provided for in Article 43 of this Law, after which the funds are used to meet the demands of the pledgee. If the mortgagee is not a creditor in the enforcement proceedings, he pays after proper verification of the right to pledged property. In the case of meet in full the requirements of the mortgagee balance used to satisfy the claims of other claimants in the manner prescribed by this Law.
Disputes arising from the enforcement proceedings on the foreclosure of the mortgaged property shall be resolved by the court.
Forced foreclosure on the mortgage made public performer, taking into account the provisions of the Law of Ukraine "On Mortgage".