A Final Distraint Bill was sent to Parliament

Zagreb - The Croatian Government on Friday forwarded to the Parliament a final distraint bill on enforcement proceedings and public notaries will be court commissioners in enforcement cases to help them to reduce the burden in this segment.

The bill envisages that employers and the Croatian Agency of Pension Insurance (HZMO) will no longer be parties in the proceedings. 

Also, the process can be launched based on credible documentation in the online form.

The Financial Agency (FINA) shall be authorized to conduct centralized enforcement over financial means, under the supervision of courts.

Justice Minister Dražen Bošnjaković said before the start of the government's meeting that the new distraint law reinstated the court jurisdiction over enforcement proceedings, and the legislation should make those proceedings faster and cheaper.

"Some of the jurisdiction is transferred back to courts in compliance with the Court of the EU ruling," he said.

The minister explained that the digitized form of the decision on enforcement would make the process faster.

Also, a list of types of income that could not be subject to enforcement is extended. For instance, Christmas bonus, holiday allowance, Easter bonus and some other entitlements outside the base pay cannot be subject to enforcement.

Prime Minister Andrej Plenković said at the government's meeting that the legislative proposals tabled by his cabinet had so far enabled the reduction of the number of citizens with blocked accounts.

In March 2018, the number of the blocked accounts stood at 325,254 and this October at 243,655.

Also, the final bill will ban enforcement of the single property possessed by the debtors.

The bill is likely to go into force on 1 July 2020.

Author: Hina