Debts and how to resolve them

The enforcement of a decision (execution) is an enforcement of an obligation which the debtor (the obliged party) has not fulfilled voluntarily and in time, although it has been previously imposed on the person by an enforceable decision or another executional title. We can differentiate between the court-based enforcement of a decision and the execution. The execution then means a situation, when the court will appoint a court executor with the performance of the execution.

The wage, pension, certain benefits and other income which replaces the remuneration for work may be affected by the execution only partially – in the form of deductions. Some benefits are not subject to the execution at all (monetary benefits of social care, benefits of assistance in material need, housing allowance and one-time benefits of public social support).

Items which are essential for the obliged party for the purposes of satisfying material needs of his/her own and his/her family or for the purposes of performing his/her work tasks, such as items the sale of which would be in conflict with moral rules are excluded from execution. Therefore, particularly the common clothes, usual equipment of households, wedding rings and other items of similar nature, medical equipment and other items which the obliged party needs due to his/ger disease or physical disability, and cash of up to the double of the living minimum (currently CZK 6,820) cannot be subject to execution.

Since 1st September 2015, the legislation specifies the unseizable items in the usual equipment of the household – these are particularly: bed, table, chairs, kitchen counter, kitchen tools and dishes, fridge, cooker, stove, washing machine, heating device, fuel, blanket and bed linen, unless the value of such an item clearly does not exceed the price of the usual equipment of the household. Furthermore, the executor may not seize the study and religion literature, school supplies and toys for children, and animals, whose main purpose of their keeping is the economic effect and which serve as a companion to the person.

Further, also items which the obliged person – if he/she is an entrepreneur – essentially needs for the performance of his/her business activities, which does not apply to the enforcement of a debt which was guaranteed by the pledge placed onto such items.

If such items are seized, the obliged party may defend himself/herself – and file a motion for partial suspension of the execution with the court executor within 15 days.

• Debt elimination (the so-called personal bankruptcy)
• Postponement of (a payment of) the debt