Montenegro
LEGAL PROCEDURES IN MONTENEGRO
ENFORCEMENT PROCEDURE
For enforcement procedures in Montenegro Public Enforcer is entitled, except for special cases where Court has immediate juristidiction
For commercial claims, motion for enforcement is submitted to Public Enforcer, who reaches writ of execution within the period of 5 working days.
Against this execution, defendant may appeal within the period of 5 days after the writ of execution has been properly served to him.
Defendant’s appeal must be addressed to Public Enforcer who is obligated to deliver it to the court, who would decide regarding defendant’s plea within the period of 8 days after he receives it.
If Court decides that defendant has grounds for appeal, procedure would continue through litigation.
If the court decides in plaintiffs favor, enforcement procedure would be carried out.
Necessary documents:
Notarized POA properly signed by an authorized person representing the creditor.
Credible documents – invoice(s), together with other supporting documents proving existence of the claim.
All Credible documents must be notarized and later translated into local language by official translator
LITIGATION PROCEDURE
Litigation procedure starts after Court decides that defendant has rightfully appealed – the claim is groundless in whole or partially, goods and/or services where delivered/provided with flows and complaints were properly submitted to creditor etc.
Necessary documents:
Notarized POA properly signed by authorized person representing the creditor.
Credible documents – invoice(s), together with other supporting documents related to existence of claim.
All Credible documents must be notarized and later translated into local language by official translator.
INSOLVENCY PROCEDURES
Insolvency procedure is carried out either in form of bankruptcy or restructuring of obligations procedure.
Bankruptcy is a procedure by which creditors are partially settled by sale of company’s assets or by direct sale of company.
Deadline for claim to be properly declared is 30 days from the date when the bankruptcy procedure is announced.
Restructuring of obligations is a procedure by which creditors adopt certain plan by which the company is allowed to continue with its activity and pays its obligations from further turnover. This procedure is very similar to Settlement Agreement, which allows the debtor to pay for its obligations in monthly installments in certain period. Restructuring plan is usually made for the period between 4-8 years.
Necessary documents:
Notarized POA properly signed by authorized person representing the creditor.
Credible documents – invoice(s), together with other supporting documents proving existence of the claim.
All Credible documents must be notarized and later translated into local language by official translator.