Introduction

Existence of a claim

Issuance of enforcement order (writs of execution)

Existence of seizable assets or claims

Conditions of enforcement

Judicial authority

Other authorities

Competent authorities and persons

Operations

Difficulties in enforcement

Implementation of compulsory enforcement

General regime of enforcement procedures

Concept of penalty

Scope ratione personae

Material scope

Determination of penalty

Competence of judge

Powers of court

Effects of ruling ordering or rejecting penalty

Pronouncement of penalty

Substantive conditions

Procedural conditions

Role and powers of the judge

Effects of liquidation judgment

Liquidation of the penalty

Penalty

Conditions of implementation

Contesting the measures

Ordinary law on protective measures

Protective seizures

Judicial security interests (sûretés judiciaires)

Specific regimes

Interim protective measures (mesures conservatoires)

Seizure of claims for sums of money

Seizure of tangible movable property

Seizure of intangible rights

Enforcement measures on movable property

Real estate seizures

Evictions

Enforcement measures on real estate

Enforcement measures

5. Civil Enforcement Procedures

Another difficulty in enforcement may arise from the increase in the amount of the claim due to late payment interest and moratory interest accumulated until the implementation of the measures. However, a creditor can only claim moratory interest from their debtor after having validly served a formal notice to settle the debt . Therefore, the party required to return a sum held by virtue of an enf …

Starting point and increase of interest

Another difficulty in enforcement may arise from the increase in the amount of the claim due to late payment interest and moratory interest accumulated until the implementation of the measures. However, a creditor can only claim moratory interest from their debtor after having validly served a formal notice to settle the debt . Therefore, the party required to return a sum held by virtue of an enforceable appeal judgment owes interest at the legal rate only from the notification, which serves as a formal notice, of the Court of Cassation judgment that quashes it .

Pursuant to Article L. 313-2 of the Monetary and Financial Code, the legal interest rate is, in all matters, set by order of the Minister of Economy. It is calculated semi-annually, based on the European Central Bank's main refinancing operations rate and the rates applied by credit institutions and finance companies. The rates applied by credit institutions and finance companies considered for calculating the applicable rate when the creditor is a natural person not acting for professional needs are the average effective rates of loans granted to individuals. To enable the creditor to quickly recover their claim, Article L. 313-3 of the same code provides that in the event of a monetary judgment by a court decision, the legal interest rate is increased by five points at the expiration of two months from the day the court decision becomes enforceable, even provisionally. This effect is automatically attached to the judgment of adjudication on real estate seizure, four months after its pronouncement. However, the enforcement judge may, at the request of the debtor or the creditor, and considering the debtor's situation, exempt the debtor from this increase or reduce its amount. The Court of Cassation holds that the enforcement judge may, in the context of challenging a seizure and sale procedure, exempt debtors from this 5% increase for both future and already accrued interest .

Late payment interest is generally intended to compensate the creditor for the damage caused by the debtor's delay in paying their debt. Damages due to the delay in the payment of a monetary obligation consist of interest at the legal rate, starting from the formal notice. These damages are owed without the creditor having to justify any loss. The creditor to whom the debtor in delay has caused, through bad faith, damage independent of this delay, may obtain damages separate from the late payment interest . According to the Court of Cassation, a saisie-attribution order does not stop the accrual of late payment interest on the part of the debt corresponding to the seized amounts, but allows it to continue until the payment of these amounts . To be recoverable through enforcement, the late payment interest provided for in Article 1231-6 of the Civil Code must be the subject of a special provision in the title under which the enforcement is pursued . As an exception, in the context of exequatur, the late payment interest due in execution of a judgment rendered by a foreign court only  accrues from the exequatur decision.

As an exception, in all matters, the award of compensation carries interest at the legal rate even in the absence of a request or special provision in the judgment. Unless otherwise provided by law, such interest runs from the date of the judgment unless the court decides otherwise . However, a monetary claim whose principle and amount arise from the law or the contract and not from the court's assessment bears interest from the demand for payment and not from the court decision . In the event of a straightforward confirmation by the appellate court of a decision awarding compensation for damage, it automatically bears interest at the legal rate from the date of the first-instance judgment. In other cases, the compensation awarded on appeal bears interest from the date of the appellate decision. The appellate court may always derogate from this .

Cass. 2e civ., 25 June 1997, LawLex202300000609JBJ.

Cass. 2e civ., 6 June 2013, LawLex202300004819JBJ.

Cass. 2e civ., 7 June 2006, LawLex202300000538JBJ.

Cass. 1re civ., 10 March 1998, LawLex202200006116JBJ.

Cass. 1re civ., 6 March 2007, LawLex202300000636JBJ.

For an application, See Cass. 2e civ., 6 May 1999, LawLex202200011330JBJ.

Cass. 1re civ., 29 November 2005, LawLex202300000542JBJ.

5. Civil Enforcement Procedures

64. Starting point and increase of interest

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Les décisions de justice citées dans ce paragraphe :

Les notions juridiques connexes

64. Starting point and increase of interest

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Les décisions de justice citées dans ce paragraphe :

Les notions juridiques connexes

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