Out-Of-Court Debt Recovery Law

Original Language Title: Parādu ārpustiesas atgūšanas likums

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Read the untranslated law here: https://www.vestnesis.lv/op/2012/186.1


The Saeima has adopted and the President issued the following law: extra-judicial recovery of debts law chapter I General provisions article 1. The terms used in the law, the law is applied in the following terms: 1) debt-payment obligations to comply with the legal transaction or the time limits laid down in the legislation; 2) debtor-natural person or the legal transactions within the time limits laid down in the legislation or in order not to fulfil payment obligations entered into with the legal transaction or set in legislation, and acting outside his business or professional activity framework; 3) recovery service provider — the person who, in his commercial or professional activities recovers debt or on behalf of the creditor; 4) vendor: a person who has a legal relationship with the debtor and that, on the basis of the legal transaction or the law, have the right to ask the payment obligations; 5) — extrajudicial debt recovery activities by creditors or debt recovery service provider used, calling the debtor voluntarily execute a delayed payment obligations. 2. article. The purpose of the law this law aims at: 1) regulate the creditor and debt recovery service provider's rights and responsibilities in the area of debt recovery; 2) recovery process to ensure fairness, proportionality and reasonableness; 3) to promote the voluntary payment of the debt; 4) to promote third party to assess an individual's payment obligations. 3. article. The scope of the law (1) of the Act be governed by debt recovery service provider's performance and determine the requirements for the vendor and provider of debt recovery for recovery and parādvēstur database creation. (2) the provisions of this Act do not apply to recovery of public law in the State or local authorities. (3) the law shall be without prejudice to the creditor, debt recovery service provider or the debtor's right to go to court or arbitration. Civil disputes arising from this law, the law of civil procedure the Court or Tribunal. (4) the provisions of this law concerning the creditor is a reminder of the extent of the applicable civil law provides otherwise. (5) this law laid down in chapter III of the creditor's rights and obligations apply if the vendor is an economic or professional activity. (6) if the recovery is being directed against the guarantor, who is a natural person and running outside his business or professional activity in the framework of the applicable rules of law that govern the recovery from the debtor. (7) the recovery of the transferee pursuant to this statutory rights and obligations of the vendor. If the transferee is entitled to an assignment of the claim is based was obtained his economic or professional activities, attributable to the assignee under this law, debt recovery service provider's rights and responsibilities. 4. article. Supervisory authorities (1) compliance with this law, according to the laws and established competence monitor consumer protection Center (for consumer protection), the data State Inspectorate (for physical protection of personal data), as well as other supervisory and control authorities. (2) the consumer protection centre, monitoring the observance of this law, shall be entitled to demand from the debtor, creditor or debt recovery service provider your functions and the necessary information to determine the of the period. (3) if the consumer rights protection Centre establishes that non-compliance with this Act caused or may have caused injury to the interests of the consumer groups (the consumers ' collective interests), it is entitled to adopt a decision by which a creditor or debt recovery service provider to put an end to the violation of this law or to prevent and detect the irregularity it requires action due. The order in which consumer protection Center makes decisions, and this decision shall lay down the procedure for appeals to the consumer protection law and the prohibition of unfair commercial practices by law. Chapter II recovery service provider activities article 5. Special permit (license) for the recovery of debts (1) debt recovery service provider is entitled in the name of or on behalf of a creditor to recover the debt, if you have registered as a merchant or a professional investigator and received special permission (license) recovery [hereinafter special permit (license)]. (2) special permit (licence) issued by the consumer protection centre. (3) the first paragraph of this article, the requirement does not extend to the sworn lawyers. (4) the Cabinet of Ministers shall lay down the requirements which must be fulfilled to debt recovery service provider to get the special permission (license), as well as those special permissions (licenses), use of the service, suspension, and cancellation of the registration procedure. (5) The special permission (license) the issuing and renewal of debt recovery service provider pays a State fee. Government fees and the payment arrangements determined by the Cabinet of Ministers. 6. article. Debt recovery expenses (1) the debtor is obliged to pay the debt recovery service provider incurred debt recovery expenses if the reimbursement is required and there is no dispute about the existence of the debt. (2) debt recovery costs must be proportionate and objectively justified. On proportionate demonstrate recovery expenses, that correspond to the Cabinet defined recovery spending levels about (other than expenses which the Cabinet of Ministers for not reimbursable). (3) debt recovery expenses allowable size and expenses, which are not recoverable, be determined by the Cabinet of Ministers. Chapter III recovery in contact article 7. True and complete information obligations (1) the creditor or debt recovery service provider, launched a debt recovery, notify the debtor of the debt exists and calls for voluntary execution delayed payment obligations. In this notice, the following information be provided: 1) on vendor — legal persons — company name, registration number, registered office, telephone number, e-mail address and other contact information; for vendor — the physical person: first name, last name, ID number, address, telephone number, e-mail address and other contact information; 2) recovery service providers — legal persons — company name, registration number, special permission (license) number, registered office, telephone number, e-mail address and other contact information; about debt recovery service provider — physical person: name, surname, personal code, special permission (license) number, address, telephone number, e-mail address and other contact information; 3) on any legal grounds for debt recovery service provider acquired the right to recover the debt, the nature of the transaction and the date of conclusion of the transaction; 4) the creditor's claim arose legal basis — and the debtor's creditors sealed the deal, the transaction date and the date and the subject of the transaction; 5) shows the amount, including the amount of the principal sum, interest on a sum of money or other fungible things use dedication, tacitly or statutory interest and penalty; 6) recovery of costs (if any); 7) payment of the debt and the date of the order; 8) information on the opportunity to make a reasoned written objections to the existence of the debt, the amount and payment term, provided that a statement of objections to pay not less than 21 days from the date of receipt of the notification. (2) If a creditor or debt recovery service provider with a written notice or the debtor — written objections sent by post, it is considered that the information received on the seventh day following its transfer to the post, even if the recipient actually received before shipment. (3) the debtor's statement of objections within the time limit set for the creditor and debt recovery service providers must not engage in recovery activities (to include parādvēstur's database of information about the debtor and the debt, take actions that increase debt recovery expenses, etc.), which the debtor may cause adverse effects. 8. article. Obligation of cooperation and of a statement of objections on the display (1) the debtor is obliged to collaborate with the vendor and provider of debt recovery. (2) if the debtor acknowledge the debt in whole or in part, but not the ability to repay creditors or debt recovery service provider prescribed or within the time limit, the debtor, stating why the payment obligations is not possible, is entitled to offer its payment liquidation procedures and deadlines. (3) a creditor or debt recovery service provider looking for this article referred to in the second paragraph of the proposal of the debtor for payment of the liquidation and shall provide to the debtor a response. (4) the debtor received objections to the existence or the extent of the debt, the creditor or debt recovery provider based in writing the existence of the debt and the amount thereof and, if the debtor requires the existence of a debt issue and some supporting documents. 9. article. Interacting with third parties (1) contact with the third party creditor and debt recovery service provider is entitled without the debtor's consent to disclose information about the debtor. (2) when interacting with the third party creditor and debt recovery service provider displays the recovery process itself entitled to provide only the following information: 1 the name of the person), which implements the interface; 2) vendor or recovery service provider name (trade name) or first and last name; 3) vendor or recovery service provider contact information. 10. article. Contact culture (1) contact with the debtor is prohibited from: 1) use aggressive forms of communication (including express threat and take action that infringes on sex, age, racial or ethnic origin and safety, religious, political or other beliefs, disability, social origin and property or family status, and sexual orientation); 2 contact the debtor) his dignity and honor of the offensive; 3) visit the debtor of his workplace, work place or residence without the prior consent of the debtor; 4) provide false or misleading information on the consequences of non-payment of the debt. (2) Communication to the debtor to the creditor and debt recovery service provider has the obligation of proportionality. (3) the Communication shall be considered disproportionate if it: 1) takes place on Sundays or statutory holidays in; 2) takes place from 21.00 until 8.00 or without the prior consent of the debtor from 21.00 to 23.00 o'clock; 3) makes the debtor's ability to use everyday communication where electronic means of communication. 11. article. Means of communication (1) where the law provides otherwise, the debtor contact, using the means of communication and contact information for the specified vendor and legal transactions concluded by the debtor. (2) if the debtor is not reachable through the first part of these means of communication and contact information, or if it is requested by the same debtor, creditor and debt recovery service provider is entitled to use the contact information that has become known or used during the previous cooperation for communication with the debtor. (3) if the debtor is not reachable using the first or second part of those means of communication and contact, communication with the debtor in writing, sent to implement the necessary information on the debtor's declared place of residence address. Chapter IV the Parādvēstur database and the inclusion of the information in article 12. Parādvēstur (1) Parādvēstur database database is a collection of data about a debtor and it shows that in the name of or on behalf of the creditor recovers or is recovered by recovery service provider. (2) the holder of the database Parādvēstur is a debt recovery service provider. (3) Parādvēstur database aims to provide information to a third party so that it can assess an individual's ability to meet payment obligations. (4) debt recovery service provider is entitled to create parādvēstur database that includes information about the debtor and the debt, if one of the following conditions: 1) the debtor has not made a written objection to the existence or the extent of the debt; 2) debtor's writing expressed objections to the existence or the extent of the debt, but the Court or Arbitration Tribunal has upheld the creditor or debt recovery service provider requirements for debt obligations and judgment become final; 3) the debtor is made in writing to object to the existence or the extent of the debt, but the debt recovery service provider is based in writing the existence and the amount of the debt and the debtor of the debt issued by the existence and extent of the supporting documents. 13. article. Information into the parādvēstur database (1) information about the debtor and the debt included in the parādvēstur database, if all the following conditions: 1) transactions or acts specified in the discharge of the payment delay is longer than 60 days; 2) has timed recovery service provider specified in the notification of the statement of objections the debtor and debtor has not paid within this period. (2) Parādvēstur database shall include the following information on the debtor and debt: 1) the debtor's name, surname, personal code; 2) date on which the information is included in the parādvēstur database; 3) shows the amount, including the amount of the principal sum, interest on a sum of money or other fungible things use dedication, tacitly or statutory interest and penalty; 4) paid debt; 5) displays the pay period; 6) shows the status of recovery (recovery of debt or not; the date on which the recovery ended, if recovery is terminated, the termination reason — or a dispute is the validity or the amount of debt); 7) if the vendor is an agent of economic activity, a sector in which the debtor's creditor in accordance with the European Parliament and of the Council of 20 December 2006, Regulation (EC) No 1893/2006 establishing the NACE Rev. 2. statistical classification of economic activities, as well as amending Council Regulation (EEC) No 3037/90 and certain EC regulations on specific statistical domains. (3) debt recovery service provider shall notify the debtor in writing about the inclusion of the information in the parādvēstur database. The information contained therein shall be made available to third parties not earlier than 30 days after the date of dispatch of the notice to the debtor. (4) a third party, on the basis of a written contract with the parādvēstur database, the holder is entitled to that referred to in the second subparagraph of article parādvēstur of the database included information about the debtor and the debt, where the debtor individual data protection law, agreed. If the debtor claims that has not given consent to the transfer of information contained in the database to any third party, the burden of proof of the existence of such a consent is one who maintains that the consent is given. (5) If a debt recovery service provider himself or by the debtor or other person the information provided establishes that the parādvēstur database included information is inaccurate, incomplete or untrue, the debt recovery service provider will be obliged to correct the deficiencies and notify third parties who receive the information. Debt recovery service provider's refusal to fix the deficiencies in question may contest the data State Inspectorate on individual data protection law. (6) information is stored in the parādvēstur database for three years from the date of payment of the debt or the discharge of the deletion day law. If the debt is not paid, the debt of the debtor's information stored in the parādvēstur database to claim the date of expiry of the limitation period. 14. article. National information system for receiving information about the debtor to comply with article 7 of this law, debt recovery service provider and vendor who has received permission (license) lending services or which is a credit institution has the right to obtain from the population register the following information: 1) the debtor declared place of residence; 2 confirmation of the debtor's) death. Transitional provisions 1. Article 5 of this law, the second, third, fourth and fifth, as well as article 6 shall take effect on February 1, 2013. 2. Article 5 of this law, the first subparagraph shall enter into force on May 1, 2013. 3. The Cabinet of Ministers until January 31, 2013 will be issued this law article 5, fourth and fifth paragraphs, as well as article 6 the provisions referred to in the third subparagraph. 4. Debt Recovery service provider is entitled to obtain from the population register of this law, the information referred to in article 14, after having followed this law, article 5, first paragraph, and received a special permit (license) for the recovery of debts. 5. Debt Recovery service provider, who launched a debt recovery from debtors until this date of entry into force of the law, is entitled to information about the debtor and the debt include parādvēstur's database, if both the following conditions are respected: 1) the debtor has expressed objections to the existence or the extent of the debt; 2) recovery service data of the debtor and the debt acquired legally. The Parliament adopted the law in 2012 on 8 November. The President a. Smith in 2012 on November 27.