Debt collection in Tajikistan

The debt collection procedure in Tajikistan begins with an analysis of the financial capacity of the debtor, his field of activity, the history of the enterprise, the availability of documentary evidence of the debt, current court cases and initiated enforcement procedures, as well as the possibility of contesting the debt. This analysis forms the strategy that will be used on behalf of the client to recover the debt.

If there are no open lawsuits against the debtor or unexecuted court decisions on debt collection, and if he is actively engaged in his business, then it is advisable to use amicable debt collection.

This stage is based on active negotiations with the debtor to reach an agreement regarding payment of the creditor’s claims or other settlement options (for example, return of goods, transfer of debt to a third party, exchange of services or goods).

Interaction with the debtor begins with sending a notification via mail, email, telephone or instant messengers. This process involves intensive communication with the debtor to put pressure on him. The main goal is dialogue with key decision makers in order to speed up debt repayment.

The average term for out-of-court collection is up to 60 days. If this stage does not bring the expected results or if after an initial analysis it becomes clear that it is not applicable, then you should proceed to recovery through the court.

The statute of limitations in Tajikistan is 3 years. The law prohibits changing the specified period by agreement of the parties. If the statute of limitations has been missed, the creditor has the right to file a lawsuit to collect the debt, but if the debtor files an application with the court to apply the consequences of missing the statute of limitations, then the claim will be denied. The statute of limitations is interrupted due to the debtor committing actions that indicate recognition of the debt. After the interruption of the term, the three-year period begins to be calculated anew.

Before going to court, you should pay attention to the procedure for resolving the dispute, which the parties provided for in the contract. Therefore, if the parties have established that the disputes that have arisen will be resolved through a claim settlement procedure, then before filing a claim in court, it is necessary to fulfill the stipulated condition. Otherwise, the claim will be returned without consideration..

The legislation of Tajikistan provides for three types of debt collection through the court, by issuing a court order, in the order of general consideration and simplified proceedings.

The procedure for issuing a court order is applicable to claims for the collection of receivables based on transactions concluded in simple written form. To carry out this procedure, an appropriate application must be submitted to the court, after which the court will issue a court order within three days without trial or summoning the parties. If the debtor does not file an objection within 10 days from the date of receipt of the court order, the court issues a court order to the creditor, certified by the official seal of the court, to present it for execution. If the debtor files an objection, the court issues a ruling to cancel the court order, and in this case the case should be considered in the general procedure for litigation.

The general procedure for litigation is carried out by filing a statement of claim in court. In this case, the plaintiff is obliged, before filing a claim in court, to hand over a copy of it with all attachments to it to the defendant. The period for consideration of the case in the court of first instance is two months from the date of filing the claim in court. In practice, the specified review period is much longer. The decision of the court of first instance comes into force within one month from the date of its adoption, unless a cassation appeal is filed.

Simplified proceedings are applicable to cases in which the debtor does not dispute the debt, or the claims are undisputed, or the claim is brought for a small amount – up to one hundred statutory indicators for calculations. The case is considered according to the general rules, but within a month from the date of receipt of the claim in court. The court hearing takes place by examining written evidence and procedural documents without calling the parties and hearing their explanations. If the debtor objects to the stated requirements, or if one of the parties objects to consideration of the case in a simplified manner, the court issues a ruling to consider the case in a general procedure. A summary decision can be made only if the debtor has not submitted an objection on the merits of the stated claims within the time limit established by the court. The adopted decision comes into force within the same time frame as the decision adopted in the general procedure for litigation.

A cassation appeal against a court decision is considered within one month from the moment the complaint is received by the court. As a result of considering the complaint, the court makes a decision, which comes into force from the moment of its adoption.

After the court decision enters into legal force, provided that the debtor refuses to comply with it voluntarily, you should obtain a writ of execution from the court and present it to the enforcement authority. The creditor has the right to present a writ of execution within three years from the date the court decision entered into legal force.

According to the law, the period for compulsory execution is two months from the date of commencement of proceedings, but in reality it is much longer. Satisfaction of the creditor’s claims in the process of forced execution is carried out through the seizure of funds and their write-off, seizure of property with subsequent sale, seizure and foreclosure of the debtor’s right of claim against third parties.

If within three months the debtor is unable to ensure the fulfillment of the creditor’s claims from the moment they arise, and if the total amount of claims exceeds the size of the debtor’s assets, then it becomes possible to initiate bankruptcy proceedings for the debtor. This procedure is interesting in that the law provides for the possibility of bringing the controlling persons of the debtor to subsidiary liability for the company’s debts if the debtor, having signs of insolvency, did not independently initiate the bankruptcy procedure or the result of insolvency was caused by the actions of the debtor’s management.

An alternative way to collect debt is to bring the debtor’s officials to criminal liability in accordance with Art. 363 of the Criminal Code of the Republic of Tajikistan for malicious evasion of the execution of a court decision on the collection of funds or obstruction of its execution.

If you have any questions or need support regarding international debt collection in the Republic of Tajikistan, our company is ready to provide our expert assistance to effectively resolve your debt issue. Please contact us to receive additional information and professional support from specialists of the leading debt collection agency.

# DEBT COLLECTION AGENCY TAJIKISTAN

06.02.2022

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