For coping with debt can take housing: if this is true and what you need to know

За долги по коммуналке могут забрать жилье: правда ли это и что нужно знать

Perhaps many have heard that if you do not pay for electricity, water or heating, then it threatens not only off of utilities, and confiscation of housing in the future. The website “Today” understood, whether can take away for the debts of housing and utility payments, in some cases it is possible and how the procedure works.

Ukrainians owed for communal 62.6 billion UAH

Recently, the Minister of justice of Ukraine Pavel Petrenko wrote in his Twitter account that no one has the right to take a human habitation for debts on utility bills. He also added that if the Ukrainians who threatened confiscation of property, they can always seek the advice of lawyers of the free legal assistance system coordination centre.

“Once again I want to emphasize that the confiscation of property and housing because of debts for communal – are not even discussed. Nobody has the right to take the apartment in which you live,” wrote the Minister.

But the Ukrainian legislation tells a different story and it allows for the confiscation of property if you have large arrears on utility bills. We know that Ukraine has a huge debt for utility services: according to the state statistics service the debt of Ukrainians for housing and communal services for January was 62.6 billion. In December, the public debt of the population was 55.6 billion. Thus, over the last month the amount increased by 7 billion.

Debt for each utility service made:

  • for the supply of natural gas 29.1 billion UAH;
  • for Central heating and hot water supply – 20 billion UAH;
  • for the supply of electricity to 5.7 billion UAH;
  • for the maintenance of houses, constructions and house adjoining territories – 4.1 billion UAH;
  • for the centralized supply of cold water and Sewerage – 3.1 billion UAH;
  • for export of household waste – 0.6 billion UAH.

In January, the Ukrainians pay for utility services 15.1 billion UAH, which accounted for 71.8% of the assessed for the period amount (21 billion).

In some cases, may take shelter

We talked to the lawyers and find out when you can take shelter for the unpaid communal, is it possible to avoid it, and what is the procedure of confiscation of property.

Lawyers review website Today said that according to Ukrainian legislation, housing for coping with debt can really pick up, however, is the most extreme case.

The “law “On enforcement proceedings” provides that recovery of real estate (in particular apartment, home) physical persons is carried out in the absence of sufficient to cover the debt funds or movable property. Therefore, foreclose on a house or apartment in which the debtor actually resides, is made to last. Primarily for payment of debt used cash and other assets of the debtor. In their absence, a penalty is due to the valuable movable property, such as a car, expensive appliances, and the like that will be easy to sell quickly and get the maximum funds”, – says Eugene Lyashuk, the lawyer of YUK De-Yure.

But to initiate the confiscation of property only if the debt exceeds 20 times the minimum wage – more than 83 460 UAH, because now the minimum salary is UAH 4173.

To confiscate housing provider, housing services will need to address in court with the statement for debts of a citizen.

“Today, the provider of utility services has the right to address in court with the statement for court order about collecting of debts for housing and communal services. The court order is the Executive document, on which basis in the case that the debtor voluntarily comply with the decision of the court, will be the enforcement of a court decision on debt collection.

However, even if there are grounds for foreclosure on a house or apartment in which the debtor actually resides, then, in the first place foreclosed on a separate house on the land, another premises belonging to the debtor”, – said Andrey chicken, Junior associate at JSC Spensers ST.

What is the procedure of confiscation

The confiscation procedure is quite complicated in execution. It is carried out only after the court issues a relevant decision.

“For the confiscation of the apartment is the procedure of forced sale at public auction. This deals with state Executive service or private performers after the court’s relevant decision on collection of debt for utility payments. In this case, the contractor do not have to get inside this apartment, enough to make its assessment and to collect all the necessary documents. On public tenders mandatory shall be notified to the debtor”, – said Nikolai Maksimov, lawyer of the Legal company “RIYAKO AND PARTNERS”.

Lawyer Andriy Kurochka adds that the implementation of the house or apartment, which in fact is home to the debtor is always carried out via electronic trading. If during the first e-auction the property was not sold, it is exposed repeatedly, and its price is 85% of the original.

“In the case of repeated non-realization of property exposed on the third electronic trading at a price of 70%. In the case of non-realization of property and third-party electronic auction, the contractor will notify the claimant and invited him to address the issue of leaving behind an unsold property. In the case of the consent of the creditor, he gets a property at a price the third electronic trading,” says the hen.

At this time, while going electronic auction, the debtor can continue to live in this house or apartment, because in fact, the estate no one is denying the power and throws the debtor into the street. The right of ownership of the owner of the property is maintained as long as the apartment or house will not be sold at auction.

“After sales of apartments the debtor’s eviction is the right of new owner housing. But that is a separate process to declare the debtor lost the right to use the housing and its removal from registration of place of residence. Before the transfer of property (sale, auction) all actions to enforcement proceedings (seizure of property, arrest), implemented by public or private contractor. After the transfer of property to enforce by sale at auction this sale is the organizer of the auction,” – says Eugene Lyashuk.

In which case the housing can’t take

It is worth remembering and what to take shelter in the presence of debt may not always. Lawyers say that in the Ukrainian legislation stipulates the conditions under which the living space can take when the amount of recovery exceeds 20 minimum wage and when the debtor has no other property, e.g., car, money, etc.

But if you live in an apartment young children or people with disabilities, complicates the inventory. So, if the apartment registered children to put the flat up for auction only after the consent of bodies of guardianship and guardianship.

“I mean, the apartment can be auctioned only after the body of guardianship and guardianship will receive a confirmation that the sale of the apartment the children will be provided more housing,” – says Eugene Lyashuk.

In turn, Nikolay Maximov of the Legal company “RIYAKO AND PARTNERS”, said that, as practice shows, the body of guardianship and guardianship will never consent to public auction, if the parents of a minor child in property no other place to stay.

“Some people manage to confuse the court and by way of registration of ownership of the apartment per person, and personal accounts for payment of utility services completely to another person. Thus, the responsibility to the utilities the responsibility of the person who signed the contract for the provision of komuslug and that has opened the personal account, and the apartment has a citizen that does not risk their property.

In addition, some individuals insure themselves by concluding fictitious contracts of loan and mortgage of the apartment, so that apartment is seized in favour of the fictitious creditor, who is often a relative of the debtor or other authorized person. In this case, to put the apartment up for auction is impossible without the consent of the lender fictitious,” adds Maxim.

The guardianship is not in a hurry to give permission for conducting a public auction, because in this case they will have to provide the minor child with housing, which would be as worse than that in which he lived.

“Practice for the provision of guardianship and guardianship, or other authority for eviction of the persons concerned is quite rare, because increasingly the relevant authorities require the provision to these persons of another dwelling, not worse than the previous one.

Thus, unless permission is obtained from the body of guardianship and guardianship, or other authority for eviction, the sale of housing (house or apartment) in which the debtor resides, will be impossible”, – says Andrey chicken.

Is it possible to return the confiscated homes

As we have said, the confiscation of property is an extreme version, which is used not often. But if it does happen, and your living space want to auction, it is better to try to repay the debts before the apartment or house you sell, after sale to return it it is impossible – unless outbid the new owner.

“The contractor is starting to take extreme measures only when the debtor did not respond to the request for payment of the debt. If the apartment is put up for auction, return it can also by repayment of the entire debt prior to sale apartments at auction”, – said Eugene Lyashuk, the lawyer of YUK De-Yure.

Nikolay Maksimov adds that after the sale of the apartment at public auction the owners can be other citizens or legal persons. To resolve the issue for voluntary repayment is possible only till the moment of sale of property at public auction, otherwise the process is irreversible.

After a successful tendering housing will be sold to another person, the debtor will withdraw all charges and debts.

“Note, after the forced sale of the property levied on the debtor’s funds remaining after satisfaction of all claims, transferred to the debtor (except in the case of refund other persons)”, – emphasizes Andrey chicken, Junior associate AO Spensers ST.