Tel Aviv, Israel
- On November 19th, The Marker (a financial newspaper), published an
article about the suggested Execution Office reform in Israel. The suggested reform
principles are:
- The office of execution
will not deal with debts under/up to 500nis.
- Debts of up to 30,000nis
will be collected through an automatic procedure, not involving a lawyer.
- An arrest warrant will
be issued only in cases of debts that exceed 500,000nis.
- Banks will be obligated
to provide the debtor evicted from his/her home due to a debt.
- The retainer of lawyers
will be decided by the Justice Ministry and not by the Bar Association.
Cons:
- There will be no one
to prepare the settlement for the debtors on the automatic course/procedure.
- Lawyers will be forced
to represent the debtors and not the creditors.
Ishai Beit-On from the Beit-On,
Shem Tov firm who strongly supports the reform, was asked to elaborate its advantages:
- As the current law in
Israel relates to debtors of 200nis. And debtors of 20,000,000nis. In the
same manner, the reform will provide protection for the financially weaker,
involved in minor debts.
- The reform will enable
the system to enforce the collection of the larger debts.
- The reform will improve
the efficiency of the legal system and the immense mechanism dealing with
minor debt cases, since often the cost of handling and maintenance of the
executing mechanism is higher than the sum of debt.