المملكة: Urgent: Administrative judiciary: banning “execution providers” from auctions… and banning fourth-degree relatives

Acknowledge Administrative Judicial Council New controls for the use of enforcement service providers, with the aim of raising the efficiency of the judicial system and accelerating the completion of judgments, as the controls restricted the practice of these services to licensed entities, with the exception of two cases for non-licensed persons (agreement of the parties or the inability of the licensee) provided that the judicial department approves.

The controls obligated service providers to adhere to strict professional standards, most notably taking a headquarters within the Kingdom, maintaining data confidentiality, and preventing conflicts of interest by prohibiting the implementation of any request related to relatives up to the degree Fourth, or participating in the assigned auctions, to ensure the highest levels of integrity and transparency.

Organizing implementation services

The system aims to restructure and organize Implementation servicesamong the various relevant parties, which contributes to standardizing procedures, reducing discrepancies, and achieving the highest levels of transparency and discipline, in addition to opening the way to benefit from the expertise of the private sector within precise regulatory controls.

The second article of the controls stipulates that they apply to providers of implementation services licensed in accordance with the implementation system, which means restricting the practice of these services to entities and individuals holding approved regulatory licenses.

The third article affirmed, taking into account what is referred to the Center Assignment and liquidation: It is not permissible to refer any implementation service to those other than those licensed to provide the service, with the exception of two specific cases: The first is if the implementation parties agree to choose a specific service provider, then the department has The judicial authority permits their choice provided that it adheres to the provisions of the controls, and the second is in the event that it is not possible to have a licensed service provider, as the department may refer to an unlicensed provider on the condition that he is granted a temporary license by the competent authority.

Assignment controls and the responsibility of the responsible authority

According to Article Four, the responsible authority does not resort to any of the implementation procedures stipulated in Article Nineteen of the system, and Articles “19/1, 3” of the regulations, except To licensed implementation service providers, or to others if the licensee is unable to be present, provided that the Department approves and grants them a temporary license.

The controls obligated the service provider to adhere to all the provisions contained therein, while holding the responsible party responsible for any breach thereof, without prejudice to the accountability of the service provider in accordance with the relevant provisions.

The responsible authority was authorized to apply the provisions of Articles Eight and Nine of the controls to the service provider, and authorized the Department to include an order The mandate stipulates that it prohibits the use of implementation service providers except after consulting them.

Strict professional obligations to ensure integrity and transparency

Article Five stressed a number of obligations that the service provider must adhere to when undertaking work, including establishing a headquarters within the Kingdom, placing its name, license number and date on all its publications and correspondence related to implementation services, in addition to issuing identification cards for its employees to display when providing the service.

The controls required maintaining the confidentiality of information and data and not disclosing them or publishing any writing or statement related to the work he undertakes by any means, except what is required by the nature of providing the service and with the permission of the department or the responsible authority, in addition to documenting the work procedures and keeping a copy of them for a period of not less than five years from the date of the end of the procedure.

And obligated the service provider to provide the department and the responsible authority with periodic reports and required documents, and to carry out the work referred to him without refraining from within the scope of his license except With an excuse acceptable to the court, and to carry out the service himself or through one of his employees.

Within the framework of enhancing integrity and preventing conflicts of interest, the controls prohibited the service provider or his direct employees from executing any request related to him or one of his spouses, relatives, or in-laws up to the fourth degree, or for any of them to be a party to it. They also prohibited directing any action that would lead to a conflict with his current or potential interests, or participating in the assigned auctions, and required not to amend or delete the Forms or reports delivered to him, along with reporting any obstacles to the implementation procedures.

Conditions for eligibility and protection of funds subject to execution

Article Six stipulates the requirement that whoever undertakes any service procedure be fully qualified, and not be convicted of a crime against honor or trust unless he is rehabilitated, in a way that reflects concern for the competence and integrity of those in charge of implementation work.

With regard to judicial sales operations, it is obligatory to Article Seven: The selling agent – when necessary – must receive the movable property to be sold immediately upon the Department’s decision to receive it, and undertake to preserve it until sold, with the possibility of entrusting its safekeeping to a licensed judicial custodian.

Article Eight grants the Department the power to request an unconditional financial guarantee from the receiver or judicial custodian before referring the service to him, issued by a local bank, not to exceed five percent of the estimated value of the funds under guard or custody, provided that the guarantee is returned after the completion of the work, and the submission of a document is substituted. Valid insurance covers the errors of the service provider.

Regulation of licensing situations and assessment of wages

Article Nine dealt with situations of license suspension, cancellation, or expiration, as it obligated the service provider to liquidate its business within a period not exceeding sixty days from the date of suspension, cancellation, or expiration, while granting the department the authority to extend this period when needed.

As for Article Ten, it decided – taking into account the relevant legal and regulatory texts – that the department should estimate the ideal wage for providers Implementation services, excluding applications referred to the support and liquidation center, or cases in which the concerned parties agree on a specific fee.

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