Introduction: The Role of Valuation in Enforcement
The valuation of seized property is one of the most critical and frequently disputed stages of enforcement proceedings. After the debtor's property (real or movable) is inventoried and seized, it is essential to determine its real market value so the property can be listed on an electronic auction. The appraisal report dictates what the starting sales price of the property will be at auction. This issue directly affects the financial interests of both the creditor and the debtor. The creditor is interested in the property selling for a sufficient price to cover the debt, while the debtor is vitally interested in ensuring the property does not sell for a price far below market value (at a "throwaway price"), minimizing their loss after the debt is paid. Therefore, an objective, professional appraisal conducted in full compliance with the law is the cornerstone of fair enforcement.
What the Property Valuation Legal Service Covers
The legal service for the valuation of seized property covers the complete legal supervision of the expert appraisal process. The service begins by monitoring the enforcer's appointment of an independent auditor (appraiser). Lawyers ensure that the appraiser inspects the object timely and comprehensively. Particular importance is given to the valuation process of specific properties—such as shares in an operating business, unique industrial machinery, or intellectual property—where the lawyer engages experts from the relevant field to establish an adequate price. A crucial part of the service is the critical analysis of the received appraisal report (expert act). If the report is biased or inaccurate, the service includes appealing it in court, demanding the appointment of a repeated or alternative expert appraisal, and aggressively protecting the client's (creditor's or debtor's) financial interests.
Common Practical Scenarios
In practice, disputes during the valuation stage almost always arise during the forced realization of real estate (apartments, land plots, commercial spaces). A typical scenario is when the debtor believes that the auditor appointed by the bureau undervalued their apartment by 30-40% compared to the market price. The debtor hires a lawyer and an alternative private auditor to prove the baselessness of the appraisal in court and suspend the auction. On the other hand, cases are frequent where an excessively high valuation does not suit the creditor (e.g., a bank). If the property is appraised too high, its starting auction price will also be high, resulting in no buyers showing up and the realization process dragging on for months. During business disputes, evaluating seized commercial stocks (e.g., perishable goods or seasonal clothing) is particularly difficult, where the time factor is decisive and rapid appraisal is vitally important.