Seizing real estate and assets: everything you need to know

What can you seize?

As a creditor, you have various options to secure your claim. It is essential to determine which of your debtor’s assets are most valuable. You can seize almost all assets, ranging from physical goods to intangible rights such as claims against third parties.

The goal of a seizure is to freeze assets so your debtor cannot hide them. Whether you choose to initiate a protective seizure or an enforcement seizure, the choice of the right asset to seize often determines whether you will actually recover your money. It is therefore important to have insight into the assets of your business counterparty.

Seizing real estate: how does it work?

Seizing real estate, such as commercial buildings or land, follows a strict and formal procedure. Because real estate is registered in public land registries, the seizure must be recorded through a formal notarial entry in these registries.

Once the seizure is registered, an appraisal by an independent expert often follows. Should the process lead to execution, the sale will take place via a public auction or, in some cases, through a private sale via a notary. This is an impactful process with strict legal safeguards for the owner.

Seizing movable assets

Moving assets include all tangible possessions that are not real estate, such as stock, inventory, machinery, or vehicles. During this type of seizure, the bailiff physically attaches the goods, often drawing up an official record.

Regarding business inventory, it is important to establish whether the goods are indeed the property of the debtor. If the goods belong to a third party, for example under a retention of title clause, this can complicate the seizure. In some cases, an injunction against sale may also be imposed to preserve the value of the goods.

Seizing claims and bank balances

Seizing claims, also known as third-party attachment, is one of the most effective ways to put pressure on a debtor. This includes seizing bank balances or outstanding invoices that your debtor is still owed by their own customers.

This seizure is imposed on the third party who owes the money to the debtor. Once the attachment is officially communicated, the bank or customer may no longer pay the money to your debtor. If you suspect the debtor is attempting to have the seizure lifted unlawfully, it is useful to understand the applicable rules and the implications of a third party’s silence during the proceedings.

Which goods are exempt from seizure?

The legislator has determined that not everything is subject to seizure. Certain items that are strictly necessary for daily livelihood or the exercise of one's profession may sometimes be excluded.

This serves to protect human dignity and the subsistence minimum of the seized party. As a creditor, you must take this into account when identifying the objects; seizing exempt goods is legally pointless and only leads to delays and extra costs.

Key points at a glance

• Always verify whether the goods are actually the property of the debtor.
• Take into account the bailiff's costs and any auction fees.
• Ensure a correct seizure process to avoid risks of nullity.
• Be alert to possible pledge rights held by banks that take priority over your seizure.
• Think about liquidity: is a claim faster to convert into cash than a commercial building?
• Closely monitor the legal deadlines for continuing the seizure.
• Analyze whether the value of the goods to be seized outweighs the procedural costs.
• When in doubt, always consult an expert in a timely manner for a tailor-made strategy.

What should you do now?

The seizure process is complex and has many legal pitfalls. Whether it concerns inventorying assets or maintaining the correct procedure, mistakes can be costly. If you have questions about seizures or disputes involving seized assets, contact a specialized procedural lawyer immediately to protect your position.