BASIC QUESTIONS
Since when has the Pledge Register been kept?
The Business Registers Agency has kept the Register of Pledge of Movable Assets and Rights (the Pledge Register) since August 15, 2005.
What is a pledge?
A pledge is a means of securing own or another’s debt with movable assets or rights, without transfer of possession, with registration in the Pledge Register.
How does the right of pledge arise?
The right of pledge arises by conclusion of an agreement (contractual right of pledge), in the enforcement proceedings – by agreement before the court, by forced execution of an executive or authentic document, or by pronouncing a provisional measure (judicial right of pledge) and in the tax procedure before commencement of forced collection, or during forced collection of tax arrears (statutory right of pledge).
How is right of pledge acquired?
Right of pledge is acquired by registration in the Pledge Register, unless otherwise stipulated by another law.
Who is the pledger?
The pledger is the person who has right of ownership of a movable asset, or the capacity of holder of a right of which he/she may dispose freely.
Who is the pledgee?
The pledgee is the person who has right of pledge over a movable asset or right which is the object of pledge.
Who is the third party referred to in Art. 16, paragraph 1 of the Law?
One or more pledgees may designate a third party or one of the pledgees to take legal action to protect and settle the claim secured by pledge.
Why is registration of the pledge in the Register important?
The order in which the pledgees’ claims will be settled from the value of the object of pledge is determined by the time (day, hour and minute) of the receipt of applications for registration of the right of pledge by the Agency.
How is the procedure of registration in the Register initiated?
The procedure of registration of the right of pledge in the Register is initiated by filing an application, which is a form containing data to be entered in the Pledge Register.
Where can the application forms for registration of the right of pledge be obtained?
Application forms for registration of the right of pledge (amendments to data on the right of pledge, notes, deletions, as well as excerpts) are available on the Business Registers Agency web page.
Who can file an application for registration in the Pledge Register?
The application for registration of the right of pledge can be filed by the pledgee or pledger. The debtor cannot file the application for registration.
Can the application be filed by proxy?
A third party vested with the power of attorney (proxy) may file the application for registration. The proxy must enclose the power of attorney with such application. If the proxy is not an attorney at law, and the power of attorney is granted by a natural person, the power of attorney must be validated by court or other body competent to authenticate signatures.
What is the object of pledge?
It is a movable asset or right, as well as an intellectual property right (seal, patent, pattern, etc).
Can the object of pledge be pledged several times?
One movable asset – object of pledge can be pledged several times, and the fact that the right of pledge is not registered in the Pledge Register does not mean that there is no other right of pledge over the same asset.
Can fixed assets be the object of pledge?
Fixed assets can be the object of pledge because the pledger remains in possession of them. The pledge does not constitute an impediment to conducting regular commercial activities.
Does registration of the pledge constitute proof of the right of ownership of the object of pledge?
Registration of the right of pledge in the Pledge Register does not constitute proof of ownership or other rights of the pledger over the pledged movable assets, or that the secured claim or pledge is valid.
The amount up to which the principal claim is secured?
This is an amount expressed in domestic or foreign currency up to which the claim is secured (principal claim).
Maximum amount of secured claim?
This is an amount expressed in domestic or foreign currency which comprises the principal debt, interest and costs of debt collection. This is a compulsory element in registration of the right of pledge.
Debt maturity date?
The day by which the debtor is obliged to settle his/her debt.
What constitutes legal grounds for data registration in or deletion from the Register?
Legal grounds for registration are documents enclosed with the application, on the grounds of which data is registered in or deleted from the Register (agreement, agreement before the court, court decision, records of inventory and assessment, and the like).
Form and contents of the pledge agreement?
The agreement must be concluded in the written form and contain the material elements prescribed by Law (date of conclusion, name and surname or company name, place of permanent or temporary residence, or registered office of the pledgee, pledger and debtor, object of pledge and data on the claim secured by the pledge).
Does the pledge agreement have to be validated?
The pledge agreement does not need to be validated. If the pledger is a natural person and the application for registration in the Pledge Register is filed by the pledgee, a separate certified statement of the pledger to the effect that he/she consents to the registration of the pledge in the Pledge Register is not required, provided that the pledge agreement is validated and contains the pledger’s consent to the registration of the pledge in the Pledge Register.
How can data on registered rights of pledge be accessed?
Any interested party can access data contained in the Pledge Register through the Agency’s web site or at the Agency’s offices during its business hours.
Can third parties plead ignorance of the existence of the right of pledge?
It is assumed that the existence of right of pledge is known to third parties on the grounds of its registration in the Pledge Register. Nobody may plead ignorance of the data from the Pledge Register.
Excerpt from the Register?
A document containing data on a particular right of pledge registered in the Pledge Register (affirmative excerpt) or certifying that the Register does not contain data on the pledge of a particular asset or right (negative excerpt). A certified excerpt from the Pledge Register is equal to an executive document.
Who is an interested party?
An interested party is a party with legal interest (other than the pledger and the pledgee) to have a note entered in the Pledge Register of the existence of a dispute pertaining to the pledged movable assets or other relations of the parties in connection with the pledge, or to have data deleted from the Register.
Is the pledger’s consent required for registration of the pledge?
The pledger’s consent to registration of the right of pledge in the Pledge Register is required only for the pledge arising from an agreement. If the pledger is a natural person, and the application for registration in the Pledge Register is filed by the pledgee, the pledger’s statement to the effect that he/she consents to the registration of the right of pledge in the Pledge Register by the pledgee must be certified by a body competent to authenticate signatures.
Who pays the costs of registration in the Pledge Register?
The applicant, or other interested natural or legal entity, covers the costs of registration in the Pledge Register, in accordance with the Rules on the Fees for Services Provided by the Business Registers Agency in Connection with the Register of the Right of Pledge on Movable Assets and Rights (Official Gazette of the Republic of Serbia, no. 111/05 and 67/06).
The amount of the fee?
A fee is charged for registration of rights of pledge, and its amount is dependent on the amount of the principal claim secured by the right of pledge, or on the maximum amount of the principal claim up to which conditional or future claims are secured by the right of pledge; the fee is as follows:
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For amounts up to EUR 1,500 – RSD 510.00
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For amounts from EUR 1,500 to EUR 6,000 – RSD 760.00
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For amounts from EUR 6,000 to EUR 25,000 – RSD 1,300.00
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For amounts from EUR 25,000 to EUR 70,000 – RSD 1,700.00
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For amounts from EUR 70,000 to EUR 150,000 – RSD 3,500.00
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For amounts from EUR 150,000 to EUR 300,000 – RSD 4,200.00
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For amounts from EUR 300,000 to EUR 500,000 – RSD 4,800.00
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For amounts from EUR 500,000 to EUR 1,000,000 – EUR RSD 5,400.00
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For amounts exceeding EUR 1,000,000 – RSD 6,000.00.
The fee for amendments to the data in the Register or for registration of new data is RSD 850.00 per application.
If the subject matter of the application is registration of the right of pledge or amendment to the data on the registered right of pledge, and the data to be entered in the Pledge Register pertain to several movable assets or rights, the amount of the prescribed fee is increased by RSD 200.00 for each subsequent object of pledge.
If the right of pledge secures a principal claim not exceeding EUR 6,000.00, the prescribed fee is increased by RSD 50.00 for each subsequent object of pledge.
The fee for entering a note on the existence of a dispute and other data to be entered in the Pledge Register pursuant to the law is RSD 710.00.
The fee for deletion of the right of pledge from the Pledge Register is RSD 490.00.
The fee for issuing excerpts, certificates and copies of documents from the Pledge Register is as follows:
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For search with issue of a certified excerpt of data contained in the Pledge Register – RSD 700.00 per excerpt, or with issue of an uncertified excerpt – RSD 300.00 per excerpt; however, if the search is performed for several objects of pledge or for several parties, the fee is increased by RSD 200.00 for each subsequent object or party
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For issue of a certified excerpt containing all data on a particular right of pledge registered in the Pledge Register – RSD 700.00 per excerpt, or for issue of an uncertified excerpt – RSD 300.00
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For issue of a certificate that the Pledge Register does not contain data to the effect that a particular asset is the object of a pledge or that a particular natural or legal entity is registered as the pledger in the Pledge Register – RSD 500.00; however, if the search is performed for several objects of pledge or for several parties, the fee is increased by RSD 200.00 for each subsequent object or party
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For printing a document from the Agency’s web page – RSD 60.00 per document
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For issue of a copy of a document – RSD 25.00 per document page
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For data download in the electronic form from the Agency’s web page, if the search criterion is not among the general search criteria and if the search is performed following a special request by the user, the fee is RSD 20.00 per entry
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For delivery of the report with data contained in the Pledge Register following a special request by the user, the fee is RSD 40.00 per entry, and if the report is requested for more than 50 entries, the fee for each subsequent entry is RSD 20.00.
AMENDMENTS TO THE REGISTERED RIGHT OF PLEDGE
What constitutes legal grounds for registration of amendments to the registered right of pledge?
An addendum to the pledge agreement, for example, constitutes legal grounds for registration of data on the amendment to the pledge agreement already registered. Each amendment has the character of a new entry in the Pledge Register.
ENTRY OF A NOTE
Who files the application for entry of a note on initiation of the debt settlement procedure?
The pledgee is obliged to have the initiation of the debt settlement procedure entered in the Pledge Register. Following this, the pledger is obliged to enable the pledgee to satisfy his claim from the value of the object of pledge.
DELETION OF THE RIGHT OF PLEDGE
When is deletion requested?
When the debt is settled or the claim ceases in some other way, the pledger, pledgee and the debtor may request deletion of the right of pledge.
When is the Tax Administration obliged to request deletion?
Following the settlement of tax debt by forced collection, the Tax Administration is obliged to request deletion of the right of pledge within two days. When the tax becomes payable at regular intervals, i.e. several times per year, deletion must be requested at the latest within ten days from the expiry of the year in which it was established.