Mirjana Knežević, LLD*
ENFORCEMENT ON STOCKS AND SHARES
Summary
This paper examines the new law on enforcement which aims to strengthen the legal position of enforcement creditors in the procedure of enforcement on stocks and shares as a way of satisfaction. The paper presents general characteristics of the procedure of execution and security, paying special attention to the execution procedure on stocks and shares and the legal force of its implementation.
Special provisions of the Law on Enforcement and Security regulate the enforcement procedure on stocks as financial instruments and shares, with application of provisions valid for enforcement on other security instruments (provisions on debt transfer, sale of movable assets and sale of immovable property) with some specificities.
The implementation of enforcement and security on shares as financial instruments and stocks brings an end to the dispute between the enforcement creditor and the judgment debtor and potentially results in the change of ownership of the capital. The legal owner of the capital is changed: the ownership of the capital is transferred from the judgment debtor to the enforcement creditor, who also obtains managerial rights. This procedure brings about more legal security for business entities, expansion of capital stock and faster economic growth.
Key words: enforcement and security procedure, stocks, shares