Questions & Answers
When does a creditor freeze my bank account? Before or after a judgment?
Dear Sir/Madam,
When does a creditor freeze my bank account? Before or after a judgment?
Dear Questioner,
The creditor files a lawsuit demanding the amount, and once the ruling is issued, the ruling enforcement file is opened and the creditor asks the judge to freeze your account within the limits of the ruling amount only.
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Jasim Al Haddad Law Firm
Legal Counsel and Consultations
Dear Questioner,
In the UAE, a creditor can freeze a bank account before or after obtaining a judgment against the debtor. This is known as a precautionary attachment or a garnishment order.
Before obtaining a judgment, a creditor can apply for a precautionary attachment from the court, which allows them to freeze the debtor's bank account and other assets.
This is usually done to secure the debt and prevent the debtor from transferring or disposing of their assets.
After obtaining a judgment, a creditor can apply for a garnishment order, which allows them to collect the debt directly from the debtor's bank account.
This can be done by submitting the judgment to the bank and requesting them to freeze the account and transfer the funds to the creditor.
It is important to note that in both cases, the creditor must have a valid legal basis for the debt and follow the proper legal procedures to freeze the bank account.
If the creditor fails to do so, the debtor may challenge the freeze and have the account released.
