On the Improvement of the System of Asset Reporting by Judgment Debtors

Abstract

Asset reporting by the judgment debtor is the most effective and fastest way to identify the assets of the judgment debtor in the enforcement procedure. However, the refusal or false reporting by the judgment debtor is a common issue that impedes the effectiveness of the asset reporting system. This article proposes several improvements to enhance the system’s efficacy. Firstly, it suggests that the insufficiency of the debtor’s assets to satisfy claims determined by valid legal instruments should be a prerequisite for the debtor’s reporting obligation, which requires court review. Secondly, it advocates for expanding the scope of the asset report to encompass all assets and changes in assets within the preceding five years from the date of the asset reporting order. Thirdly, it recommends an appropriate increase in the duration of detention for non-compliance during the asset reporting procedure. Lastly, the article calls for clarification of the judgment debtor’s right to object, as well as the conditions and scope for the petitioner for enforcement to access and inquire about the asset information obtained through court investigation.