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Request for establishing of the manufacturer privilege

The High Court of Cassation and Justice has ruled that, in a case conducted under the old Civil Code, that in accordance with Art. 1737 section 4 of the Civil Code, the privilege manufacturer is a guarantee that gives the lender a right to collect the claim with preference over all other creditors’ even mortgagers. The High Court said, however, if the amount mentioned for its establishment is not proven by an expertise estate or any other title, the conditions for establishing this  privilege are not met, the recognition of the claim by the debtor is not considered as sufficient, considering the provisions of art. 1737 section 4 of the Civil Code which require an expertise by an expert appointed by the court within 6 months of the completion. (Decision no. 3099 of October 8, 2013 marked in the appeal of Section II of the Civil High Court of Cassation and Justice establishing privilege covering manufacturer and its entry in the land register)

Note: Article 1869 of the New Civil Code establishes the right of legal mortgage over the piece of work for the contractor to guarantee payment of the price payable for the work.

In addition, in the art. 2386 section 6 of the New Civil Code provides that, unless otherwise provided in cases provided by law, the following benefit from legal mortgage: “architects and contractors who have agreed with the owner to build, rebuild or repair a building on the property, to ensure amounts owed ​​to them, but only to the extent the amount of increase of value realized.”

:: The source: JURIDICE.ro

Dan Alexandru NEGRU

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