A seizure creditor is not a bankruptcy creditor. A seizure creditor is an individual who, based on their real or personal right, has the right to request that a specific item be separated from the bankruptcy estate. The item over which the seizure creditor has rights does not enter the bankruptcy estate.
If the right of separation is recorded in a land or other public register, the burden of proving that the item subject to such a right enters the bankruptcy estate falls on the debtor. If the item over which the right of separation exists has been wrongfully alienated by the debtor before the bankruptcy proceedings are initiated, the seizure creditor may request the transfer of the right to counter-performance if it has not yet been executed, and if it has been executed, the creditor is entitled to compensation as a bankruptcy creditor. If the item over which the right of separation exists has been wrongfully alienated during the bankruptcy proceedings or in previous bankruptcy proceedings, the seizure creditor may request the transfer of the right to counter-performance if it has not yet been executed, or request counter-performance from the bankruptcy estate if the item can still be separated from the estate, or claim the market value of the item and compensation for the damage suffered, which will be covered by the bankruptcy estate.
Unlike bankruptcy creditors, who can only assert their claims in bankruptcy proceedings, and unlike secured creditors who are subject to the same rule except in cases of lifting the execution and settlement ban, seizure creditors can assert their claims in all judicial and other procedures. Therefore, they are not conditioned by the requirement to assert their claims during the bankruptcy proceedings, but may do so independently of them.
To assert their rights, a seizure creditor must submit a request to the bankruptcy trustee for the item that belongs to them and does not enter the bankruptcy estate to be separated from the estate. The bankruptcy trustee is obligated to notify the seizure creditor within 20 days whether they accept or reject the request. If the bankruptcy trustee accepts the request for separation, they must simultaneously inform the seizure creditor of the deadline by which the item will be handed over, which cannot exceed 10 days from the acceptance of the request, unless the bankruptcy judge extends this deadline for justifiable reasons. On the other hand, if the request for separation is rejected by the bankruptcy trustee, the seizure creditor has the right to file an objection with the bankruptcy judge within 5 days. Even if the bankruptcy judge rejects the seizure creditor’s request for separation, the seizure creditor can still assert their rights in other judicial proceedings.
It is important to note that a seizure creditor can assert their rights during the bankruptcy proceedings until the sale of the asset subject to the request, and after that moment, they are not allowed to make any further requests in the bankruptcy proceedings but can only assert their rights in other judicial procedures. Naturally, they do not have to make any request in the bankruptcy proceedings if they believe it is more efficient and advantageous for them to timely initiate the appropriate judicial proceedings.