Sub-section IV. Effect of sale
447. (Payment of the price)
1. When a ruling permitting sale becomes final and binding, the purchaser shall pay
the price to the execution court within the period stipulated by that court. Said
period shall be not longer than one month counting from the date of becoming
final and binding.
2. The money paid by the purchaser as guarantee of its offer to purchase shall be
applied to payment of the price.
3. If the purchaser is a creditor who is entitled to distribution from the sale price,
such purchaser may make payment of the sale price less the amount of distribution
to which he is entitled on the distribution date by applying to the execution court
prior to the conclusion of the date for ruling of sale. In such a case, if there is any
statement of objection to the amount of distribution to which the purchaser is
entitled, the purchaser shall immediately pay the amount subject to objection.
4. The purchaser acquires the immovable at the time of payment of the price.
448. (Direction for registration based on payment of price)
1. Upon payment of the price by the purchaser, the court clerk shall entrust the
competent institution to enter and strike off the following matters in the register:
(a) the entry of the transfer of the rights acquired by the purchaser;
(b) the striking off of the registration of the acquisition of any rights
extinguished by the sale or of any rights that has lapsed by virtue of the sale;
(c) the striking off of any entry relating to provisional disposition that has lapsed
by virtue of the sale; and
(d) the striking off of the attachment or provisional attachment.
2. The entrustment to the registrar under Paragraph 1 shall be accompanied by an
authenticated copy of the ruling permitting sale.
3. The costs of the entrustment under Paragraph 1 shall be borne by the purchaser.
449. (Responsibility of the purchaser)
1. If the debtor in execution is the debtor of any claim secured by a security interest
that remains in effect after sale by virtue of Article 431 (Rights which remain in
existence after sale and rights which are extinguished), the purchaser shall be
responsible to satisfy such secured claim.
2. In cases stipulated in Paragraph 1, when the security interest that remains in effect
after sale is a revolving hypothec of which the principle has been finalized, the
purchaser shall be responsible to pay the debt secured by the revolving hypothec
to the extent of the amount of the maximum credit limit.
450. (Order of delivery)
1. Upon motion by a purchaser who has paid the price, the execution court can may
issue a ruling ordering the debtor in execution or a person in possession of the
immovable to deliver up the immovable to the purchaser; provided that this shall
not apply in the case of a person who the court finds is in possession on the basis
of title that can be set up against the purchaser according to the case record.
2. The purchaser cannot file a motion under Paragraph 1 after the lapse of 6 months
from the date of payment of the price.
3. In the case of rulings a ruling under Paragraph 1 against persons in possession
other than the debtor in execution, the execution court shall examine such other
person.
4. A Chomtoah appeal may be filed against a ruling on a motion under Paragraph 1.
5. A ruling under Paragraph 1 shall not come into effect until it becomes final and
binding.
451. (Effect of non-payment of price)
1. If the purchaser does not pay the price, the ruling permitting sale shall lapse. In
such a case, the purchaser shall have no right to demand return of the guarantee of
purchase paid.
2. In a case described in Paragraph 1, the execution court must once again conduct a
compulsory sale.
3. The Purchaser set forth in Paragraph 1 cannot make an offer to purchase under a
compulsory sale as prescribed in Paragraph 2.
452. (Sale price)
1. The sale price to be applied to distribution shall consist of the following:
(a) the price of the immovable; and
(b) any guarantee the return of which cannot be demanded under the second
sentence of Paragraph 1 of Article 451 (Effect of non-payment of price).
2. In cases where several immovable properties have been sold as an undivided
whole in accordance with Article 433 (Sale of immovable as undivided whole), if
it is necessary to determine the proceeds of each property, the amount of such
proceeds shall be the amount arrived at by dividing the total of the proceeds
proportionally according to the minimum sale price of each property. The same
shall apply to the allocation of execution costs for each property.
453. (The scope of creditors entitled to distribution)
The creditors listed below shall be entitled to distribution of the sale price:
(a) creditors who have filed a motion for compulsory sale or for compulsory sale
as enforcement of general liens not later than the last date for submission of
demands for distribution;
(b) creditors who have made a demand for distribution not later than the last
date for submission of demands for distribution; and/or
(c) creditors who have registered provisional attachment prior to registration of
attachment [application of] which was the basis of the initial ruling of
commencement of compulsory sale.
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