DENMARK Law and Practice Contributed by: Johannes Hedegaard and Tobias Bøgh, Bruun & Hjejle
It is also possible for the bailiff’s court to allow the claim to be converted into a monetary claim, which can then be enforced by attachment. Insolvency Proceedings If the judgment creditor believes that the debtor is insolvent, the creditor may submit a bankruptcy peti - tion to the relevant bankruptcy court. Initiation of bankruptcy proceedings requires that it can be dem - onstrated that the debtor is unable to fulfil their obliga - tions as they fall due and that the inability to do so is not temporary. Bankruptcy petition does not require that the debtor’s claim has been established in a final judgment, nor that the claim is due. Should the bankruptcy court determine that the judg - ment debtor is insolvent, it will appoint a bankruptcy trustee who will be responsible for liquidating the debtor’s assets and distributing the proceeds equally among the creditors in accordance with the order of priority. The trustee will also investigate whether there is a basis for claims for avoidance or damages against third parties in the interest of the creditors. Usually, the court will require the petitioner to provide a security deposit of DKK40,000 in connection with the commencement of bankruptcy proceedings. It should be noted that the opening of bankruptcy pro - ceedings has the effect that any attachment made on the debtor’s assets later than three months before a reference date (commonly the date of the petition for bankruptcy) has no legal effect against the bankruptcy estate. 2.3 Costs and Time Taken to Enforce Domestic Judgments Timeline In Denmark, the enforcement procedure is adminis - tered by the bailiff’s courts. As the bailiff’s court is a division under each of Denmark’s city courts, the length of time it takes to enforce a judgment depends on the specific bailiff’s court. The average case-processing time across all Danish bailiff’s courts was 2.7 months in 2024, which includes both Danish and foreign judgments. The longest aver -
age processing time was approximately four months and the shortest was 1.1 months. Costs In 2021, the regulations regarding payment of court fees in enforcement cases before the bailiff court were simplified. As a consequence, a fee of DKK750 is now payable upon application to a bailiff court for the attachment of property in the context of a monetary claim or the enforcement of non-monetary judgments irrespective of the value of the claim. Furthermore, an additional fee of DKK1,500 is payable in connection with a request for a forced sale of an attached asset. Other types of costs may be incurred, including attor - ney’s fees. Costs incurred in connection with the enforcement of a judgment may, as a general rule, be recovered from the debtor. However, attorney’s fees may only be recovered to a certain extent based on indicative rates established by the courts. These rates may be derogated from if deemed reasonable in light of the nature of the case and the scope of the work. It is rare for attorney’s fees to be reimbursed in full. 2.4 Post-Judgment Procedures for Determining Defendants’ Assets In the context of enforcement proceedings before the bailiff’s court, the debtor is obliged to provide the bail - iff’s court with the information that the bailiff deems necessary for enforcement, including information on the debtor’s financial position and where the debtor’s assets are located (see Section 497 (1) of the Danish Administration of Justice Act). Failure to answer truth - fully is a criminal offence under the Danish Criminal Code and may be sanctioned with a fine or imprison - ment. Should the debtor decline to furnish the requisite information, the bailiff’s court may also issue an order for the debtor’s apprehension and detention until such time as they comply with the obligation, as provided for in Section 497 (2) of the Danish Administration of Justice Act. Additionally, the bailiff’s court may con - duct an examination of the debtor’s premises, person, or other relevant locations if deemed necessary for enforcement purposes. In such instances, the police
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