CYPRUS Law and Practice Contributed by: Agathi Zervou and Maya Athanatou, George Z. Georgiou & Associates LLC
state. These typically involve transmission through designated central authorities. Where it is not practicable to effect service in accord - ance with the prescribed international or bilateral procedures, for example due to delay or because the defendant is evading service, the court may permit substituted service through alternative means. The court has broad discretion to allow service by any method it considers appropriate in the circumstances, including service by email or other electronic means, provided it is satisfied that the suggested method is likely to bring the proceedings to the defendant’s attention. Once a party has obtained a judgment in Cyprus, or a foreign judgment has been recognised and registered, the successful party may proceed with enforcement measures to recover the judgment debt. Nonetheless, in fraud cases, enforcement can be par - ticularly challenging, especially where the judgment debtor has had the opportunity to conceal or dissipate assets before the wrongdoing is uncovered. In such circumstances, the courts retain the power to grant post-judgment relief, including freezing injunctions, to assist in the enforcement process. 5. Enforcement 5.1 Methods of Enforcement The available enforcement methods include writs of execution for the sale of movable property, as well as writs for the sale of immovable property. In relation to immovable property, a creditor may also secure the debt by registering a charging order over the debtor’s property. Additional measures include garnishee orders (or third-party debt orders), which allow the creditor to seize funds or assets of the debtor held by third parties, such as bank accounts. The court may also order the judgment debtor to make periodic/monthly payments towards satisfaction of the debt following a cross-examination of the debtor regarding their assets, sources of income and overall expenses.
Furthermore, in appropriate cases, insolvency pro - ceedings such as winding-up, may be initiated against the debtor. While such proceedings do not constitute enforcement methods in the strict sense, as they do not guarantee recovery of the full debt, they may be used as a means of exerting pressure or facilitating recovery where the debtor is a Cypriot company and the debt exceeds the statutory threshold of EUR5,000. 5.2 Enforcement of Foreign Judgments There is no single unified system for the recognition and enforcement of foreign judgments in Cyprus. The applicable framework each time will depend on the country in which the judgment was issued and the legal framework governing that jurisdiction. Judgments issued by courts of EU member states (with the exception of Denmark) are automatically recognised and enforceable in Cyprus pursuant to Recast Regulation (EU) No 1215/2012. For judgments originating from the United Kingdom, British dominions, protectorates, mandated territories and other countries that afford reciprocal treatment to Cypriot judgments, recognition and enforcement are governed by the Foreign Judgments (Reciprocal Enforcement) Law of 1935 (Chapter 10), as amended. In addition, Cyprus has entered into various bilateral treaties with countries such as Russia, Ukraine, Geor - gia and China, as well as multilateral conventions such as the Convention of 2 July 2019 on the Recogni - tion and Enforcement of Foreign Judgments in Civil or Commercial Matters (the “HCCH 2019 Judgments Convention”), which provide specific frameworks for recognition and enforcement. These instruments are generally based on the principle of reciprocity, mean - ing that recognition in Cyprus may depend on whether the foreign jurisdiction would recognise a correspond - ing Cypriot judgment. Where a judgment originates from a country outside the EU and no applicable treaty exists, recognition and enforcement may still be pursued through a com - mon law action. In such cases, the judgment credi - tor may initiate fresh proceedings before the Cypriot courts, seeking a judgment for the amount due under the foreign judgment, effectively treating it as a debt.
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