Plans to fully automate some debt collection cases in courts
Legislative changes in Latvia aim to fully automate simple debt collection cases in courts, extending the objection period for debtors to 30 days and allowing judges to correct automated decisions.
In Latvia, the Ministry of Justice is proposing a legislative change that would lead to the full automation of certain debt collection cases in courts. This initiative focuses on straightforward debt recovery processes, which are currently governed by an algorithm that assists judges in making decisions. The planned automation is intended to enhance this procedure, making it more efficient and less time-consuming for legal professionals involved.
One significant change proposed is the extension of the time allowed for debtors to submit objections from the current 14 days to 30 days. This adjustment will provide debtors with a greater opportunity to respond to collection notifications and assess their circumstances before any legal actions are taken. Furthermore, the law is set to include mechanisms for correcting potential errors made by the automated system, enabling judges to intervene either on their own initiative or at the request of the parties involved.
The developers of this bill, the Ministry of Justice, emphasize that the automation will only apply to cases where there is no fundamental dispute between the parties. By doing so, they believe this will greatly reduce the burden on the courts, allowing judges to allocate more time to complex civil cases that require human oversight and nuanced consideration. This initiative is seen as a pivotal step in modernizing the judicial process in Latvia, improving efficiency and potentially enhancing access to justice for individuals facing debt collection.