Fee defaulters in Kuwait face automatic service suspension
Article 1 stipulates that government agencies acting as creditors must temporarily suspend services to debtors who fail to pay within thirty days of receiving a notification. The suspension will be automatically lifted in the agency's automated system once the debtor settles the full outstanding amount. The final paragraph of Article 1 allows the creditor, upon the request of the debtor or their legal representative, to approve installment payments for those unable to pay the full amount at once. This is subject to terms and conditions determined by a decision issued by the representative of the creditor agency. The suspension of services shall be lifted by a decision of the creditor committee if it approves the debtor's request to pay in installments. However, if the debtor fails to pay any installment on its due date, the creditor shall issue a decision to revoke the installment decision and initiate enforcement proceedings to collect the debt or any remaining balance.
Article 2 of the decree stipulates that a lawsuit filed by the debtor concerning the temporary suspension of public services, or any dispute regarding the debt amount, shall not be accepted unless the debtor first files a formal complaint with the relevant ministry. The relevant ministry or committee must issue a decision on the complaint within thirty days of its submission. If this period expires without a decision, the complaint is considered rejected. The debtor may then file a lawsuit within thirty days, either from the date they are notified of the complaint rejection through modern electronic means or from the expiry of the decision period, whichever comes first.
Article 3 of the draft law stipulates that any amounts owed to state ministries or institutions under the provisions of this law shall take precedence over all of the debtor's assets, whether movable or immovable.
Article 4 states that any document indicating the debt owed by the debtor, or any decision to collect or settle the debt issued by the competent authority or ministry, shall be deemed an 'executive instrument' enforceable by law. Its execution shall be carried out under the rules and provisions stipulated in the Civil and Commercial Procedures Law, issued by Decree-Law No. 38/1980.
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