Advance payment in civil litigation and priority of litigation compensation

According to Article 88 of the Provisions of the Supreme People's Court on Several Issues Concerning the Enforcement Work of the People's Courts (for Trial Implementation), if multiple creditors who have determined the content of monetary payment in multiple effective legal documents separately apply for enforcement against the same person subject to enforcement, and each creditor has no security interest in the subject matter of enforcement, they shall be compensated in accordance with the order in which the enforcement court takes enforcement measures. Where multiple creditors have different types of claims, claims based on ownership and security interests have priority over monetary claims. Where there are multiple security interests, the repayment shall be made in accordance with the order in which each security interest is established.

Where multiple creditors who have determined the content of monetary payment in an effective legal document apply for enforcement against the same person subject to enforcement, and the property to be enforced is insufficient to pay off all debts, and each creditor has no security interest in the subject matter of enforcement, it shall be repaid in accordance with the proportion of each creditor's right.

Article 186 02 of the Company Law [Liquidation Procedure] After the liquidation group has cleaned up the company's property and prepared the balance sheet and property list, it shall formulate a liquidation plan and report it to the shareholders' meeting, the general meeting of shareholders or the people's court for confirmation. The company's property is distributed according to the proportion of the shareholders' capital contribution after the liquidation expenses, employees' wages, social insurance expenses and statutory compensation, the payment of taxes owed, and the payment of the company's debts. During the liquidation period, the company shall continue to exist, but shall not carry out business activities unrelated to the liquidation.

Before the company's property is repaid in accordance with the provisions of the preceding paragraph, it shall not be distributed to shareholders.

The so-called "preferential repayment" means that the mortgagee may recover its own claims against the debtor in advance, in addition to paying wages, pensions, and taxes on the sale of the mortgage, which has priority over the ownership of the owner of the mortgage and other unsecured general claims. When the debtor uses the collateral to pay off the debt, if several mortgages are created on one mortgage, they should generally be repaid in the order in which the mortgages are created. If the mortgage contract must be registered in order to become effective, it shall be paid in the order in which the mortgage is registered; If the order is the same, it shall be repaid in accordance with the proportion of creditor's rights.

If the mortgage contract only needs to be signed to take effect, it will be repaid in the order of the effective time of the contract; If the order is the same, it shall be repaid in accordance with the proportion of creditor's rights. China's "Urban Real Estate Management Law" stipulates that real estate mortgage refers to the act of providing debt performance guarantee to the mortgagee by the mortgagor in the form of non-transfer of possession of its legal real estate.

When the debtor fails to perform its obligations, the mortgagee has the right to be repaid in priority with the price obtained from the auction of the mortgaged real estate in accordance with the law. Article 47 of the Measures for the Administration of Urban Real Estate Mortgage issued by the Ministry of Construction stipulates that "the amount obtained from the disposal of mortgaged real estate shall be distributed in the following order:

1) to pay the costs of disposing of real estate; (2) Deduction of taxes payable on mortgaged real estate; (3) Repay the principal and interest of the mortgagee's claims and pay liquidated damages; 4) Compensate for the damage caused to the mortgagee due to the debtor's breach of contract; (5) The remaining balance shall be returned to the mortgagor. When the amount obtained from the disposal of the mortgaged real estate is insufficient to pay the debt, liquidated damages, and compensation, the mortgagee has the right to recover the insufficient part from the debtor.

Article 186 02 of the Company Law [ Liquidation Procedure] After the liquidation group has liquidated the company's property and prepared the balance sheet and property list, it shall formulate a liquidation plan and report it to the shareholders' meeting, the general meeting of shareholders or the people's court for confirmation. The company's property is distributed according to the proportion of the shareholders' capital contribution after the liquidation expenses, employees' wages, social insurance expenses and statutory compensation, the payment of taxes owed, and the payment of the company's debts. During the liquidation period, the company shall continue to exist, but shall not carry out business activities unrelated to the liquidation.

The company's property shall not be distributed to shareholders until it is repaid in accordance with the provisions of the preceding paragraph.

The law stipulates that if multiple creditors determine the content of monetary payment in multiple effective legal documents, they will be repaid in accordance with the order in which the enforcement court takes enforcement measures, if they apply for enforcement separately against the same person subject to enforcement, and each creditor has no security interest in the subject matter of enforcement.

Is it right to sue first and get compensation first?

Hello right. The law stipulates that if multiple creditors determine the content of monetary payment in multiple effective legal documents, they will be repaid in accordance with the order in which the enforcement court takes enforcement measures, if they apply for enforcement separately against the same person subject to enforcement, and each creditor has no security interest in the subject matter of enforcement.

If the debtor has strong financial strength, there is no problem who sues first and who gets the money first.

Do you want to ask about the first execution?

The scope of cases applicable to prior enforcement as stipulated in the Civil Procedure Law is: first, cases of recovery of alimony, alimony, child support, pension, and medical expenses; second, cases of recourse to labor remuneration; Third, cases where it is necessary to enforce in advance due to the urgency of the situation. According to the relevant judicial interpretations of the Supreme People's Court, the so-called emergency mainly refers to the following situations:

where it is necessary to immediately stop the infringement and remove the obstruction; It is necessary to immediately stop an act; It is necessary to immediately return the money used for the purchase of raw materials and production tools; Recourse to insurance claims urgently needed for the resumption of production or operation.

In the above-mentioned types of cases, where it is necessary to enforce in advance, the following conditions shall also be met:

First, the facts between the parties are basically clear, the relationship between rights and obligations is clear, and failure to enforce it first will seriously affect the applicant's life or production and operation.

Second, there is an urgent need for the applicant to realize his rights.

Third, the parties applied to the people's court, and the litigation claim of the case was a lawsuit for payment.

Fourth, the respondent has the ability to perform.