The way to redeem a promissory note
What is important for tenants and guarantors is to know, that in the vast majority of cases, it will not be possible to redeem the promissory note before a judge, or at least a registrar who has a quasi-judicial role, hears the parties’ arguments before deciding on the issue.
By law, “a) An exchange note, promissory note and check within the meaning of the Banknotes Ordinance (in this Law a Banknote) may be enforced as a court judgment. b) The applicant for the execution of a note shall submit a request to that effect to the Bureau of Implementation, and the provisions of section 7 (b) shall apply to it as if it were a request for the execution of a judgment. ”
In other words, the benefit of a promissory note is the savings of the owner in a previous application to the court through a claim.
Of course, this is about saving money and time. And so, the landlord can hand over the promissory note for realization directly in execution as if it were a judgment against the signatories of the promissory note.
But in reality, there is almost no advantage, that the signatories to the promissory note will of course oppose the execution of the note or make a claim of default, and then in most cases, the matter will be transferred from the Execution Bureau to the court to discuss the issue.
Hence, the prominent advantage of these proceedings on the part of the landlord is not necessarily in saving time and money, but in tactical advantages over the signatories of the promissory note, and this is not the place to go into the thick of the issue in this matter.