European Payment Order

5 novembерr, 2020

The European payment order allows the creditor to quickly recover cash within the European Union.

It can be difficult to recover outstanding international loans for the following reasons.

– Foreign law applicable in this specific case.
– Possible conflict of jurisdiction.
– Language and cultural barriers.
– Impossibility to find the registered office / residence of debtor.
– Excessive costs for the procedure abroad.

To solve the problem, the European legislator has provided an effective solution, ie the possibility, in the member states of the European Union, to apply for a European order for payment. The aim is to quickly collect credits from third countries domiciled in another Member State.

ADVANTAGES

This option is valuable to creditors as it allows them the following benefits.

– To apply to the Competent Court in the country where they have address.
– To avoid conducting the procedure abroad.
– To use a simple and fast procedure.
– To receive a writ of execution on the basis of written evidence.

The necessary conditions in order to be able to activate the above-mentioned procedure are that the credit must be secure, liquid and collectible. Also, one of the parties must be domiciled in other Member State of the European Union.

The Court may accept the application, reject it or request its integration.

Once issued the order, the debtor may pay the debt and the costs of the proceedings or present an opposition in the Court.

In the absence of opposition, the order becomes enforceable.

In conclusion, the European Payment Order is an effective and fast way that can help entrepreneurs and individuals to collect loans abroad.

For immediate debt collection abroad, contact us at this email address – bgospodinova@bgstudiolegale.com or via whatsApp at 320 9053645 for advice and information.