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European Payment Order
Published on · Updated on · 1 min read
In brief
The European order for payment is a simplified procedure for uncontested cross-border claims within the EU: the creditor obtains an enforceable order from the court of their own country, on the basis of documents alone, without starting proceedings abroad. The claim must be certain, of a fixed amount and due.
This article refers to the rules in force at the date of publication.
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.
Frequently asked questions
When can the European order for payment be used?
It is used for uncontested money claims — certain, of a fixed amount and due — when creditor and debtor are based in different EU member states. It suits, for example, unpaid invoices between companies from two EU countries, or between a business and a consumer.
How much does the European order for payment procedure cost?
Costs include the court fee, which varies with the value of the claim, and the lawyer's fee, set out in a written quote before the engagement, as Italian law requires. The procedure runs on standard forms and needs no hearings, which helps keep costs contained.
What happens if the debtor lodges an opposition?
An opposition does not end the matter: the case continues before the competent court under ordinary civil procedure rules, where the creditor can present its evidence. Without an opposition within the deadline, the order becomes enforceable and can be used to attach the debtor's assets.
Does the European order for payment apply in all EU countries?
The regulation applies in all European Union member states except Denmark. It does not cover debtors based outside the EU: in those cases, the available instruments come from international conventions or from the national law of the debtor's country, and need to be assessed case by case.
Boryana Gospodinova, lawyer · Pesaro Bar Association · English, Italian, Bulgarian
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