Recovery of Debt From Another Member of the EU


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Recovery of Debt From Another Member of the EU

There are various ways to facilitate the recovery of debt from a person or business who is based in another European Union (EU) country. When the two parties involved are from different EU member states, this is referred to as a cross-border claim. The following methods of reclaiming debt are used voluntarily in place of traditional avenues, although legal advice might be advisable in case of an appeal.

European Order for Payment (EOP) Procedure

This process was introduced in December 2008 to provide a quicker and easier way for creditors to recover outstanding funds that are not disputed in a cross-border claim. The procedure operates under a uniform process across all member states of the EU and uses standard forms. It can be used in matters involving both commercial and civil claims, and there is no need to involve lawyers in the process. When an order is obtained using the EOP process, it is not necessary to immediately take steps to enforce the decision in another part of the EU.

European Small Claims Procedure (ESCP)

The ESCP was launched on 1 January 2009 and provides an affordable process for recovering lower value debts. The ESCP can be used for recovery of debt by businesses and consumers in Europe who have cross-border cases.

The procedure applies to claims that do not exceed €2,000 and can be used for both commercial and civil matters. It can also be used for non-monetary as well as monetary claims.

Using the ESCP, there are standard forms across the EU for both parties and for the court. There are also time limits for the court and the parties involved so that the process can proceed simply and in a timely fashion where small claims are concerned.

European Enforcement Order (EEO)

An EEO can be used as a simple way to enforce a judgment that is uncontested in another EU country. If the claim is defended, however, then normal court rules must be followed for enforcing an overseas judgment.


For more information, free initial advice or a general discussion, please contact AR Legal Collections on +44 (0)20 8202 0730.


Tags: Recovery of debt by businesses,  Recovery of Debt From Another Member of the EU, EEO, Recovering Debts, EOP, ESCP, Commercial Debt, Business Debt, Debts



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