Debt collection, debt recovery, default payments, open accounts, Enforcement of foreign judgements in Germany
Open claims from unpaid invoices or damages are not only annoying for companies, but can also lead to business problems. Because it is ultimately about "cash" that is missing.
The extrajudicial assertion of open claims and their enforcement in court - if necessary by way of enforcement - is one of our core tasks in day-to-day practice. We constantly represent companies in particular in all kinds of debt issues & debt collection.
One of our “specialties” is enforcing foreign claims or, more precisely, claims by foreign companies in Germany or enforcing foreign judgments in Germany. Typically, clients come to us in the following constellations:
- the customer has received the ordered goods completely and properly, but does not pay despite repeated requests<
- A machine specially designed according to customer requirements was ordered, for which 50% of the purchase price was paid in advance. But the machine is not delivered
- the customer has received the goods but is holding back payment due to alleged defects
- A judgment has already been obtained abroad that must be enforced in Germany
Debt Collection and Enforcement Lawyer in Germany - what is it exactly?
Anyone who writes an invoice wants the recipient to settle it in a timely manner. Because the biller has calculated and planned the receipt of money at certain times.
The "cash flow" is therefore an essential pre-condition for entrepreneurial success. What's the point if you have the best products and very good sales people, but the money doesn't come back or doesn't come back in time? Not all buyers or debtors follow this banal rule.
This is exactly where our work begins. We process debt recovery pre-court first and of necessary to litigation actions and transfer it to court until enforcement.
It is not uncommon for a buyer to find himself in financial difficulties and a customer that has filed for bankruptcy or is at risk of bankruptcy. From a legal point of view, fast processing of outstanding claims is therefore essential for success. If necessary, we communicate with the insolvency administration and handle the claim as an insolvency claim and take part in creditor meetings for our clients or we can reach a settlement.
Default payments – our approach
We see ourselves as your legal service provider. By this we mean timely, comprehensive and transparent work.
Defaulting debtors, who initially do not react at all to payment reminders or warnings, "suddenly" claim in litigation proceedings that the delivered product was defective or incomplete. What appears to be a simple legal dispute over payment can then degenerate into the examination of highly complex questions about defects and responsibilities.
Therefore, sustainable examination of all existing documentation is important, especially at the beginning of the, in order to be able to correctly assess the opponent and the reasons for the non-payment.
Foreign judgments can be enforced in Germany. To do this, the foreign judgment must be “recognized” in a court proceeding. It is then enforceable like a German judgment by German enforcement bodies.
Default payment - What are the costs of our work?
As a rule, we calculate our costs according to the German Lawyers' Fees Act. At first glance, these fees appear to be complicated. However, we are happy to explain the fee structure in advance, especially to foreign clients, which is ultimately fair and transparent.
If necessary, costs according to the German Lawyers' fee Act can be enforced against the opponent in the event of victory, as can the actual claim in question.
Alternatively, we calculate our costs hourly.
Debt collection – Which documents are required?
Ideally, the client can provide us with the following documentation:
- Offer, order, confirmation, invoice, delivery documents
- Payment reminders, warnings
- Extrajudicial correspondence (possible notices of defects by the buyer, offsetting and the like)
- Letter from an insolvency administrator or the insolvency court