Legal Collections Netherlands | Debt Collection Fees Netherlands
1. Amicable stage
The creditor can write a demand to the debtor asking him to fulfil the payment. For this function, no specific conditions or formalities are demanded. The written warning has to contain a reasona- ble period of time which provides the opportunity to fulfil the obligated payment to the debtor.
The creditor can write the warning himself. It is very important to save the evidence that the warning was received by the debtor. Another chance is to get a bailiff a lawyer or a debt-collection agency writing the warning.
For the professional costs, the creditor and the attorney can agree upon particular percentages which vary in proportion to the sum due by the debtor. The prices might likewise be based on an hourly rate.
To a detective agency who will investigate the debtor’s financial position, the creditor can appeal for financial information regarding physical persons. It is likewise possible to consult with the register for properties. This register is accessible to the general public. The fiscal facts of a company can be consulted in the trade register. It’s likewise possible to employ a detective agency for info about businesses.
In the stage that was amicable, everyone is entitled for debt collection, but in practice, lenders rely on bailiffs, debt collecting agencies and attorneys.
Pre-judicial seizures on a property or for example a bank account are not impossible to be able to get a guarantee for payment.
Depending in the contract, it is not impossible the debtor has to pay contractual interest in case of late payment. During the time of default, the debtor has to pay legal interests.
2. Legal stage
No legal representation is required.
Regulation (EC) 1896 (2006) creating a European order for payment procedure and regulation (EC) are well known and used in The Netherlands.
The activity that needs to take place does not have to be the introduction of a claim in court, but it won’t be any longer possible to introduce a claim in court if the lender doesn’t take any measure against the debtor within 5 years.
The expenses of debt collecting lawyers or agencies could be based on an hourly rate or on graduated rates. Costs for formal bailiff services are derived from a “decree on tariffs for bailiff measures”.
In The Netherlands, interlocutory proceedings can be commenced by you. For this particular specific purpose, you must show that there’s an urgent interest in requesting a preliminary injunction. Seizures are also potential in the judicial phase.
The evaluation of the evidence is at the exclusive discretion of the court. A translation of English/German files into Dutch is usually unnecessary, however if the documents are written in another language, translation is advised. In the event of an exequatur, a sworn translation of the judgement is needed.
Attorney prices are recoverable for a little part, according to a given scheme. Court fees may be regained for the whole sum. When the debtor does not fulfil his duties after sentenced by a judgement, he also needs to pay contractual interests and legal interests.
Generally, bailiffs, debt collection offices, credit insurance companies and lawyers take part in debt gathering processes.
3. Enforcement of a foreign judgement
The judgement with instantaneous effect made by the court of an EU member state could be performed in The Netherlands after getting leave of the professional judge.
In the event of judgements made by courts of non-member states, there has to be law or a convention on which enforcement and recognition in The Netherlands is allowed. In that case, acknowledgement and enforcement take place after obtaining leave. Otherwise, it’s important to begin a process in The Netherlands.
Just bailiffs have the right to carry out.
After receiving a favorable judgement, the creditor has to execute within 20 years.
The costs for an exequatur are 568 EUR when the creditor is a company and 258 EUR when the creditor is a physical individual (71 or EUR when the lender has to be regarded as an indigent individual).