You provided a service, sold a product, but haven't been paid? Recovering a debt requires strategy and knowledge of legal tools. This guide explains how to proceed to maximize your chances of getting your money back.
The Recovery Escalation Scale
Recovery follows a progression of actions, from the softest to the most aggressive:
Friendly Reminder
Email, call, informal letter. Cost: €0. Success rate: low but always worth trying.
Lawyer's Letter (Formal Demand)
Email or certified letter with formal demand to pay. Cost: €150-300. Success rate: medium-high. Many pay to avoid litigation.
Injunction
Fast procedure: ask the judge for a payment order without a hearing. Cost: €400-1,000. Timeline: 30-60 days.
Forced Execution (Seizure)
If debtor doesn't pay even after injunction, proceed to execution: wage garnishment, bank accounts, property seizure. Costs and timelines vary.
The Injunction: The Leading Tool
It's the most used because it's fast and economical. Here's how it works:
📋 Requirements for an Injunction
- ✓ Debt is liquid (amount determined or determinable)
- ✓ Debt is due (deadline has passed)
- ✓ Debt is easily provable (invoice, written contract, check)
Procedure:
- Your lawyer files a petition with the court with debt proof
- The judge issues the injunction (without hearing the debtor)
- The injunction is served on the debtor
- The debtor can file an objection within 40 days. If not, the injunction becomes final
- With the final injunction you can proceed to forced execution
⚠️ Provisional Enforceability
You can request that the injunction be provisionally enforceable, so you can start execution even if the debtor objects (unless the judge suspends it).
Seizure: How It Works
If you have an execution title (injunction, judgment, promissory note) and the debtor doesn't pay, you can proceed with:
Third-Party
E.g. wages, bank accounts
Faster. Requires knowledge of employer or bank.
Real Estate
Seizure of houses, land
Long timelines (years). High costs. Used for substantial debts.
Personal Property
Cars, machinery, assets
Effective if valuable goods exist. Requires court officer.
When Legal Action Doesn't Make Sense
Be realistic: sometimes pursuing a debt isn't worth it. Avoid legal action if:
- The debtor is judgment-proof (no assets or income to seize)
- The debt is very small (<€500) and legal fees would exceed recovery
- The debtor is in bankruptcy/liquidation proceedings
- You lack sufficient documentary evidence (verbal agreements only)
💡 My Approach to Debt Recovery
Before starting legal action, I always conduct a cost-benefit analysis:
- ✓ I verify the debtor's financial solvency (do they have anything to seize?)
- ✓ I assess the available evidence and success probability
- ✓ I calculate estimated costs vs. recoverable amount
- ✓ I always propose first a reasonable amicable attempt
Goal: maximize recovery, minimize time and costs. If it doesn't make sense, I'll tell you clearly.
Indicative Timelines and Costs
| Procedure | Timeline | Costs |
|---|---|---|
| Lawyer's demand | 7-15 days | €150-300 |
| Injunction | 1-2 months | €400-1,000 |
| Objection | 1-3 years | €1,500-5,000+ |
| Forced execution | 6-18 months | €800-3,000+ |