1. Amicable Debt Collection Process in Spain

As a routine we often initiate the extrajudicial step of the debt collection process. We tend to prevent the necessity to go to Court at this stage, because this may be time-consuming and not so efficient. We will approach your debtor in Spain to request immediate payment.

We have the below alternatives at this stage:

1. Certififed correspondences and telephone conversations:
   We send a certified letter of request to the debtor and contact them by telephone and email, demanding that they pay the request in a few days, along with interest and fees.
   ‍
2. Bad debtors registration: Our Spanish team may also report the debtor to the official Spanish bad debtors database: "ASNEF.
   Companies on this database often have hard time finding new trading partners or building new partnerships.
   Furthermore, businesses on this register also find it hard to receive further funding.
   This is an useful way of putting more pressure as the client undoubtedly wants to avoid that.

2. Legal Debt Collection Process in Spain

If your debtor fails to pay after the extrajudicial process, we can go to trial after a consultation with you. You will always be provided with details about the financial costs in anticipation and we will only pursue with your consent.  

Spain has many methods for suing a debtor.

Throughout the legal step we have the following options for exact settlement, based on the type and nature of the claim:

• Order for payment proceedings in Spain, named “Proceso monitorio”
  A petition is submitted to the Court in a request for payment process which delivers an injunction to the debtor. Next, the debtor has only 20 days to reply. The debtor must either settle or file an appeal. If an appeal is lodged, the matter is referred immediately to ordinary civil proceedings. If the debtor fails to file a defence, the payment order can give way to a judgment relatively fast.
  ‍
• Summary proceedings in Spain, named “Juicio verbal ” for claims up to €6,000.00 Euros
  A writ of summons will be sent to the court in a summary proceeding and a complaint may be lodged by the debtor.
  Normally, the judge must take a decision on document, but the participants may also demand a hearing.
  ‍
• Ordinary civil proceedings in Spain, named “ Juicio ordinario ” for claims over €6,000.00 Euros
  Ordinary civil proceedings are lengthy for cases in excess of € 6,000 and can be tedious (on median, one to two years). The claimant again files his summons writ and the debtor will file a defense. Normally, there is a pre-hearing to determine the details, evidence and witnesses and then a date is set for the hearing.
  ‍
• Using the "Juicio cambiario ”
  If your file is centered on a bounced cheque or bill of exchange, then a distinct legal process is in place in Spain. On the basis of these exchange bills or cheques, the Court shall order the debtor to make payment within ten days. At the same time, the Court may enforce a seizure of prejudice on goods pertaining to the debtor.

European order for payment proceedings in Spain

In the case of an uncontested dispute involving two parties located in EU Member States (except Denmark),

European Order for Payment proceedings may be launched.

The counsel who handles your cases will decide if this form of action is appropriate in your case.

The creditor typically fills out a specific form for European Order for Payment procedures and sends this to the Court.

Then the Court issues a European Transaction Order.

The debtor will then have 30 days to decide if they disagree to the request. If no reaction is received within the 30-day period, you can request the Court to finalize the payment injunction (called a "declaration of enforceability").

This decision is true and enforceable and is recognized in any Member State (except Denmark). The European Payment Order is never acceptable for contested matters (so not in situations where there is a disagreement over the invoice).

The benefit of this process is simplicity and low cost (some Member States don't even demand a filing fee), but the drawback is that if it gets challenged, the case stops, and if the claimant wishes to continue, an ordinary civil procedure will need to be launched