Late paying client based in Europe: does the legislation apply?

Hello Darren
The legislation is an EU directive so it does apply to the Netherlands. Here is a list of European Countries that have adopted the current legislation .
Your second question may depend on a number of factors and would be better answered by somebody with good knowledge of dealing with claims against Dutch companies.

Regards

David

Hello Darren

The legislation stipulates a default of 30 days IF no terms of payment have been agreed. This is to allow business to set their own terms outside of the framework of the legislation. Whether you agreed to 60 days or not may depend on who's terms were the last 'on the table'. Yours or theirs. Did you know their terms were 60 days?

This is why it is important to agree amicable terms before committing to supplying goods or services.

So the legislation does have the legs. It just depends on your agreement. If it is late after 60 days, then you can still use the legislation.

You are right to call and reach a mutual compromise. That will be far better than going down any legal route at this stage. That may keep the business relationship intact but you will be in a better position to negotiate payment terms that suit you rather than them!

Regards

David

Your not wrong on any point. If you had the taste for it, you could insist on 30 days payment as no terms were agreed but it would probably drag things out further and just take up a lot of your time being frustrated. Best to learn and ensure that future terms of payment are agreed and signed 'up front'.

We are adding a Terms and Condition service to this site shortly.

I'm currently reviewing the recast EU directive that this government needs to implement on or before the 16th of March 2013 (I will be adding some articles about this shortly). Don't expect any massive changes though. If anything, we may see a reduction in the strength of the current legislation which is very worrying. A bit like a shark with no teeth... However there are some good areas to the recast such as 60 days max and adding recovery costs from instructing a solicitor or recovery agency into your claim for interest and compensation.

You have to ask the question though..If the government are so keen to help small businesses get paid on time as Mark Prisk keeps telling us they are, why have they sat on this recast Directive since Feb 2011 and will not implement any of it until the very last moment?

Regards

David