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Debt recovery Our orientation toward the business sector is reflected in our extensive department for judicial debt recovery.
Contact us for further information.
Handing over of the case When sending the case to debt recovery a copy of all relevant letters concerning the demand should be enclosed:
Case, course of events The case is prepared and the same day a debt recovery letter to the debtor is dispatched with a statement of the arrears outstanding. Furthermore, together with the debt recovery letter a voluntary settlement is enclosed, in which the debtor is urged to recognise the debt and possibly enter into a repayment order for settlement hereof. The undersigned voluntary settlement can readily be used as a basis for the demand in a possible hearing in the bailiff’s court.
If the debtor does not react to the debt recovery letter, the case will either be continued with the preparation of a payment order or taking out a summons at the relevant city court.
The payment order procedure is a simplified debt recovery procedure, which can be used as an alternative to a summons, provided that the demand is undisputed by the debtor and the principal does not exceed DKK 50.000,00.
Should the debtor contest the demand, the case will continue immediately on taking out a summons with a view to obtaining a ruling for the demand.
Should the debtor not continue to pay, the case will continue to the bailiff’s court.
For payment orders the debt recovery department will monitor the course of the payment order and any sent reminder letters to the debtor if any repayments remain outstanding.
Should you have any questions on the above or require our assistance for implementation of debt recovery cases, you are welcome to apply to our debt recovery department via e-mail: inkasso@dklaw.dk
Procedures for debt cases
Debt warning
In order for a case to be handed over to actual debt collection a so-called warning of debt collection must be issued to the debtor with a deadline of 10 days for payment. The warning of debt collection is issued in the last dispatched reminder letter before handing over to debt collection and may possibly be formulated as follows:
“If the amount owed is not paid within 10 days from the date, the case will be turned over to legal debt collection without further warning. With the handing over of the case to debt collection further costs shall be paid by you.”
If the creditor refrains from giving warning of debt collection with a 10-day payment deadline, the debt collection case will commence with the dispatch of a general reminder letter with correct warning of debt collection. If the debtor pays within the deadline, the creditor will be forced to pay for the handling of the case, without the debtor being charged for this.
If, however, a warning of debt collection has already been issued by the creditor, the debt recovery case could be commenced with a decided warning of debt collection, where, in principle, the debtor must bear the expense of all the costs of the case.
Debt recovery fee
Furthermore, on handing over of the case to debt recovery DKK 100.00 can be charged as a debt recovery fee to cover the creditor’s expenses in connection with delivery of the case files to a lawyer.
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