Globalization and the development of international trade call for solutions that simplify contractual relations. The European Union seeks to harmonize legislation to facilitate debt recovery between Member States and accelerate payments in B2B relationships (e.g. Directive 2011\/7\/EU on combating late payment in commercial transactions, transposed by Law no. 72\/2013).<\/p>\n\n\n\n
For any seller of goods, being paid on time is crucial. Lack of liquidity caused by payment delays can threaten the survival of the business. Recovering debts through courts can be a cumbersome process for an exporter. That is why domestic trade is often safer, while expansion beyond borders includes added risk. It is much harder to navigate a foreign legal and economic environment\u2014with different language, currency, business practices, and legislation.<\/p>\n\n\n\n
For exporters of goods to Romania, one solution against non-payers is debt recovery in Romania through Romanian lawyers specialized in such matters. It is certainly a more efficient and less costly solution than trying to recover debts using one’s own resources or via lawyers in the exporter\u2019s home country.<\/p>\n\n\n\n
Regulation No. 1215\/2012<\/strong> on jurisdiction, recognition and enforcement of judgments in civil and commercial matters sets the conditions under which a trader from one Member State or a third country may recover debts in Romania.<\/p>\n\n\n\n A foreign exporter can generally recover debts in Romania only from debtors domiciled or with registered office in Romania, regardless of nationality, because the rule is that any person may be sued in the courts of the Member State in which they are domiciled or have their seat. Exceptions to this rule are expressly listed in the regulation and must be strictly interpreted.<\/p>\n\n\n\n In contractual matters, a debtor in a Member State may be sued in the courts of the place of performance of the obligation (which\u2014unless otherwise agreed\u2014is where the goods were delivered or services rendered). Also, someone may be sued in the courts of the address of another debtor when a creditor has multiple debtors, provided there is a close connection between the claims so that it is expedient for them to be tried together.<\/p>\n\n\n\n Parties may enter an exclusive jurisdiction clause<\/strong>, in which case jurisdiction belongs to the chosen court. Such an agreement must be in writing or confirmed in writing, or follow practices\/customs between the parties, or use an electronic means providing durable proof.<\/p>\n\n\n\n Another aspect is choosing the applicable law<\/strong>. Regulation No. 593\/2008<\/strong> on the law governing contractual obligations provides that parties may choose the applicable law. In absence of such choice, the regulation provides default rules: for sale contracts, the law of the seller\u2019s habitual residence; for service contracts, law of the provider\u2019s habitual residence.<\/p>\n\n\n\n For exporters, it is advisable to choose a governing law favorable to debt recovery in Romania. In principle, the exporter\u2019s interest is to attribute jurisdiction to courts in their home state and choose the same criterion for determining applicable law. If no such clauses are agreed, the law of a foreign country (e.g. the importer\u2019s place) may apply, meaning the foreign court may have to apply foreign law. That last scenario is less desirable.<\/p>\n\n\n\n Although there is a general trend of harmonization among Member States, differences in substantive contract law remain. Therefore, choosing the most convenient law is preferable. Litigation in Romania and Romanian contract law present certain benefits that may attract exporters targeting Romania.<\/p>\n\n\n\n In the Romanian judicial system, court costs can be fully recovered. The party who wins may request that the debtor be ordered to pay all court costs in their favor. Court costs include stamp duty, attorney\u2019s fees, expert fees, and other litigation-related expenses.<\/p>\n\n\n\n Stamp duty in actions for monetary claims is calculated progressively relative to the claim\u2019s value. For example: stamp duty is 2,105 RON<\/strong> for a claim of 50,000 RON (about \u20ac10,700), and 8,605 RON<\/strong> for a claim of 500,000 RON (about \u20ac107,000).<\/p>\n\n\n\n To recover debts in Romania, the claimant does not<\/strong> need to pay a security (cau\u021biune). A security may be required only when asking for provisional execution of a decision that is not automatically enforceable at first instance, or when seeking interim measures, to ensure creditor\u2019s protection.<\/p>\n\n\n\n The Romanian system also allows recovery through simplified and accelerated procedures<\/strong> relying almost exclusively on documents as means of proof (contracts, invoices, receipts, correspondence). These procedures often carry lower stamp duties, faster times for obtaining a judgment, enforceability of first-instance rulings, and full recovery of court costs.<\/p>\n\n\n\n For debt recovery where the amount does not exceed 10,000 RON<\/strong> (approx. \u20ac2,150), one can use the small-value claims procedure<\/strong>. Here, stamp duty is 50 RON<\/strong> for amounts under 2,000 RON, and 200 RON<\/strong> for claims between 2,000 and 10,000 RON. The procedure can conclude in as little as 2 months, and the first-instance ruling is enforceable. Typically, this procedure proceeds in absence of parties<\/strong> (no hearing), so it minimizes legal costs (attorney, travel, etc.).<\/p>\n\n\n\n Another simplified procedure is the order for payment<\/strong>. It relies entirely on documents as evidence. It can be used for any monetary claim (regardless of size) and proceeds quickly\u2014potentially concluding within 45 days after filing. Stamp duty is 200 RON<\/strong> regardless of claim value, assuming the legal situation is clear and no expert or witnesses are needed. The first-degree ruling is enforceable immediately.<\/p>\n\n\n\n In addition to these two domestic simplified procedures, in cross-border disputes creditors may use European Small Claims Regulation (Reg. 861\/2007)<\/strong> or European Payment Order (Reg. 1896\/2006)<\/strong>. These provide streamlined procedures across EU states, so a seller in one Member State may pursue a debtor in another under these regimes.<\/p>\n\n\n\n For monetary claims, Romanian law allows the claimant to demand penal legal interest<\/strong> (late payment interest) even if no contractual clause provides for penalties. In B2B relationships, this equals BNR reference rate + 8 percentage points<\/strong>. In cross-border legal relations (when Romanian law applies and payment is in foreign currency), legal interest is 6% per year<\/strong>.<\/p>\n\n\n\n Legal interest is owed by default<\/strong> from the due date of the obligation until full payment, for each day of delay. Once nonpayment of principal is proven, the court will award legal interest automatically\u2014as long as it is claimed. If a contractual penalty interest clause exists, it may replace or supplement the legal interest.<\/p>\n\n\n\n Besides interest, the creditor may request indexation for inflation<\/strong> to preserve the claim\u2019s real value. Both interest and inflation adjustment over the same period may be cumulatively awarded, as confirmed by the High Court (Decision no. 4426\/2013). If the owed payment is in a foreign currency, the court orders payment in RON, at the BNR exchange rate at the actual date of payment.<\/p>\n\n\n\n The creditor has a 3-year prescription term<\/strong> from the due date of the obligation to initiate legal recovery. However, the Romanian court cannot invoke prescription ex officio<\/strong>\u2014the debtor must raise it in their defense (in the answer or at the first hearing). In other words, a prescribed claim may still be enforced if the debtor fails to invoke prescription timely.<\/p>\n\n\n\n Because prescription is not mandatory (not public order), the parties may contractually extend it up to 10 years<\/strong> in Romania. A prudent seller may include a clause in the contract extending the prescription period. But it is still advisable to start recovery within 30 days of due date\u2014delays reduce recovery prospects.<\/p>\n\n\n\n As a rule, debt recovery begins extrajudicially<\/strong> with a written notice requesting voluntary payment within a short term. It is recommended to send no more than two notices<\/strong> before initiating a lawsuit\u2014further reminders may be futile.<\/p>\n\n\n\n Thereafter, the exporter may engage a Romanian lawyer to send a formal notice on their behalf. In Romania, such a preliminary notice is optional<\/strong> in B2B debt actions\u2014once the obligation matures, the debtor is presumed in delay by law (int\u00e2rziere de drept).<\/p>\n\n\n\n The notice need not include all supporting documents. Its costs may be claimed later in court.<\/p>\n\n\n\n An amicable resolution<\/strong> is always preferable.<\/p>\n\n\n\n If a debtor has liquidity issues, the parties may negotiate a payment schedule<\/strong>. That agreement must be notarized to become an enforceable title<\/strong> lacking the need for court enforcement. Such an agreement may set additional guarantees (real or personal).<\/p>\n\n\n\n A Romanian company may represent itself through its legally empowered administrators or through a lawyer. In no case may one company represent another in court, even via its lawyer, unless a direct legal mandate (contract of legal assistance) exists between creditor company and lawyer. Therefore, if debtors are in Romania, it\u2019s generally not advised to use a foreign debt-collection firm; better to work with a specialized Romanian lawyer, who usually offers more predictable and lower-cost services.<\/p>\n\n\n\n To recover a monetary claim, you typically need:<\/p>\n\n\n\n Even absent a written contract, obligations may be proved by correspondence, invoices, acceptance reports, etc. The precise proof depends on the chosen procedure. A lawyer will recommend the appropriate pathway given contract specifics and circumstances.<\/p>\n\n\n\n All documents submitted must be in Romanian\u2014or, if in foreign language, submitted with certified translation.<\/p>\n\n\n\n In Romanian law, the general principle is double instance<\/strong>: a first instance judgment cannot be enforced until appeals are exhausted or the appeal period expires. Exception<\/strong>: simplified procedures (small claims, order for payment) allow immediate enforceability of first-instance rulings.<\/p>\n\n\n\n Enforcement is carried out by a judicial executor<\/strong>. The creditor advances the executor\u2019s fees and later collects them from the debtor along with the principal sum.<\/p>\n\n\n\n Once an enforcement request is filed, the court grants enforcement, the debtor is summoned to pay, and if unpaid, garnishment of bank accounts or public sale of assets (movable or immovable) follows.<\/p>\n\n\n\n A Romanian court judgment is recognized in all EU Member States (except Denmark) and may be enforced abroad with minimal formalities. Thus, a creditor with a judgment in one Member State can enforce it in another Member State where the debtor owns assets.<\/p>\n","protected":false},"excerpt":{"rendered":" Globalization and the development of international trade call for solutions that simplify contractual relations. The European Union seeks to harmonize legislation to facilitate debt recovery between Member States and accelerate payments in B2B relationships (e.g. Directive 2011\/7\/EU on combating late payment in commercial transactions, transposed by Law no. 72\/2013). For any seller of goods, being … <\/p>\n
\n\n\n\nCourt Costs<\/h2>\n\n\n\n
\n\n\n\nSmall-Value Claims Procedure<\/h2>\n\n\n\n
\n\n\n\nOrder for Payment (Ordonan\u021ba de Plat\u0103)<\/h2>\n\n\n\n
\n\n\n\nFull Compensation of Loss Even Without a Contract Clause<\/h2>\n\n\n\n
\n\n\n\nGeneral Prescription Period: 3 Years<\/h2>\n\n\n\n
\n\n\n\nNotifying the Debtor Before Lawsuit<\/h2>\n\n\n\n
\n\n\n\nAmicable Settlement<\/h2>\n\n\n\n
\n\n\n\nRepresentation in Court<\/h2>\n\n\n\n
\n\n\n\nDocuments Required for Court Proceedings in Romania<\/h2>\n\n\n\n
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\n\n\n\nEnforcement of the Judgment<\/h2>\n\n\n\n