Efficient management of receivables is essential for every company operating on the European market. When business partners delay or refuse payment, commercial relationships are put at risk, and financial stability may be undermined. In such cases, understanding the guidelines for debt collection in Romania is vital for both local enterprises and foreign investors trading with Romanian companies.
Legal Framework
Commercial debt collection in Romania is primarily governed by the Civil Code and the Civil Procedure Code, supplemented by European Union directives on late payments. Romania has fully implemented Directive 2011/7/EU, which sets out rules on combating late payment in commercial transactions. This framework ensures that creditors are entitled not only to the principal debt but also to statutory interest and compensation for recovery costs.
Amicable Collection – The First Step
Before taking legal action, companies are encouraged to seek an amicable settlement. Amicable debt collection in Romania involves sending reminders, negotiating payment schedules, and sometimes applying contractual penalties. Creditors should always issue formal notices (somații) to prove they have attempted to resolve the matter out of court. This approach is often faster, less costly, and helps preserve business relationships.
Judicial Debt Recovery
If amicable solutions fail, the creditor may resort to court proceedings. Romanian law offers two efficient procedures for uncontested claims:
- Payment Ordinance (Ordonanța de plată): A simplified mechanism for clear, liquid, and due debts. Courts issue enforceable titles within a relatively short timeframe.
- Small Claims Procedure: Applicable for debts up to EUR 10,000, designed to be faster and less formalistic.
For contested or complex claims, standard litigation remains an option. Once a judgment is obtained, creditors may proceed with enforcement through judicial bailiffs (executori judecătorești).
Enforcement Measures
Enforcement in Romania is handled by bailiffs under court supervision. Measures may include garnishment of bank accounts, seizure of movable or immovable assets, or foreclosure. Creditors must submit an enforceable title, such as a court judgment, arbitral award, or authentic notarial deed. The bailiff initiates the procedure by notifying the debtor and freezing assets.
Insolvency Proceedings
When the debtor is insolvent, creditors may file a petition to open insolvency proceedings. Romanian insolvency law provides a framework for restructuring or liquidation. While this may not guarantee full recovery, it often ensures more equitable distribution among creditors and may lead to partial repayment through reorganization plans.
Interest and Recovery Costs
According to Romanian law, creditors are entitled to legal interest from the day following the due date. If the parties have not agreed on a contractual interest rate, statutory interest applies. Additionally, creditors can claim a fixed minimum compensation of EUR 40 for recovery costs, plus reasonable expenses incurred during collection.
Role of Professional Agencies and Lawyers
Many businesses, especially foreign companies, prefer to work with specialized agencies or law firms experienced in debt collection in Romania. Professionals ensure compliance with local procedures, minimize risks, and maximize recovery chances. Engaging legal experts is particularly advisable when dealing with cross-border disputes, complex contracts, or high-value claims.
Practical Recommendations
- Always draft clear contracts with payment deadlines and penalties.
- Maintain thorough documentation of invoices, delivery notes, and correspondence.
- Act quickly when payments are delayed – time is crucial in collection matters.
- Use amicable approaches first but be prepared to escalate legally if necessary.
- Seek professional support for efficient and lawful recovery.
Conclusion
Commercial debt collection in Romania is structured, transparent, and aligned with European standards. Creditors benefit from multiple tools, from amicable negotiation to judicial enforcement and insolvency proceedings. By understanding the legal framework and following best practices, businesses can secure their receivables while maintaining professional relationships in the Romanian market.
