Debt collection in Potugal, is a procedure that shares many similarities with other jurisdictions, such as Italy and Spain. However, it also diverges from procedures in other jurisdictions.
Concerning cross-border debt collection, our experienced debt collection lawyers provide comprehensive legal advice spanning multiple jurisdictions.
Commonly found trading terms in Portugal typically stipulate payment of invoices within a 30-day period. Outstanding invoices exceeding this timeframe can be pursued through either the court system or negotiation via alternative dispute resolution (ADR) methods.
Our debt collection team possesses extensive experience in achieving settlements through ADR. Initially, our lawyers endeavor to resolve issues through mediation, where both parties discuss their positions in the presence of an impartial mediator. This process aims to maintain calmness and facilitate a mutually agreeable settlement.
Arbitration is another ADR option, a more formal procedure overseen by an arbitrator empowered to make legally binding decisions after hearing arguments from both sides. ADR proceedings are conducted privately and often lead to swifter and more cost-effective resolutions than court litigation. Additionally, negotiated settlements can preserve business relationships between parties.
If the ADR options presented are unsuccessful, our Portuguese debt collection lawyers assess the financial strength of the debtor to determine the viability of pursuing legal action. After evaluating factors such as the ease of enforcing court orders in the debtor’s jurisdiction, we advise on the most suitable jurisdiction for the case.
Our lawyers vigorously advocate for payment of outstanding invoices and, when necessary, take measures to seize debtor assets to satisfy the debt.
For more information, contact us.