Regional Court in Hradec Králové issues first European order for payment on 10 June 2009 upon application by KSB01/07/09 / News

Regulation (EC) No 1896/2006 of the European Parliament and of the Council of 12 December 2006 creating a European order for payment procedure took force and effect on 12 December 2008. The Regulation is directly applicable in all Member States with the exception of Denmark and helps creditors swiftly and efficiently recover their outstanding debts in civil and commercial matters having cross-borders implications through a uniform procedure using standard forms.

The procedure established by the Regulation serves as an additional and optional means for the claimants to enforce outstanding debts in cross-border civil and commercial matters. The claimants still remain free to resort to a procedure provided for by national law, according to which, however, a payment order cannot be issued to be delivered to the debtor in a foreign country. A European order for payment issued in one Member State which has become enforceable should be regarded for the purposes of enforcement as if it had been issued in the Member State in which the enforcement is sought. In other words, the enforcement of a European order for payment is governed by law of the Member State upon the same terms and conditions as the enforcement of a decision issued in this Member State without the claimant first having to go through the special procedure on the acknowledgement thereof.

The procedure to issue the European order for payment takes place in writing and is based to the largest extent possible on the use of standard forms set out in the Regulation. If the claimant complies with all requirements of the application and their claim appears to be legitimate, the court shall issue the European order for payment usually within 30 days after the application for the European order for payment is lodged. The defendant may oppose the European order for payment. Where a statement of opposition is lodged, also within 30 days of service of the order, the proceedings shall be terminated on the European level and continue before the competent courts of the Member State of origin in accordance with the rules of ordinary civil procedure unless the claimant has explicitly requested the proceedings be terminated in that event.