A Guide To Cross-Border Debt Collection In Italy

A reliable steady cash flow is essential for companies to enable the business to manage its running costs and other financial liabilities and allow the on-going development of the company through investment and also to be able to address the often unpredictable demands of the market. Late payments must be addressed as quickly as possible to limit the negative impact on the company.

A UK company doing business in Italy may have incorporated a jurisdiction clause to enable disputes, should one arise, to be litigated in England & Wales, which is one of the most popular jurisdiction and often selected as it is perceived to be unbiased and fair. However, an attempt a settlement by negotiation should always be attempted before litigation. Once an invoice has been exceeded a letter should be sent to the debtor clearly stating the invoice is outstanding and the date by which it should be paid. If your debtor ignores or disputes the invoice it is recommended that the next