International debt collection laws at a glance
Short answer: there is no single international debt collection law. When a business customer abroad does not pay, the contract's governing law decides the claim and the limitation period, the debtor's country decides who may collect and how, and EU rules or treaties such as the Lugano and Hague conventions decide whether a judgment can be enforced across the border.
This guide is for businesses collecting from other businesses. It follows the questions a creditor asks in order: which law applies, how long you have, what interest you can add, which court route fits and how a judgment is enforced where the debtor has assets. Consumer debt is a different legal world and is covered only in one short note below.
| Your question | The main rule | Read more |
|---|---|---|
| Which country's law applies? | The law chosen in the contract. Without a choice, inside the EU the law of the seller's or service provider's country (Rome I, article 4) | Governing law and court |
| How long do I have? | The limitation period of the law that governs the contract, for example 3 years in Germany, 6 years in England and Wales and 10 years in Italy | Limitation periods |
| Can I add interest? | In the EU, the reference rate plus at least 8 percentage points and at least €40 per invoice; in the UK, Bank Rate plus 8% and a fixed sum of £40 to £100 | Interest and compensation |
| Which court route? | Pre-legal collection first; then a European payment order, the European Small Claims Procedure or a national court | Court routes |
| Can a judgment be enforced abroad? | Yes inside the EU without exequatur (Brussels Ia); with Switzerland, Norway and Iceland under Lugano; with the UK and others under the 2019 Hague Convention; elsewhere under national law | Enforcement abroad |
| Who may collect? | Set by the debtor's country: some require a licence or registration for collection agencies, also for business claims | Debt collection regulations |
Local law decides how collection works. We match your claim to a licensed partner in the debtor's country, under one agreement.
- No upfront cost
- A licensed local partner in the debtor's country
- Legal action only if you accept a quote
Which country's law applies to a cross-border invoice
Two separate questions decide a cross-border claim: which country's law governs the contract, and which country's courts can hear the case. A well-drafted contract answers both. Without it, private international law fills the gap.
The law that governs the contract
Inside the EU, the Rome I Regulation applies. A contract is governed by the law the parties chose (article 3). Without a choice, a sale of goods is governed by the law of the country where the seller has its habitual residence, and a contract for services by the law of the country of the service provider (article 4(1)(a) and (b)). The same applicable law governs how the debt can be extinguished and the limitation period (article 12(1)(d)).
For a sale of goods between businesses in different countries, the UN Convention on Contracts for the International Sale of Goods (CISG) may apply on top of national law. It has 97 parties, including the United States, China and Germany, but not the United Kingdom. Parties can exclude it in the contract (article 6), so check your terms of sale.
The court that can hear the claim
Inside the EU, the Brussels Ia Regulation sets the rules. You can sue a business in the courts of the member state where it is domiciled (article 4). For a contract, you can also sue in the place of performance: where the goods were or should have been delivered, or where the services were provided (article 7(1)(b)). A choice of court clause generally decides the matter (article 25).
Outside the EU, an exclusive choice of court clause is backed by the 2005 Hague Choice of Court Convention between its contracting parties, which include the EU, the United Kingdom, Mexico, Singapore, Switzerland and Ukraine. The United States and China have signed it but not ratified it.
What to put in your contract
- A choice of law clause that names one country's law.
- A choice of court or arbitration clause that names where disputes go. An arbitral award can be enforced in the 172 states party to the New York Convention.
- Payment terms and late payment interest, so there is no doubt about the due date.
- A retention of title clause for goods.
Limitation periods: how long you have to act
A claim does not last forever. The limitation period comes from the law that governs the contract (Rome I, article 12(1)(d)), not from the court that hears the case. For a commercial invoice the period ranges widely:
- Germany: 3 years, counted from the end of the year in which the claim arose and the creditor learned of it (BGB §195 and §199).
- France: 5 years for obligations between merchants (Code de commerce, art. L110-4).
- England and Wales: 6 years from the date the cause of action accrued (Limitation Act 1980, s.5). Scotland: 5 years (Prescription and Limitation (Scotland) Act 1973, s.6).
- United States: set by each state. For sales of goods the Uniform Commercial Code sets 4 years, which the parties can reduce to not less than one year (UCC §2-725); New York allows 6 years for contract claims (CPLR §213).
- Italy, Sweden and Switzerland: 10 years as the general rule, with shorter periods for some claims (see the country table).
In many countries an acknowledgment or a part payment restarts the period, and court action pauses or interrupts it. In England and Wales, for example, the right accrues again on the date of a written acknowledgment or a payment (Limitation Act 1980, s.29). Act well before the deadline: the full country list, with what restarts the clock, is in our guide to limitation periods for commercial debt.
Late payment interest and compensation
In the EU, the rules on late payment between businesses come from the Late Payment Directive (Directive 2011/7/EU). It is a directive, not a regulation: it does not apply directly, and each member state has written it into its own law. The national law can be more generous than the directive, but not less.
- Statutory interest at the reference rate plus at least 8 percentage points (article 2(6)), from the day after the due date and without a reminder.
- A fixed compensation of at least €40 per late invoice for your recovery costs, plus reasonable costs above that (article 6).
- Payment terms of 60 days at most between businesses, unless expressly agreed and not grossly unfair to the creditor (article 3(5)); 30 days as the rule for public authorities.
In the euro area the B2B rate from 1 July 2026 is 10.40% in countries that use the ECB rate plus 8 points, such as Spain, Italy and the Netherlands. Germany adds 9 points to its base rate (10.52%, BGB §288(2)), and France applies the ECB rate plus 10 points unless the terms of sale set another rate (Service Public).
In the UK, the Late Payment of Commercial Debts (Interest) Act 1998 gives statutory interest at the Bank of England rate plus 8% (rate order 2002), which is 11.75% from 1 July 2026 with Bank Rate at 3.75% (Bank of England), and a fixed sum of £40 for debts under £1,000, £70 for debts under £10,000 and £100 above that (section 5A).
The United States has no federal statutory interest rate for late B2B invoices: the contract and the law of the relevant state decide. Rates for every EU country, Norway, Switzerland and the UK, with a calculator, are in our guide to late payment interest and compensation.
Court routes for a cross-border claim
Most unpaid invoices are settled before any court is involved: a demand from a local collector, in the debtor's language and under the debtor's law, is often enough. When it is not, the route depends on where the debtor is and whether the claim is disputed.
| Route | Best for | Key limits |
|---|---|---|
| Pre-legal collection by a local partner | Undisputed invoices of any size, in any country | The debtor can still refuse to pay or dispute the claim |
| European payment order (Regulation 1896/2006) | Undisputed money claims against a debtor in another EU country | No amount limit; the debtor has 30 days from service to oppose, without giving reasons (article 16); Denmark does not take part |
| European Small Claims Procedure (Regulation 861/2007) | Cross-border claims up to €5,000, including disputed ones | The €5,000 ceiling excludes interest and costs (article 2(1)); Denmark does not take part |
| National court in the debtor's country | Larger or disputed claims, and debtors outside the EU | Local procedure, language and usually a local lawyer |
| Arbitration | Contracts with an arbitration clause | Awards are enforceable in the 172 states party to the New York Convention |
An uncontested EU judgment can also be certified as a European Enforcement Order (Regulation 805/2004), and a European Account Preservation Order (Regulation 655/2014) can freeze a debtor's bank account in another member state while the claim runs. Step by step help for the most used route is in our guide to the European payment order, and the first step is often a clear demand letter.
Enforcing a judgment abroad
A judgment is only worth something where the debtor has assets. Whether a court decision from one country can be enforced in another depends on the two countries involved:
| Judgment from | Debtor's assets in | Main regime |
|---|---|---|
| An EU country | Another EU country | Brussels Ia: enforceable without a declaration of enforceability (article 39); you need the judgment and the certificate under article 53 |
| An EU country | Switzerland, Norway or Iceland (and the reverse) | Lugano Convention 2007: a declaration of enforceability in the country of enforcement |
| The UK (proceedings started from 1 July 2025) | An EU country (not Denmark), Ukraine, Uruguay and other parties | 2019 Hague Judgments Convention |
| Any country | The United States | The law of the US state where the assets are; there is no judgment treaty (U.S. Department of State) |
| Any country | A country with no treaty with the judgment's country | The national law of that country, sometimes a new claim on the judgment |
The 2019 Hague Judgments Convention has been in force for the EU (except Denmark) and Ukraine since 1 September 2023, for Uruguay since 1 October 2024, for the United Kingdom since 1 July 2025, and for Albania and Montenegro since 1 March 2026 (HCCH status table). The United States signed it on 2 March 2022 but has not ratified it, and China is not a party.
Enforcement abroad costs time and local fees, so check first that the debtor has assets worth reaching. The full decision table, with the UK after Brexit and the US, is in our guide to enforcing a judgment abroad.
Debt collection regulations: who may collect and how
Debt collection regulations are set country by country, and they apply where the debtor is. That is why a creditor collecting abroad works through a collector in the debtor's country rather than calling or writing from home under its own rules.
- Licensing and registration. Many countries regulate who may collect debts for others, and some rules cover business claims too. In Germany, a company that provides debt collection services must be registered with the Federal Office of Justice (RDG §10(1) no. 1). In the US state of Florida, a commercial collection agency must register before doing business in the state (Florida Statutes §559.544).
- Data protection. In the EU, the GDPR applies whenever a claim involves personal data, for example when the debtor is a sole trader or when you write to a named contact person.
- Fair practice. Local rules set what a collector may charge the debtor, how often it may contact them and what a demand letter must contain. Your collector should know them.
Does the FDCPA apply to business debts?
No. The US Fair Debt Collection Practices Act defines a debt as an obligation of a consumer from a transaction primarily for personal, family or household purposes (15 U.S.C. §1692a(5)). A claim on a business falls outside it. State licensing rules and the general law of contract still apply to business claims. If you are an individual contacted about a personal debt, the Consumer Financial Protection Bureau explains your rights.
International debt collection laws by country
The table compares the rules that matter most for a B2B claim in 35 countries, grouped by region. Interest rates change, usually every six months, so each fact links to the source we checked, with the date. Each country name links to our country page.
Europe (21 countries)
| Country | Limitation period | Statutory B2B late payment interest | Fast court route | Enforcing a foreign judgment |
|---|---|---|---|---|
| Austria | 3 years (trade claims)ABGB §1486 and §1478 (RIS, Federal Legal Information System), checked 3 Nov 2026 | Base rate plus 9.2 points; 10.73% for July to December 2026; compensation EUR 40UGB §456 (RIS), checked 3 Nov 2026 UGB §458 (RIS), checked 3 Nov 2026 | Mahnverfahren up to EUR 75,000; 4 weeksZPO §244 and §248 (RIS), checked 3 Nov 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 21 Jul 2026 |
| Belgium | 10 yearsConstitutional Court arrêt 164/2014 quoting art. 2262bis, checked 21 Jul 2026 | Not yet verified | Injonction de payer up to EUR 1,860Belgian courts portal; Code judiciaire, checked 21 Jul 2026 | Not yet verified |
| Cyprus | 6 yearsLaw 66(I)/2012 s.7 (CyLaw, Greek text), checked 3 Nov 2026 | Not yet verified | Not yet verified | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 21 Jul 2026 |
| Czechia | 3 years (10-year long-stop)Civil Code 89/2012 Coll. §629 and §619 (e-Sbírka), checked 3 Nov 2026 | CNB repo rate plus 8 points; about 11.75% for July to December 2026ČNB repo rate history; Gov. Reg. 351/2013, checked 15 Sep 2026 | Platební rozkaz; 15 daysCivil Procedure Code 99/1963 Coll. §§172-174 (e-Sbírka), checked 3 Nov 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 15 Sep 2026 |
| Denmark | 3 yearsForældelsesloven §3 (retsinformation.dk), checked 2 Nov 2026 | Lending rate plus 8 points; 10.00% for July to December 2026Renteloven LBK nr. 459 af 13/05/2014 §5, checked 2 Nov 2026 | Betalingspåkrav up to DKK 100,000; 14 daysDanmarks Domstole, guidance on betalingspåkrav, checked 2 Nov 2026 | Not yet verified |
| France | 5 years (2 years B2C)Code civil art. 2224; Code de la consommation L218-2, checked 17 Sep 2026 | ECB rate plus 10 points; 12.40% for July to December 2026; compensation EUR 40 per invoiceCode de commerce art. L441-10, checked 2 Nov 2026 | Injonction de payer; 1 month to opposeDécret n° 2026-96; CPC arts. 1411, 1416; Infogreffe, checked 17 Sep 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 17 Sep 2026 |
| Germany | 3 years from end of yearBGB §195, §199 (gesetze-im-internet.de), checked 21 Jul 2026 | Base rate plus 9 points; 10.52% for July to December 2026; compensation EUR 40BGB §288(2) (gesetze-im-internet.de), checked 2 Nov 2026 | Mahnverfahren; 2 weeks to objectZPO §§688-703d (gesetze-im-internet.de), checked 21 Jul 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 8 Jul 2026 |
| Greece | Not yet verified | Not yet verified | Diatagi pliromis; 15 working dayse-Justice; CCP arts. 623-634, checked 21 Jul 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 8 Jul 2026 |
| Hungary | Not yet verified | Not yet verified | Order for payment (FMH) through notariesMOKK, checked 21 Jul 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 21 Jul 2026 |
| Ireland | 6 yearsStatute of Limitations 1957 s.11, checked 21 Jul 2026 | ECB rate plus 8 points; 10.40% for July to December 2026; compensation EUR 40, 70, 100S.I. No. 580/2012, checked 2 Nov 2026 | Not yet verified | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 21 Jul 2026 |
| Italy | 10 yearsCodice Civile art. 2946 (RGS/MEF official text), checked 19 Aug 2026 | ECB rate plus 8 points; 10.40% for July to December 2026MEF Comunicato, Gazzetta Ufficiale n. 163, 16 Jul 2026, checked 2 Nov 2026 | Decreto ingiuntivo; about 40 dayse-Justice, order for payment procedures, Italy, checked 19 Aug 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 19 Aug 2026 |
| Netherlands | 5 years (contract claims)BW Book 3 (wetten.overheid.nl); e-Justice, checked 21 Jul 2026 | 10.4% from 1 Jul 2026; compensation WIK scale, minimum EUR 40rijksoverheid.nl, checked 2 Nov 2026 rijksoverheid.nl, checked 21 Jul 2026 | No domestic proceduree-Justice, EPO NL, checked 21 Jul 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 21 Jul 2026 |
| Norway | 3 yearsForeldelsesloven §2 (Lovdata), checked 17 Sep 2026 | 12.25% from 1 Jul 2026; compensation NOK 430Finanstilsynet, checked 17 Sep 2026 | Forliksrådet under NOK 200,000regjeringen.no, checked 17 Sep 2026 | Lugano Convention 2007EU e-Justice Portal; EUR-Lex, checked 17 Sep 2026 |
| Poland | 6 years; 3 years businessKodeks cywilny art. 118 (Dz.U. 2025 poz. 1071), checked 21 Jul 2026 | NBP reference rate plus 10 points; 13.75% for July to December 2026; compensation EUR 40, 70, 100Obwieszczenie Ministra Finansów i Gospodarki 22 Jun 2026 (MP 2026 poz. 642), checked 2 Nov 2026 biznes.gov.pl, checked 21 Jul 2026 | Nakaz zapłaty; 2 weeksKodeks postępowania cywilnego, checked 21 Jul 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 21 Jul 2026 |
| Portugal | 20 years (ordinary)Código Civil arts. 309-317 (pgdlisboa.pt), checked 17 Sep 2026 | 10.40% (for July to December 2026); compensation EUR 40Aviso n.º 16623/2026/2, DR 2.a série n.º 127 (3 Jul 2026), checked 17 Sep 2026 | Injunção; no value cap for B2BDL 269/98; DL 62/2013 art. 10.1, checked 17 Sep 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 21 Jul 2026 |
| Romania | 3 yearsCivil Code art. 2517 (Portal Legislativ, Ministry of Justice), checked 3 Nov 2026 | BNR reference rate plus 8 points; EUR 40OG 13/2011 art. 3(2^1) and Legea 72/2013 art. 10 (Portal Legislativ), checked 3 Nov 2026 | Ordonanța de plată; 10 days to apply for annulmentCode of Civil Procedure arts. 1014-1024 (Portal Legislativ), checked 3 Nov 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 3 Nov 2026 |
| Spain | 5 yearsCódigo Civil art. 1964 (BOE), checked 21 Jul 2026 | ECB rate plus 8 points; 10.40% for July to December 2026; compensation EUR 40BOE-A-2026-14327 (Resolución 30 Jun 2026), checked 2 Nov 2026 Ley 3/2004 (BOE), checked 21 Jul 2026 | Proceso monitorio, any amountLEC (Ley 1/2000) arts. 812-818 (BOE), checked 21 Jul 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 21 Jul 2026 |
| Sweden | 10 years (3 years consumer)Preskriptionslag (1981:130) §2 (riksdagen.se), checked 2 Nov 2026 | Riksbank reference rate plus 8 points; 10.00% for July to December 2026; compensation SEK 450Räntelag (1975:635) §§6, 9 (riksdagen.se), checked 3 Nov 2026 Inkassokostnadslag (1981:739) §4 a (riksdagen.se), checked 3 Nov 2026 | Betalningsföreläggande (Kronofogden)Kronofogden, checked 2 Nov 2026 | EU judgments: no exequaturEU e-Justice Portal; Reg. (EU) 1215/2012 (Brussels I bis), checked 2 Nov 2026 |
| Switzerland | 10 years (5 for periodic)OR Arts. 127-128 (fedlex.admin.ch), checked 21 Jul 2026 | 5% a yearOR Art. 104 (fedlex.admin.ch), checked 21 Jul 2026 | Betreibung, Zahlungsbefehl; 10 days to objectbetreibungsschalter.ch; SchKG, checked 21 Jul 2026 | Lugano Convention 2007Federal Office of Justice (bj.admin.ch), revised Lugano Convention, checked 21 Jul 2026 |
| Turkey | 10 years (5 for listed types)TBK (Law 6098) arts. 146-147, checked 19 Aug 2026 | TCMB advance rate; 39.75% for 2026Law 3095 art. 2; TCMB rediscount and advance rates, checked 19 Aug 2026 | İlamsız icra; 7 days to objectİcra ve İflas Kanunu (Law 2004), checked 19 Aug 2026 | Not yet verified |
| United Kingdom | 6 years (England and Wales); 5 years (Scotland)Limitation Act 1980 s.5; Prescription and Limitation (Scotland) Act 1973 s.6, checked 3 Nov 2026 | Bank Rate plus 8%; 11.75%; compensation GBP 40, 70, 100gov.uk, late commercial payments, checked 2 Nov 2026 gov.uk, claim debt recovery costs, checked 21 Jul 2026 | Money Claim Online up to GBP 99,999.99gov.uk, make a court claim for money, checked 21 Jul 2026 | Hague 2005 and Hague 2019HCCH news; gov.uk, checked 21 Jul 2026 |
Americas (4 countries)
| Country | Limitation period | Statutory B2B late payment interest | Fast court route | Enforcing a foreign judgment |
|---|---|---|---|---|
| Brazil | 5 years (debt instruments)Código Civil (Lei 10.406/2002) (planalto.gov.br), checked 19 Aug 2026 | Selic rate minus IPCA inflation, not below 0Lei 14.905/2024 (planalto.gov.br), checked 19 Aug 2026 | Not yet verified | STJ homologation requiredSuperior Tribunal de Justiça (stj.jus.br), checked 2 Nov 2026 |
| Canada | Ontario: 2 years from discovery (set by each province)Ontario Limitations Act, 2002, checked 21 Jul 2026 | No statutory B2B rate; 5% only where interest is agreed without a rateInterest Act (R.S.C. 1985, c. I-15), checked 3 Nov 2026 | Not yet verified | Not party to Hague 2005; provincial reciprocityOntario REJA; HCCH status table, checked 21 Jul 2026 |
| Mexico | 10 years (commercial)Código de Comercio (diputados.gob.mx), checked 21 Jul 2026 | 6% a year (commercial)Código de Comercio art. 362, checked 21 Jul 2026 | Juicio ejecutivo mercantilCódigo de Comercio arts. 1391-1396, checked 21 Jul 2026 | Not yet verified |
| United States | Set by each state; California 4 years on a written contractCalifornia CCP §337; Maryland Cts. & Jud. Proc. §5-101, checked 21 Jul 2026 | Not yet verified | Not yet verified | State law; Uniform Recognition ActWashington State Legislature, SB 5153 Final Bill Report (2009), checked 2 Nov 2026 |
Asia-Pacific (7 countries)
| Country | Limitation period | Statutory B2B late payment interest | Fast court route | Enforcing a foreign judgment |
|---|---|---|---|---|
| Australia | 6 years (NSW, Vic); 3 years (NT)NSW Limitation Act 1969 s.14; NT Limitation Act 1981 s.12 (AustLII), checked 21 Jul 2026 | No statutory rate; Federal Court interest 8.35% (for July to December 2026)Federal Court of Australia, Interest on judgments Practice Note (GPN-INT); RBA cash rate, checked 3 Nov 2026 | No payment order; default judgment after 28 days (NSW)NSW Local Court, statement of claim Form 3A (Uniform Civil Procedure Rules 2005), checked 3 Nov 2026 | Foreign Judgments Act 1991 (reciprocity)Federal Register of Legislation, checked 8 Jul 2026 |
| China | 3 yearsPRC Civil Code Art. 188 (gov.cn official translation), checked 19 Aug 2026 | Not yet verified | Payment order (zhifu ling); 15 days to objectSupreme People's Court, Civil Procedure Law (English), checked 19 Aug 2026 | Not yet verified |
| Hong Kong | 6 yearsLimitation Ordinance Cap. 347, checked 19 Aug 2026 | No statutory rate; judgment debts 8.000% from 1 Jul 2026Hong Kong Judiciary, Interest on Judgments, checked 19 Aug 2026 | Not yet verified | Cap. 319 (15 jurisdictions); Mainland Cap. 645Department of Justice, checked 19 Aug 2026 |
| India | 3 yearsLimitation Act 1963 Schedule (India Code), checked 17 Sep 2026 | MSMED: 3 times the RBI bank rateMSMED Act 2006 ss.15-16 (India Code), checked 17 Sep 2026 | Summary suit (Order XXXVII)Code of Civil Procedure 1908, Order XXXVII, checked 8 Jul 2026 | Reciprocating territory: direct executionCPC 1908 ss.13, 44A, checked 8 Jul 2026 |
| Indonesia | 30 years (general)KUHPerdata Art. 1967 (jdih.mahkamahagung.go.id), checked 19 Aug 2026 | Not yet verified | Not yet verified | Not enforced; re-litigateReglement op de Rechtsvordering Art. 436, checked 19 Aug 2026 |
| Japan | 5 years from awareness (10 years at most)Civil Code (Japanese Law Translation, official), checked 19 Aug 2026 | Not yet verified | Shiharai tokusoku; 2 weeks to objectSupreme Court of Japan (official), checked 19 Aug 2026 | Not yet verified |
| Singapore | 6 yearsLimitation Act 1959 (sso.agc.gov.sg), checked 21 Jul 2026 | None; court interest 5.33%Rules of Court 2021, O. 6 r. 6(7) (Singapore Statutes Online), checked 3 Nov 2026 | No payment order; judgment if no notice to contest in 14 daysRules of Court 2021, O. 6 r. 6 (Singapore Statutes Online), checked 3 Nov 2026 | Registration availablejudiciary.gov.sg, checked 21 Jul 2026 |
Middle East and Africa (3 countries)
| Country | Limitation period | Statutory B2B late payment interest | Fast court route | Enforcing a foreign judgment |
|---|---|---|---|---|
| Nigeria | 6 years (Lagos, FCT)Lagos Limitation Law; FCT Limitation Act, checked 19 Aug 2026 | Not yet verified | Not yet verified | Not yet verified |
| South Africa | 3 yearsPrescription Act 68 of 1969, checked 21 Jul 2026 | Prescribed rate 10.25% (from 1 Mar 2026)Notice 3887 of 2026, Government Gazette 54520 (gov.za), checked 3 Nov 2026 | No payment order; default judgment if no notice to defend in 10 daysMagistrates' Courts Rules 12 and 13 (GN R740, GG 33487; justice.gov.za), checked 3 Nov 2026 | Designated countries onlygov.za, checked 21 Jul 2026 |
| United Arab Emirates | 5 years (commercial)FDL 50/2022 Art. 92 (uaelegislation.gov.ae), checked 21 Jul 2026 | Capped at 9% a yearFDL 50/2022 Arts. 72, 76, checked 21 Jul 2026 | Order on petitionFDL 42/2022 (uaelegislation.gov.ae), checked 8 Jul 2026 | Not yet verified |
Each fact links to the source we checked, with the date (checked between 8 Jul 2026 and 3 Nov 2026). "Not yet verified" means we have not confirmed that rule against a source yet. General information, not legal advice.
A contract, a court or a local rule can change the result in a given case. Before you act on a deadline or a rate, confirm it with a local lawyer or your collection partner.
Country and state guides
Each country page covers the local process, the law and what collection costs there.
Regions
Key markets
Collecting in a US state
For a business debtor in the US, state law sets licensing, limitation periods and court rules. Each state page covers the local process.
How Debitura fits
Debitura is a debt collection platform, not a collection agency or a law firm. You submit the claim once, and we match it to a licensed collection partner in the debtor's country, who collects under local law and in the local language. Debitura covers 180 countries.
- No upfront cost. You pay a success fee only when money is recovered, and you see the fee and the partner before anything starts.
- Legal action only if you accept a quote. If the debtor does not pay, the partner can propose court action, and you decide.
- Measured speed. On European cases, the median time to first payment is 33 days and the median time to close is 44 days.
See how it works and pricing, or read more about B2B debt collection.
International debt collection laws FAQ
Is there one international debt collection law?
No. There is no single law. The contract's governing law decides the claim and the limitation period, the debtor's country sets the rules on who may collect and how, and EU rules or treaties decide whether a judgment from one country can be enforced in another.
Can debt be collected internationally?
Yes. A business debt can be collected from a customer in another country, usually first through a collector in the debtor's country and, if needed, through a court there or an EU procedure such as the European payment order. A judgment can be enforced across borders where EU law or a treaty such as the Lugano or Hague conventions applies.
Which country's law applies when a foreign company does not pay my invoice?
The law chosen in the contract. Without a choice, an EU court applies the law of the seller's country to a sale of goods and the law of the service provider's country to services (Rome I, article 4). For a sale of goods, the UN sales convention (CISG) may also apply unless the contract excludes it.
Which law governs collecting an unpaid invoice from a customer in Germany?
The claim itself follows the law of the contract, so a foreign seller without a choice of law clause usually keeps its own law. The collection steps in Germany follow German rules: debt collection services there require registration with the Federal Office of Justice, and a German court applies German procedure.
Does the FDCPA apply to business-to-business debts?
No. The FDCPA covers consumer debts, meaning obligations from transactions primarily for personal, family or household purposes (15 U.S.C. §1692a(5)). Debts between businesses fall outside it, although state licensing rules and contract law still apply.
How long do I have to collect a debt from a business abroad?
It depends on the law that governs the contract: for example 3 years in Germany, 5 years in France and Spain, 6 years in England and Wales and 10 years in Italy, Sweden and Switzerland. An old debt can be time barred, so act early and check what restarts the period.
Can I charge interest on a late invoice to a customer in another EU country?
Yes. Under the Late Payment Directive as applied in each member state, you can charge statutory interest at the reference rate plus at least 8 percentage points and a fixed compensation of at least €40 per invoice, from the day after the due date.
Is the EU Late Payment Directive a regulation?
No. Directive 2011/7/EU is a directive. It does not apply directly; each member state applies it through its own law, which is why the exact rate and compensation differ slightly from country to country.
Can a UK or US judgment be enforced in the EU?
A UK judgment in proceedings started from 1 July 2025 can be enforced in EU countries (except Denmark) under the 2019 Hague Judgments Convention. A US judgment depends on the national law of the EU country concerned, because the United States has signed but not ratified that convention.
Do I need a licensed collector in the debtor's country?
In many countries, yes: who may collect debts for others is regulated locally, and some rules cover business claims as well. Working with a licensed partner in the debtor's country keeps the collection within local law.
Sources
- EUR-Lex, Publications Office of the European Union, Regulation (EC) No 593/2008 on the law applicable to contractual obligations (Rome I), articles 3, 4 and 12 (2008). eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX:32008R0593
- UNCITRAL, United Nations, Status: United Nations Convention on Contracts for the International Sale of Goods (Vienna, 1980), 97 parties (2026). uncitral.un.org/en/texts/salegoods/conventions/sale_of_goods/cisg/status
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By Lars Holdgaard, Founder & CEO of Debitura. Last reviewed: November 2026. This guide is general information, not legal advice.