Tired of hearing debtors' excuses? Debt collection – efficient prosecution of debts in Austria!
By Christian Seidl, Tramposch & Partner
One of the consequences of the current financial crisis is that an increasing number of invoices that remain unpaid. The reasons for this are manifold. Banks are tightening their lending criteria, loans become due, people lose their jobs, margins are lower and there is greater competition from abroad. The financial crisis leaves deep traces.
The increasing use of people's right to free movement inevitably results in an increase in the potential number of cross-border debt collection cases. Council Regulation (EC) no. 44/2001 simplifies the procedure for having a foreign judgment declared enforceable.
Many creditors try to recover their claims. According to Austrian jurisdiction, creditors are satisfied in strict accordance with the priority principle: the creditor who first attaches an asset takes precedence over the others. It is therefore of great importance that enforcement of claims is mandated soon. The older a claim is, the more likely such a claim will become irrevocable.
Promptness and efficiency as well as consistent debt collection measures are therefore as important as keeping the enforceable claim on file and continuously informing clients about the progress, in order for them to assess whether pending claims need rectifications in their books. If, despite all measures taken, the claim remains irrevocable due to bankruptcy of the debtor, it is necessary to initiate applications for bankruptcy proceedings and attend the claim until its conclusion.
Christian Seidl, Partner
Tramposch & Partner, Eisenstadt, Austria
T: +43 268 262 163
Christian Seidl is a partner at Tramposch & Partner and has been managing the branch office in Eisenstadt since 2005. He principally advises banks, leasing companies and insurance companies on the enforcement of their claims regarding tort and unjust enrichment disputes (court disputes/contentions). He specialises in the areas of litigation before state courts as well as administrative bodies, debt collection, insurance recoveries, insolvency law and banking law.
Tramposch & Partner is a boutique law firm with more than 28 years of experience in handling litigation and business law matters on a national and international scale. As a modern, proactive, forward-thinking law firm, Tramposch & Partner is firmly seated in the 21st century and offers unique and flexible solutions. Its three offices across Austria, based in Innsbruck, Vienna and Eisenstadt, enable Tramposc & Partner to provide comprehensive legal counselling as well as representation before Austrian courts and administrative bodies throughout the country.