KRS Law Firm · Debt Recovery
Judicial Debt Recovery in Łódź
When demands and negotiations fail, court proceedings can obtain a payment order or judgment that, once an enforceability clause is granted, permits enforcement. We handle judicial recovery for businesses: from choosing the procedure and preparing the claim to obtaining an enforceable title and starting enforcement. We are based in Łódź and represent creditors before courts throughout Poland.
Judicial recovery follows out-of-court recovery when amicable collection has failed. A properly drafted earlier demand and supporting documents provide ready evidence.
KRS
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Choosing the Procedure for a Payment Order
Polish law offers several routes to payment. The choice affects time and cost. Standard Payment-Order Proceedings are commonly used for payment claims. The court can issue an order without a hearing, often within several weeks. Documentary Order-for-Payment Proceedings can be more favourable where strong documents, such as a promissory note or acknowledgment of debt, support the claim. The resulting order can immediately provide a basis for securing the claim.
Simple, undisputed claims may also use electronic payment-order proceedings (EPU) — conducted online by the e-court in Lublin, for claims up to PLN 100,000. Orders may be issued within days and the fee is lower. Disputed or complex matters may require ordinary proceedings with a hearing and full evidence. We assess each case first, since the cheapest route is not always the most effective.
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What Does Judicial Recovery Cost?
The court fee is generally 5% of the claim in ordinary proceedings and 1.25% in EPU and documentary order-for-payment proceedings. The difference can be significant. However, under Article 98 of the Code of Civil Procedure, the losing debtor is ordered to reimburse litigation costs, including court fees and legal representation. A successful creditor can therefore recover both the debt and much of the cost.
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Pitfalls to Be Aware Of
We assess litigation risks from the outset. In EPU, an outdated debtor address can result in discontinuancebecause the court cannot serve the order. If the debtor files an effective objections to payment orders, the order ceases to have effect and the matter proceeds before the competent court under ordinary rules. We assess not only the claim but the debtor’s position and solvency.
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How We Handle the Case
Our comprehensive service includes: analysing documents, gathering evidence, preparing and filing the claim, representing the business and, after a final order, applying for enforceability and commencing enforcement. Evidence is central, making earlier contract terms and security important. Through contract drafting and review we introduce provisions that can help obtain an order promptly, from acknowledgments of debt to promissory notes.
Judicial proceedings form part of the wider process of debt recovery, where litigation is a means to actual payment rather than an end in itself.
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Contact Us
Have Amicable Recovery Attempts Failed and Are You Considering a Claim? Get in Touch. We will assess the evidence, choose an appropriate procedure and handle the matter through recovery.