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Practical legal guide · Portugal

Portuguese company won't pay your invoice: how to recover the debt

You delivered goods or services to a company in Portugal and the invoice is overdue. Between businesses, Portuguese law gives the creditor late-payment interest without a reminder, at least 40 euros for recovery costs, and access to a payment order procedure (injunção) whatever the amount. From another EU country, the European payment order is also an option. A lawyer in Portugal chooses the route and handles enforcement.

Describe your case

Updated and verified:

Short answer

  1. Formal demand
  2. Portuguese payment order (injunção)
  3. European payment order
  4. Enforcement in Portugal

Late payment between businesses carries interest and at least €40 in recovery costs, and the invoice can be claimed by a payment order whatever the amount. Below we explain what is at stake and what a lawyer in Portugal does.

Describe your case

Quick answers

When does late-payment interest start in Portugal?
From the day after the agreed due date, without a reminder; without an agreed date, 30 days after the debtor received the invoice.
What is the 40-euro amount?
When late-payment interest is due between businesses, the creditor is entitled to at least 40 euros for recovery costs, plus reasonable higher costs that can be proved.
Is there an amount limit for the injunção?
No. For late commercial payments, the injunção is available whatever the amount.

When this situation arises

  • A Portuguese customer has not paid one or more invoices
  • The customer stopped answering or disputes quality only after the due date
  • You are a company outside Portugal selling to Portuguese businesses
  • You are not sure whether the debtor is still solvent

What options do you have

Formal demand

A demand from a Portuguese lawyer often leads to payment without court.

Portuguese payment order (injunção)

A fast procedure based on the documents; if the debtor does not object, it leads to an enforceable title.

European payment order

For cross-border claims within the EU, a uniform procedure under an EU regulation.

Recommended step-by-step process

  1. 1.

    Claim and evidence

    The lawyer checks the contract, invoices, delivery proof and correspondence.

  2. 2.

    Debtor

    The lawyer checks the debtor in the commercial register and whether insolvency proceedings are under way.

  3. 3.

    Route

    The lawyer chooses between a demand, the injunção and the European payment order and calculates interest and costs.

  4. 4.

    Enforcement

    If the debtor still does not pay, the lawyer handles enforcement against assets in Portugal.

What documents to prepare

  • Contract or order
  • Invoices and delivery notes
  • Correspondence about the debt
  • Reminders already sent
  • Debtor's company details (name, tax number NIPC, address)

Common mistakes

  • Waiting too long while the debtor's situation worsens
  • Not claiming interest and the 40-euro minimum
  • Missing proof of delivery
  • Suing in the wrong country without checking jurisdiction

Risks and important deadlines

Debtor's insolvency

If the debtor enters insolvency proceedings, the creditor lodges the claim there and may recover only part.

Objection

If the debtor objects to the payment order, the case continues in court.

Contract terms

Payment terms between businesses are limited by law; the lawyer checks your contract.

When it's worth contacting a lawyer

Contact a lawyer in Portugal when the invoice is overdue and reminders have not worked, or as soon as you learn the customer is in difficulty. A Portuguese lawyer sends the demand, chooses the right procedure and enforces the claim against the debtor's assets in Portugal. LawBridge is a lawyer search engine: you choose the lawyer yourself and send them a request. A lawyer's work is always paid.

Describe your case

Frequently asked questions

Portuguese or European payment order?

Both are possible for a creditor in another EU country; the lawyer chooses based on the debtor and enforcement.

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