Debt Collection France: A Creditor's Procedural Guide
To collect a commercial debt in France, start with a mise en demeure sent by LRAR (lettre recommandée avec accusé de réception) — a registered letter that activates statutory interest at ECB+10 percentage points under Art.L441-10 of the Code de commerce (the highest B2B statutory rate in the EU) plus EUR 40 per invoice under the same article, and interrupts the 5-year limitation period under Art.2240 Code civil. If the demand fails, file an injonction de payer at the Tribunal de commerce — an ex parte fast-track procedure that produces an enforceable title without a hearing in 2–3 months.
Your French client stopped responding three weeks after you sent the invoices. You're owed EUR 75,000 across four deliveries, all accepted, all documented. The silence is not confusion — it's a calculation. French B2B payment days outstanding average 54 days, with a significant tail of deliberate slow payers who know that most foreign creditors won't escalate. The mise en demeure, sent through a registered French agent, changes the debtor's risk assessment immediately. Here's the full procedure, starting with why France's statutory interest rate — higher than Germany, Italy, or Spain — is a leverage tool most creditors forget to use.
How does debt collection work in France?
French B2B collection operates on two parallel tracks. The amicable track: mise en demeure by LRAR citing Art.L441-10 (ECB+10pp interest + EUR 40 per invoice), followed by negotiation with a registered collection agent (Décret 96-1112). The judicial track: injonction de payer (Arts.1405-1425 CPC) — ex parte, no hearing, filing cost approximately EUR 35, enforceable title in 2–3 months. For urgent cases with a risk of asset dissipation, saisie conservatoire (Art.L511-1 CPCE) allows ex parte asset freezing within days, before the merits are resolved. The debtor can oppose any conservatory measure, but the creditor has 1 month to file on the merits.
What is France's statutory interest rate for late B2B payment?
France applies the highest B2B statutory late payment interest rate in the EU: ECB reference rate + 10 percentage points, established by Art.L441-10 of the Code de commerce (implementing EU Directive 2011/7/EU with a nationally elevated rate). For comparison: Germany applies ECB+9pp, Italy applies ECB+8pp, Spain applies ECB+8pp. At current ECB rates, the French statutory rate runs at approximately 12–13% per annum.
This rate accrues automatically from the day after the agreed payment due date — no reminder required, no notification to the debtor needed. It applies to every commercial invoice between businesses in France. The EUR 40 fixed recovery compensation per invoice (Art.D441-5) is similarly automatic. Both amounts should appear as line items in every mise en demeure and, subsequently, in every injonction de payer application. Many foreign creditors omit them, leaving recoverable money on the table.
What is the injonction de payer and how long does it take?
The injonction de payer (Arts.1405-1425 of the Code de procédure civile) is France's primary fast-track commercial debt recovery procedure. The creditor files a written application at the Tribunal de commerce (for commercial debts between businesses) with supporting documentation — invoices, contracts, delivery evidence. The judge reviews the file and, if the claim is well-founded, issues an order without hearing the debtor. The debtor then has 1 month to file an opposition.
If no opposition is filed, the creditor requests exécution de l'ordonnance — enforcement of the order — which is then served by a commissaire de justice (formerly huissier de justice). The commissaire has access to the FICOBA database, which lists all French bank accounts held by any individual or entity identified by their fiscal number. Enforcement via saisie-attribution — direct bank account seizure — typically completes within 2–4 weeks of the order becoming enforceable. Total end-to-end time for an uncontested injonction de payer: 3–5 months from mise en demeure.
What is the statute of limitations for commercial debt in France?
Under Art.2224 of the Code civil, the limitation period for commercial claims between businesses is 5 years from the date the creditor became aware of the facts entitling them to act — typically the invoice due date. The clock is interrupted by any act of formal demand (mise en demeure), by court filing, or by the debtor's acknowledgment of the debt (request for extended terms, partial payment, written confirmation). Each interruption restarts the 5-year period from zero. Sending a formal mise en demeure in year 3 therefore gives the creditor another 5 years from that date.
Do I need a registered agent to collect debts in France?
Yes — amicable debt collection in France by a third party requires compliance with Décret 96-1112 of 18 December 1996, which governs debt collection agents (agents de recouvrement). A registered agent must hold a financial guarantee, carry professional liability insurance, and operate from a French establishment. Creditors engaging foreign-based collection firms to conduct French collections should verify that the firm operates through a French-registered subsidiary or partner — otherwise the amicable collection activity may be legally irregular, potentially affecting enforcement.
France's B2B debt framework rewards creditors who move decisively in the first 60 days. The mise en demeure, the injonction de payer, and the saisie conservatoire — used in sequence — give a creditor with clean documentation three escalating pressure points before any contested hearing becomes necessary.
You know the debt is real. What you need now is someone on the ground in the right jurisdiction who can make it cost the debtor more to ignore it than to pay it. Contact Cosmopolite for a free case assessment. No win, no fee.
