Debt Collection Iceland
Do you have a Icelandic debtor which does not pay the invoices? Successful Debt Recovery in Iceland requires extensive knowledge of the Icelandic culture, language and regulations.
Content on this page:
If you are having a non-paying Icelandic business partner, you will have to take into account the differences between the Icelandic business culture and your own. As international creditor, you are at a disadvantage in Iceland, due to cultural differences. We have international lawyers which understand the regulations in Iceland.
Do your invoices remain unpaid by your Icelandic partner? Make sure that you can prove your claim. In Iceland, it is advisable to put your business agreements in writing. The following documents are important for Debt Collection in Iceland:
- Signed agreements;
- General conditions;
- Order confirmations;
- Copies of invoices;
- Proof of delivery or services;
- Correspondence with the debtor.
If it turns out that your debtor remains ignorant to his duty to pay, immediately sending a reminder is important. In this reminder, you have to state a clear description of the invoice and indicate a clear term of payment of usually 14 days.
If your customer does not respond to your reminder, handing over your claim for collection is advisable. In Iceland, we are able to collect most claims extrajudicially in the form of a payment arrangement or otherwise.
When you hand your claim over for collection, we immediately take action. Both in writing and on the telephone we will demand that your Icelandic debtor pays the invoices. If necessary, we will also engage in a face to face conversation with the Icelandic company. If the Icelandic debtor does not pay within the stated term, then, in consultation with you, we will commence with legal proceedings. In most cases, Icelandic debtors are likely to settle when they face court actions.
In case we do not collect, then your company does not have to pay us a legal fee. In our view, you should always be able to opt for the quality of a Debt Recovery Lawyer. If the debtor does not pay, we will merely charge you our administrative fee of €150.00.
Would you like more information about collections or bringing legal action in Iceland? Fill out the contact form or call us: +44 (0)20 3808 5878.
Click here to upload your claim to us.