Collection agency France: collecting your invoice from French debtors

What makes debt collection in France different from the Netherlands?

Debt collection in France differs from Dutch practice on five fundamental points. Anyone unaware of these differences risks time-barred claims, invalid reminders, and lost default interest.

1. Very short limitation period for consumers
   Claims against French consumers become time-barred after just 2 years pursuant to Article L.218-2 of the Code de la consommation. This is significantly shorter than in the Netherlands and surprisingly short compared to almost any other European country. Dutch entrepreneurs who supply to French private individuals often discover too late that their claim is already time-barred.
   
   
2. Mise en demeure mandatory for default interest
   According to Article 1344 of the Code civil, legal default in France only arises in most cases after an explicit mise en demeure (formal notice). Without a correct mise en demeure, you have no right to statutory default interest. This is a fundamental difference from, for example, Germany, where business default occurs automatically by operation of law.
   
   
3. Statutory maximum payment terms
   The Loi de Modernisation de l'Économie (LME) of 2008 imposes strict maximum payment terms in B2B relationships: 60 days after the invoice date, or 45 days at the end of the month. Exceeding this leads to administrative fines for the debtor and strengthens your legal position during collection.
   
   
4. The injonction de payer
   France has an automated procedure for undisputed claims that leads to an enforceable title within a few weeks. The procedure is handled by the tribunal de commerce (B2B) or tribunal judiciaire (B2C) and can largely be initiated online.
   
   
5. Pronounced formal business culture
   The French business culture requires formal language, correct closing formulas, and registered letters (Lettre Recommandée avec Accusé de Réception, LRAR). Reminders in poor French or in a tone that is too direct are often not taken seriously.

Comparison table Netherlands versus France:

What you need to know about French debt collection legislation 

Code civil and the mise en demeure

The Code civil forms the basis of French civil law. Three articles are crucial for debt collection:

Article 1344 Code civil (Mise en demeure)
Default only arises in France after a mise en demeure. This is a formal notice of default in which the debtor is summoned to pay within a reasonable period. The mise en demeure must meet strict content requirements and is in practice always sent by registered letter (LRAR). Without a correct mise en demeure, you cannot claim statutory default interest.

Article 1231-6 Code civil (Default interest)
Statutory default interest accrues from the mise en demeure. For consumers, this is the intérêt légal, set half-yearly by the Banque de France. For business transactions, higher rates apply based on the Code de commerce.

Article 2224 Code civil (Limitation)
The general limitation period is 5 years and begins at the moment the creditor becomes aware of the facts justifying the claim. However, shorter or longer periods apply to specific categories.

Code de commerce (B2B claims)

Article L.441-10 Code de commerce (Payment terms and penalties)
The maximum payment term in B2B relationships is 60 days after the invoice date, or 45 days at the end of the month. Exceeding this leads to administrative fines for the debtor (up to €2 million for legal entities) and to a statutory right to default interest equal to the ECB base rate plus 8 percentage points.

Article D.441-5 Code de commerce (Fixed compensation)
In the event of business payment arrears, the creditor is entitled to a fixed amount of €40, on top of default interest and actual collection costs. This fixed amount is the French implementation of the EU Late Payment Directive.

Article L.110-4 Code de commerce (Limitation of commercial claims)
Business claims become time-barred in France after 5 years. This period is comparable to the Dutch limitation period for B2B claims.

Rules for sociétés de recouvrement

Unlike Germany (RDG) or Belgium (FPS Economy), France does not have a general recognition or registration regime for debt collection agencies. However, Decree no. 96-1112 of 18 December 1996 binds every société de recouvrement to strict rules:

• A written agreement between the debt collection agency and the creditor is mandatory.
• Every reminder sent to the debtor must comply with the content requirements of Article R.124-4 of the Code des procédures civiles d'exécution.
• Costs may not simply be passed on to the consumer: only those costs that are explicitly recoverable based on an enforceable title.
• Supervision of consumer issues is carried out by the DGCCRF (Direction générale de la Concurrence, de la Consommation et de la Répression des Fraudes).

Incasso.nl works exclusively with specialized French partners who meet these requirements.

Limitation periods in France

Dutch entrepreneurs regularly underestimate how quickly French consumer claims become time-barred. The standard periods:

• Consumer claims (B2C)
  2 years pursuant to Article L.218-2 of the Code de la consommation. This is the shortest limitation period of the core European markets and the most important pitfall for Dutch suppliers to French private individuals.
  
  
• Business claims (B2B)
  5 years pursuant to Article L.110-4 of the Code de commerce.
  
  
• Special claims
  Up to 5 years pursuant to Article 2224 of the Code civil.

Limitation can be interrupted by, among other things, a legal act (for example, an injonction de payer) or by the debtor's acknowledgment of debt. A single mise en demeure does not interrupt the limitation period; that is a common misunderstanding. For French files, we proactively monitor the limitation status and advise in a timely manner regarding interruption actions.

How debt collection in France works step by step

Amicable collection (extrajudicial)

The amicable phase (procédure amiable) is intended to secure payment without legal proceedings. The vast majority of French files are resolved in this phase.

1. Case intake and analysis. You submit your invoice via the Incasso.nl app. We check the details of the French debtor, the payment term in accordance with the LME, and the limitation status.
2. Mise en demeure in legally correct French. Sent via registered mail (LRAR) with reference to Article 1344 of the Code civil, to legally establish the default.
3. Intérêts de retard and indemnité forfaitaire: for business debtors, we calculate the statutory default interest (ECB base rate + 8 percentage points) and the fixed fee of €40.
4. Telephone contact by our French-speaking specialist. Personal contact is of decisive importance in French culture.
5. Échéancier de paiement (payment arrangement) where appropriate.
6. Payment or escalation decision. If payment is not forthcoming, we will advise on an injonction de payer or a regular procedure.

The injonction de payer (the French express route)

The injonction de payer is an automated procedure for undisputed claims that provides an enforceable title quickly and relatively inexpensively. The procedure works as follows:

1. Requête en injonction de payer: application to the competent court. For B2B claims, this is the tribunal de commerce; for B2C claims, it is the tribunal judiciaire. 
2. Ordonnance portant injonction de payer: after a summary review, the judge issues an order commanding the debtor to pay.
3. Service (signification) to the debtor by a commissaire de justice (formerly huissier de justice) within six months.
4. Opposition period of 1 month: the debtor can file an objection within one month of service.
5. If no objection is filed: the judge affixes the formule exécutoire (enforceable title) to the order.
6. Execution: with the titre exécutoire, the commissaire de justice can seize assets, bank accounts, or wages.
7. If an objection is filed: transfer to regular proceedings at the competent court.

Lead time for an undisputed injonction de payer: typically 4 to 10 weeks from submission to titre exécutoire. Court fees are limited (€0 for B2C and approx. €35 for B2B, 2026 rates).

Legal debt collection

In case of dispute or more complex matters, a regular procedure follows:

• Tribunal de commerce: competent for disputes between companies, regardless of the amount.
• Tribunal judiciaire: competent for consumer disputes and B2C cases. For claims over €10,000, representation by a lawyer is mandatory.
• Référé-provision: summary proceedings for a quick preliminary judgment in cases of undisputed claims — an alternative to the injonction de payer.
• Lead time: 6 to 18 months for simple cases, longer for complex or disputed files.

What does debt collection in France cost?

At Incasso.nl, you pay a fixed file fee for international debt collection processes, supplemented by a commission on the collected amount. The amount of the file fee varies by country group and covers the more intensive handling of a foreign case. More information about the file fee can be found in the Incasso.nl app.

Upon success, default interest, the €40 fixed fee (B2B), and incurred collection costs are recovered from the French debtor wherever possible, pursuant to the Code de commerce and the mise en demeure. Separate, legally established court fees and commissaire fees apply to the injonction de payer and legal proceedings. Our specialist will always discuss these with you in advance.

Frequently asked questions about debt collection in France

Below you will find the answers to a number of frequently asked questions about debt collection in France.

When can I engage a debt collection agency in France?

Immediately after the payment term has expired. However, a mise en demeure is required to establish legal default in France pursuant to Article 1344 of the Code civil. For business debtors, the statutory maximum payment terms of Article L.441-10 of the Code de commerce (60 days after invoice or 45 days at the end of the month) also apply. Without a correct mise en demeure, you have no right to statutory default interest.

Must a debt collection agency in France be certified?

France does not have a general registration regime like Germany (RDG) or Belgium (FPS Economy). However, Decree no. 96-1112 binds every société de recouvrement to strict rules regarding mandates, cost transparency, and the content of reminders. Supervision of consumer issues is carried out by the DGCCRF. Incasso.nl works exclusively with partners who meet these requirements.

What does a debt collection process in France cost?

At Incasso.nl, you pay a fixed amount in file fees for international debt collection processes. In addition, you pay a commission percentage on the collected amount. This is clearly communicated to you in advance. Upon success, default interest, the €40 fixed fee (B2B), and incurred costs are recovered from the debtor as much as possible. Separate rates apply to an injonction de payer or legal proceedings, which are discussed in advance.

In what language must my reminder be?

Exclusively in correct French. French debtors and courts do not accept reminders in Dutch or English. Moreover, the French business culture requires formal signatures and legally precise language. Machine translations are taken significantly less seriously and can affect the legal validity of your mise en demeure.

What is a mise en demeure?

A mise en demeure is the French formal notice of default: a formal registered letter in which the debtor is summoned to pay within a reasonable period. According to Article 1344 of the Code civil, this is required in most cases to establish legal default and to be able to claim statutory default interest. No mise en demeure means no statutory interest.

What is an injonction de payer?

The injonction de payer is an automated French legal procedure for undisputed claims. For B2B claims, the procedure is handled via the tribunal de commerce, and for B2C via the tribunal judiciaire. In an undisputed case, you will have a titre exécutoire within 4 to 10 weeks, with which a commissaire de justice can seize assets, wages, or the debtor's accounts.

What is the difference between debt collection in the Netherlands and France?

The main differences: significantly shorter limitation period for French consumers (2 years versus 2 to 5 years in the Netherlands), mandatory mise en demeure for default, statutory maximum payment terms in B2B (LME), formal legal culture, and the unique injonction de payer, which has no direct counterpart in the Netherlands.

How long does a debt collection procedure in France take?

The amicable trajectory takes an average of 3 to 8 weeks, slightly longer than in most other countries due to formal communication requirements and holiday periods. An undisputed injonction de payer takes 4 to 10 weeks. A regular legal procedure varies from 6 months for simple cases to more than 18 months for complex or disputed cases.

What about the very short French limitation period for consumers?

Claims against French consumers become time-barred after just 2 years pursuant to Article L.218-2 of the Code de la consommation. This is the shortest limitation period in the core markets of Europe and a major pitfall for Dutch entrepreneurs. A single mise en demeure does not interrupt the limitation period; a legal act, such as an injonction de payer, is required for that. At Incasso.nl, we actively monitor the limitation status for every French case.

Can I also collect my French claim via a Dutch court?

Only if your general terms and conditions contain an explicit choice of forum for the Dutch court and the French debtor has accepted those terms. Without a choice of forum, the Brussels I bis Regulation applies: the court of the debtor's country is generally competent. We advise you to include choice-of-forum clauses as standard in your general terms and conditions if you have clients abroad.

What is a commissaire de justice?

Since July 2022, commissaire de justice is the new designation for the merged professions of huissier de justice (bailiff) and commissaire-priseur judiciaire. The commissaire de justice serves legal documents, carries out enforcement, and draws up official reports. Our French partners standardly work with a network of commissaires de justice throughout France.

Does Incasso.nl work throughout France? 

Yes. From Île-de-France and the border region of Hauts-de-France to Provence in the south and Brittany in the west. Our French partners have national coverage and work with commissaires de justice in all regions, including overseas departments if necessary.