Doing business internationally is always carrying an extra risk with it, as it is always harder to get insight into the business conduct of the foreign company. When creditor-debtor relations are stretching itself across a country or even continent borders, in the case when problem arise, seeing a solution in the eyes of the creditor can result in discouraging feelings. But, in terms of law, the situation is pretty simple and not much different from the situation when creditor and debtor are both on the same home turf.
What to do if problem occurs and debtor is located in Serbia? How debt collection in Serbia looks like anyway? First, you should hire a law office in Serbia, presumably it would be a law office in Belgrade (capital city) or law office in Novi Sad (second largest city), because most of the companies and most of the government and judicial institutions are located in these cities (as you can see on our Links page).
After hiring a Serbian lawyer your task is to provide adequate documentation for the dispute solution and rest is on him. If you have all necessary documentation accompanying your business transactions, whole process could be easier and relatively quick, while if you don’t, be prepared to be patient. And please, do keep in mind importance of complete documentantion before starting business cooperation with somebody, not when something (bad) already happens.
Debt collection in Serbia could be divided into three parts. First part is definitely an attempt of reaching amicable solution with the debtor. It usually starts with the demand letter followed by a string of negotiations. You’ll be surprised that in significant number of cases this proves sufficient. If it doesn’t, court procedure, or litigation more precisely, is what follows. When litigation reaches its end with (for you) favorable verdict, majority of debtors would simply comply with it and repay their debt. Yet, some very stubborn don’t, which leads us to the third part or enforcement proceedings. Here, an enforcement officer will try to collect everything, from money on bank accounts to real estates or other valuables, that debtor hasn’t been willing to hand over in the first place. And that usually concludes the whole creditor-debtor situation. Especially worth noting would be also the fact that in majority of cases where creditor-debtor position is occupied by companies, there is a possibility of skipping second step (litigation) and going straight to the third and last one (enforcement proceeding).
So, if you have issues with your debtors (you are reading this debt collection in Serbia article probably because you do), they are by chance located in Serbia, and you are interested in hiring us, visit page Our attorneys to see more about us and check the Contact page for contact information.