EARN News

Obligation to pay statutory interest in case no invoice has been send and no payment day has been agreed upon

Enschede, 2016-06-01

In a recent case of the Dutch Supreme Court, Hoge Raad 26 February 2016, (ECLI:NL:HR:2016:339, http://uitspraken.rechtspraak.nl/inziendocument?id=ECLI:NL:HR:2016:339) the Court has ruled about the following case.

In this case a building company has performed services and building activities for a fitness centre. These services and activities have not been invoiced by a paper invoice nor have parties agreed on a payment date. The fitness centre does not pay anything to the building company and a dispute arises.

In court the building company claims € 327.023,20 from the fitness centre plus statutory interest and costs. The lower court as well as the court of appeal rule that the fitness centre is obliged to pay the building company for services rendered and performed building activities.

The final question answered by the Supreme Court is if the fitness centre is obliged to pay statutory interest over the outstanding amount and if yes, from which date this statutory interest has to be paid.

Based on article 6:119a Dutch civil code the statutory interest between companies is indebted in case invoices between companies are paid too late. The obligation to pay statutory interest normally starts after the due date of the invoice or when parties have not agreed on a payment day, 30 days after receipt of a request to pay.

In the present case, the Supreme Court ruled that an email with request to pay for the performed services and building activities is such a “request to pay”. The Supreme Court ruled that said email can be taken into account as request for payment and be seen as equivalent of an invoice.

The statutory interest the fitness centre is convicted in to pay to the building company started 30 days after the email request of the building company to the fitness centre. This according to the ruling of the supreme court.

Author: Irith Hoffmann, Attorney at law

Damsté advocaten – notarissen