New legal requirement for entrepreneurs working for individuals.
As of 1/09/2023
new legislation comes into force, the main purpose of which is to protect consumers from (too?) high fines and dunning fees.
The main commitments summarize as follows:
- the first reminder must be free of charge are;
- That first reminder should mandatory include the following information:
- The amount due;
- The amount of the damage clause as well as the late payment interest (cf. the new legal limits);
- The name and corporate number of the corporate creditor;
- The description of the product or service purchased, which created the debt (a reference to an invoice number is not sufficient);
- The due date of the debt;
- The deadline - of at least 14 calendar days - within which the debt must be paid to avoid additional charges.
- dunning fees are legally capped as follows:
20 euros if the balance due is less than or equal to 150 euros;
30 euros plus 10 % of the amount due on the tranche between 150.01 and 500 euros if the balance due is between 150.01 and 500 euros;
65 euros plus 5 % of the amount due on the tranche above 500 euros with a maximum of 2000 euros if the balance due exceeds 500 euros.
- late payment interest may not exceed "the reference interest rate plus eight percentage points" now up to 12% of the amount due.
The new law is of mandatory law. That is, it cannot be deviated from under any circumstances.
Clauses, which provide for higher amounts than allowed by law, are banned and will be taken for not written.
Thus, the legislature requires entrepreneurs to amend their existing general terms and conditions as well as be in compliance with these new rules.
Our corporate law specialists are happy to inform you about this and to bring your general terms and conditions in line with this new law.
Would you like more information about this or to be assisted by a specialized lawyer? Please feel free to contact us at info@bannister.be or at 03.369.28.00.
