How to apply for an payment order in Slovakia

Situations where the debtor does not fulfill his debt properly and on time occur very often in practice. If voluntary fulfillment has not occurred, or attempts at agreement, sending a pre-litigation notice, and similar have already been exhausted, it is appropriate to proceed with debt collection through the court. This can be done not only through a classic lawsuit but also by submitting a proposal for issuing a payment order. A payment order, alongside a judgment or resolution, is a decision on the merits. In this article, we will cover:

• When can a payment order be issued?
• Issuing a payment order
• Delivery of the payment order
• How to submit a proposal for issuing a payment order in reminder proceedings?
• What happens after issuing a payment order?
• Objection to the payment order
• How We Can Assist You
• Why it makes sense to authorize a lawyer?

When can a payment order be issued?

According to Sect. no. 265 of the Civil Dispute Procedure: "If it is possible to decide on the merits or part of it based on the facts alleged by the plaintiff, which the court has no doubts about, especially if these facts arise from documentary evidence, the lawsuit can be decided without the defendant's statement and without ordering a hearing also by a payment order."

From the cited provision, it follows that the court can issue a payment order if:

• a lawsuit for issuing a payment order has been filed with the court,
• the plaintiff is seeking monetary fulfillment,
• the facts alleged by the plaintiff are sufficient for issuing the decision.

The facts alleged by the plaintiff are usually sufficient if the claim is precisely quantified and justified, supported by evidence (mainly documentary).

A proposal for issuing a payment order can be submitted, for example, if a loan was provided but the debtor did not return it within the agreed time, an invoice/advance payment was paid but the goods/services were not delivered, the tenant does not pay rent, and similar.

Such a proposal can be submitted to the court in paper form by mail or personally at the registry. A court fee (6% of the claimed amount) is required.

Issuing a payment order

If the above conditions are met, the court will issue a payment order, in which it will instruct the defendant to pay the claimed monetary debt or part of it and cover the costs of the proceedings within 15 days of the delivery of the payment order or to file an objection within the same period.

If the plaintiff submits a payment order form along with the lawsuit published on the website of the Ministry of Justice and the legal conditions for issuing a payment order are met and the court fee is paid, the court will issue a payment order no later than ten working days after these conditions are met.

If the conditions for issuing a payment order are not met, the court will order a preliminary hearing of the dispute or a hearing.

Delivery of the payment order

The payment order must be delivered to the defendant along with the lawsuit in person. The provision of the Civil Dispute Procedure, according to which if it is not possible to deliver the document to the address recorded in the register of residents, commercial register, or other public register, such document is considered delivered on the day of return of the undelivered shipment even if the addressee did not learn about it, does not apply to the delivery of the payment order. The payment order is also not delivered by notification on the court's official board.

How to submit a proposal for issuing a payment order in reminder proceedings?

In addition to the classic submission of a lawsuit for issuing a payment order, it is also possible to submit a proposal for issuing a payment order in reminder proceedings. Reminder proceedings are regulated by Act No. 307/2016 Coll. on Reminder Proceedings and represent an alternative way of asserting monetary claims in relation to the procedure according to the Civil Dispute Procedure.

A proposal for issuing a payment order in reminder proceedings can only be submitted electronically.It is necessary to have a qualified electronic signature and an activated mailbox on the central portal of public administration. All proposals are decided by the District Court Banská Bystrica, which is causally competent for reminder proceedings.

The advantage of reminder proceedings is that compared to a classic lawsuit, the court fee is reduced by 50% (i.e., 3% of the claimed amount).

What happens after issuing a payment order?

Even in the case of reminder proceedings, the payment order must be delivered to the defendant in person. If personal delivery was not possible, the court will inform the plaintiff and invite them to propose continuation of the proceedings at the court competent to hear the case according to the Civil Dispute Procedure within 15 days. The causal competence of the District Court Banská Bystrica will no longer apply.

If the proposal for continuation of the proceedings was not submitted within the deadline, the payment order is canceled and the proceedings are terminated. In such a case, neither party is granted the right to reimbursement of the costs of the proceedings.

If the plaintiff submits a proposal for continuation of the proceedings, the payment order is canceled, the court will transfer the case to the competent court within five working days and inform the plaintiff.

A payment order against which no objection has been filed has the effect of a final judgment. If fulfillment according to the final payment order has not occurred, the creditor can submit a proposal for execution and enforce fulfillment in execution proceedings.

Objection to the payment order

From the delivery of the payment order, the defendant has a period of 15 days to file an objection. The objection to the payment order must be substantively justified. The justification must describe the decisive facts on which the defendant bases their defense against the asserted claim. The objection must also be accompanied by documents referred to by the defendant or indicate evidence to prove the claims. The defendant must be informed of this in the payment order.

If an objection has been filed and the court has not rejected it, it will send it to the plaintiff without undue delay. The court will also invite the plaintiff to respond to the objection within 15 days and to propose continuation of the proceedings at the court competent according to the Civil Dispute Procedure within the same period. In practice, this means that after accepting the objection, the proceedings do not end with the issuance of a payment order but continue in full proceedings.

What We Can Do for You?

• Advise you on the most effective way to collect your claim in your case
• Represent you in court proceedings for debt collection as well as in out-of-court negotiations
• Submit a lawsuit for issuing a payment order on your behalf
• Submit a proposal for issuing a payment order in reminder proceedings on your behalf
• Prepare an objection if a payment order has been issued against you
• Prepare a response to the objection if the objection was filed by the opposing party
• Submit a proposal for execution on your behalf

Why it makes sense to authorize a lawyer?

Using the services of a lawyer ensures that everything you are entitled to will be asserted in the proceedings. The lawyer will also respond to various situations that may arise during the proceedings and may affect the success of the claim collection (e.g., the debtor entering liquidation, bankruptcy, etc.). Do not forget the possibility of asserting a claim for reimbursement of legal representation costs. If you are represented by a lawyer in the proceedings and succeed in the case, the lawyer's fee may be paid by the debtor. In some cases, using the services of a lawyer will not cost you any extra money. If you submit the proposal yourself, you do not have the right to reimbursement of legal representation costs.

Do you have any questions? Contact us. We will provide you with an initial debt recovery consultation over the phone free of charge.

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