Court Default Summons - Summary Proceedings for Order to Pay Debts

A lot of disputes related to payment obligations are considered to be uncomplicated from a legal point of view. There is a need for a comprehensive, efficient, fast and convenient procedure to recover overdue outstanding debts.

Advantages

German law does provide such an instrument by allowing creditors to file a motion for a court order to pay (so-called Mahnbescheid). The creditor can process money claims through an accelerated system that benefits both plaintiffs and defendants. Compared to the usual litigation, this processing can result in fewer costs and speedier judgment while preserving obligatory process rights.

The plaintiff just has to allege a certain amount of money is due for payment. If the debtor does not defeat the claim within two weeks upon service of the order, the creditor can enforce the order. If the debtor objects, the claimant has to decide whether or not to pursue his interests in a regular civil trial.

To obtain the official Government "demand-for-payment form" (Mahnbescheid) and completing it, there are a number of German legal details to be considered thoroughly, which is generally an inexpensive and timesaving way of obtaining an executory decree against a debtor. A default summons will only be advisable in cases where the debtor has not yet raised any objection to the claim.

Jurisdiction for foreign claimants

Local courts (Amtsgerichte) have jurisdiction over the simplified collection claim processing, depending on the residence of the petitioner. The court of Wedding in Berlin has general jurisdiction for foreign claimants. There is an efficient automatized procedere for the application.