Our website uses cookies to enhance your browsing experience and to collect information about how you use this site to improve our service to you. By not accepting cookies some elements of the site, such as video, will not work. Please visit our Cookie Policy page for more information on how we use cookies.

What We Do

Compensation for Recovery Costs

The European Communities (Late Payment in Commercial Transactions) Regulations 2012 provide that where late payment interest falls due in respect of a payment, in addition to this amount, the supplier is also automatically entitled to “compensation for recovery costs”, without the necessity of a reminder.

Regulation 9 of SI 580 of 2012, refers:

“9(1) It shall be an implied term of every commercial transactions that where late payment interest becomes payable under Regulation 4, the supplier shall be entitled, in addition to the late payment interest, to the amount specified in the Schedule to these Regulations as compensation towards relevant recovery costs incurred by the supplier as a consequence of late payment.

Amount of Late Payment (Invoice Value)Compensation Amount 
Not exceeding €1000€40
Exceeding €1000 but not exceeding €10,000€70
Exceeding €10,000€100