Late payment of debts was a common legal issue in the business environment during and after the financial crisis. The ingenuity shown by debtors in order to avoid paying debts is huge, point out the specialized attorneys in debt collection and litigation from Pavel, Margarit & Associates Romanian Law Firm. There are a lot of cases when debtors of banks or leasing companies hide goods or sell them in bad faith so that they cannot be recovered. There are also cases when creditors are abusively recovering goods from customers. However, it must be taken into account that the obstacles that may show when you try to recover a debt is not the end of the way. A Romanian debt collection and litigation lawyer specialized in debt recovery can do all the necessary steps to recover the debt and the goods from a debtor.

Lawyer Radu Pavel, Managing Partner of the Pavel, Margarit & Associates Romanian Law Firm recently participated to a press conference in which he presented the situations that creditors and debtors can face in practice in cases of debt recovery.

“There are two major categories of situations in debt recovery procedures. On one hand, we have the situation where the creditor has an enforceable title, and on the other, the situation where the creditor does not have an enforceable title. The advantages of the existence of the enforceable title are multiple. A prime advantage is the time factor, and refers to the fact that the lender can begin the steps to recover the claim from the day of maturity, without having to go to the court. A second advantage is related to spending, which is considerably lower than when there is no enforceable title. A third advantage is of a psychological nature: the debtor knows that all his goods are liable to be executed, because of that enforceable title, so his compliance efforts will increase”, said Romanian lawyer Radu Pavel.

Pavel, Margarit & Associates Romanian Law Firm dealt with complex cases, which involved the execution of debts. In one case, a client of Pavel, Margarit & Associates Romanian Law Firm was prosecuted by a leasing company that wanted to take possession of the automobile (a van). At that time, the client was in a reorganization procedure. In the proceedings, the creditor was included in the category of creditors. The chirographic claim was paid in the amount established by the plan, but the leasing company considered the payment unfair by disfavoring, and requested the court to accept the taking over of the good. The leasing company took over the asset. The Client appealed and won the contradictory action with the leasing company. The court ordered the cancellation of the entire execution, as well as the return of the enforcement by the return of the vehicle. In order to cover the damage caused to the customer by selling the good, a transaction between the parties was concluded.

Also, Pavel, Margarit & Associates Romanian Law Firm managed a number of enforcement files belonging to a leasing company, which had to recover debts with an invoiced issued or not issued. The law firm has taken all necessary steps, including: summons, blocking bank accounts, seizure, the seizure of debtors goods, enrollment of seizure record in AEGRM, etc

Creditors who do not have an enforceable title may use the payment ordinance. Pavel, Margarit & Associates Romanian Law Firm assisted a client in the procedure to obtain an enforceable title against a debtor. The application was admitted, the debtor was obliged to pay the debt, and the debt was fully recovered. What was interesting about this case is that, once our client entered insolvency proceedings, the enforced debtor filed an application for enrollment at the creditor table exactly with the amount previously recovered. It was also surprising that, although no document was filed in support of his claims, the former debtor ‘s application was admitted by the court administrator and the so-called debt was introduced in the preliminary receivables table. As a consequence, another legal step was necessary in order to bring things back to initial form. Namely, we filed an appeal that the syndic judge admitted and the debtor was removed from the claim table.

The above cases demonstrate that some debtors prove a high ingenuity if they dont want to pay the debts. If you are either a debtor or a creditor involved in case of debt recovery, youll need a Romanian lawyer specialized in debt recovery and litigation in order to gain back your rights, recommend lawyers from Pavel, Margarit & Associates Romanian Law Firm.


Pavel, Margarit & Associates Romanian Law Firm is one of the top law firms in Romania, which offers legal services at the highest quality, beyond clients expectations. The Law Firm approaches the cases with maximum professionalism and dedication. Its ultimate goal is obtaining exceptional results and achieving the clients objectives, in a time efficient manner. Among Pavel, Margarit & Associates clients are top multinationals and local companies. In 2017, the success stories of the Romanian Law Firm have brought recognition of the most prestigious international guides and publications. Thus, Pavel, Margarit & Associates Romanian Law Firm ranked second place in Romania in the rankings of business law firms with the most relevant expertise this year, realised by the Legal 500 publication, the most prestigious guide for law firms in the world, based in London, UK. The law firm is also recognized internationally by IFLR 1000 Financial and Corporate Guide 2018. Pavel, Margarit & Associates Romanian Law Firm is also the only law firm in Romania recommended by the Global Law Experts Director in London in the Dispute Resolution area of Practice. All the relevant information regarding Pavel, Margarit & Associates Romanian Law Firm including areas of practice and the most important deals can be found on the website, which is one of the most complex law firm websites in Romania.