Debt Collection Terms and Conditions



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Debt Collection Terms and Conditions The German-British Chamber of Industry & Commerce in London is prepared to assist British companies in collecting outstanding debts from German firms on the following terms and conditions. In our debt collection procedure our efforts are directed towards settling matters without recourse to legal proceedings and do not amount to any kind of legal action for recovery. The contract between the creditor and the Chamber shall be subject to English law. Starting of Debt Collection We check the prospects of each individual claim from the legal and practical point of view. For this purpose we need copies of the contractual documents concerned - in particular orders, agreed terms and conditions and invoices (in duplicate) - and relevant correspondence, e.g. demands for payment together with any responses received from the debtor. In addition, a concise and accurate account of the facts of the case should be given. If, after examining the documents sent to us, the Chamber should take the view that for legal or practical reasons it would not be expedient to use our debt collection procedure, it will inform the creditor of this. In this case an administration fee will be charged in the amount of half the basic fee. The Chamber will not undertake a debt collection case as long as some other agency has been entrusted with recovery of the debt. In Case of Liquidation If the debtor should become subject to bankruptcy / liquidation proceedings after the commencement of our debt collection procedure, we inform the trustee in bankruptcy / liquidator provisionally of the claim asserted by you. Collection Fees All our fees have to be settled by the creditor. However, we will automatically ask the debtor to pay to you the interest for delay and other damages, which are customary in Germany, in addition to the outstanding invoice amount. The fees charged by us for our debt collection service are set out in the following table: Value of Claim Basic Fee Success Fee up to 5,000 200 plus VAT 15 % plus VAT over 5,000 240 plus VAT 10 % plus VAT over 15,000 300 plus VAT 10 % plus VAT over 40.000 400 plus VAT 10 % plus VAT Members of our Chamber are entitled to a discount of 15% on both basic and success fees. England and Wales with the registration number 01016261. The registered office address is 16 Buckingham Gate, London SW1E 6LB. the VAT ID number is GB 238 883 126.

Page 2 - Debt Collection Instructions - The Basic Fee The basic fee is calculated on the basis of the amount to be recovered by us for the creditor. It becomes due for payment upon receipt by the creditor of our invoice. The Success Fee The Chamber's claim for payment of a success fee accrues if, after receipt of the Chamber's first demand for payment, 1. the debt is paid in whole or in part by the debtor or a third person, 2. the debtor agrees to return goods to the creditor with the consent of the latter, and / or 3. the debtor waives a counterclaim acknowledged as valid by the creditor. The success fee is calculated on the basis of the amount actually received by the creditor, the amount of the counterclaim waived by the debtor or the value of the goods returned. The percentage rate used for the purposes of this calculation shall, however, be the percentage rate given in the table for the amount originally claimed by the creditor (value of claim). The creditor is obliged to inform the Chamber without delay of the receipt by him of any payments by the debtor or a third person, the return to him of any goods by the debtor or the waiver by the debtor of any counterclaims. After acceptance of a debt collection case by the Chamber the creditor remains entitled to conduct direct negotiations and correspondence with the debtor. He must inform the Chamber without delay of all such negotiations and correspondence. If this direct contact should lead to a settlement of the dispute, the Chamber will have a claim for payment of a Success Fee in accordance with the conditions set out above. Order Form If you would like to make use of our services on these terms we would kindly ask you to return the attached order form (below) together with copies of all relevant documents. We shall then proceed with the case immediately.

Order Form Debt Collection Legal Services German-British Chamber of Industry & Commerce Mecklenburg House, 16 Buckingham Gate, London SW1E 6LB Fax: 020 7976 4101 e-mail: legal@ahk-london.co.uk We hereby instruct the German-British Chamber of Industry & Commerce to undertake the debt collection procedure in accordance with the Chamber's debt collection conditions: Debtor's details: Company Name: Contact Person: Address: Telephone: Fax: e-mail: Internet: VAT Number.: or: Copy of Debtor's Letterhead is enclosed About your claim: Amount and currency: Type of transaction (e.g. supply of goods, services rendered): Date of invoice(s): Terms of payment: Number of reminders already sent: England and Wales with the registration number 01016261. The registered office address is 16 Buckingham Gate, London SW1E 6LB. the VAT ID number is GB 238 883 126.

Date of last reminder: Page 2 - Debt Collection Instructions - Is the debt disputed? yes no if yes, why?...... Enclosed Copies of: Order(s) Invoice(s) (in duplicate) Agreed Terms and Conditions Special Agreements Concerning Interest for Delay and other Damages:... Debtor's Written Promise to Pay Further Correspondence, since the Debt is Disputed Your details: Company Name: Contact Person: Address: Tel: Fax: e-mail: Internet: VAT number.: Your bank details Bank: Account number: Sort code:

Page 3 - Debt Collection Instructions - BIC IBAN I agree that the German-British Chamber of Industry & Commerce may obtain, process, use and disclose personal data to maintain its databank and to market its products and services. Place / Date... Signature:...