Practical guide to debt collection in Italy

Italian law does not impose a minimum value for pursuing legal action to recover a debt. This means you can legally attempt to collect even small amounts.

Even if legal fees and costs are lower than those of many western EU countries, from a business perspective, pursuing a claim for low-value debts is often not cost-effective. Legal fees, court duties, and lawyer costs can exceed the value of the credit if the amount is too low. In practice, debts under €2.500,00 are usually better managed through negotiation, settlement, or internal write-offs rather than court proceedings.

The value of the claim determines which court has jurisdiction:

Up to €5.000,00: Justice of the Peace Over €5,000,00: Ordinary Civil Court (Tribunale)

Choosing the correct court from the start avoids procedural errors and unnecessary delays.

This is a good tool to consider, as it is fast and effective. How fast? It depends on the Court and on the backlog of the judge assigned to the case, but in general terms one should be able to obtain a payment order within a few weeks from filing (digitally) a motion to obtain an order of payment (“Ricorso per Decreto Ingiuntivo).

A payment order can be requested when the debt is certain, liquid, and due, and you have written evidence of the claim. Examples of acceptable proof include signed contracts, invoices with delivery confirmations, promissory notes or checks, or correspondence acknowledging the debt. If these conditions are met, the court may order the debtor to pay within 40 days of service of the order.

If the debtor files an objection, the case becomes ordinary litigation and will be governed by the rules of an ordinary lawsuit. If no objection is filed, the creditor can request a declaration of enforceability and then move directly to enforcement.

When written evidence is insufficient or the amount is not clearly defined, an ordinary lawsuit may be required. This takes longer, is more complex, and more expensive, as the action is started with a writ of summons and the procedure involves a series of hearings (in person or online), depending on the complexity of the case and the defenses presented by the defendant.

In certain legal areas, mandatory mediation may be required before going to court. Failing to comply can result in procedural dismissal.

Although not legally required, sending a lawyer formal payment notice before initiating proceedings is strongly recommended. A demand letter should clearly indicate the outstanding amount, set a payment deadline, and warn that legal action will be commenced in case payment is not received by the deadline.

The extrajudicial request is also important as a document during legal proceedings, to demonstrate that the creditor has done everything possible to obtain payment of the debt: this will be taken into account by the judge when deciding on the allocation of legal costs.

Finally, the request of payment with a lawyer letter (if addressed to a company, it is generally sent with e certified email – PEC) interrupts the statute of limitation of the credit, which under Italian law is 10 years.

If the debtor does not pay after a court decision (whether a decreto ingiuntivo not opposed by the debtor, or a sentence at the end of an ordinary law suit) enforcement may include seizure of bank accounts, salary garnishment, asset seizure, or property attachment. The creditor may also seek and order for temporary freezing or seizure of assets if there is a proved risk risk that the debtor will reduce the credit guarantees.

Debt collection in Italy can be efficient when approached correctly. Choosing the right legal path and providing proper documentation makes all the difference.