Can a French supplier sue a buyer for breach of contract after a disputed late payment in a commercial court?

For a France-based supplier pursuing a breach-of-contract claim against a distributor, the standard venue is the Tribunal de commerce (Commercial Court). Since the dispute involves a disputed late payment, the choice of procedure depends heavily on whether the distributor's defense is considered serious under French law.

1. Procedural Routes & Timelines
There are two main procedural tracks for collecting commercial debts in France. The choice depends on the complexity of the dispute.

Summary Proceedings (Référé-Provision):
Best for: Cases where the debt is undeniable and the distributor’s contestation is not serious (e.g., cash flow issues rather than a genuine defect in goods).
Timeline: Fast, typically 1 to 2 months.
Outcome: The judge issues an interim order (ordonnance) for a provisional payment. If the judge finds a serious contestation (contestations sérieuse), they will dismiss the case and refer you to the merits track.

Proceedings on the Merits (Procédure au fond):
Best for: Complex disputes where the distributor argues substantive breach (e.g., defective delivery, non-conformity) requiring contract interpretation or experts.
Timeline: Long, generally 12 months or more for a first-instance decision.
Outcome: A final judgment ruling on all aspects of the contract and liability.

2. Available Remedies
In addition to the principal debt, you can claim several financial remedies:
Late Payment Penalties: French law imposes strict penalties for B2B delays. Unless otherwise agreed, the rate is the ECB refinancing rate + 10 percentage points. These accrue automatically from the day following the due date without needing a reminder.
Recovery Indemnity: You are automatically entitled to a fixed sum of €40 per unpaid invoice for recovery costs (indemnité forfaitaire). If actual costs (like debt collection fees) exceed this, you can claim the surplus with supporting documents.
Damages (Dommages-intérêts): You may claim additional damages if you can prove distinct prejudice caused by the delay (e.g., banking overdraft fees incurred due to the cash shortfall). However, French courts generally hold that late interest is the standard reparation for delay, so distinct prejudice requires strong evidence.
Provisional Measures: If there is a risk the distributor might hide assets or become insolvent, you can apply for a saisie conservatoire (precautionary seizure) to freeze their bank accounts before obtaining a judgment.

3. Costs of Litigation
French commercial litigation costs are split into court-regulated costs (dépens) and lawyer's fees (honoraires).
Court & Bailiff Fees (Dépens): These are relatively low and generally recoverable from the losing party.
Filing fees (Frais de greffe): Approximately €40 for summary proceedings (référé) and €67 for merits proceedings.
Bailiff fees (Signification): Serving the summons costs between €70 and €150 depending on the debt amount and urgency.
Lawyer’s Fees: These are unregulated and often the largest expense. While hourly rates vary (often €200–€400/hr), the winning party can request partial reimbursement under Article 700 of the Code of Civil Procedure. Courts typically award between €500 and €3,000 (sometimes more for complex cases), which rarely covers the full legal bill.

4. Required Documents & Limitation Period
Statute of Limitations: You have 5 years from the invoice due date to file a claim for B2B commercial debts.
Key Evidence: To succeed, especially in summary proceedings, you must provide:
Signed Contract/Quote: Proof of the obligation.
Proof of Performance: Delivery slips (bons de livraison) signed by the distributor are crucial to prove you fulfilled your end.
Invoices: Clearly stating the due dates.
Letter of Formal Notice (Mise en demeure): A registered letter with acknowledgment of receipt demanding payment. This is a mandatory prerequisite before filing suit and officially starts the clock for certain legal interests.

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