# C_2022472EN.01001801.xml

| 12.12.2022 | EN | Official Journal of the European Union | C 472/18 |
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12.12.2022

EN

Official Journal of the European Union

C 472/18

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Judgment of the Court (Tenth Chamber) of 20 October 2022 (request for a preliminary ruling from the Korkein oikeus — Finland) — A Oy v B Ky, Joint heirs of C

(Case C-406/21) (1)

(Reference for a preliminary ruling - Combating late payment in commercial transactions - Directive 2011/7/EU - Article 12(4) - Temporal scope - Practice established before 16 March 2013 consisting in not recovering interest for late payment or compensation for recovery costs - Practice applied to individual orders placed on or after that date - Article 7(2) and (3) - Grossly unfair contractual terms and practices - Waiver freely agreed to)

(2022/C 472/20)

Language of the case: Finnish

Referring court

Korkein oikeus

Parties to the main proceedings

Applicant: A Oy

Defendants: B Ky, Joint heirs of C

Operative part of the judgment

| 1. | Article 12(4) of Directive 2011/7/EU of the European Parliament and of the Council of 16 February 2011 on combating late payment in commercial transactions
  must be interpreted as meaning that Member States may exclude from the scope of that directive a contractual practice relating to the payment of interest for late payment and compensation for recovery costs, if that practice falls under a contract concluded before 16 March 2013, pursuant to the applicable national law. Individual orders on the basis of which interest for late payment and such compensation are claimed, which were placed on or after that date, may be excluded from the scope of Directive 2011/7 provided that they constitute only the performance of a contract concluded prior to 16 March 2013, pursuant to the applicable national law. By contrast, if, pursuant to that law, those individual orders constitute independent contracts concluded on or after that date, they may not be excluded from the scope of that directive. |
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1.

Article 12(4) of Directive 2011/7/EU of the European Parliament and of the Council of 16 February 2011 on combating late payment in commercial transactions

must be interpreted as meaning that Member States may exclude from the scope of that directive a contractual practice relating to the payment of interest for late payment and compensation for recovery costs, if that practice falls under a contract concluded before 16 March 2013, pursuant to the applicable national law. Individual orders on the basis of which interest for late payment and such compensation are claimed, which were placed on or after that date, may be excluded from the scope of Directive 2011/7 provided that they constitute only the performance of a contract concluded prior to 16 March 2013, pursuant to the applicable national law. By contrast, if, pursuant to that law, those individual orders constitute independent contracts concluded on or after that date, they may not be excluded from the scope of that directive.

| 2. | Article 7(2) and (3) of Directive 2011/7
  must be interpreted as not precluding a practice under which, in the case of delays in payment of less than one month, the creditor does not recover interest for late payment or compensation for recovery costs, in exchange for payment of the principal amount of the debts payable, provided that, in so doing, the creditor has freely agreed to waiving payment of the sums due in respect of that interest and compensation. |
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2.

Article 7(2) and (3) of Directive 2011/7

must be interpreted as not precluding a practice under which, in the case of delays in payment of less than one month, the creditor does not recover interest for late payment or compensation for recovery costs, in exchange for payment of the principal amount of the debts payable, provided that, in so doing, the creditor has freely agreed to waiving payment of the sums due in respect of that interest and compensation.

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(1)  OJ C 368, 13.9.2021.

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