Court payment order (Mahnbescheid): process and costs
With a Mahnbescheid (court payment order), you collect an outstanding monetary claim through the courts without having to file a lawsuit straight away. You apply for it at the competent dunning court; the court does not examine the substance of the claim, and if your debtor does not object, you obtain an enforceable title via the Vollstreckungsbescheid (enforcement order). The court fee depends on the amount of the claim and is currently at least 38 euros.
Out of court or in court: where the court payment order fits in
Payment reminders and dunning letters are out-of-court steps. You send them yourself, and their main purpose is to put the customer in default and prompt them to pay. The article Payment reminder or dunning letter? explains how this works.
The Mahnbescheid, by contrast, is the start of the court dunning procedure under §§ 688 et seq. ZPO (German Code of Civil Procedure). It is an option if your dunning letters have been unsuccessful and, in your view, the claim is undisputed. The law does not prescribe a specific number of prior dunning letters. Even so, an amicable solution, such as payment in instalments, is often the quicker route.
How the dunning procedure works
1. Submit the application
You submit the application to the central dunning court responsible for your place of residence or business. The dunning courts of the federal states offer an online application for this at mahngerichte.de. Lawyers and debt collection service providers must submit the application in machine-readable form (§ 702 ZPO).
In the application, you state, among other things:
- your details and those of the debtor, with an address for service
- the claim, with invoice number and date
- the principal claim, interest and costs incurred so far, such as dunning costs
2. The court issues the court payment order
The dunning court only checks whether the application is formally correct. It does not check whether you are actually entitled to the claim. The Mahnbescheid expressly points this out (§ 692(1) ZPO). The court then serves the order on the debtor.
3. Two-week deadline for the debtor
After service, the debtor has two weeks to pay the claim or lodge an objection. If they object, the dunning procedure ends. On application, the matter is then referred to the trial court, followed by normal litigation.
4. Apply for the enforcement order
If the debtor does not respond, you apply for the Vollstreckungsbescheid. You have six months from service of the Mahnbescheid to do so. If you miss this deadline, the Mahnbescheid loses its effect (§ 701 ZPO).
The debtor can lodge an objection against the enforcement order once more within two weeks. If they do not, the enforcement order becomes final.
5. Enforcement
The Vollstreckungsbescheid is an enforceable title. With it, you can, for example, instruct a bailiff or apply for a bank account garnishment. As a rule, you can enforce a title for 30 years.
Court payment order: costs at a glance
Court costs
For the dunning procedure, half a court fee is charged under the Gerichtskostengesetz (GKG, Court Fees Act) (No. 1100 KV GKG). The amount depends on the value in dispute, i.e. your principal claim. According to the dunning courts, the minimum fee is currently 38 euros. For higher claims, the fee increases in stages. You can calculate the exact amount for your claim with the cost calculator at mahngerichte.de.
In the automated procedure, court costs are generally charged after or upon issue of the Mahnbescheid. The court only issues the enforcement order once the costs have been paid.
Lawyers' fees
You do not need a lawyer for the dunning procedure. If you instruct one anyway, fees are charged under the Rechtsanwaltsvergütungsgesetz (Lawyers' Remuneration Act), which are also based on the value in dispute.
Who bears the costs?
If your claim is justified and the debtor is in default, you include the costs of the procedure in the Mahnbescheid. You pay them yourself at first, but recover them from the debtor together with the principal claim, to the extent that enforcement is successful. With insolvent debtors, this risk remains with you.
When is a court payment order worthwhile?
The Mahnbescheid is suitable if
- the claim is undisputed and the customer simply does not pay,
- you want to obtain a title quickly and cheaply,
- you want to suspend the limitation period, since service of the Mahnbescheid suspends limitation.
It is less suitable if your customer has already complained about your work or goods. In that case, an objection is to be expected, and the matter will end up in court anyway.
Keeping track of unpaid invoices
The sooner you notice outstanding items, the less often you will need the courts. In faktoora, you generate dunning letters for overdue invoices directly from the invoice overview, adapt the dunning texts and see the dunning status of every invoice at a glance. You can find the instructions under Creating dunning letters. You keep an overview of your outgoing invoices under Outgoing invoices.
Note: This article is for general information purposes and does not replace legal advice.
Frequently asked questions
How much does a court payment order cost?
The court fee is half a fee under the Gerichtskostengesetz, depending on the amount of the claim, and is currently at least 38 euros. Lawyers' fees are only added if you instruct a lawyer.
Who pays the costs of the court payment order?
Initially you, as the applicant. You include the costs in the Mahnbescheid and claim them back from the debtor together with the principal claim.
How long does the debtor have to lodge an objection?
Two weeks from service of the Mahnbescheid. Against the subsequent enforcement order, they have another two weeks to lodge an objection.
What is the difference between a dunning letter and a court payment order?
You write the dunning letter yourself; it is an out-of-court step. The Mahnbescheid is issued by the dunning court at your request and is the first step in the court procedure.
Do I have to send three dunning letters before applying for a court payment order?
No. The law does not prescribe a number of dunning letters. It makes sense for the debtor to be in default, however, so that you can claim interest and costs.