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Photo: José Luis Gálvez, CC BY-SA 2.5, via Wikimedia Commons

Spain officially names and shames companies who fail to pay hauliers on time

The Spanish Ministry of Transport is about to publish the list of companies that have been sanctioned for failing to pay hauliers on time, announced the road transport organisation Fenadismer. Fines for failing to pay on time can reach up to €30,000 in Spain.

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In the coming days, in accordance with the provisions of Law 13/2021, which approved this sanctions regime, the Ministry of Transport will publish the list of offending companies that have been definitively sanctioned.

The Ministry expects that the forthcoming publication of the list of late-paying companies will increase transparency and accountability in the road transport sector, promote fair business practices and encourage timely payments.

The news was released in line with the latest results of the Permanent Observatory on Late Payments and Payments in the Spanish Road Transport Sector for May. The data show a slight increase in payment times, with hauliers experiencing an average delay of 70 days. However, this figure remains below the levels observed at the beginning of the year, Fenadismer adds.

According to the figures, 22% of shippers paid hauliers after more than 120 days, 27% between 90 and 120 days and 51% less than 90 days.

The Permanent Observatory on Late Payments adds that although there was a slight increase in payment periods in May compared to the previous month, this is still below the average of 75 days recorded at the beginning of the year.

In terms of preferred payment methods for transport services, bank transfer remains the most common, accounting for 70% of transactions. Confirmation follows with 25%, while promissory notes account for 4% of payments and cheques for less than 1%.

Tough Spanish late payment laws from 2021

Fines of up to €6,000 for late payment of road transport services will come into force in Spain in October 2021, following a long fight for such legislation by the national road transport organisation.

The need for such regulation became apparent after the Spanish transport union federation, Fenadismer, reported that 65% of hauliers’ customers were late in paying for services in August 2020. The average time to payment was 85 days, with as many as 72% of the ‘late payers’ significantly exceeding the 90-day payment deadline.

The amendment to the Road Transport Act, which introduced sanctions for late payment (i.e. exceeding the 60-day payment deadline) last year, provides for the following fines

  • a fine of between €601 and €800: if the price of the transport is between €1,000 and €1,500.
  • a fine of between €801 and €1,000: if the price of the transport is between €1,501 and €3,000.
  • a fine of between €1,001 and €2,000: if the price of the transport is between €3,001 and €4,000
  • a fine of between €2,001 and €4,000: if the price of the transport is between €4,001 and €6,000
  • a fine of between €4,001 and €6,000: if the price of the transport exceeds €6,000.

In addition, a fine of between €6,001 and €18,000 may be imposed if the person responsible has already been convicted of another very serious offence in the previous 12 months.

Finally, the amount of the fine may reach €30,000 if it is considered that “the conduct significantly affects the creditor’s capacity and financial solvency or the maximum legal payment period provided for in the provision has been exceeded by more than 120 days”.

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