Commerce: late payment in commercial transactions

OBJECTIVE: to combat late payment in commercial transactions. SUBSTANCE: the proposal for a Directive contains a range of measures to combat late payment in commercial transactions within the European Union. These measures apply to all delays in payment between enterprises and between the public sector and enterprises. They apply to all enterprises, whether or not in company form, and the self-employed who carry on a trade or profession of any kind. The aim of the proposal is to encourage compliance with contractual deadlines for payment, to the benefit of all enterprises. It lays down a legal framework to discourage late payment, to permit adequate compensation of creditors for late payment and to establish procedures for recovering debts or improve those which already exist to ensure that they are effective, inexpensive and rapid. Specific measures are laid down to improve the payment practices of public administrations. �