Judgment_paragraph 29 · M. sp. z o.o. I. S.K.A. v R.W (C-725/23)

29It thus follows from Article 1(1) of Directive 2011/7, read in the light of recital 3 thereof, that the directive aims not only to discourage late payment, by preventing it from being financially attractive to the debtor because of the low level or absence of interest charged in such a situation, but also to protect the creditor effectively against such late payment, by ensuring that he or she is compensated as fully as possible for the recovery costs he or she has incurred. In that respect, recital 19 of that directive states that recovery costs should also include the recovery of administrative costs and compensation for internal costs incurred due to late payment and that compensation in the form of a fixed sum should aim at limiting the administrative and internal costs linked to the recovery (judgments of 20 October 2022, BFF Finance Iberia, C‑585/20, EU:C:2022:806, paragraph 36 and the case-law cited; of 1 December 2022, DOMUS-Software, C‑370/21, EU:C:2022:947, paragraph 27; and of 1 December 2022, X (Deliveries of medical products), C‑419/21, EU:C:2022:948, paragraph 36).

M. sp. z o.o. I. S.K.A. v R.W (C-725/23)

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