Spain enforces record-low payment terms in road transport
The payment observatory data is compiled monthly by the Spanish transport organization Fenadismer in cooperation with the Quijote Foundation. The latest statistics confirm a positive trend in reducing payment delays throughout 2024.
"In December, the average payment term was 63 days--20 days shorter than in 2021, when the late payment sanctions system in the road transport sector was introduced," the Spanish association stated in an official announcement.
In the last month of 2023, the proportion of shippers and intermediaries failing to pay for transport services within the legally permitted 60-day period fell to 48%. Among those in arrears, 73% delayed payments by 60 to 90 days, while 6% had outstanding payments between 90 and 120 days.
This marks a significant improvement from 2022, when more than 20% of payments were overdue by this extent.
Credit rating downgrades
Fenadismer also highlights that agencies specializing in corporate solvency assessments are lowering the ratings of companies fined for failing to meet transport payment deadlines.
"The economic sanctions imposed on shippers and intermediaries who do not comply with road transport payment regulations are now accompanied by an additional penalty. The leading corporate solvency assessment agencies downgrade the ratings of companies listed on the Ministry of Transport's blacklist of transport debtors, which is published every six months," Fenadismer stated.
Tougher penalties and public blacklist
In October 2021, Spain introduced legislation imposing fines for late payments in the transport sector.
- The standard fine for overdue payments is EUR6,000.
- For repeated violations, fines can reach up to EUR30,000.
Under Spanish law, exceeding the statutory payment deadline is classified as a serious breach if the debtor is not a consumer and the transport cost is EUR3,000 or less. If the transport cost exceeds EUR3,000, the violation is considered very serious.
Fine structure for late payments
The penalties for overdue payments depend on the amount due:
- EUR401 to EUR600 for transport costs below EUR1,000
- EUR601 to EUR800 for transport costs between EUR1,000 and EUR1,500
- EUR801 to EUR1,000 for transport costs between EUR1,501 and EUR3,000
- EUR1,001 to EUR2,000 for transport costs between EUR3,001 and EUR4,000
- EUR2,001 to EUR4,000 for transport costs between EUR4,001 and EUR6,000
- EUR4,001 to EUR6,000 for transport costs above EUR6,000
- EUR6,001 to EUR18,000 if the offender has previously been sanctioned for another very serious violation within the past 12 months.
If a payment delay significantly impacts the creditor's solvency or exceeds the legal deadline by more than 120 days, the fine may be increased to EUR30,000.
Since the introduction of this special law (lex specialis), the Spanish Ministry of Transport has regularly published a list of companies fined for exceeding legal payment deadlines.
The most recent list, from November 2023, included 548 companies, which received 626 sanctions totaling EUR1.95 million.
The fines ranged from EUR701 to a maximum of EUR32,000.