Payment Terms Legislation In Portugal

Decree-Law 62 of 2013 on measures against delays in the payment of commercial transactions enacts the EU Late Payment Directive (see European Union for details).

Decree-Law 118 of 2010, amended by Decree-Law 2 of 2013, applies to food products intended for human consumption provided by micro and small companies. Payment periods cannot exceed 30 days following the date of receipt of the invoice or after the delivery of the goods.

The Code of Good Business Practice for the Agri-Food Supply Chain by The Portuguese Association of Distribution Companies promotes cooperation and transparency.

The Prompt Payment Commitment is a national code where large company leaders commit to pay suppliers on the agreed date and reduce late payments.

See European Union for the Directive on Unfair Trading Practices in the Food Supply Chain which was adopted on 30 April 2019.