Payment Terms Legislation In Bulgaria

The Commerce Act enacts the EU Late Payment Directive (see European Union for details). Additionally Article 303a, Sec. 3 Commerce Act, Bill for Amendment and Supplementation of the Commerce Act limits default terms in the absence of an agreement to 14 days from the date of receipt of the invoice, or from the date of delivery of the goods or services.

Amendments to the Competition Protection Act in 2021 enact the EU UTP in the supply chain directive (see European Union for details). Specifically Chapter Seven “b“. This replaces the previous terms regulation in The Food Act of 1999 which was repealed. In addition a single maximum payment term for all agricultural goods is set at 30 days, while buyer and supplier tiers are set in Bulgarian Lev.

The Ethical Code by the Bulgarian Chamber of Commerce promotes the broad principles of fair market relationships and competition.

The default and maximum interest on late payments is the main interest rate of the Bulgarian National Bank, set on 1 January and 1 July, plus 10%.