When to use it
Use it when a customer fails to pay for goods over which you have retained title — and above all if they are heading for bankruptcy. It is the difference between receiving a 0 % dividend as an ordinary unsecured creditor and getting your machine back. Retention of title is the cheapest security there is, and the most overlooked: it costs nothing to agree, but it has to be in place before the goods leave your door.
It has to be right
The wording is rarely the problem. It is the deadline, the fee and what the letter leaves out — and the mistake costs you the expenses, not the debtor.
- The retention of title must be agreed NO LATER THAN at delivery — not afterwards, and not on the invoice alone
- The goods must be identifiable and must not have been consumed or built into something else
- Act fast. If the goods have been resold or have disappeared, the retention of title is worthless
- If the debtor has gone bankrupt, the demand must be addressed to the trustee (kurator) — not to the company
How to fill it in
Most placeholders are trivial. These are not.
- The identification
- Serial number, chassis number, type. If the goods cannot be identified unambiguously, you cannot demand those particular items back — and the retention of title is then worthless in practice.
- The evidence of the retention of title
- Enclose the terms of trade AND the proof that the customer accepted them before delivery. That is what the whole claim stands or falls on.
- The recipient
- If a bankruptcy order has been made, the letter goes to the trustee (kurator), not to the company. The debtor has lost the right to dispose of their assets.
Frequently asked questions
Can I collect the goods myself?
No, not without more. If the goods are not handed over voluntarily, repossession must go through fogedretten (the bailiff's court). Taking the law into your own hands is not an option — not even when you are in the right.
What if the goods have been resold?
As a rule the retention of title is then lost as against a good-faith purchaser, and you are back to being an ordinary unsecured creditor. That is why speed is everything here.
Legal disclaimer. The template is generic and free to use. It is not legal advice and does not take account of the circumstances of your particular case. Rates, deadlines and statutory references change — check them before you use the document. If the claim is large, disputed or heading for court, call us before you send anything.