I would like to have a question that in Switzerland what is the base and the legal background for the interest on late payment between two companies?
A hungarian company and a company registerd in Iceland has concluded an agreemenet by and between, and the swiss law is binding for its agreement and service.
The hungarian company issued its invoice in EUR currency to the Iceland company.
The Iceland company has not paid the invoice in time, so the hungarian compay would like to claim its interest on late payment. The binding law is the Swiss.
1) What is the interest rate I have to use?
2) What is legal background ?
Swiss Code Civil?
Part Five http://www.admin.ch/ch/e/rs/2/220.en.pdf
Art. 73 1 Where an obligation involves the payment of interest but the rate is not set by contract, law or custom, interest is payable at the rate of 5% per annum.
Thank you for your answers!!