Linda 1: debt instalments and consequences of delay

The association’s debt settlement combines instalments, payment of current invoices and consequences of breaching the schedule.

KÜ Linda 1 (now — Narva linn, Linda tn 1 korteriühistu) brought a debt claim against XX. The court approved a settlement and terminated proceedings without a separate decision on the merits of the original claim. XX acknowledged principal and accrued late-payment interest. The agreement provides for monthly payments over 23 months, permits early payment and includes reimbursement of 395 euros in the association’s procedural costs. The association waived further late-payment interest if the agreement is complied with. Current invoices must be paid separately from the instalments. A late instalment allows enforcement of the entire debt with late-payment interest; 0.1% per day applies to the amount that has become due. Performance of the agreed obligation settles the mutual claims in this case. Costs were allocated according to the settlement; the association’s unlisted costs and XX’s costs remain with each participant. The court made no separate monetary costs assessment because the participants did not request one. A refund of half the state fee will be decided by a separate order after this order’s entry into force. The parties shortened the time for an interlocutory appeal to 2 days after service; the court also stated an outer limit of five months after the order. Performance of the schedule is not established.

The instalment settlement was approved and proceedings terminated. Delay allows enforcement of the debt with late-payment interest of 0.1% per day on the amount that has become due. Costs follow the settlement; the state-fee refund is decided separately.