Debt Recovery & Contract Disputes in the Canary Islands – Legal Options for Foreigners

From tourism businesses to real estate transactions, the Canary Islands host a wide range of foreign investors, freelancers, and property owners. But what happens when you’re not paid or a deal is broken? This article explains how foreigners can recover debts or resolve contract disputes in the Canary Islands, even from abroad.


📄 1. Common Conflicts Involving Foreigners

Some of the most frequent cases include:

  • 🧾 Unpaid rent, invoices, or service fees

  • 🏘️ Breach of real estate contracts (arras or purchase agreements)

  • 🛠️ Construction and renovation payment disputes

  • 💼 Business disagreements or non-performance

  • 💰 Personal loans between private parties

📌 These issues are especially common in Tenerife, Gran Canaria, Lanzarote, and Fuerteventura, where foreigners often rent, build, or invest.


⚖️ 2. Legal Procedures for Debt Recovery

Monitorio (Fast-Track Debt Procedure)

  • Ideal for undisputed claims (e.g., unpaid invoice or rent)

  • Requires basic proof: contract, invoice, delivery confirmation

  • If the debtor fails to respond within 20 business days, the court grants judgment

🧑‍⚖️ Ordinary Civil Litigation

  • Necessary for disputed or complex cases

  • Suitable for broken agreements or contested payment obligations

  • May involve oral hearings and judicial enforcement

📍 All cases are handled by the Juzgados de Primera Instancia on the island where the dispute arose.


📑 3. What You’ll Need to Start

To initiate your case:

  • 📄 Signed contract, invoice, or agreement

  • 📧 Emails, messages, or communications proving the relationship

  • 💸 Proof of payment or non-payment

  • 🪪 Passport and NIE (if available)

  • ✍️ Power of Attorney (POA)

  • 📜 Sworn translations for documents not in Spanish

✅ Organizing your paperwork increases the speed and chances of recovery.


🌍 4. Can You Litigate Without Being in the Canary Islands?

Yes — most foreign claimants manage everything remotely:

  • ✍️ Grant POA to a trusted Canary Islands lawyer

  • 📩 Submit your documentation online or by courier

  • 🧾 Let your lawyer handle all procedural filings and court appearances

  • 📬 Receive updates in your preferred language

✅ No need to fly to Spain or attend court in person.


👨‍💼 How Borderless Lawyers Supports Foreign Clients

We provide:

  • ⚖️ Experienced debt recovery and litigation lawyers on every island

  • 🌍 Legal services in English, Dutch, French, and German

  • ✍️ POA drafting and notarization abroad

  • 📁 Remote case filing and enforcement

  • 💼 Strategic representation in both simple and high-value claims


📩 Conclusion & CTA

Don’t let unpaid debts or contract breaches in the Canary Islands go unresolved. With the right legal partner, you can recover what you’re owed from anywhere in the world.

👉 Need help recovering a debt or enforcing a contract in the Canary Islands?
Reach out to Borderless Lawyers — and we’ll match you with a litigation expert experienced in helping foreign clients protect their rights across the islands.

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