Commercial disputes and international commercial disputes in Bosnia and Herzegovina: litigation, arbitration and cross-border debt collection

Author: Azur Prnjavorac, attorney at law and mediator · Last updated: 5 September 2026

Comprehensive legal support for business: our law office provides complete legal services in the resolution of commercial disputes at the domestic and the international level. In the dynamic world of modern business, disputes can arise from unperformed obligations, disagreements over the interpretation of contracts or other business challenges. We represent companies from Bosnia and Herzegovina and from abroad, of various sizes and industries, and help them to find practical solutions to complex legal problems. We have significant experience in complex disputes with an international element, where the rules of several states and international regulations often intertwine, including the questions of the recognition and enforcement of foreign court decisions in Bosnia and Herzegovina.

An approach focused on the result and on the client’s reputation: we seek to resolve every commercial dispute efficiently, with minimal disruption to the business of our clients. We understand that resolving a dispute is not only about “winning in court”: it is equally important to preserve the good business reputation of the company and the continuity of its operations. That is why we apply a multi-layered, considered approach: we analyse the legal, financial and operational aspects of the dispute in detail through a legal analysis of the case, and advise the strategy that best protects the client’s interests in the long run. Wherever possible we try to avoid protracted litigation through negotiations or alternative dispute resolution, in order to save time and costs.

Representation and dispute resolution services

Our services in the field of commercial disputes cover all stages and all ways of resolving business disagreements. Whether it is a dispute over the non-payment of delivered goods, the termination of a contract for breach of obligations or cross-border debt collection, our team is ready to find a solution. We are particularly specialised in the following services:

• Representation in litigation. We represent clients before the courts in all kinds of commercial disputes. From the filing of the action or the defence, through representation at the hearings, to the final judgment and court enforcement, we stand by our clients throughout the civil proceedings. We know trade, contract and business law well, which allows us to represent you effectively in disputes over the collection of claims, compensation for damage, the relations between the members of a company and other complex litigation.
• Mediation and preventive legal advice. We believe that the best dispute is the one that is avoided. That is why we offer companies preventive legal advice, so that they reduce the risk of future disputes already at the stage of concluding their transactions. When a dispute nevertheless arises, we try to resolve it amicably through mediation or negotiations. As trained mediators we help the parties to reach an agreement that saves time, money and business relationships. This is particularly useful for preserving business partnerships and avoiding negative public attention.
• Contracts before a notary in the form of an enforceable deed. One of the preventive services we provide is the drafting and legal review of contracts so that they are notarially processed in the form of an enforceable deed. Such contracts have the force of a directly enforceable instrument, which means that in the event of non-performance they can be used at once to initiate enforcement proceedings before the court, without lengthy litigation. A similar security function is performed by the bill of exchange as an instrument of payment. In this way clients make sure that their contractual partners take their obligations seriously, and otherwise secure the quick collection of their claims; see also the page on enforcement proceedings.
• Arbitration. In situations in which an arbitration clause has been agreed, or in which arbitration is more suitable for resolving the dispute, we represent clients in arbitral proceedings. Arbitration is often a faster and more confidential way of resolving commercial disputes, especially in international business. Our team has experience in conducting arbitrations before arbitral institutions, applying rules such as the UNCITRAL Arbitration Rules and the Rules of Procedure of the Court of Arbitration at the Foreign Trade Chamber of BiH. We prepare the strategy, the submissions and the evidence and represent the client before the tribunal, making sure that all procedural rules are observed and the client’s interests protected; the subject is dealt with in detail on the page on arbitration in Bosnia and Herzegovina.

Which court decides commercial disputes in Bosnia and Herzegovina

Commercial disputes, that is disputes between companies and other legal persons and between sole traders in the course of their business, are decided by specialised courts or departments. In the Federation of BiH they are conducted before the commercial departments of the municipal courts, with appeals to the cantonal courts; in Republika Srpska before the district commercial courts, with appeals to the Higher Commercial Court in Banja Luka; and in the Brčko District before the Basic Court of the District. The civil procedure codes of the entities contain special provisions for commercial disputes, with shorter time limits and a stronger emphasis on documentary evidence, which is why the preparation of the case before the action is filed decides a large part of its outcome.

Disputes with an international element: jurisdiction, applicable law and the recognition of foreign decisions

When the parties to a contract come from different states, three questions come before the merits: which court or arbitral tribunal has jurisdiction, which law applies to the contract, and where the decision will be enforced. The rules of private international law of Bosnia and Herzegovina answer the first two questions where the contract is silent; a well-drafted contract answers them itself, through a choice-of-court or arbitration clause and a choice-of-law clause. Our advice is always to choose the forum whose decision will be enforceable where the debtor has most of its assets: a judgment of a court in BiH against a debtor whose assets are in Germany, or a German judgment against a debtor in BiH, must first pass through the procedure of recognition. In Bosnia and Herzegovina a foreign judgment is recognised by the cantonal court in the Federation of BiH or the district court in Republika Srpska, on the basis of the Law on the Resolution of Conflicts of Laws with the Regulations of Other Countries and the bilateral treaties on legal assistance; foreign arbitral awards are recognised under the New York Convention of 1958, to which BiH is a party. The procedure is described on the page on the recognition of foreign court decisions in Bosnia and Herzegovina. In cross-border debt collection we first assess the collectability of the claim (the debtor’s assets, its solvency, the existence of security), then choose the jurisdiction and conduct the proceedings, including enforcement against the debtor’s bank accounts, movable property and real estate in BiH.

Limitation periods for commercial claims

In commercial relations the limitation periods are shorter than in general civil law, and a claim that has become time-barred can no longer be enforced if the debtor invokes limitation. The mutual claims of legal persons from contracts on the supply of goods and services become time-barred after three years, and interest and other periodic claims likewise after three years. That is why a reminder, an acknowledgement of the debt by the debtor or the filing of the action must come in time; the filing of the action interrupts the limitation period, and a claim established by a final judgment or an arbitral award is then enforceable for ten years.

Why choose our law office

• Experience and expertise. Behind us are years of experience in complex commercial disputes, including international cases, and we follow the positions of the courts regularly through the case law of commercial law in BiH. The combination of local legal knowledge and an understanding of international standards allows us to resolve even the most demanding disputes efficiently.
• Commitment to the client. We approach every case individually, aware that the outcome of a dispute can significantly affect the client’s business. Our guiding principle is to provide reliable legal advice to the highest professional standards, in order to build a long-term relationship of trust. We keep clients regularly informed of the course of the proceedings, weigh the options together and always look for the solution that is in the client’s best interest, whether that is a quick settlement or a persistent court battle.
• International standards. In our work we follow proven practices and the ethics of the legal profession, adhering to the highest international standards. Whether a legal problem requires the application of domestic law or of international treaties, our team is equipped to provide a first-class service. The combination of local expertise and a global approach ensures that our clients receive a legal service comparable to that in the world’s leading business centres.

Related topics and regulations

More on the individual questions that most often arise alongside commercial and international commercial disputes: commercial law in BiH, corporate law, court proceedings and dispute resolution, disputes, litigation and arbitration, debt collection, withdrawal of a member from a limited liability company, company formation, administrative law and tax and financial law. The regulations and sources for this field, in Bosnian, are available on the office’s portal: the Law on Obligations of the FBiH and RS with case law, the Bosnian version of this page with the links to the Law on Civil Procedure of the FBiH, the Law on Bankruptcy of the FBiH, the regulations on default interest and the tariff of arbitration costs, and the attorney tariff of the Federation of BiH in English.