What if the company owes money to the supplier?

The Company's treatment methods for suppliers' arrears are as follows:

1. The supplier can negotiate with the company about the payment owed by the company to the supplier;

2. If negotiation fails, the supplier may bring a lawsuit to the people's court. The recovery of arrears involves the limitation of action and should be prosecuted as soon as possible.

How to sue if the other party defaults on the payment;

1, prepare materials and collect evidence;

2. Bring your ID card and related materials to the court for filing;

3. After filing a case, the creditor shall submit evidence favorable to him within the validity period of proof;

4. Participate in the trial and wait for the court's judgment;

5. If the debtor fails to perform the judgment, the creditor may apply to the court for enforcement.

Legal basis: Article 188 of the Civil Code of People's Republic of China (PRC).

The limitation period for requesting protection of civil rights from the people's court is three years. Where there are other provisions in the law, those provisions shall prevail.

The limitation period of action shall be counted from the date when the creditor knows or should know that the right is damaged and the debtor knows it. Where there are other provisions in the law, those provisions shall prevail. However, the people's court shall not protect the rights that have been damaged for more than 20 years. Under special circumstances, the people's court may decide to extend the time according to the application of the obligee.

Article 189

If the parties agree to perform the same debt by stages, the limitation period of action shall be counted from the date when the last performance period expires.