Bankruptcy Law

Under Article L. 631-12 of the Commercial Code, the court initiating the insolvency procedure may appoint one or more receivers to manage the business, either wholly or in part. The receiver is then entrusted with a mission that the law and case law refer to interchangeably as “administration” or “representation ”. These two terms are equivalent and mean that the receiver exercises the powers gran …

Business administration

Under Article L. 631-12 of the Commercial Code, the court initiating the insolvency procedure may appoint one or more receivers to manage the business, either wholly or in part. The receiver is then entrusted with a mission that the law and case law refer to interchangeably as “administration” or “representation ”. These two terms are equivalent and mean that the receiver exercises the powers granted to the debtor by Articles L. 622-7, II, and L. 622-8(3) of the Commercial Code . Consequently, the receiver is the only person empowered to carry out serious acts authorized by the bankruptcy judge and to propose substitutions of guarantees.

As part of his administrative mission, the receiver may tacitly ratify a legal act performed by the debtor alone. Consequently, Dailly assignments signed by a debtor in receivership cannot be annulled in the presence of a letter from the receiver in charge of representation, who testifies to having received a copy of all the transactions and to having given his implicit agreement . On the other hand, the notification of a seizure-attribution to a debtor in receivership cannot be considered lawful on the grounds that it was made in the legitimate ignorance of the identity of the bodies involved in the collective procedure, since a receiver had been appointed and it was up to the creditor to find out about the scope of his mission .

In addition, when the receiver's mission is to manage the business, he or she is entitled to appeal against the bankruptcy judge's decisions on the verification and admission of claims . Similarly, he alone must be called into question when an employee whose claim does not appear in full or in part on a statement takes his case to the labor court . It is also the only party liable when, on the contrary, the employee's claim appears on the statement of claims, but AGS refuses to pay it .

Invested with a mission of administration, he is bound to respect the legal and contractual obligations incumbent on the debtor . However, if the debtor performs acts outside the scope of his statutory powers without his consent, he continues to incur criminal liability .

Finally, when the debtor's sales exceed three million euros excluding taxes, and he employs at least twenty people , Article L. 631-12 of the Commercial Code requires the court to appoint one or more experts to assist the receiver in his mission. In all other cases, the court simply has the option of appointing them.

Cass. com., 19 May 2021, LawLex202100005898JBJ (RJ).

Cass. com., 19 February 2002, LawLex202100001100JBJ (RJ).

Cass. crim., 12 June 1996, LawLex202100001922JBJ (RJ).

C. com., art. R. 621-11, applicable by reference to Art. R. 631-16.

Bankruptcy Law

361. Business administration

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361. Business administration

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Les décisions de justice citées dans ce paragraphe :

Les notions juridiques connexes

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