Definition and scope of the EuKoPfVO
The “EuKoPfVO,” short for European Account Preservation Order Regulation, refers to the Regulation (EU) No. 655/2014 of the European Parliament and of the Council of 15 May 2014 establishing a procedure for the European Account Preservation Order to facilitate cross-border debt recovery in civil and commercial matters. The regulation has been applicable since 18 January 2017 and forms an integral part of the European area of justice by providing a unified procedure for cross-border account preservation within the EU. It is directly valid in all Member States of the European Union except the United Kingdom and Denmark.
Objective and background
The main aim of the EuKoPfVO is to facilitate and improve cross-border enforcement of debts within the internal market. It is intended, in particular, to enable creditors to obtain provisional account preservation orders quickly and effectively, to prevent debtors from moving their funds before enforcement. The Regulation supplements national and existing Union law and introduces a standardized procedure for the provisional attachment of bank accounts.
Conditions for application and material scope
Personal and territorial scope
The EuKoPfVO applies to cross-border civil and commercial claims—that is, where the relevant bank account is held in a different Member State than the court or the creditor. Claims arising from family, inheritance, or insolvency proceedings are excluded.
Requirements for issuing an account preservation order
A provisional account preservation order may be applied for in accordance with the EuKoPfVO if there is a monetary claim and the debtor’s account(s) are located in an EU Member State other than the court where the application is filed. The creditor must set out the factual circumstances of the claim, the urgency, and any flight risk on the part of the debtor.
Procedural steps under the EuKoPfVO
Application procedure
The application for the issuance of a provisional account preservation order is generally to be filed with the competent court in the EU. The Regulation provides standardized application forms for this purpose. The application can be submitted either before the initiation of the main proceedings (“ex parte”) or during an ongoing court case.
Decision-making procedure
The court examines whether the legal requirements are met. A summary examination is carried out, with debtors generally not involved (“order without hearing”), in order to maintain the element of surprise and minimize the risk of account clearing. The decision is to be made, where possible, within ten working days after receipt of the application.
Enforcement and execution
After the order has been issued, the issuing court forwards the account preservation order to the enforcement authorities or banks in the target Member State. The banks are then required to freeze the accounts up to the amount of the claim. The enforcement authorities must report both the successful seizure and the amounts seized.
Legal protection and fundamental rights safeguards
Notification and legal remedies for debtors
After the attachment has been executed, the debtor is informed by the bank about the order. Various legal remedies are available, such as objections or requests for the release of exempt amounts. The competent court may also be petitioned to lift or amend the order. This is intended, among other things, to ensure the debtor’s right to be heard is respected.
Relationship with national law
The EuKoPfVO supplements existing national attachment regulations but takes precedence over them within its scope of application. However, issues such as account management procedures or the protection of social benefits are not harmonized; national provisions in these areas continue to apply unless superseded by the Regulation.
Further particularities and legal implications
Obtaining account information
A significant innovation is the access to information: For the first time, the Regulation allows creditors, under strict conditions, to obtain information about the debtor’s bank accounts via the court. This significantly strengthens the enforcement of cross-border claims.
Fees and costs
Any costs associated with applying for, issuing, and enforcing an account preservation order are to be borne by the creditor. The amount varies according to the national law of the respective Member State involved. In the final settlement, reimbursement can be sought from the debtor.
Data protection aspects
The EuKoPfVO provides for specific data protection measures, especially regarding the transmission of account details and within the procedures for obtaining account information.
Significance of the EuKoPfVO for European enforcement practice
With the introduction of the EuKoPfVO, a uniform, straightforward instrument has for the first time been created at the Union level to safeguard cross-border civil monetary claims. This significantly increases legal certainty and the effectiveness of enforcement within the European internal market.
Literature and further information
* Regulation (EU) No. 655/2014 of the European Parliament and of the Council of 15 May 2014
* European Commission, Overview and Guidelines on the EuKoPfVO
* Federal Ministry of Justice – Information on the implementation of the EuKoPfVO
* Official Journal of the European Union, L 189/59, 27.06.2014
Summary
The EuKoPfVO represents a significant advancement in the cross-border enforcement of civil monetary claims within the European Union. It provides an effective, fast, and relatively straightforward process for securing financial claims across national borders, thereby making a considerable contribution to the functioning of the internal market.
Note: This article provides a detailed and comprehensive overview of the EuKoPfVO, with particular emphasis on the legal foundations, scope of application, procedural steps, and key aspects to be considered.
Frequently asked questions
When is the EuKoPfVO applicable, and to which claims does it apply?
Regulation (EU) No. 655/2014 on the procedure for account preservation (EuKoPfVO) applies to cross-border civil and commercial cases where a creditor seeks to secure a claim against a debtor by freezing bank accounts. It is applicable exclusively to monetary claims, not to tax, administrative, or family law claims. The applicability requires that the account-holding financial institution or the debtor’s domicile be in a different Member State of the European Union than the court processing the application. Claims for which a judgment, court settlement, or enforceable instrument already exists, as well as undisputed and disputed claims before acquiring a judicial decision, may be subject to a European Account Preservation Order. However, the Regulation does not apply to Denmark and the United Kingdom.
Which court has jurisdiction to grant a European Account Preservation Order?
Jurisdiction under the EuKoPfVO is generally determined by the court which is competent for the main proceedings, or which has already issued an enforceable title. According to Article 6 EuKoPfVO, an application for a European Account Preservation Order may be lodged with the court competent for the main action if no decision has yet been made. If an enforcement title already exists, jurisdiction may also be based on the place where the title was issued. These regulations ensure that applicants do not have to pursue multiple court proceedings, and that there is a close connection between the main matter and the protective measure.
What requirements apply to an application for an account preservation order?
The application for a European Account Preservation Order must comply with numerous formal and substantive requirements pursuant to Article 8 EuKoPfVO. The application must be submitted in the form provided in Annex I of the Regulation and must include, among other things, information on the parties, subject matter, claim, and account to be attached. In addition, the applicant must provide credible evidence of urgency and the actual existence of a claim. The applicant must affirm that the measure is necessary because, without it, the later enforcement of the claim would be at risk. Incomplete or incorrect information may result in rejection of the application.
What rights does the debtor have in proceedings under the EuKoPfVO?
Although the EuKoPfVO procedure is generally conducted ex parte, i.e. without prior hearing of the debtor, the Regulation provides for post facto legal remedies in favor of the debtor. After delivery of the order, the debtor is promptly informed of the attachment and has the right, under Articles 33 et seq. of the Regulation, to file a legal remedy. This includes in particular the possibility to request the lifting or amendment of the order, or the release of exempt amounts. Additionally, protective mechanisms are in place to prevent the freezing of all bank assets, such as the consideration of allowances or subsistence minimum amounts under national law.
How are account preservation orders issued under the EuKoPfVO enforced in other EU Member States?
The EuKoPfVO provides a unified and directly enforceable procedure, meaning that an account preservation order issued under the EuKoPfVO is recognized and enforced in all Member States (except Denmark) without a special declaration of enforceability (exequatur). Enforcement follows by service of the order, together with the necessary translations, to the financial institution in the state of enforcement. The financial institution is required to freeze the amount available in the relevant account and to declare the attachable amount. This greatly facilitates cross-border enforcement of claims and accelerates procedures.
What protective mechanisms for third parties and debtors exist under the EuKoPfVO?
The EuKoPfVO contains numerous protective provisions for the benefit of unrelated third parties as well as the debtor. It expressly provides that only the amount of the titled claim, including interest and costs if applicable, may be frozen. Third parties whose rights are affected by the attachment, such as joint account holders or lawful third-party owners of account balances, may seek judicial protection against the order. The Regulation also obliges creditors, in their application for account preservation, to list all known debtor accounts and to provide truthful information, to prevent unjustified infringements of third-party rights.
How does the EuKoPfVO relate to national protective and enforcement procedures?
The EuKoPfVO exists alongside national laws of the Member States and does not create an exclusive regime. This means that creditors may still choose between national attachment procedures and the European Account Preservation Order. The Regulation thus supplements the existing range of instruments for creditors but makes it clear that national protective mechanisms, exemptions from enforcement, and procedural rights continue to apply as long as they do not conflict with the Regulation. If national law provides for more extensive debtor protection, it remains in force to ensure a balanced system of cross-border protective measures.
