Abstract

Regulation (EU) No 655/2014 of the European Parliament and of the Council of 15 May 2014 establishing a European Account Preservation Order procedure to facilitate cross-border debt recovery in civil and commercial matters introduces many revolutionary changes as regards cross-border securing of claims in a debtor’s bank account maintained in another Member State. The currently applicable regulations significantly differentiate the position and entitlements of a debtor in relation to domestic and foreign creditors, thus causing disruptions in the functioning of the internal market. The Regulation has totally abandoned the procedure of recognizing a securing order and finding it enforceable, replacing the measures so far available in national legal systems of Member States with an Account Preservation Order issued as a result of a uniform EU procedure. A creditor will be able to get a preservation order in the proceedings without debtor’s knowledge, thus benefitting from the so-called surprise effect. The Commission failed to force through initially proposed changes in the procedure of disclosing information on debtor’s bank account; on the other hand, a broad range of instruments to protect debtors against creditors’ abuse has been elaborated. The Regulation shall apply from 18 January 2017.