Ad hoc mandate

Verified 06 October 2026 - Entreprendre Service Public / (Prime Minister)

The ad hoc mandate is a procedure for preventing company difficulties. It allows a company that is not cessation of payments ask the court to appoint an ad hoc agent to negotiate amicably with the company's creditors (tax, social security, suppliers, bankers, lessors, etc.). The use of this procedure is confidential and fee-paying.

All companies (including the micro-entrepreneur) irrespective of their size or turnover may use the ad hoc mandate.

They must not not be in cessation of payments.

The company may use the ad hoc mandate when it is in one of the following situations:

  • Economic difficulties (e.g. loss of a market)
  • Financial difficulties (e.g. late payment of social security contributions or taxes, difficulty in repaying a credit)
  • Social difficulties (for example, litigation between partners).

Please note

If the company is in cessation of payments since less than 45 days, it may resort to conciliation procedure. This procedure makes it possible to obtain an agreement with the main creditors.

Only the leader the company in difficulty (individual entrepreneur or legal representative of the business) may request the appointment of an ad hoc representative. To do so, he must file an application with the court where the company has its registered office.

The procedure depends on the nature of the activity carried out:

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Commercial or craft activity

The application for designation (or request) of an ad hoc representative shall be made by completing the following document:

Request for the appointment of an ad hoc representative

This form, dated and signed, specifies in particular the following items :

  • Presentation of the company (activity, job, turnover and results)
  • Economic, financial and social difficulties and financing needs
  • Remedial measures envisaged (e.g. payment delays and debt forgiveness)
  • Name of the ad hoc representative (if the Head of company wishes to propose one)

You must attach the following documents :

  • Extract Kbis or proof of registration in RNE: titleContent
  • Status of receivables and debts with a timetable and a list of the main creditors
  • State active and passive of collateral and off-balance sheet commitments
  • Annual accounts
  • Funding table, situation of available and realizable assets (excluding operating values) and liabilities due for the last 3 fiscal years (if these documents have been prepared)
  • Certification of Honor certifying the absence of a state of cessation of payments

Once completed, the application for designation is transmitted in one of the following ways:

  • Either online through the Digital Tribunal:

Digital Court

  • Either deposited or sent in 2 copies at the registry of the commercial court or the tribunal des activités économiques of the place where the company has its seat
Who shall I contact

FYI  

Since the 1er January 2025, the commercial courts of 12 cities are replaced by tribunals of economic activities (TAE) for the treatment of amicable procedures (ad hoc mandate, conciliation) and collective proceedings. The courts of the following cities are concerned: Avignon, Auxerre, Le Havre, Le Mans, Limoges, Lyon, Marseille, Nancy, Nanterre, Paris, Saint-Brieuc and Versailles.

The Department of Justice provides a simulator to determine the competent court:

Know the competent court for the procedures of prevention or treatment of difficulties

Liberal activity

The application for designation (or request) of an ad hoc representative shall be made by completing the following document:

Request for the appointment of an ad hoc representative

This form, dated and signed, specifies in particular the following items :

  • Presentation of the company (activity, job, turnover and results)
  • Economic, financial and social difficulties and financing needs
  • Remedial measures envisaged (e.g. payment delays and debt forgiveness)
  • Name of the ad hoc representative (if the Head of company wishes to propose one)

You must attach the following documents :

  • Proof of registration at RNE: titleContent
  • Status of receivables and debts with a timetable and a list of the main ones creditors
  • Active state and passive of collateral and off-balance sheet commitments
  • Annual accounts
  • Funding table, situation of available and realizable assets (excluding operating values) and liabilities due for the last 3 fiscal years (if these documents have been prepared)
  • Certification of Honor certifying the absence of a state of cessation of payments.

This application must be filed with the court of law or the economic activities court (TAE) of the company's registered office.

Who shall I contact

Indeed, since the 1er January 2025, the courts of 12 cities are replaced by economic activity tribunals (EABs) for the handling of ad hoc mandate procedures, conciliation and collective proceedings. The courts of the following cities are concerned: Avignon, Auxerre, Le Havre, Le Mans, Limoges, Lyon, Marseille, Nancy, Nanterre, Paris, Saint-Brieuc and Versailles.

The Department of Justice provides a simulator to determine the competent court:

Know the competent court for the procedures of prevention or treatment of difficulties

Please note

The court of law still has jurisdiction for the following regulated legal professions: lawyers, notaries, judicial commissioners, commercial court clerks, judicial administrators and judicial agents.

After considering the request for an ad hoc mandate, the president of the court receives the director in order to collect its comments on the company situation.

At the end of the interview, the presiding judge shall make an order appointing an ad hoc representative if he considers the director's request to be justified. The appointed ad hoc representative is often a insolvency administrator.

Please note

The executive may propose the name of an ad hoc representative to the president of the tribunal.

In the appointment order, the President shall specify the following:

  • Purpose of the mission : most often, it consists in helping the head of company to negotiate an agreement with his principals creditors in order to obtain debt rescheduling.
  • Term of office : no maximum duration is provided. In practice, the ad hoc mandate lasts 3 months and can be renewed.
  • Remuneration of the ad hoc representative : the president of the tribunal sets, at the beginning of the mission, the conditions of remuneration, that is to say the criteria of remuneration, the ceiling and the provisions with the agreement of the company in difficulty. This agreement shall be in writing and annexed to the appointment order.

The decision appointing the ad hoc representative shall be communicated by registered letter with acknowledgement of receipt to the Head of company who requested it. It shall also be communicated to the External Auditor (ACC) for information if there is one in the company.

However, the Social and Economic Committee (CSE) (where it exists) or employees are not informed.

Please note

The appointment of the ad hoc representative shall not be not published. The procedure therefore remains confidential.

The objective of the ad hoc representative shall be to help the head of company to restore the situation in order to avoid cessation of payments.

For example, it will accompany the company to unblock a conflict situation, renegotiate existing contracts, amicably negotiate agreements or debt rescheduling with major creditors (bankers, tax and social agencies, suppliers, etc.). However, nothing can be imposed on creditors or partners of the company.

During the term of the ad hoc mandate, the Director shall continue to lead and manage alone his company. The ad hoc representative does not intervene in the management of the company.

Please note

During the term of the ad hoc mandate, legal actions or proceedings by creditors to obtain payment of their claims shall be maintained.

Tableau - Differences between the ad hoc mandate and conciliation

Ad hoc mandate

Conciliation

Cessation of payments

No

Not be in default of payments for more than 45 days

Speakers

The ad hoc representative shall be appointed by the President of the competent court.

Most often, the ad hoc representative is a insolvency administrator.

The Head of company may propose the name of an ad hoc representative.

The conciliator shall be appointed by the President of the competent court.

Most often, the conciliator is a insolvency administrator.

The head of company may propose the name of a conciliator.

Duration

No maximum duration

5 months maximum

Cost

It is freely determined by the parties.

The terms and conditions of the agent's remuneration shall be determined by the President of the Tribunal. The parties may agree that part of the costs of advising creditors will be borne by the Head of company in the event of an agreement.

The President of the Tribunal shall exercise control over the remuneration of the ad hoc representative.

It is freely determined by the parties.

The terms of the conciliator's remuneration shall be determined by the President of the Tribunal. The parties may agree that part of the costs of advising creditors will be borne by the Head of company in the event of an agreement.

The President of the Tribunal shall exercise control over the remuneration of the conciliator.

Objective

Mission set by the president of the court to resolve the difficulty encountered by the head of company

Foster an amicable agreement between the head of company and his main creditors

OR prepare the partial or total transfer of the company (pre-negotiated transfer)

Confidentiality

Yes

Yes unless approved agreement. In this case, the existence of the agreement is known by the publication of a notice of judgment in Bodacc.

Suspension of creditors' proceedings

No

No, unless the president of the court has granted periods of grace at the request of the head of company

End of the procedure

  • Successful performance of the task of the ad hoc representative (agreement between partners or with creditors to spread the debts)
  • Either failure of negotiation. Possibility of moving towards a conciliation procedure or a collective procedure
  • Either a finding of agreement or an approved agreement with the creditors
  • No agreement between the head of company and the creditors. The President shall terminate the proceedings
  • Possibility of moving towards a collective procedure

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