Intervention by AGS in foreign insolvencies

Balance de la justice posée sur une pile de dossiers

Supporting Legal and Insolvency Professionals

This page is designed to assist legal professionals, insolvency practitioners and employee representatives in their work.

It includes:

A detailed presentation of the applicable legal framework,
The precise conditions for AGS intervention,
The list of documents required to process your application.

To make things easier for you, we have provided a comprehensive form designed to collect all the information we need to process your application quickly.

Important: AGS only intervenes on a subsidiary basis, when the claims cannot be settled by the insolvency proceedings. It is therefore essential to provide all certificates and supporting documents demonstrating that no prior payment has been made.

General presentation

In a globalised economy, employees may be employed by companies located in other Member States of the European Union (EU) or the European Economic Area (EEA), or by companies established in third countries

The wage guarantee scheme (AGS) intervenes to ensure the payment of wage claims when the employer is recognised as being insolvent, in cases strictly provided for by national or European laws and regulations.

This scheme is governed by:

Directive 2008/94/EC on the protection of employees in the event of insolvency,
EU Regulation 2015/848 on cross-border insolvency proceedings,
Article L.3253-18-1 et seq. of the French Labour Code.

Condition for AGS intervention

Nature and location of the employee’s work

The employee usually works or worked in France (except expatriate/seconded employees).
Their work must be regular and not incidental.

Recognised state of insolvency

The employer must be in a state of insolvency under proceedings opened in an EU or EEA Member State.
The proceedings must be recognised by European regulations.

Eligible insolvency proceedings

The proceedings must appear in Annex A of Regulation 2015/848 or constitute equivalent proceedings.
The insolvency practitioner (liquidator or administrator) must be officially appointed. The latter is the only party authorised to submit a request for AGS intervention, pursuant to Article L.3253-18-4 of the French Labour Code.

Respect for the principle of subsidiarity

AGS only intervenes if the claims cannot be paid from funds resulting from the insolvency proceedings.

Scope of intervention

The 27 EU Member States

(excluding Denmark for the Regulation, but covered by the Directive).

Iceland, Norway and Liechtenstein (EEA).

The 27 Member States of the European Union as of 1 January 2025

Austria, Belgium, Bulgaria, Croatia, Cyprus, the Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Poland, Portugal, Romania, Slovakia

Cases of exclusion

Unclear Work Location

If the employee usually works outside France but is not seconded or expatriated.

Ineligible Insolvency Proceedings

If the insolvency proceedings are not covered by the applicable legislation (L.3253-18-1 of the French Labour Code).

Excluded Sectors

If the company is in a sector excluded from the regulation (insurance, credit institutions, certain financial organisations).

Already Compensated by Another Guarantee Fund

If the claims are already covered by a competent foreign guarantee fund.

Application file to be submitted to AGS

In order to process your request, it is essential that the designated insolvency practitioner sends a complete file including:

Documents relating to the insolvency proceedings

Certified copy of the judgment opening the proceedings
Proof of the appointment of the insolvency practitioner.

Documents relating to the employees

Statement of claims drawn up and signed by the insolvency practitioner. These claims are verified under the responsibility of the insolvency practitioner in accordance with the duties and powers vested in them by the applicable law.
Statements of claim filed by employees in accordance with the law applicable to the proceedings.
Proof of usual work in France for the period requested (contracts and pay slips).
Bank details and updated address for each employee (Copy of original bank details in the employee’s name).
Employee’s full social security number (NNI).

Subsidiarity certificate

Any evidence that the claims have not been satisfied by the insolvency proceedings due to insufficient funds or applicable law.

Language of evidence

Documents may be submitted in a foreign language. Translation into French may be requested to ensure understanding.

Ensemble de documents administratifs empilés

Applying for AGS assistance in the event of foreign insolvency

How do you submit your application?

Before sending the form, please ensure you do the following:

Verify that the insolvency proceedings have been duly opened and recognised,
Gather all supporting documents,
Complete each section of the form accurately,
Sign and date the document before sending.

Access the form

Mains tapant sur un clavier d’ordinateur portable affichant une boîte mail

Any questions?

Our team is at your disposal should you have any questions about the eligibility of an application or the progress of your request.

ELECTRONICALLY
Via our contact form

BY POST to:
AGS
Service Faillites Transnationales

37 Rue du Rocher
75009 PARIS

Une main tenant une enveloppe blanche sur fond bleu