Temporary court supervisor - who pays the costs and when?


A temporary court supervisor is a court-appointed person who appears in pending bankruptcy proceedings. As the name suggests, the main purpose of the institution of a temporary court supervisor is to supervise the debtor's activities that go beyond the activities of day-to-day management, and to prepare a list of receivables. First of all, such a supervisor ensures that the debtor does not sell his property during the pending proceedings.

What are the rights of the interim court supervisor?

Temporary court supervisor who, under the provisions of the bankruptcy and reorganization law, is entitled to reimbursement of necessary expenses incurred in connection with the performance of activities, if such expenses are recognized by a judge. There is no doubt that the judicial supervisor should be adequately remunerated for his work. At this point, it is necessary to consider who and in what circumstances cover the costs of establishing and performed activities by the temporary court supervisor.

Under the provisions of the Commercial Companies Code, if enforcement against the company proves ineffective, the members of the management board are jointly and severally liable for its obligations. In one of its judgments, the Supreme Court confirmed the compliance of the provision of the Code of Court Companies, stating that "Obligations for the remuneration of a temporary court supervisor, not enforced from a limited liability company for which the bankruptcy petition was dismissed, are covered by the expected liability of the members of the management board". However, a member of the board of directors has the option of discharging himself from this liability. For this to happen, he must prove that:

  • a bankruptcy petition has been filed in due time, or

  • arrangement proceedings have been initiated, or

  • failure to file a petition for bankruptcy and initiation of arrangement proceedings was not clearly attributable to him or,

  • despite the failure to file a bankruptcy petition and the initiation of arrangement proceedings, the creditor did not suffer any damage

Temporary judicial supervisor and related costs

The main problem related to the liability for the company's debts and, consequently, to covering the costs related to the establishment and operation of a temporary court supervisor is the answer to the question whether the liability of members of the management board of a limited liability company provided for in the provisions of the Commercial Companies Code extends to the obligations that arose after the bankruptcy petition has been filed, including the obligation for the remuneration of the temporary court supervisor, in the event of dismissal of the bankruptcy petition.

Any doubts in this matter were dispelled by the Supreme Court, which finally ruled that the members of the management board of the limited liability company may be held liable for obligations related to the remuneration of temporary court supervisors under the Commercial Companies Code, if they were not enforced from the company in the course of the proceedings.