Accelerated Safeguard 2026: French Fast-Track Restructuring

Accelerated Safeguard 2026: France''s Fast-Track Restructuring Procedure

Quick answer: accelerated safeguard (sauvegarde accélérée) is a French insolvency procedure governed by Articles L.628-1 et seq. of the French Commercial Code, opened at the request of a debtor engaged in a conciliation procedure when a restructuring plan is likely to receive sufficient creditor support. Maximum duration: four months (two months, renewable once). The plan is adopted by classes of affected parties and may, where applicable, be confirmed via cross-class cram-down.

Definition

Accelerated safeguard is a preventive collective procedure initially introduced by Ordinance n°2014-326 of 12 March 2014 and substantially reformed by Ordinance n°2021-1193 of 15 September 2021, which transposed EU Directive 2019/1023 (the Restructuring and Insolvency Directive) into French law. It is codified in Articles L.628-1 to L.628-8 of the French Commercial Code.

It is a fast-track variant of the standard safeguard procedure (Articles L.620-1 et seq.). Three core features distinguish it:

• it can only be opened following a conciliation procedure;
• its duration is capped at four months;
• it requires a debtor that has already prepared a restructuring plan.

The procedure follows a pre-pack logic: the plan is negotiated upstream in a confidential framework, then swiftly confirmed by the court.

Opening Conditions

1. Prior conciliation procedure

Article L.628-1 requires an ongoing conciliation procedure during which the debtor has prepared a draft plan ensuring the company''s continuity and likely to receive sufficient support from affected parties.

2. Limited cessation of payments

The debtor may be in cessation of payments for less than forty-five days when applying for conciliation. This tolerance distinguishes accelerated safeguard from standard safeguard, which presupposes the absence of cessation of payments.

3. Size thresholds

Article L.628-1 restricts the procedure to companies whose accounts are certified by a statutory auditor or prepared by a chartered accountant, and which exceed at least one of the following thresholds at the close of the last financial year:

• 20 employees;
• EUR 3 million in turnover (excluding tax);
• EUR 1.5 million in total balance sheet.

4. Debtor''s exclusive initiative

Only the debtor may apply for the opening of the procedure. Creditors, the public prosecutor and the court (acting ex officio) cannot.

Procedure and Process

Filing

The application is filed with the commercial court (tribunal de commerce) for commercial or craft activities, or with the judicial court (tribunal judiciaire) in other cases. It includes the draft plan, the list of creditors, the statement of liabilities and the conciliator''s opinion.

Opening judgment

The court rules after hearing or duly summoning the debtor, the conciliator and the main creditors. The conciliator appointed during the prior preventive procedure is, as a rule, designated as judicial administrator of the accelerated safeguard, ensuring continuity.

Immediate effects

The opening of the procedure produces effects characteristic of a collective procedure:

• stay of individual creditor enforcement (Article L.622-21);
• prohibition on paying pre-petition claims (Article L.622-7);
• continuation of ongoing contracts at the administrator''s option (Article L.622-13);
• unenforceability of ipso facto clauses triggered by the opening of the procedure.

However, certain provisions of standard safeguard do not apply, in particular those relating to the formal proof of claims, given the prepared and limited nature of the plan.

Duration and extension

The initial duration is two months, renewable once for a further two months by reasoned court decision. Total duration cannot therefore exceed four months. Failing adoption of the plan within that period, the procedure is converted into judicial reorganisation if conditions are met, or terminated.

Classes of Affected Parties and Plan Adoption

Class formation

Since the 15 September 2021 ordinance, plan adoption relies on classes of affected parties (Articles L.626-29 et seq.). These classes group creditors and, where applicable, equity holders according to a sufficient commonality of economic interest.

The judicial administrator forms classes on objective and verifiable criteria, distinguishing in particular:

• secured creditors (with security interests);
• unsecured creditors;
• public creditors;
• equity holders when their rights are affected by the plan.

Voting and majorities

Each class votes separately. The plan is adopted within a class by a two-thirds majority of the amount of claims held by members who cast a vote.

Cross-class cram-down

When the plan is not approved by all classes, the court may, at the request of the debtor or the administrator and subject to conditions, confirm the plan by imposing it on dissenting classes (cross-class cram-down, Article L.626-32). This mechanism notably requires:

• approval by at least one class of affected parties receiving payment or retaining an interest;
• compliance with the best-interests-of-creditors test (dissenting creditors must not receive less than in a liquidation scenario);
• compliance with the principle of fair treatment between classes.

Comparison with Other Procedures

Criterion	Accelerated safeguard	Standard safeguard	Conciliation	Judicial reorganisation
Prior conciliation required	Yes	No	—	No
Cessation of payments	< 45 days	No	< 45 days	Yes
Confidentiality	No	No	Yes	No
Maximum duration	4 months	12 months (+6)	5 months	18 months
Classes of affected parties	Yes	Yes (above thresholds)	No	Yes (above thresholds)
Cross-class cram-down	Yes	Yes	No	Yes

Identified Benefits and Limitations

Benefits

• Speed: plan adoption within four months, compared with eighteen months in judicial reorganisation;
• Director continuity: management remains in place under the administrator''s supervision;
• Upstream preparation: the plan is negotiated within the confidential conciliation framework;
• Binding effect: enables imposition of a plan on a dissenting minority of creditors.

Limitations

• Strict conditions: the procedure is unavailable to companies failing to meet the L.628-1 thresholds;
• Publicity: unlike conciliation, the opening is published and undermines confidentiality;
• Risk of failure: if the plan is not adopted within the deadline, the procedure may be converted into judicial reorganisation.

Strategic Use

Accelerated safeguard is a plan-finalisation tool used to complete a restructuring prepared in conciliation. It is typically considered when:

1. conciliation has secured majority creditor support, but a minority blocks the consensual outcome;
2. the company has a mature, costed restructuring plan;
3. the liability structure is compatible with rapid class-based adoption;
4. the debtor wishes to avoid the duration and uncertainty of a judicial reorganisation.

Use of this procedure presupposes thorough upstream preparation, including liability analysis, class modelling, vote simulation and anticipation of a possible cross-class cram-down.

Applicable Legal Framework

• French Commercial Code: Articles L.628-1 to L.628-8 (accelerated safeguard), L.620-1 et seq. (safeguard), L.626-29 to L.626-34 (classes of affected parties);
• Ordinance n°2014-326 of 12 March 2014 reforming the prevention of business difficulties and collective procedures;
• Ordinance n°2021-1193 of 15 September 2021 amending Book VI of the Commercial Code;
• EU Directive 2019/1023 of 20 June 2019 on preventive restructuring frameworks.

FAQ

What is the difference between accelerated safeguard and accelerated financial safeguard? The accelerated financial safeguard, created in 2010, was limited to financial creditors. It was abolished by the 15 September 2021 ordinance and merged into accelerated safeguard, which may now affect all categories of creditors or be limited to financial creditors depending on the plan''s scope.

Is accelerated safeguard confidential? No. The opening is published in the BODACC, unlike conciliation, which remains confidential.

Does the director retain management of the company? Yes. As in any safeguard procedure, the debtor continues operations under the supervision of the appointed judicial administrator.

What is the consequence of failing to adopt the plan within four months? The court terminates the procedure. If the company is in cessation of payments, judicial reorganisation or judicial liquidation may be opened.

Are employees affected by the procedure? Pre-petition employee claims are guaranteed by the AGS within statutory limits. Employment contracts continue, save for specific decisions taken in accordance with employment law.

Going Further

Handling an accelerated safeguard procedure requires close coordination between legal counsel, financial management and procedural bodies. The firm assists at every stage, from plan preparation in conciliation to adoption by classes of affected parties.

Article based on the French Commercial Code, the cited ordinances and directives, and official Service Public publications (verified 9 March 2026). Any specific situation requires a tailored analysis.