Agricultural payments from EU funds: claims exempt from attachment

Under Article 17a of the Agricultural Producers Support Act, money allocated from EU funds constitutes public funds. Under Articles 11 and 11a of the same Act, the State Fund for Agriculture manages and controls payments from those funds and the associated national co-financing.

Under Regulation (EU) No 1306/2013, the beneficiaries entitled to receive these payments in full are registered agricultural producers. The money is intended for investment in their activities under the schemes and measures of the common agricultural policy. The Regulation requires timely payment so beneficiaries can use the funds effectively for their intended purpose. Each common agricultural policy measure is subject to monitoring and evaluation. Beneficiaries’ names are published to strengthen public scrutiny of expenditure. Taken together, these features indicate that the funding is earmarked.

The provisions cited therefore point to a form of earmarked public financing. Only the beneficiary, the agricultural producer, is entitled to receive the payment in full.

Under the special mandatory rules examined here, the farmer’s claim to payment is exempt from attachment, although neither EU nor national law expressly states this. The Bulgarian Supreme Court of Cassation addressed the issue in Decision No. 143 of 25 October 2017 in Civil Case No. 4666/2016, Third Civil Division.

This article is not a legal opinion or advice on any particular situation or person. For legal assistance in a similar case, consult a civil lawyer.