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- French Supreme Court Validates Caps on Damages for Unfair Dismissals
For employers doing business in France, the court’s recent decisions mean more predictability in the amounts that judges can award in case of unfair dismissals. In two landmark decisions on 11 May 2022, the Employment Chamber of the French Supreme Court confirmed that the grid of maximum caps on damages amounts that judges can allocate for unfair dismissals from work are fully valid. The decisions confirm a cornerstone of President Emmanuel Macron’s labor law reform of 2017. Please see full Alert below for more information.
- Analysis: Impact of French Ordinance Relating to Guarantees and Security in Respect of Annual Information Obligation
The Ordinance’s extension to grantors of French law security interests in rem is likely to have a practical impact on lenders. Key Points: ..The obligation of lenders to provide grantors of cautionnements (guarantees) of bank loans, etc., with certain information regarding the guaranteed obligations by 31 March each year has been maintained as part of the reform of security interests that came into effect on 1 January 2022. ..The uncertainty as to whether this obligation applies to guarantees granted under a law other than French law but where there is a nexus to France has not been resolved. ..The right to such information has been extended to grantors of French law security in rem. Please see full Alert below for more information.
- French Government Seeks to Regain Control Over Enforcement of French Blocking Statute
A new decree and a ministerial order strengthen cooperation between French ministries, reflecting the government’s desire to monitor more closely certain foreign discovery requests. Overview - Originally enacted in 1968 in response to US antitrust investigations into French shipping companies, and subsequently modified in 1980, the French Blocking Statute (FBS) was initially aimed at protecting French nationals (i.e., citizens and corporations) from the alleged excesses of US discovery procedures. Please see full Alert below for more information.
- French Parliament Publishes Evaluation Report on Corporate Duty of Vigilance Law
The report, published on 24 February 2022, assesses the implementation of the existing French corporate duty of vigilance law. French Statute No. 2017-399 of 27 March 2017 (the 2017 Statute) created a duty of vigilance (devoir de vigilance) for companies crossing determined thresholds (see definitions on page 3). Such companies are required to implement a public, comprehensive plan aimed at identifying risks and preventing and mitigating serious violations of human rights, human health, and the safety of the environment. With the 2017 Statute, France bolstered what now appears to be a global movement of regulation of corporate activity through supply chain-related legislation, as it was quickly joined by the Netherlands (2019, in relation to child labour only), Germany (2021), and now possibly the EU (for more details, see this Latham Client Alert). Meanwhile, Belgium, Norway, Finland, and Luxemburg are discussing similar legislation. The UK implemented the Modern Slavery Act in 2015. Please see full Alert below for more information.
- Life Sciences Law Review - 10th Edition, France Chapter
France is generally known for its high quality and also highly regulated healthcare system. As an EU Member State, France has implemented the EU medicines and medical devices regimes. This chapter should therefore be read in conjunction with the EU chapter and will focus on the specifics of the French regulatory regime. France has codified the essential rules on medicines and medical devices in the French Public Health Code, which encompasses both statutory and regulatory provisions. Originally published in Life Sciences Law Review, 10th Edition - February 2022. Please see full Chapter below for more information.
- Establishing a Business Entity in France (Updated)
1. Types of Business Entities - • Description of the types of entities available in each jurisdiction through which to conduct business - Business may be conducted in France either through a French branch of a foreign company (1) or through a French company (2). Both are considered to be forms of direct investment in France. Please see full Chapter below for more information.
- The Technology, Media and Telecommunications Review - 12th Edition, France Chapter
This volume marks the 12th edition of The Technology, Media and Telecommunications Review, which has been fully updated to provide an overview of evolving legal and policy activity in this arena across 25 jurisdictions around the world. This publication continues to occupy a unique space in the literature on TMT issues. Rather than serving a traditional legal treatise, this Review aims to provide a practical, business-focused survey of these issues, along with insights into how this legal and policy landscape in the TMT arena continues to evolve from year to year. In 2021, the ongoing covid-19 pandemic has continued to loom large over legal and policy developments in this sector. As the threat of infection has continued to affect how we live, work and interact, the importance of connectivity has never been greater or more obvious. For many businesses, remote working has been the rule rather than the exception since March 2020, and may well persist in some form well after the pandemic is over. Many schools switched to distance learning formats during the pandemic. Tele-health is on the rise as doctors check in on patients via videoconference. Even tasks as mundane as grocery shopping have shifted online. And broadband connectivity, where available, has made it all possible. Originally published in the Technology, Media and Telecommunications Review, 12th edition - December 2021. Please see full Chapter below for more information.
- ANSES Reiterates Recommendation to Restrict Use of Products Containing Nanomaterials “That Are of Little Benefit to the Population”
On June 3, 2021, the French Agency for Food, Environmental and Occupational Health and Safety (ANSES) published an interview with Aurélie Niaudet, who is in charge of assessing the risks associated with physical agents. Niaudet states that nanomaterials have novel properties that “are highly sought after and increasingly exploited, but can also induce specific types of behaviour when interacting with humans or the environment.”
- Competition Newsletter - May 2021
This month we invite you to Russia, where the competition authority is announcing a new competition law compliance system that may result in less fines.
- France: Q&A - Employer COVID-19 Vaccination Policies (UPDATED)
We asked our member firms around the globe to provide some insight on employer and employee rights when it comes to requiring the COVID-19 vaccine to return to work. Responses for France have been updated with new questions since its initial publication in January.
- The Paris Energy Series No. 5: Drafting Oil and Gas Dispute Resolution Clauses: (it’s always) time to think more creatively
It may be that as a judge I have a distorted view of some aspects of life, but I cannot imagine a contract particularly one of any size, which does not give rise to some disputes. This is not to the discredit of either party to the contract. It is simply the nature of the beast. What is to their...
- French employees should check their privacy settings before posting on social media platforms
It may seem obvious to a lay person that employees should refrain from insulting their companies on social media due to the threat of termination for cause; however, there are contradictory legal principles that apply to the use of social media by employees which can be used both for and against...
- Less Working Hours Shall Not Mean Increased Pressure
In three recent decisions, the French civil Supreme Court (Cour de Cassation) has ruled that forfaits-jours agreements (lump sum payments for work time computed in days) are not valid if a union agreement does not provide for sufficient protection of the employee's health and safety. These...
- French Autorité de la Concurrence Fines Sanofi €40.6 Million for Denigrating Competing Generics"
On May 14, 2013, the French Autorité de la Concurrence (Autorité) issued a decision imposing a fine of €40.6 million on French company Sanofi-Aventis France (Sanofi) for an abuse of dominance in the market for the cardiovascular drug clopidogrel. ...
- Future of Hydraulic Fracturing in Europe Remains Uncertain after France’s High Court Upholds Law Banning Fracturing Activity
Following two years of litigation, France’s Constitutional Council—the highest court in France — upheld the country’s ban on hydraulic fracturing, ruling that the 2011 law “conforms to the constitution” and is not “disproportionate” to its intended effect. The constitutional challenge was brought...
- Feed-In Tariffs for Wind Energy Set out by the French Government May Constitute Unlawful State Aid
In February 2009, a claim was filed before the highest French administrative court (Conseil d’Etat) by the association “Vent de Colère” seeking the annulment of a ministerial order dated 17 November 2008 enacting the feed-in tariffs applicable to onshore and offshore wind farms (the “2008 Order”)....
- Reform of French Insolvency Law Overview of The Executive Order of 12 March 2014
Executive Order n° 2014-326 of 12 March 2014 reforming French insolvency proceedings was published in the Official Journal of the French Republic (Journal officiel de la République Française) on 14 March 2014. Considered a priority by the Government, the objectives of this reform include,...
- Creation of a new industrial property right in France: the "geographical indication of industrial and handicraft products"
The French law no.2014-344 on consumer protection, named "Hamon Act" (for the name of the Ministry in charge of this reform) and dated March 17, 2014, creates a new industrial property right: the "Geographical Indications protecting Industrial Products and Crafts" (or “Indications Géographiques...
- Investment in French real estate: France-Luxembourg double tax treaty changes
On 5 September 2014, the Governments of France and Luxembourg signed an amendment to the France-Luxembourg treaty dated 1 April 1958 (the “Treaty”), which will have an impact in the future for certain investments in French real estate. Indeed, the amendment introduces new provisions under...
- France Posts Report on Nanomaterials Reported as of June 2014
The Ministry of Ecology, Sustainable Development, and Energy published a report, available only in French, concerning the second round of mandatory reporting of nanomaterials. Under Decree No. 2012-232, companies that manufacture, import, and/or distribute a “substance with nanoparticle status” in ...