Dechert LLP (JD Supra France)

Employers should take all appropriate precautions to avoid the bonus paid to an employee being construed as being part of his/her contractual remuneration. Should the bonus be considered as being part of the employment contract, the employee would be entitled to claim the payment of such bonus each year.

Since October 1, 2020, healthcare companies have been required to implement the new French anti-gift legal framework, as substantially strengthened by the Ordinance No. 2017-49 dated January 19, 2017.

On 9 September 2020, the French Competition Authority (“FCA”) issued an infringement decision sanctioning Novartis and Roche with record fines for the pharmaceutical sector in France, totaling 444 million euros, for having allegedly abused a collective dominant position on the French market for the treatment of wet age-related macular degeneration (“wet AMD”).

In the context of the pandemic, Decree No. 2020-1090 of 25 August 2020 on various measures relating to the reimbursement of health products (the “Decree”) could have been overseen as merely being a technical document. 

To lower the risk of opportunistic trading resulting from the pandemic, the French government temporarily tightened its control over investments in strategic public companies. On 29 April 2020, the Ministry of Finance announced tighter controls over foreign investments into French companies, to protect them against opportunistic takeovers as a result of the COVID-19 pandemic.

Un employeur conclut une rupture conventionnelle avec une salariée après lui avoir adressé deux avertissements successifs. La salariée conteste par la suite cette rupture conventionnelle, en avançant que son consentement a été vicié par les pressions exercées par son employeur.

An employer concluded an amicable termination with an employee after giving her two successive disciplinary warnings. The employee subsequently contested this amicable termination, arguing that her consent was invalid due to the pressure exerted by her employer.

Dechert partnered with Getting the Deal Through and Law Business Research on their annual Market Intelligence Private Equity Guide. The 2020 Guide invites leading practitioners to reflect on evolving legal and regulatory landscapes and global trends. Please see full Publication below for more information.

The French anti-gift legal framework was substantially amended by the Ordinance No. 2017-49 dated January 19, 2017. However, these new rules were subject to the adoption of an implementing decree. Their implementation, which was initially planned for July 1, 2018, has been delayed to October 1, 2020. The adoption of the long-awaited decree on June 15, 2020 and of two ministerial orders on...

The Autorité des Marchés Financiers (AMF) on 11 March 2020 published a doctrine (Position/Recommendation DOC-2020-03) imposing obligations on asset managers with the aim of ensuring that information they provide to investors in relation to non-financial criteria (and in particular relating to sustainable investing) is proportionate to the actual importance of these factors in the investment...

In our OnPoint dated 20 May 2020, we explained the new requirements that the French regulator (Autorité des Marchés Financiers (“AMF”)) has imposed on asset managers with the aim of ensuring that information they provide to investors in relation to non-financial criteria (and in particular relating to sustainable investing) is proportionate to the actual importance of these factors in the...

This newsletter reviews five notable court holdings over the last semester. Moral harassment: the employer's investigation is valid even if all victims have not been interviewed (Cass, Soc., 8 January 2020, n°18-20.151) An employee was dismissed for serious misconduct for morally harassing his colleagues. In order to justify its decision, the employer relied on an internal investigation....

The French government allowed the return to the workplace seven weeks ago already. However, a number of businesses have not been able to reopen immediately or operate fully, and the worldwide economic downturn may have a severe impact on these businesses. To attempt to limit unemployment caused by the economic crisis, the job retention program continues to evolve. In the enclosed table, we have

Since the enactment of Sapin II, the lead French investigating and prosecuting agencies have entered into eleven Conventions Judiciaire d’Intérêt Public (“CJIPs”), which are the French equivalent of deferred prosecution agreements.

AMF Doctrine relating to sustainable finance and investor information in the collective management industry - In this OnPoint, we report on new measures required by the French regulator (Autorité des Marchés Financiers (“AMF”)) for the purpose of ensuring that information provided to investors in relation to non-financial criteria (and in particular relating to sustainable investing) is...

The French government said on 11 May it is “Back to work.” What are the five questions that all employers should consider? Of course the return to work will be a gradual process and even the French government is encouraging employers to ask their employees to return in phases instead of all at once. If the hazards of operating through the pandemic remain significant, they should be carefully...

COVID-19 has caused a widespread evaluation of how existing therapies could assist in treating this new pathogen. This OnPoint does something similar – though, of course, considerably less important. It examines how dispute boards, a dispute resolution mechanism historically found in construction contracts, can assist with disputes related to COVID-19. Below we (i) explain what dispute boards are,

This newsletter summarises four significant judicial decisions over recent months.   1. The purpose of a probation period is for the employee’s skills to be assessed. Therefore an employee’s absence would extend the probation period, unless the collective bargaining agreement or the employment contract provide otherwise (Cass, Soc., 11 September 2019, No 17-21.976)....

Prevention of occupational hazards and management of matters related to safety and the protection of health at work are major concerns for all those involved in labor law. This newsletter reviews five notable court holdings in this domain from the second half of the year.

France is off to a strong start enforcing Sapin II, its December 2016 anti-corruption legislation. Since the enactment of the statute, the lead French investigating and prosecuting agencies, the Parquet National Financier (PNF), and the Parquet de Nanterre, have entered into six deferred prosecution agreements, called Convention Judiciaire d’Intérêt Public (CJIPs), and there is little doubt that...

New 90% threshold to implement a squeeze-out threshold: good news for financial markets, from IPO to PtoP - Stock exchange markets are one of the traditional tools available to French companies to finance their growth and development. However, this source of financing has significantly slowed down in recent years, with a drastic reduction in the number of IPOs and capital raisings on French...

Eligibility of UK equities for French plan d’épargne en actions if Hard Brexit - In February, France passed an ordinance (the “Ordinance”) relating to the consequences of a no-deal Brexit. Article 4 provides the rules applicable to the eligibility of UK equities for a French plan d’épargne en actions (PEA). Pursuant to the Ordinance and the terms of a decree...

Implementation of AMF position 2019-03 on "certain aspects of the MiFID II adequacy requirements" - The AMF position DOC-2019-03 incorporates the ESMA guidance on "certain aspects of the MiFID II adequacy requirements" (ESMA35-43-1163).

The first sanction taken in application of the General Data Protection Regulation (GDPR) in France was issued by the French data protection authority (the "CNIL") on January 21, 2019 against Google LLC.

Money Market Funds - The AMF published a guide describing the main impacts of the application of the MMF Regulation, as well as the details of the authorization procedures specific to such money market funds, notably pending the update of the AMF’s relevant Instruction. In addition, the guide provides clarifications on the MMF Regulation. In addition, the AFG indicated in a meeting held on 10...

A parliamentary amendment, introduced in Finance Bill 2019 and adopted on December 28, 2018 (Holroyd Amendment), completes the favorable tax framework offered to foreign fund managers considering relocation to France, by allowing them to benefit from a 30% tax rate on the carried interest they hold in foreign funds.

Publication of decrees amending the regime of French direct lending funds - The Ordinance n° 2017-1432 of 4 October 2017 introduced the possibility for "financing vehicles" (organismes de financement, OF) to grant loans. The OF are a category of investment funds which includes “securitization vehicles” (organismes de titrisation, OT) and the newly created “specialized financing vehicles” (organ

Monitoring of promotional documentation: the AMF changes its approach regarding various financial products for private individuals - The Autorité des Marchés Financiers (the AMF, the French financial markets authority) announced a change in the organization of controls on promotional documents relating to UCITS and alternative investment funds (AIFs), as well as for titres de créances structurés

AFG issues template of PRIIPs KID for French Société Civile de Placement Immobilier - The Association Française de la Gestion Financière ("AFG") published for the benefit of its members a template of the PRIIPs Key Information Document for the Société Civile de Placement Immobilier (a French real estate fund dedicated to retail investors)...

AMF publishes Q&A concerning money market funds ("MMF") - In time for MMF Regulations’ entry coming into force on 21 July 2018, the Autorité des Marchés Financiers (the French financial markets regulator) issued a guide on money market funds, outlining the main changes, authorization procedures, information requirements and characteristics of these funds.