Introduction

Scope of application

Compliance program

Protection of whistleblowers

Audit and sanctions

Rules arising from the Sapin II Law

EU law

French law

Rules derived from competition law

Sapin II Law/Competition

Scope ratione personae

Scope ratione materiae

Scope

Development of plan

Measures included in plan

Inclusion in management report

Vigilance plan

Injunctions

Civil liability

Sanctions

Duty of vigilance (devoir de vigilance)

CSR programs

Reporting

Communication

Reporting and communication

Judicial sanctions

Risk to reputation, strategy and stability

Corporate Social Responsability (CSR)

Middlenext Code

IFA Corpus

AFEP - MEDEF Code

Types

Principles of governance

Principles incorporating CSR values

Principles

Comply or explain

Binding force

Private codes of conduct

Compliance

Article L. 225-102-4 of the Commercial Code requires the vigilance plan to include procedures for regularly assessing the situation of subsidiaries and subcontractors or suppliers with whom the undertaking has an established business relationship, with regard to risk mapping. The latter is of fundamental importance at this stage, since without specifying and prioritizing the precise risk factors,  …

Business partnerships/stakeholders

Article L. 225-102-4 of the Commercial Code requires the vigilance plan to include procedures for regularly assessing the situation of subsidiaries and subcontractors or suppliers with whom the undertaking has an established business relationship, with regard to risk mapping. The latter is of fundamental importance at this stage, since without specifying and prioritizing the precise risk factors, it is not possible to measure whether the strategy for assessing subcontractors and suppliers is in line with the severity of the potential impact, and whether it is strategically geared towards identifying the risks to be dealt with as a matter of priority. This is all the more true in the event that some of the measures put in place relate to risks not identified in the risk map .

This measure is reminiscent of the procedure for assessing the integrity of third parties in the fight against corruption. Here again, the AFA provides a useful explanatory note . It states that the assessment enables the undertaking to decide whether or not to enter into a relationship with a third party, or to continue or terminate a relationship already in progress. On the basis of risk mapping, which has enabled a degree of risk to be determined for each group of third parties, it is necessary to determine which groups are subject to assessment and which are not. If the risk is low, the assessment carried out will be low, or even non-existent, whereas a high risk will justify a reinforced assessment for the group concerned. Each third party in a given group must be assessed individually. Once this assessment has been carried out, a third party that has been designated in the risk map as belonging to a low-risk group may be re-classified as a high-risk third party.

The AFA details the procedures for assessing the integrity of third parties. The first step is for staff to gather information and documentation relating to each third party, in order to make an initial assessment and to form a judgment regarding the least risky profiles. The undertaking may call on third-party sources when it is unable to obtain the desired information on its own. Information can cover a wide spectrum, from consulting press articles, court rulings and financial statements, to audits and questionnaires. Finally, management takes a decision on the riskiest cases referred to it.

CA Paris, 5 December 2023, LawLex202300014265JBJ.

AFA recommendations to assist public and private legal entities prevent and detect corruption, bribery, misappropriation of public funds and favoritism of 4 December 2020, published in the JORF of 12 January 2021.

Compliance

112. Business partnerships/stakeholders

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Les décisions de justice citées dans ce paragraphe :

Les notions juridiques connexes

112. Business partnerships/stakeholders

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Les décisions de justice citées dans ce paragraphe :

Les notions juridiques connexes

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au contenu exclusif Livv – juristes d’entreprise