Introduction | French Competition Law (Title 3.1) • Livv

107. Specific context/controversy.

The Commercial Code section entitled “Transparency and Restrictive Practices” (Book IV, Title IV) regulates vertical commercial relations between professionals. Firstly, these provisions ensure price transparency between economic operators and, to …

108. Ordinance of 1 December 1986.

The provisions on price transparency and restrictive practices thus seek to impose fairness in the relationship between commerce and industry, a relationship that has recently undergone tremendous change. Initially, an all-powerful industry was …

109. Galland Law and NRE Law.

It wasn't until the passage of Law No 96-588 of 1 July 1996, known as the Galland Law , that reforms were instituted that truly reflected the new reality of the manufacturer-distributor relationship. Apart from the introduction of a new …

110. Dutreil Law.

Mass retail distributors in France, representing a highly concentrated sector, have for many year been unduly appropriating part of the profit margins of their suppliers. The extent of such transfers of resources has enabled mass market retailers …

111. Chatel Law.

Adopted on 3 January 2008, the law “for the development of competition for the benefit of consumers” reforming the regulation of commercial relations reflected a retreat of state interventionism by giving resellers a greater margin of maneuver in …

112. Law for the modernization of the economy (LME Law).

A new milestone was reached with the adoption of the Law for the Modernization of the Economy (LME) of 4 August 2008 . The law instituted the freedom to negotiate and to set general terms and conditions. The principle according to which the terms …

113. Hamon Law.

The law on commercial negotiations was amended by the law on consumer protection of 17 March 2014 . The trend towards a more liberal approach to relations between distributors and suppliers found in the earlier reforms fades with more …

114. Macron Law.

The Macron Law (law for economic growth and activity and equality of economic opportunities) of 6 August 2015 has made minor changes partially reforming the rules governing commercial negotiations. Thus, Article L. 441-6 [now Article L. 441-10, I] …

115. Sapin II Law.

The Law on Transparency, Anti-corruption and the Modernization of the Economy (Sapin II Law) of 9 December 2016 brings a new dynamic to the rules on commercial negotiations, the most important of which concern price transparency. In order to …

116. EGalim Law.

Law No 2018-938 of 30 October 2018, known as the EGalim Law has five main components: - a reinforced contractual framework in agricultural matters; - the raising of the resale below cost threshold and the regulation of promotions for food …

117. Ordinance No 2019-359 of 24 April 2019 recasting Title IV Book IV of the Commercial Code.

The most important overall reform of the French economy resulting from the EGalim Law lies in the provisions of Article 17 authorizing the government to take any measure within its scope by way of ordinance to modify the law on commercial …

118. Commission for the Review of Commercial Practices

Created by the NRE Law, the role of the Commission is to monitor commercial dealings, invoicing and contracts between producers, suppliers and resellers and act as an observatory on same, and to formulate recommendations and respond to questions on …

119. Settlements, criminal law settlements and injunctions

The Dutreil Law revived the old institution of the settlement ("transaction"). If criminal proceedings have not yet been set in motion, the authority in charge of competition and consumer affairs (DGCCRF) may, with the consent of the Public …

120. Special ministerial powers

The Minister of the Economy has been granted significant powers with regard to economic infringements. Under Article L. 490-8, the Minister has the right to submit arguments to civil or criminal courts and to present them orally at the hearing. The …

121. Power to issue injunctions and administrative fines

By virtue of the Hamon Law on consumer protection of 17 March 2014, Book IV of the Commercial Code now contains a new Title VII on administrative injunctions and sanctions. 1) Power of injunction Article L. 470-1 of the Commercial Code empowers …

122. EGalim 2 Law

In light of the relative failure of the EGalim law, the legislature, determined to strengthen the protection of farmers' remuneration, has put the question back on the table. Adopted in just a few months, the EGalim 2 Law is a revision of the …

123. EGalim 3 Law

The new “EGalim 3" (or ‘Descrozaille Law’) named after its parliamentary rapporteur, aims to promote a better balance in commercial relations between distributors and suppliers. Although the initial aim of the bill was to “secure French consumers' …