Calculating indemnities for the sudden termination of established commercial relations.

Disputes concerning the sudden termination of commercial relations firstly raise the question of the reasonable notice period. This first question is already complex and can lead to long debates. If the sudden or brutal termination is established, the damage resulting from this termination must also be assessed. The assessment of indemnities is also a source of …

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On-demand guarantee or personal guarantee? Pay attention to the wording

By a decision rendered on 30 January 2019 (Commercial Chamber, 30 January 2019 No. 17-21279), the Court of Cassation qualified a guarantee. The Court of Cassation had to define whether the engagement of a company's manager was a guarantee or  a on-demand guarantee. The facts were as follows, Company A owed an amount of €86,165 …

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Is the sports agent’s mandate concluded by e-mail exchanges null and void?

By a decision of 11 July 2018 No. 17-10458, the Court of Cassation (french civil superior court) ruled on a dispute on the validity of a contract concluded between a football club and a sports agent which was concluded by exchanging e-mails.   A sports agent company initiated proceedings against a professional football club to …

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How many signatures for a person intervening in an act in a dual capacity?

In practice, it often happens that a person intervenes in a contract in several positions. It may indeed be that the same person intervenes on his own behalf and on behalf of another person (company, association, other natural person, etc.). The question then is whether the person must sign one or several times. This decision …

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Arbitration: the support judge is not the guardian of the arbitration rules

The support judge does not have general jurisdiction to decide all disputes arising during the arbitration process. It is only competent to provide, on a suppletive basis, the constitution of an arbitral tribunal in case of risk of denial of justice. The support judge does not have jurisdiction to rule on a dispute relating to the wrongful performance by an arbitration institution of the contract of organization of the arbitration. This debate is within the jurisdiction of the common law jurisdiction.

Sudden termination of a supplier / distributor relationship : tort or contractual ?

The Court of cassation applying the CJEU case law ruled that "an action for damages founded on an abrupt termination of a long-standing business relationship is not a matter relating to tort, delict or quasi-delict within the meaning regulation 44/2001 if a tacit contractual relationship existed between parties." (Cour de cassation, Commercial chamber, September 20, 2017 …

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Sudden termination of commercial relations: A pragmatic approach from French Courts

A distributor who was able to continue working normally during a reasonable notice delay with its remaining stock cannot claim indemnities for a wrongful or brutal termination. A decision of March 1, 2017 from the French Civil and commercial supreme Court highlights the pragmatic approach of French judges when ruling on a claim for indemnities …

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Challenging the constitution of an arbitral tribunal in an application for annulment

The application for annulment of an arbitral award must not constitute a second way to challenge the constitution of the Arbitral Tribunal by a party who has belatedly challenged an arbitrator (Cour de cassation, 1st Civil chamber, 15 June 2017, no. 16-17108).   A telecommunications company and an African state were joint shareholders of a …

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HOW AN EUROPEAN JUDGE SHOULD QUALIFY A CIVIL CLAIM RESULTING FROM CONDUCT ALLEGEDLY AMOUNTING TO UNFAIR COMPETITION ?

Despite all endeavors of unification, in Europe, it is still important to know precisely which jurisdiction has the rationae loci competence to hear a civil claim. The same issue was raised to the Court Of Justice of European Union accordingly to the dispute between a German luxury watch seller and a master watchmaker established in France on …

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