Shareholders action: shareholders have an individual interest even in the event of simultaneous action by the company

Court of Cassation, Commercial Chamber, 7 May 2025, appeal no. 23-15.931 “The shareholders have an individual right to seek compensation for the damage suffered by the company, which is not affected by the company's concurrent action.” The facts In a ruling handed down on 7 May 2025, the Commercial, Financial and Economic Chamber of the …

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A creditor cannot request the appointment of a provisional administrator for its debtor

Cass. com., 7 May 2025, No. 23-20.471 According to the Court of Cassation, a creditor of a company does not have the right to request the appointment of a provisional administrator for that company. The facts Two foreign companies, The Family Fellowship LLP and The Family Global Godfathers SPC, claimed to be creditors of the …

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Jurisdiction clause in the Terms of Use: no French mandatory law for Meta

Cass. 1st civ., 2 April 2025, no. 23-12.384 In a ruling dated 2 April 2025, the Court of Cassation confirmed the effectiveness of a jurisdiction clause included in the terms and conditions of use (TCU) of a professional Instagram account. The Court of Cassation dismissed Article 1171 of the Civil Code, a French protective provision …

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UberPop and unfair competition: the Court of Cassation limits compensation for economic damage

In a ruling dated 9 April 2025 (no. 23-22.122), the commercial chamber of the Court of Cassation partially censured a decision ordering Uber France to compensate taxi drivers for economic damage resulting from the launch of the ‘UberPop’ service. Economic damage can only be compensated if it is effectively proven. UberPop: a transport service between …

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Sudden termination: the CJEU asked about the contractual or tortious nature of the action

Cass. 1st civ., 2 April 2025, no. 23-11.456 In an important ruling on 2 April 2025, the First Civil Chamber of the Court of Cassation decided to suspend its decision in a dispute over the sudden termination of established commercial relations, in order to refer a preliminary question to the Court of Justice of the …

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Liability for cartel: need to prove damage

Court of Cassation, Commercial, Financial and Economic Chamber, ruling of 26 February 2025, appeal no. 23-18.599 In a ruling dated 26 February 2025, the commercial chamber of the Court of Cassation confirmed the strict requirement to prove damage resulting from an anti-competitive agreement before the entry into force of Article L481-7 of the Commercial Code. …

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No breach of a non-competition clause in a franchise agreement for preparatory acts

Cass. com., 19 March 2025, no. 23-22.925, published in the Bulletin The commercial chamber of the Court of Cassation clarifies the scope of non-competition clauses in franchise agreements, while sanctioning an error of law committed by the court of appeal on the effects of a judicial liquidation during the proceedings. The facts: franchise in the …

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Debt and cash management agreement: no automatic transfer of debt between affiliated companies

Cass. com., 12 March 2025, No. 23-23.961 In a ruling dated 12 March 2025, the commercial chamber of the Court of Cassation reiterated that the implementation of a centralised cash pooling agreement, even between companies in the same group, does not in itself allow the transfer of debt from one company to another, unless expressly …

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Termination of established business relationships in sport: absence of sudden termination in the event of a gradual decrease in activity during a long notice period

Cass. com., 19 March 2025, No. 23-23.507, published in the Bulletin In a ruling dated 19 March 2025, the commercial chamber of the Court of Cassation confirmed the absence of a suddentermination in the context of a progressive decrease in business volume over a very long notice period. It thus provides an important clarification on …

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Wife’s and husband’s rights and company: the tacit renunciation of the status of partner must be unequivocal

Cass. com., 12 March 2025, no. 23-22.372 In a ruling handed down on 12 March 2025, the commercial chamber of the Court of Cassation confirmed that, under the statutory community of property regime, the husband of a spouse who has made a contribution to a company with joint assets can claim the status of partner …

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