CASE COMMENTS : DISTRIBUTION – FRANCHISING – KNOW-HOW – LACK OF CAUSE/CONSIDERATION – LEGAL DISCLOSURE – PROFITABILITY – NULLITY

Franchising: The Paris Court of Appeal declares null and void a franchise agreement for lack of know-how, of precontractual information in accordance of Article L. 330-3 of the French commercial code and of profitability of the franchise (Service personnel/C.G.)

*This article is an automatic translation of the original article, provided here for your convenience. Read the original article. CA Paris, 03.10.12, RG no. 11/05235, Service personnel v. C.G. The franchise agreement presupposes the existence of know-how likely to ensure the profitability of the franchised activity. In the absence of know-how mastered by the franchisor, the franchise agreement is null and void because it is devoid of cause (or purpose), as the Paris Court of Appeal points out by carefully analysing the contractual context. After having stressed that "know-how is defined as a finalised body of practical knowledge, transmissible, not immediately accessible to the public, not patented, resulting from the franchisor's experience and tested by the franchisor and

Access to this article is restricted to subscribers

Already Subscribed? Sign-in

Access to this article is restricted to subscribers.

Read one article for free

Sign-up to read this article for free and discover our services.

 

PDF Version

Author

  • University of Montpellier

Quotation

Didier Ferrier, Franchising: The Paris Court of Appeal declares null and void a franchise agreement for lack of know-how, of precontractual information in accordance of Article L. 330-3 of the French commercial code and of profitability of the franchise (Service personnel/C.G.), 3 October 2012, Concurrences N° 1-2013, Art. N° 50505, p. 113

Visites 214

All reviews