CASE COMMENT : MOTOR VEHICLES DISTRIBUTION - REORGANIZATION OF THE NETWORK - TERMINATION OF DISTRIBUTION
Motor vehicles distribution : The Versailles Court of Appeal rules that the licensor is free to define the modalities of his network’s reorganization, in particular the time to terminate the license contracts (Daimler Chrysler/Garage de Bretagne)
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CA de Versailles, February 24, 2005, Daimler Chrysler France v/ Garage de Bretagne Facts
SA Garage de Bretagne was linked to Daimler Chrysler France by an exclusive concession contract. That contract stipulated, in accordance with the Community Regulation, that No 1475/95 of 28 June 1995, that the notice of termination could be reduced from two years to one year "in the event of the need to reorganise the whole or a substantial [part of the] network".
In September 2002, Daimler Chrysler terminated the contract with Garage de Bretagne with a one-year notice period, justifying this reduction by the need to reorganise its network following the
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