CASE COMMENTS: DISTRIBUTION - FRANCHISE - INTUITU PERSONAE - CONTROL

Franchising: The Paris Court of Appeal sanctions the loss of indirect control of the franchised company by a franchisee partner and gives maximum scope to theintuitu personae provided for in the contract (2L 73 et alii / Valoris Developpement)

*This article is an automatic translation of the original article, provided here for your convenience. Read the original article. The management of theintuitu personae in franchise agreements is sometimes a real headache, as shown by the decision rendered on 27 January by the Paris Court of Appeal. The facts of the case are quite complex and will be roughly summarized: a franchisor operating in the field of temporary work concludes franchise agreements with a "partner" (hired on a personal basis) and various franchised companies placed under the management of the latter. The partner undertakes to control these companies directly, but is in breach of the law as soon as the franchise agreements are signed (without it being clearly established that the franchisor was aware of this).

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Nicolas Éréséo, Franchising: The Paris Court of Appeal sanctions the loss of indirect control of the franchised company by a franchisee partner and gives maximum scope to theintuitu personae provided for in the contract (2L 73 et alii / Valoris Developpement) , 27 January 2021, Concurrences N° 2-2021, Art. N° 100530, pp. 105-106

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