CASE COMMENTS: DISTRIBUTION - OUT OF THE DISTRIBUTION CONTRACT - CLAUSE RESUME STOCK - TERMS - DESTRUCTION OF STOCK

Out of the distribution contract: The Paris Court of Appeal rules that the distributor has to bear the costs of the stocks’ destruction if he does not fulfil the terms of the clause resume stock (Laboratoires Décleor/Fox Kosmetik)

*This article is an automatic translation of the original article, provided here for your convenience. Read the original article. Facts A distributor of cosmetic products terminated its distribution contract in January 2000, with effect from the termination in December 2001. His contract providing for a "contractual] obligation [to buy back stock (...) at the end of the contract,] covering[all fresh produce less than thirty months old, contained in intact packaging", he summoned his supplier in November 2002 to obtain this takeover. Condemned to take back the stock, the supplier appeals to the Paris Court of Appeal. Decision "Whereas (...) [the supplier] considers that it is justified in refusing to take back products in obsolete

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Philippe Vanni, Out of the distribution contract: The Paris Court of Appeal rules that the distributor has to bear the costs of the stocks’ destruction if he does not fulfil the terms of the clause resume stock (Laboratoires Décleor/Fox Kosmetik), 3 May 2006, Concurrences N° 3-2006, Art. N° 27779, www.concurrences.com

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