CASE COMMENTS: UNFAIR COMMERCIAL PRACTICES – FRANCE – SIGNIFICANT IMBALANCE – COMMISSION CONTRACT - COMPENSATION FOR TERMINATION

Compensation for termination: The French Commission for Examination of Unfair Commercial Practices examines the compliance with the former Article L. 442-6, I, 2 of the French Commercial Code of a compensation due in the event of non-renewal of a commission contract (Commission contract in the pharmaceutical sector)

*This article is an automatic translation of the original article, provided here for your convenience. Read the original article. The Commission d'examen des pratiques commerciales (CEPC) was asked to examine a clause contained in a commission contract in the light of the former Article L. 442-6, I, 2° C. com. (which, with Order no. 2019-359 of 24 April 2019, became Article L. 442-1, I, 2° C. com.). The disputed clause stipulates that the principal is solely liable for the payment of compensation in the event of non-renewal of the contract, regardless of who did not renew the contract or the cause of non-renewal. Beyond the wording of the clause, the amount of the indemnity is of interest. It corresponds to two years' turnover, i.e. "the entire remuneration that the commission agent

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  • University Littoral-Cote d’Opale (Boulogne/Mer)

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Valérie Durand, Compensation for termination: The French Commission for Examination of Unfair Commercial Practices examines the compliance with the former Article L. 442-6, I, 2 of the French Commercial Code of a compensation due in the event of non-renewal of a commission contract (Commission contract in the pharmaceutical sector), 18 April 2019, Concurrences N° 3-2019, Art. N° 91563, pp. 105-106

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