CASE COMMENTS : DISTRIBUTION – FRANCHISING – INFORMATION OF THE APPLICANT FOR FRANCHISING – PROFITABILIY OF THE FRANCHISE

Franchising: The Cour de cassation reminds that the transferee of a franchise agreement must receive the prior information of the Article L. 330-3 of the French Commercial code and punishes, together with the Paris Court of Appeal, excessive behaviours of franchisors that had vitiated the consent of franchisees for whom the expected gain was essential (Chantiers Bénéteau, Chrysalide, Cash Converters Europe, Itegral Diagnostics France)

*This article is an automatic translation of the original article, provided here for your convenience. Read the original article. Cass. com, February 21, 2012, Chantiers Bénéteau, n° 11-13.653 Cass. com, June 12, 2012, Chrysalis, No. 11-19.047. Article L. 330-3 of the Commercial Code, which stems from Law No. 89-1008 of 31 December 1989, requires the franchisor to provide the prospective franchisee with certain information twenty days prior to the conclusion of the franchise agreement. The Commercial Chamber of the Court of Cassation specifies that the "assignee" of a franchise agreement must also benefit from the delivery of this information if he is approved by the franchisor and thus called upon to become the new franchisee (Cass. com., 21 Feb. 2012, n° 11-13.653, Sté Chantiers

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  • University of Montpellier

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Didier Ferrier, Franchising: The Cour de cassation reminds that the transferee of a franchise agreement must receive the prior information of the Article L. 330-3 of the French Commercial code and punishes, together with the Paris Court of Appeal, excessive behaviours of franchisors that had vitiated the consent of franchisees for whom the expected gain was essential (Chantiers Bénéteau, Chrysalide, Cash Converters Europe, Itegral Diagnostics France), 21 February 2012, Concurrences N° 4-2012, Art. N° 49517, pp. 89-90

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