CASE COMMENTS: DISTRIBUTION – FRANCE - FRANCHISE – NETWORK – EXCLUSIVE DISTRIBUTION

Franchise: The French Supreme Court and the Paris Court of Appeal consider that the franchisor or licensor is not required, by virtue of its duty to assist, to renegotiate terms of the agreement to remedy the distributor’s economics difficulties (Steelcase / Diapason ; Bourgoin Spirit / Esprit corps de France...)

*This article is an automatic translation of the original article in French, provided here for your convenience. Read the original article. A number of recent decisions call for a review of the obligation on network promoters to assist their distributors faced with economic difficulties. While this issue presents obvious practical challenges, it raises more fundamental questions about the legal approach to contractual relationships. In schematizing, it is well known that contract law oscillates between two antagonistic approaches: one, rather "individualistic", according to which the contractor's commitment is limited positively to performing the obligations as stipulated in the contract and negatively, not to act in bad faith narrowly understood as the intention to harm the

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Nicolas Ferrier, Franchise: The French Supreme Court and the Paris Court of Appeal consider that the franchisor or licensor is not required, by virtue of its duty to assist, to renegotiate terms of the agreement to remedy the distributor’s economics difficulties (Steelcase / Diapason ; Bourgoin Spirit / Esprit corps de France...), 19 June 2019, Concurrences N° 4-2019, Art. N° 92342, pp. 109-111

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