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Annual commercial negotiations: is article L. 441-3 of the French Commercial Code contrary to EU law?

In France, the Commercial Code (hereinafter, the "Commercial Code") requires suppliers and distributors of products (or service providers) to sign a written agreement (hereinafter, the "Single Agreement") before March 1 of the year in which it takes effect (hereinafter, the "Legal Deadline"), and to renew it periodically on the same date.

Created by the 2008 French Law on the Modernization of the Economy, this obligation aims to preserve the fairness and balance of commercial relations and prevent the abuse of economic power by parties in a position of strength, historically the players in mass retailing.

While the material scope of these provisions of the French Commercial Code (supplier-distributor relations) was defined from the outset, the question of their spatial scope, outside the territory of the French Republic, gave rise to debate.

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Anti-inflation law: accelerated timetable for annual trade negotiations

The draft law on emergency measures to combat inflation in FMCG products has been adopted and published in the French Official Journal on November 17, 2023.

The changes to the annual commercial negotiations calendar are applicable to all agreements concerning FMCG products marketed on French territory between any distributor operating a predominantly food retailing business (excluding DROM-COM) and any FMCG supplier.

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Exclusivity clauses in distribution contracts: when can they be considered abusive?

Abuse of dominance / Exclusivity clauses

The Court of Justice of the European Union (CJEU) confirms that abusive conduct by distributors forming part of the distribution network of a producer in a dominant position can be imputed to the latter under article 102 TFEU if it is established that such conduct was not adopted independently by the distributors, but form part of a unilateral commercial policy of the producer implemented though the distributors.

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Distributors: is resale possible without the supplier's agreement?

Many entrepreneurs who want to start distributing branded products wonder whether it is necessary to obtain the agreement of the brand owner (the supplier) and to enter into a distribution contract.

The answer to this question depends on the nature of the product and the distribution method chosen by the supplier.

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Commercial negotiations: large-scale distribution under the scrutiny of the authorities

While the period of commercial negotiations between suppliers and distributors ended as every year on March 1 with the signing of annual agreements, the practices of some large retailers are in the sights of the authorities, whose action is intensifying.

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