General legal framework
| General authorization |
The emergency bill to address the Covid-19 epidemic aims, in particular, to:
To authorize the government to take measures in various areas that fall within the scope of the law
Within three months
If necessary, with effect retroactively from March 12, 2020
| Special authorization |
Regarding this objective, the government is authorized to take a number of measures
The measures in the bill concerning business relations
| Changes to obligations: measures |
Modifying, in compliance with reciprocal rights, the obligations of private legal entities carrying out an economic activity towards their customers and suppliers, as well as of cooperatives towards their associate-cooperators, in particular in terms of payment deadlines and penalties and the nature of consideration, in particular with regard to travel and stay sales contracts mentioned in II and III of Article L. 211-14 of the Tourism Code;
| Postponements, extensions, cancellations: measures |
Allowing for the postponement or spreading of the payment of rents, water, gas and electricity bills relating to business premises, and the waiver of financial penalties and suspensions, interruptions or reductions of supplies that may be applied in the event of non-payment of these bills, for the benefit of very small businesses whose activity is affected by the spread of the epidemic.
The measures in the bill concerning business relations
| Changes to obligations |
Private legal entities engaged in economic activity in certain relationships with their clients and suppliers
Cooperatives in relation to their member-cooperators
| Specific measures for very small businesses affected |
Deferrals or payment plans for rent, water, gas and electricity bills related to business premises
Waiver of financial penalties and suspensions, interruptions or reductions in supplies that may be applied in the event of non-payment of these invoices
Measures reserved for certain categories of actors
| ggggggggg A priori limited measures ggggggggggggggggggggggggggg |
To certain types of relationships (customers, suppliers, cooperatives, etc.)
On certain matters (payment deadlines, penalties, etc.) for all private legal entities and even for very small businesses
| These measures are likely to leave considerable room for the application of certain mechanisms, namely |
The general law governing sanctions for a party's failure to fulfill its obligations (defense of non-performance, price reduction, specific performance, termination, liability, etc.) applies at least in the relationships not concerned
Mechanisms such as force majeure or unforeseen circumstances and their consequences
And which will undoubtedly also leave a lot of room for negotiation
MORGAN JAMET
associate lawyer
Lawyer at the Paris Bar. Member of the Paris Bar since 1999. Holds a Master's degree in Contract Law from the Jean Monnet Faculty of Law (Paris XI)
