Commercial Agency

The status of commercial agent is provided for by articles L. 134-1 and seq. and R. 134-1 and seq. of the French Commercial Code. These articles provide for certain rights and obligations of the commercial agent, among which, the right to receive an indemnity on termination of the agency agreement with the principal. The applicable French legislation (articles L. 134-1 and seq. and R. 134-1 and seq. of the French…

A sales agent qualifies as a “commercial agent” if the agent is in charge of negotiating and, where appropriate, concluding sales, purchase, rental or service contracts on a permanent basis, in the name and on behalf of producers, industrialists, merchants or other commercial agents (French Commercial Code, art. L 134-1). This qualification is mandatory. This means that, if a sales agent qualifies de facto as a commercial agent, the name…

Commercial agency agreements (and the activity of commercial agent) are strictly regulated in France. The agent enjoys considerable protection as a matter of law, and commercial agency agreements must be drafted with caution to protect both the interests of the agent and those of the principal. Most legal provisions regarding the status and protection of commercial agents are mandatory and may not be contracted out. Who may be qualified as…