I.-When it is observed that a person, whether a natural person or a legal entity, is engaged in the activity of performing arts entrepreneur without holding a valid activity declaration receipt as referred to in article L. 7122-3, or that it has not fulfilled the obligations set out in the third paragraph of I of article L. 7122-4, or in 1° or 2° of article L. 7122-6, or does not hold a qualification of equivalent effect referred to in article L. 7122-5, the competent administrative authority shall inform the person concerned in writing of the penalty envisaged, informing him of the breach of which he is accused and inviting him to submit his observations, within a period set by regulation.
II – At the end of this period, the competent administrative authority may, by reasoned decision:
1° Impose an administrative fine of a maximum of €1,500 for a natural person and a maximum of €7,500 for a legal entity;
2° Impose a penalty on the fine mentioned in 1° in the event of non-payment of the fine. The penalty ceases to apply on the date on which the situation is remedied;
3° Order the closure, for a period of up to one year, of the establishment or establishments of the entrepreneur that were used to commit the offence.
III – The maximum fine is doubled in the event of a further breach of the same nature within a period of two years from the date of notification of the fine for a previous breach of the same nature.
IV – Subject to the confidentiality protected by law, the penalties mentioned in this article may be accompanied by a publicity measure which does not have to be specifically justified.
V -To set the amount of the fine or the duration of the closure of an establishment, the competent administrative authority will take into account the circumstances and seriousness of the breach, the behaviour of the offender, in particular his good faith, as well as his resources and expenses.
VI-The decision is taken on the basis of a report of the breach sent to the competent administrative authority under conditions laid down by regulation.
VII-The limitation period for action by the competent administrative authority to impose an administrative fine or close an establishment is two years from the date on which the breach was committed.
VIII -The fines and periodic penalty payments mentioned in 1° and 2° of II are recovered by the Treasury.