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Article 1201 of the French Civil Code

When the parties have entered into an apparent contract that conceals a hidden contract, the latter, also known as a counter-letter, is effective between the parties. It is not enforceable against third parties, who may nevertheless rely on it.

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Article 1202 of the French Civil Code

Any counter-letter whose purpose is to increase the price stipulated in the agreement for the transfer of a ministerial office is null and void. Also void is any contract whose purpose is to conceal part of the price, where it relates to a sale of immovable property, a transfer of a business or client base, a transfer of a right to a lease, or the benefit of a promise to…

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Article 1204 of the French Civil Code

An obligation may be incurred by promising the act of a third party. The promisor is released from any obligation if the third party performs the promised act. If he does not, he may be ordered to pay damages. Where the purpose of the porte-fort is to ratify an undertaking, the undertaking is validated retroactively to the date on which the porte-fort was entered into.

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Article 1205 of the French Civil Code

One can stipulate for another. One of the contracting parties, the stipulator, can make the other, the promisor, promise to perform a service for the benefit of a third party, the beneficiary. The latter may be a future person but must be specifically designated or capable of being determined when the promise is performed.

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Article 1206 of the French Civil Code

The beneficiary is vested with a direct right to the benefit against the promisor as soon as the stipulation is made. Nevertheless the stipulator may freely revoke the stipulation as long as the beneficiary has not accepted it. The stipulation becomes irrevocable when acceptance reaches the stipulator or the promisor.

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Article 1207 of the French Civil Code

The revocation can only be made by the stipulator or, after his death, by his heirs. The latter may only do so after the expiry of a period of three months from the day on which they gave the beneficiary formal notice to accept it. If it is not accompanied by the designation of a new beneficiary, the revocation benefits, as the case may be, the stipulator or his heirs….

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