Subsection 4: Penalties for irregularities.

Articles in this section · 8

Article L1235-16

French Labour CodeIn force

Updated 8 Nov 2023

The cancellation of the validation decision mentioned in article L. 1233-57-2 or the homologation decision mentioned in article L. 1233-57-3 for a reason other than that mentioned in the last paragraph of this article and in the second paragraph of article L. 1235-10 shall give rise, subject to the agreement of the parties, to the reinstatement of the employee in the company, with retention of his acquired benefits.

Failing this, the employee is entitled to compensation payable by the employer, which may not be less than the last six months' salary. This compensation is due without prejudice to the redundancy compensation provided for in article L. 1234-9.

In the event of annulment of a validation decision referred to in article L. 1233-57-2 or approval decision referred to in article L. 1233-57-3 on the grounds that insufficient reasons were given, the administrative authority shall take a new decision giving sufficient reasons within fifteen days of notification of the decision to the administration. This decision shall be brought to the attention of the employees made redundant following the first decision to validate or approve, by the employer, by any means enabling this information to be dated with certainty.

Once the administrative authority has issued this new decision, the annulment of the first decision by the administrative authority on the sole grounds that it did not provide sufficient reasons has no impact on the validity of the dismissal and does not give rise to reinstatement or to the payment of compensation by the employer.

Mariela Petrova

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Common Questions

Working with a corporate lawyer in France — Q&A

Any time a strategic decision changes how the company is owned, governed or contractually bound — incorporation, fundraising, M&A, restructuring, shareholder agreements, or major commercial contracts. Earlier engagement always costs less than later remediation.

A notary (notaire) is a public officer who authenticates specific deeds (mainly real-estate transfers and certain family-law acts). A corporate lawyer (avocat) advises on strategy, negotiates and drafts company documents, and represents you in disputes. The two roles complement rather than overlap.

Yes — most of our clients are foreign suppliers, investors or holding entities. We bridge the gap between French law and your home jurisdiction's expectations and deliver everything bilingually.

The SAS (Société par Actions Simplifiée) is the default choice for most international structures: flexible governance, single shareholder allowed, no minimum capital, and works cleanly with foreign holding entities. We assess SARL, SA, SCI on the merits when the situation calls for it.

Yes — communications with a French avocat are protected by the secret professionnel (Article 66-5 of the Law of 31 December 1971). This protection is broader than the common-law attorney-client privilege and applies to written and oral exchanges.

We work on fixed fees for clearly scoped engagements (incorporation, contract drafting, audits) and on monthly retainers for ongoing advisory. Hourly billing is the exception, not the default. You always know the cost before work starts.

Typical timeline is 2–3 weeks from KYC kick-off to RCS registration, assuming standard documentation. Holding-company structures, foreign-shareholder identification or in-kind contributions can extend this — we flag the gating items at the first meeting.

Absolutely. We routinely coordinate with your in-house counsel, expert-comptable or notaire — pragmatic collaboration is the norm, not the exception. We send them everything they need to do their part without duplicating work.

Mariela Petrova

Mariela Petrova

Avocate au Barreau de Paris

Toque #C2396

15+ Years In Corporate Practice

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Communications protected by professional secrecy — secret professionnel de l'avocat, Article 66-5 of the Law of 31 December 1971.

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