French Monetary and Financial Code
In forceI. - Unless Article L. 313-46 applies, the lender shall recover free disposal of the claims referred to in Article L. 313-43 as and when they fall due or are repaid, or on its own initiative. For as long as the promissory note remains in circulation, it is obliged to replace without interruption the contracts and bills for which it recovers free disposal by an equal principal amount of other debt securities made available to the bearer of the promissory note under the conditions set out in article L. 313-43.
II. - The debt securities made available to the bearer of the promissory note in accordance with I are automatically substituted, by way of subrogation in rem, for the debt securities of which the lender recovers free disposal. This substitution preserves the rights of the holder of the promissory note and, in particular, has the effects provided for in Article L. 313-45, even if the new debt instruments made available to the holder are signed after the promissory note is signed.
