Chapter III: The guarantee fund for policyholders against the failure of life and health insurance companies.

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Article L423-7

French Insurance CodeIn force

Updated 8 Nov 2023

The members of the guarantee fund provide it with the financial resources it needs to carry out its tasks, in accordance with the conditions laid down by decree in the Conseil d'Etat. The guarantee fund may also issue non-negotiable certificates of association in the name of the members, which they subscribe to when they join.

When the losses incurred by the guarantee fund cannot be covered by the contributions already called up, the association certificates mentioned in the previous paragraph may no longer be remunerated. The nominal value of each of these certificates is then reduced in the proportion necessary to absorb the losses. These certificates of association are not redeemable.

The guarantee fund may borrow from its members. To this end, it may set up or ask its members to set up on its behalf the guarantees required by agreement.

Failure to join or to pay the required contribution to the guarantee fund is subject to the penalties provided for inarticle L. 612-39 of the French Monetary and Financial Code and to late payment penalties paid directly to the guarantee fund in accordance with the procedures defined by the fund's internal regulations.

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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