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Legal Developments worldwide

Licensing 2010

May 2010 - Corporate & Commercial. Legal Developments by Bersay & Associés .

More articles by this firm.

Are there any restrictions on the establishment of a business entity by a foreign licensor or a joint venture involving a foreign licensor, and are there any restrictions against a foreign licensor entering into a licence agreement without establishing a subsidiary or branch office?

No specific restrictions apply to the establishment in France of a business entity by a foreign entity, except in restricted areas where a prior authorisation from the French administration is required (for example, the defence sector). Therefore, a foreign licensor or a joint venture involving a foreign licensor can freely establish a business entity in France, provided that it complies with the corporate rules applicable to the establishment of any business entity, including, without limitation, a registration with the Trade and Companies Registry of the commercial court with jurisdiction over such business entity’s corporate office. Additional formalities must be fulfilled if the legal representative of the business entity is not a citizen of the European Economic Area or Switzerland (declarations to the prefectural authorities or obtaining a resident permit, depending on whether this person resides in France).


First published in Getting the Deal Through – Licensing 2010.