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ARTICLE · 14 OCTOBER 2026

Shareholders' Agreements In Mauritius: Is A Fixed Duration Required?

A shareholders' agreement that is silent on its duration risks being treated as a contract of indeterminate duration, which may allow either party to terminate it on reasonable notice. This article examines whether Mauritian law requires shareholders' agreements to specify a fixed term, drawing on a landmark French court ruling and exploring the legal frameworks governing contract duration in Mauritius.

MauritiusCorporate/Commercial Law

Imagine spending months negotiating a shareholders' agreement, crafting minority shareholder protections, funding arrangements, and governance provisions, only for one shareholder to simply give notice and then walk away. That is the risk when a shareholders' agreement is silent on its duration: it may be treated as a contract of indeterminate duration, leaving any party free to terminate it unilaterally by giving reasonable notice.

In March 2026, the French Cour de cassation delivered a landmark ruling on this very question. But can the same reasoning protect shareholders in Mauritius?

The Mauritian legal framework

Shareholders' agreements in Mauritius sit at the crossroads of two legal regimes: 

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