Collo vs McDo

Institutions

The commercial court

A court composed of elected traders, not professional judges. It is the court that decides franchise disputes — and orders liquidations.

In brief

  • Lay judges — the juges consulaires — elected by their peers and serving on a voluntary basis. Collegial bench (three judges).
  • Jurisdiction (Art. L. 721-3 Commercial Code): disputes between traders, disputes relating to commercial companies, and disputes relating to commercial transactions.
  • Exclusive jurisdiction over insolvency proceedings (Book VI of the Commercial Code): safeguard, judicial reorganisation, compulsory liquidation, as well as mandat ad hoc and conciliation.
  • Appeal lies to the Court of Appeal.
  • Since 1st January 2025, twelve commercial courts have been transformed on an experimental basis into economic activities courts (including Paris, Marseille, Lyon, Nanterre, Versailles).

The Commercial Court is a unique court: those who judge are traders, elected and unpaid. The idea is that commercial practices are best judged by those who engage in them.

Two commercial courts shape the Antibes case file. First, Paris, by virtue of the jurisdiction clause in the franchise agreement: it was there that McDonald's brought proceedings and obtained, on 18 May 1998, termination and eviction — a decision that the Paris Court of Appeal partly reversed two years later. Second, Antibes, which in 2001 ordered the compulsory liquidation of the three operating companies.

The jurisdiction clause is not a detail: it obliges an operator from the Alpes-Maritimes to litigate in Paris, with all that this entails in terms of costs and distance.

Sources

External sources.

  1. Commercial Code, Article L. 721-3 (jurisdiction) — Légifrance
  2. Launch of the economic activities court experiment — Ministry of Justice

Where this comes up in the case file

Other glossary entries — Institutions

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