Module XV·Article III·~2 min read

Disputes and Arbitration the French Way

Contracts and Legal Language

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Disputes and Arbitration: différend, arbitrage, tribunal

Dispute Resolution in France

Pre-litigation Mechanisms

Règlement amiable (amicable settlement):

  • Avant tout recours judiciaire, les parties tenteront un règlement à l'amiable. — Before resorting to legal proceedings, the parties will attempt to settle the dispute amicably.

Mediation:

  • Le médiateur est un tiers neutre qui aide les parties à trouver un accord. — The mediator is a neutral third party who helps the parties reach an agreement.
  • La médiation est confidentielle et non contraignante. — Mediation is confidential and non-binding.
  • Centre de médiation et d'arbitrage de Paris (CMAP) — the main mediation center in France.

Conciliation:

  • Procedure similar to mediation, often judicial.

Arbitration (Arbitrage)

Advantages of arbitration for business:

  • Confidentiality (vs. public court)
  • Neutral forum for international disputes
  • Recognition of decisions (New York Convention 1958)
  • Possibility to choose expert arbitrators

Key arbitration institutions:

ICC (Chambre de Commerce Internationale) — International Chamber of Commerce in Paris:

  • One of the oldest arbitration institutions (1923)
  • ICC Rules
  • More than 1000 cases per year from 140+ countries

ICSID (Centre International pour le Règlement des Différends relatifs aux Investissements) — for investor-state investment disputes (Washington Convention)

Clause compromissoire (arbitration clause in contract): “Tout différend découlant du présent contrat sera soumis à l'arbitrage de la CCI conformément à son Règlement d'arbitrage.” “Any dispute arising from this contract shall be submitted to ICC arbitration in accordance with its Arbitration Rules.”

Judicial System of France

CourtCompetence
Tribunal judiciaireCivil disputes of individuals and companies
Tribunal de commerceCommercial disputes (judges are entrepreneurs)
Conseil de prud'hommesLabor disputes
Cour d'appelCourt of appeal
Cour de cassationHighest instance (law only, not facts)
Tribunal administratifDisputes with the state
Conseil d'ÉtatSupreme administrative court

Key Dispute Vocabulary

FrenchTranslation
un différend / un litigedispute
une partieparty
le demandeurclaimant
le défendeurrespondent
l'arbitrearbitrator
le tribunal arbitralarbitral tribunal
la sentence arbitralearbitral award
l'exécution forcéeenforcement
les dommages et intérêtsdamages and compensation
les frais de procédurelegal / arbitration costs
la prescriptionlimitation period

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