Draft French Arbitration Code Unveiled – A Structural and Strategic Reform
Client Alert | April 23, 2025
The French Ministry of Justice has unveiled the first draft of the reform of French arbitration law, a major step in modernizing the country’s arbitration framework. This draft reform builds on the 2011 overhaul, aiming to consolidate France’s position as a leading place of international arbitration.
A Reform Rooted in Continuity, Aimed at Autonomy
The reform is built on the foundation of France’s established arbitration tradition but proposes a dedicated Arbitration Code to enhance clarity and coherence, and strengthen the autonomy of arbitration law while improving its integration with French judicial procedures.
Three Main Pillars of the Reform:
1. A More Flexible Arbitration Framework
- Trend towards unification of the rules governing domestic and international arbitration, favoring the more liberal international standards.
- Reduced formalism: No mandatory form for arbitration clauses, electronic awards explicitly recognized.
- Practice-driven updates: Simplified signing requirements, streamlined communication of awards.
2. A More Protective Legal Environment
- Impartiality and independence of arbitrators reaffirmed.
- Financial hardship mechanism introduced: Courts may provide assistance in case of proven inability to pay arbitration costs to avoid denial of justice.
- Strengthened guarantees for weaker parties (e.g., consumers, employees, financially constrained parties).
- Protection of third-party rights: Provisions allowing third-party intervention in court proceedings relating to the award (annulment / exequatur) and possibility for third-party opposition against court decisions.
3. A More Efficient System
- Reinforced “juge d’appui”: Enhanced powers to support arbitration proceedings, prevent denial of justice, and enforce interim measures issued by the arbitral tribunal.
- Enhanced tribunal tools: Consolidation of related claims into a single arbitral proceeding, liquidation of penalty payments (astreintes), obligation for parties to raise all claims and objections concurrently under penalty of subsequent inadmissibility, and issuance of binding preliminary determinations on jurisdiction or admissibility.
- Streamlined enforcement and recourse: Revised procedural rules on recognition, exequatur, and appeal proceedings before French courts; stay of annulment no longer automatic in domestic cases.
A Strategic Move for Arbitration in France:
This initiative reflects France’s commitment to arbitration-friendly policies and to the continuing reinforcement of its position in the global dispute resolution landscape.
A consultation is now open to refine the draft, collect the industry feedback and clarify outstanding issues.
We are closely monitoring the legislative process and will continue to provide insights as it evolves.
Gibson Dunn’s lawyers are available to assist in addressing any questions you may have regarding these issues. Please contact the Gibson Dunn lawyer with whom you usually work, any leader or member of the firm’s International Arbitration practice group, or the authors in Paris at +33 1 56 43 13 00:
Eric Bouffard – ebouffard@gibsondunn.com
Martin Guermonprez – mguermonprez@gibsondunn.com
Imane Choukir – ichoukir@gibsondunn.com
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