Section 3: Concerted exercise of powers

Articles in this section · 5

Article L1111-10

French General Code of Local AuthoritiesIn force

Updated 8 Nov 2023

I.-The department may, at their request, contribute to the financing of projects managed by communes, their groupings, public establishments attached to them or companies in which they hold a share of the capital.


I.-The department may, at their request, contribute to the financing of projects managed by communes, their groupings, public establishments attached to them or companies in which they hold a share of the capital. It may, for reasons of territorial solidarity and when private initiative is lacking or absent, contribute to the financing of investment operations in favour of commercial service companies required to meet the needs of the population in rural areas, for which the project is managed by municipalities or public inter-municipal cooperation establishments with their own tax system. It may also contribute to the financing of investment projects for the upkeep and development of rural areas carried out by authorised or automatically constituted syndicate associations or their unions.

II.- The region may contribute to the financing of investment projects for the upkeep and development of rural areas carried out by authorised or automatically constituted syndicate associations or their unions.

II.The region may contribute to the financing of the projects mentioned in 1°, 2°, 5° and 8° of I of article L. 211-7 of the Environment Code, of regional interest, for which the project is managed by a municipality mentioned in V of Article L. 5210-1-1 of this code, a public establishment for inter-municipal cooperation or a mixed syndicate set up under Article L. 5711-1.

III.With the exception of the territorial authorities and groupings of territorial authorities of Guadeloupe, French Guiana, La Réunion, Martinique, Mayotte, Saint-Barthélemy, Saint-Martin and Saint-Pierre-et-Miquelon, any territorial authority or grouping of territorial authorities that is the contracting authority for an investment project must make a minimum contribution to the financing of this project.

Without prejudice to the application of the article 9 of law no. 2003-710 of 1 August 2003 d'orientation et de programmation pour la ville et la rénovation urbaine', this minimum participation by the project owner is 20% of the total amount of funding provided by public persons to this project.

For investment projects involving the renovation of monuments protected under the Heritage Code, this minimum contribution by the project owner is 20% of the total amount of funding provided by public bodies, unless an exemption is granted by the State representative in the département. The representative of the State in the département may also grant this derogation for operations concerning unprotected heritage, when he considers it justified by urgency or public necessity, or when he considers that the minimum contribution is disproportionate in view of the financial capacity of the project owner. For investment projects concerning bridges and engineering structures as well as those concerning pastoral facilities, for those relating to external fire defence and for those contributing to the construction, reconstruction, extension and repairs of the health centres mentioned in article L. 6323-1 of the Public Health Code, this minimum participation by the project owner may be subject to exemptions granted by the State representative in the département if its size is disproportionate in relation to the financial capacity of the project owner.

For investment projects intended to repair damage caused by public disasters, this minimum participation by the project owner may be subject to exemptions granted by the State representative in the department, in light of the extent of the damage and the financial capacity of the local authorities or groups of local authorities concerned.

For investment projects relating to drinking water and sanitation, waste disposal, protection against forest fires and communal roads that are carried out by public establishments of inter-communal cooperation with their own tax status in Corsica or by the communes that are members of such an establishment when the projects do not fall within the scope of Community competence, this minimum participation by the project owner is 10% of the total amount of funding provided by public persons.

For investment projects designed to restore biodiversity within an exclusively terrestrial Natura 2000 site, this minimum participation by the project owner may be subject to exemptions granted by the State representative in the département, in view of the extent of the degradation of habitats and species and the guidelines set out in the objectives document referred to in article L. 414-2 of the Environment Code, when the State representative considers that the minimum contribution is disproportionate given the financial capacity of the project owner. This derogation applies to investment projects that fall entirely within the territory of a municipality with fewer than 3,500 inhabitants or a group of local authorities with fewer than 40,000 inhabitants that is the project owner.

For investment operations financed by the European Regional Development Fund as part of a European territorial cooperation programme, the project owner's minimum participation is 15% of the total amount of funding provided by public persons.

For investment projects managed by a mixed syndicate mentioned in articles L. 5711-1 or L. 5721-8 of the present code, by a metropolitan cluster or by a territorial and rural balance cluster, the financial contributions to the budget of the grouping paid by its members, including exceptional contributions, are considered, for the application of this III, as participations by the project owner in the financing of these projects.

IV.-.By way of derogation from the provisions of this article, the local and regional authorities may finance any operation included in the State-region project contracts or convergence contracts and any operation for which the contracting authority is the State, its public establishments, the SNCF Réseau company mentioned in article L. 2111-9 of the Transport Code or its subsidiary mentioned in 5° of the same article L. 2111-9.

V.-A decree in the Council of State sets out the procedures for applying this article.

Mariela Petrova

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Working with a corporate lawyer in France — Q&A

Any time a strategic decision changes how the company is owned, governed or contractually bound — incorporation, fundraising, M&A, restructuring, shareholder agreements, or major commercial contracts. Earlier engagement always costs less than later remediation.

A notary (notaire) is a public officer who authenticates specific deeds (mainly real-estate transfers and certain family-law acts). A corporate lawyer (avocat) advises on strategy, negotiates and drafts company documents, and represents you in disputes. The two roles complement rather than overlap.

Yes — most of our clients are foreign suppliers, investors or holding entities. We bridge the gap between French law and your home jurisdiction's expectations and deliver everything bilingually.

The SAS (Société par Actions Simplifiée) is the default choice for most international structures: flexible governance, single shareholder allowed, no minimum capital, and works cleanly with foreign holding entities. We assess SARL, SA, SCI on the merits when the situation calls for it.

Yes — communications with a French avocat are protected by the secret professionnel (Article 66-5 of the Law of 31 December 1971). This protection is broader than the common-law attorney-client privilege and applies to written and oral exchanges.

We work on fixed fees for clearly scoped engagements (incorporation, contract drafting, audits) and on monthly retainers for ongoing advisory. Hourly billing is the exception, not the default. You always know the cost before work starts.

Typical timeline is 2–3 weeks from KYC kick-off to RCS registration, assuming standard documentation. Holding-company structures, foreign-shareholder identification or in-kind contributions can extend this — we flag the gating items at the first meeting.

Absolutely. We routinely coordinate with your in-house counsel, expert-comptable or notaire — pragmatic collaboration is the norm, not the exception. We send them everything they need to do their part without duplicating work.

Mariela Petrova

Mariela Petrova

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