Subsection 1: General provisions.

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L3334-1L3334-2

Article L3334-1

French General Code of Local AuthoritiesIn force
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Updated 7 Nov 2023

The départements receive a flat-rate allocation, an equalisation allocation and a compensation allocation. All of these sums evolve in the same way as the overall operating allocation distributed.

In 2023, the amount of the departments' overall operating allocation is equal to that distributed in 2022. In 2023, this amount is reduced by the amount corresponding to the reductions in allocations to be provided for in 2023 pursuant to Article 199-1 of Law no. 2004-809 of 13 August 2004 relating to local freedoms and responsibilities. In 2017, this amount is also reduced by €32 million. This reduction relates to the compensation allowance provided for in Article L. 3334-7-1, in accordance with the last paragraph of the same Article L. 3334-7-1. In 2019, the amount of the departments' overall operating allocation is reduced by the amount corresponding to the allocation reduction to be provided for pursuant to IX of the article 81 of Finance Act No. 2018-1317 of 28 December 2018 for 2019. In 2020, the amount of the departments' overall operating allocation is reduced by the amounts corresponding to the reductions in allocation to be provided for pursuant to the last phase of the last paragraph of IX of Article 81 of Law no. 2018-1317 of 28 December 2018 on finance for 2019 and IX of Article 77 of Law no. 2019-1479 of 28 December 2019 on finance for 2020. In 2021, the amount of the departments' overall operating allocation is reduced by the amounts corresponding to the reductions in allocation to be provided for under IX of the same article 77. From 2021, the compensation allowance for départements provided for in article L. 3334-7-1 of this code is reduced in application of article 57 of law no. 2019-1446 of 24 December 2019 on the financing of social security for 2020. If the amount of the compensation allowance is insufficient, the difference is deducted from the twelfths provided for in Article L. 3332-1-1 of this Code. In 2022, the amount of the global operating allowance is increased by the amount corresponding to the increases in the allowance to be provided for pursuant to IX of Article 77 of Law no. 2019-1479 of 28 December 2019 on the finances for 2020 and reduced by the amount corresponding to the reductions in the allowance to be provided for pursuant to VII of Article 43 of Law no. 2021-1900 of 30 December 2021 on the finances for 2022.

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

Avocate au Barreau de Paris

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15+ Years In Corporate Practice

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Communications protected by professional secrecy — secret professionnel de l'avocat, Article 66-5 of the Law of 31 December 1971.

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