CHAPTER II: Expenditure

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Article LO6472-1

French General Code of Local AuthoritiesIn force

Updated 6 Nov 2023

I. - The expenditure that is compulsory for départements and regions is compulsory for the local authority, with the exception of expenditure that does not fall within its remit pursuant to I of article LO 6414-1, and any other expenditure relating to the exercise of a power conferred on the local authority on the date on which the loi organique n° 2007-223 du 21 février 2007 portant dispositions statutaires et institutionnelles relatives à l'outre-mer.

II. - The following are also compulsory for the local authority:

1° Expenditure relating to the functional allowances provided for in section 2 of Chapter IV of Title III of this book and the implementation of the right to training for elected representatives referred to in article LO 6434-1 as well as contributions to the fund set up by article L. 1621-2 ;

2° Contributions to the sickness and maternity insurance scheme of the territorial collectivity of Saint-Pierre-et-Miquelon and contributions to the old-age insurance scheme for employees and persons treated as such under private law in Saint-Pierre-et-Miquelon.

3.
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

Toque #C2396

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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