Sub-paragraph 1: Common provisions.

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Article R214-116

French Monetary and Financial CodeIn force

Updated 6 Nov 2023

I. - An undertaking for collective real estate investment may carry out temporary sales of financial instruments mentioned in 4° to 7° of I of article L. 214-36, up to a limit of 30% of its assets.

II. - An undertaking for collective real estate investment may carry out, up to a limit of 40% of its assets, transactions for the temporary acquisition of financial instruments mentioned in 4° to 7° of the I of article L. 214-36 or in article R. 214-93 .

The net asset values of the shares or units of an undertaking for collective real estate investment are determined taking into account changes in the value of the securities temporarily sold.

III. - An undertaking for collective real estate investment may only carry out the transactions referred to in I and II if they have the following characteristics:

1° they are carried out with an establishment mentioned in the second paragraph of article R. 214-109 ;

2° they are governed by a framework agreement mentioned in articles L. 211-36 and L. 211-36-1 ;

3° Be taken into account for the application of the provisions of articles R. 214-95 to R. 214-100, the counterparty risk exposure rules defined in article R. 214-111 and the commitment rule defined in 1° of article D. 214-113 ;

4° Be able to be unwound or liquidated at any time, at their market value or at a predetermined value, at the initiative of the undertaking.

Mariela Petrova

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Common Questions

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

English · French · Russian

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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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