French Arbitration Law

The 2011 Reform and the Code of Civil Procedure

French arbitration law is governed by Articles 1442 through 1527 of the Code of Civil Procedure (Code de procédure civile, CPC), as comprehensively reformed by Decree No 2011-48 of 13 January 2011. The reform modernised French arbitration law while preserving its distinctive features, including the liberal treatment of international arbitration and the strict separation between domestic and international arbitration regimes. The 2011 reform codified and clarified the case law developed by the Paris Court of Appeal and the Cour de cassation, reinforcing France’s position as a leading arbitration-friendly jurisdiction and confirming Paris as a major seat for international arbitration.

The Arbitration Agreement

French law distinguishes between two types of arbitration agreement. The compromis is a submission agreement by which the parties to an existing dispute agree to submit it to arbitration. The clause compromissoire is an arbitration clause by which the parties undertake to submit future disputes arising from a particular legal relationship to arbitration. Article 1443 requires the arbitration agreement to be in writing, a requirement satisfied by an exchange of written communications or by reference to a document containing the agreement. Article 1447 enshrines the principle of the autonomy (autonomie) of the arbitration clause: the clause is independent of the main contract and is not affected by the invalidity of that contract. This autonomy principle is particularly robust in French law, extending to the validity of the clause itself — the arbitration clause is valid even if the main contract is void ab initio.

The Arbitral Tribunal

Articles 1450 through 1461 govern the constitution of the arbitral tribunal. The parties are free to determine the number of arbitrators; failing agreement, the default is three arbitrators. Each arbitrator must be independent and impartial throughout the arbitration. Article 1456 imposes a continuing duty of disclosure: the arbitrator must disclose any circumstance that might affect independence or impartiality before accepting the mandate and must disclose any such circumstance that arises during the proceedings without delay. The challenge and replacement of arbitrators are governed by Articles 1456–1461, with the appointing authority or the court deciding challenges where the parties have not agreed on a procedure.

Arbitral Proceedings and the Award

The French regime grants broad procedural freedom to the parties and the tribunal, subject only to the principles of due process (procès équitable) and the adversarial principle (principe de la contradiction). The tribunal must ensure the equal treatment of the parties and respect the right to be heard. The tribunal may order provisional and interim measures of protection, including conservatory attachments and security for costs. The award under Article 1471 must be rendered by majority decision and must state the reasons (motivation) for the decision — a requirement that reflects the French tradition of reasoned judgments and distinguishes French arbitration from some common law approaches. The award must be signed by all arbitrators, and failure to sign renders the award null.

Recourse Against Domestic Awards

Articles 1518 through 1523 govern recourse against domestic awards. The default remedy is the appel (appeal on the merits) unless the parties have waived their right to appeal, in which case the exclusive remedy is the recours en annulation (action to set aside). The grounds for setting aside are exhaustive: the tribunal wrongly assumed or declined jurisdiction; the tribunal was improperly constituted; the tribunal rendered its award without complying with its mandate; the adversarial principle was violated; the award is contrary to French international public policy (ordre public international); or the award fails to state reasons, lacks a date or the arbitrators’ signatures, or violates a mandatory rule. The time limit for the action to set aside is one month from notification of the award.

International Arbitration

Articles 1504 through 1527 establish a specific regime for international arbitration, defined as arbitration that implicates the interests of international trade. The international arbitration regime is notably liberal: the arbitration agreement is valid without formal requirements under Article 1507, and the procedural rules are governed by the law chosen by the parties or, in the absence of choice, by the procedural rules the tribunal determines appropriate. The award rendered in France in an international arbitration is subject to exequatur (enforcement order) and may be challenged only by an action to set aside on the grounds exhaustively listed in Article 1520, including the violation of international public policy. The Paris-based International Chamber of Commerce (ICC) International Court of Arbitration, founded in 1923, is the leading arbitral institution seated in France, administering thousands of disputes under the ICC Rules of Arbitration and serving as the world’s premier institution for international commercial arbitration.