Exclusivity is a privilege granted to a person, company, or organization, giving them the exclusive right to use a technology, know-how, or trademark (exclusive licenses), or to distribute a product in a specific geographic area (exclusive distributors). This concept can be regulated by legal provisions, as stipulated in excerpts from Article L330-1 of the French Commercial Code.
According to this article, the duration of an exclusivity clause cannot exceed ten years. This clause obligates the buyer, assignee, or lessee not to procure similar goods from another supplier during this period. Furthermore, Article L330-2 specifies that if similar agreements are subsequently concluded between the same parties for identical goods, the exclusivity clauses of the new contracts terminate on the same date as those of the first contract.
Furthermore, Article L330-3 requires any person providing a trade name, trademark, or business name in exchange for an exclusivity or near-exclusivity agreement to provide the other party with complete information before the contract is signed. This information includes details about the company, the relevant market, the distribution network, the duration and terms of the contract, as well as the termination and transfer procedures. If payment is requested prior to signing the contract, the services provided in exchange for this payment must be clearly defined in writing. The parties must receive the information document and the draft contract at least twenty days before the contract is signed or the payment is made.