Legal Insights

Given the unprecedented health crisis that we are currently experiencing, one of the key measures imposed by the Government to contain the Covid-19 epidemic is the massive and imperative use of telework for all types of employment positions that allow it.

The legal framework for telework has become considerably more flexible in recent years to support the development of this work arrangement in France.

However, although the use of telework has been significantly streamlined, the employer remains subject to specific obligations that must be complied with.

The Covid-19 pandemic has prompted many companies to implement teleworking solutions. The implementation of this type of working method requires that rules be duly followed to guarantee the security of information systems and processed data.

The French Data Protection Authority (Commission Nationale de l’Informatique et des Libertés or “CNIL”) has published recommendations to help secure personal data in this context.

Adopted in furtherance of the Emergency Law No. 2020-290 of March 23, 2020 to deal with the Covid-19 epidemic, Ordinance No. 2020-318 dated March 25, 2020 adapting the rules relating to the preparation, closing, audit, review, approval and publication of accounts and other documents and information that private law legal persons and entities without legal personality are required to file or publish in the context of the covid-19 epidemic has introduced temporary exceptional derogations, particularly with regard to the approval of accounts.

Decree No.2020-356 of March 27, 2020 provides for the implementation of an algorithm called DataJust for a period of two years. This algorithm aims in particular at developing an indicative baseline of compensation for personal injurie.

This baseline system will be made available not only to judges, but also to lawyers, insurers and, above all, victims, in order to assess the amount of compensation to which the latter may be entitled, with the aim of encouraging out-of-court settlements.

In order to ensure the continued operation of French criminal courts necessary to maintain public order, the Government adopted on March 25, 2020 Ordinance 2020-303 in furtherance of the Emergency Law of March 23, 2020 . The Ordinance adapts the rules applicable to courts ruling on criminal matters.

These derogations from the procedural rules usually applicable in criminal matters were taken primarily for obvious health reasons, in order to reduce physical contacts, but also to ensure the continued operation of the French public Justice System.

One of the Ordinances adopted in furtherance of the Emergency Law of March 23, 2020 to deal with the Covid-19 epidemic provides – for a limited period of time – for (i) the suspension of the effects of clauses sanctioning contractual non-performance, and (ii) the extension of contractual deadlines for the termination or renewal of contracts.

How long does the suspension period last? Which contracts are concerned? What happens with periodic penalty payments and clauses aimed at sanctioning non-performance?