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French M&A transactions involve complex employee-related procedures that must be navigated before finalizing any sale agreement. Understanding whether direct employee notification under the Hamon Law or work council consultation applies is critical for deal structuring and timing.
French M&A transactions may require one of two employee-related procedures before the seller can enter into a binding sale agreement : direct notification of employees under the so-called Hamon Law, or information and consultation of the target’s work council (comité social et économique, or CSE). Neither route gives employees or the CSE a veto, but the applicable process must be identified at the outset and built into the transaction timetable.
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