Setting of fees

The Growth and Activity Law recast the principles governing the setting of regulated fees. As recommended by the Autorité in Opinion 15-A-02 of 9 January 2015, fees now take into account “the main costs incurred in providing the service, while ensuring reasonable remuneration for professionals” (Article L. 444-5 of the French Commercial Code). Fees are reviewed every two years (Articles L. 444-2 and L. 444-4 of the same Code).

Based on the overall profitability of the professions concerned, the new fee-setting methodology (Decree 2020-179 of 28 February 2020) defines reasonable remuneration by reference to a target average margin (taux de résultat) (set by decree every two years), itself determined from a reference margin (set by decree of the French Administrative Supreme Court [Conseil d’Etat]). In addition, pursuant to Article L. 444-2 of the French Commercial Code, for proportional fees, professionals may grant standardised discounts at the same rate for all clients, subject to certain limits set by regulation. Since 2020, discounts may not exceed 20% and apply only to the portion of the fee calculated on the basis exceeding €100,000.

In addition, increases to fees in the French overseas territories, set by decree every two years, now take into account the specific characteristics and constraints of each territory, as well as the resulting conditions under which professionals established there operate.

This new methodology requires professionals to provide the French Ministries of Justice and the Economy, as well as the Autorité de la concurrence, each year with a range of economic and financial data relating to their activities, including the main costs and revenues associated with activities performed under a statutory monopoly (Article L. 444-5 of the French Commercial Code). For this purpose, the professionals concerned are required to implement cost accounting systems (Article R. 444-20 of the same Code).