Understanding French Law on Delegation of Powers
February 12, 2025
Written by : Marc Huynh
Faced with increasing regulatory complexity, the delegation of authority is an essential legal tool for effective and secure corporate governance. It allows for the distribution of responsibilities, optimizes organization, and protects directors from criminal risks.
Delegation of Power/Authority: Secure Your Company's Governance
Why is the delegation of authority crucial?
Strategic distribution of responsibilities within your company.
Legal protection for directors against regulatory complexity.
Optimization of operational efficiency and decision-making.
Involvement and empowerment of teams.
Enhanced legal compliance.
Key takeaways regarding the delegation of authority:
It differs from the delegation of signature and the civil mandate.
The delegate must possess the necessary skills, authority, and resources.
The scope of the delegation must be clear and limited.
Written formalization is strongly recommended.
It can, under certain conditions, exonerate the director from criminal liability.
Specific rules apply within groups of companies.
Our expertise at your service:
Our law firm assists you in establishing and optimizing your delegation of authority frameworks. We advise you on best practices to secure your company's governance, effectively distribute responsibilities, and minimize legal risks.
For more details on the delegation of authority, you can read our article:
Contact us for a personalized consultation and secure the future of your company.
Keywords: delegation of authority, corporate governance, criminal liability, legal risks, business law, law firm, regulatory compliance, company organization, delegation of signature, civil mandate, group of companies.