France has unveiled its first major arbitration reform in 15 years. With Decree No. 2026-741 of 6 August 2026, the French Government introduces a number of important changes aimed at strengthening Paris’ position as one of the world’s leading arbitration seats.
Here are some of the key practical takeaways.
Greater procedural efficiency
➢ Even where institutional rules do not provide for it, claims arising out of multiple contracts may now be brought in a single arbitration, provided the arbitration agreements are “compatible” and no party objects to such consolidation.
➢ The principle of “procedural proportionality” is introduced, encouraging parties and arbitrators to tailor the procedure to the complexity and value of the dispute.
➢ In domestic arbitration, where an award is set aside because the arbitral tribunal wrongly accepted or declined jurisdiction, the Court of Appeal will no longer proceed to determine the merits itself, leaving the dispute to be pursued before the forum competent in light of its jurisdictional ruling.
Enhanced enforcement mechanisms
➢ Appeals and setting-aside actions against domestic awards will no longer have suspensive effect. While under the current regime a domestic award may already be enforced pending a challenge if it is granted provisional enforcement, the reform reverses the default rule: enforcement will proceed, unless the competent judge orders a stay because enforcement is likely to seriously prejudice a party’s rights. This largely aligns the domestic regime with the regime applicable to international arbitration.
➢ The supporting judge (“juge d’appui”) is granted broader powers, including the authority to confer enforceability to interim and conservatory measures ordered by arbitral tribunals where the seat of the arbitration is in France.
➢ Arbitral tribunals may now assess and fix the final amount payable in respect of the penalty payments (“astreintes”) they have ordered, reducing the need to resort to state courts.
Modernised legal framework
➢ The Decree expressly allows arbitral awards to be issued in digital form and signed using a qualified electronic signature.
➢ The Decree gives statutory footing to the use of foreign languages in international arbitration proceedings before the Paris Court of Appeal, allowing documentary evidence to be filed without translation and, with the Court’s authorisation, parties, counsel, witnesses and experts to speak in a foreign language. This practice was already available before the International Commercial Chamber of the Paris Court of Appeal under its procedural protocol.
➢ Overall, the Decree introduces a number of useful and long-awaited textual refinements, including a closer alignment of the domestic and international arbitration regimes, greater clarity regarding the rules governing exequatur and the recognition of arbitral awards, confirmation that parties may waive the negative effect of the competence-competence principle through a clear and unequivocal agreement, and various other practical improvements.
Entry into force: 1st January 2027, subject to detailed transitional provisions. Depending on the provision concerned, the new rules apply by reference to the date of the arbitration agreement, the constitution of the arbitral tribunal, or the date on which the award is rendered.