Important News for Small Businesses: New 14-Day Cooling-Off Period for Off-Premises Contracts
Paris, France – Small business owners in France are set to benefit from enhanced consumer protection, with new regulations granting them a 14-day withdrawal period for contracts concluded outside of their business premises. Announced by the DGCCRF (Direction générale de la Concurrence, de la Consommation et de la Répression des fraudes) on July 1, 2025, this important measure aims to provide greater security and flexibility for small professionals when engaging in commercial agreements.
Historically, this robust withdrawal right has been a cornerstone of consumer protection. Now, thanks to updated legislation, small businesses are being brought into alignment with these protections, recognizing the potential vulnerabilities they may face when entering into contracts away from their established place of business.
What Constitutes an “Off-Premises Contract”?
The scope of this new regulation primarily targets contracts that are negotiated and concluded in the presence of both parties, but not at the seller’s or service provider’s permanent business establishment. Common scenarios include:
- Door-to-door sales: When a salesperson visits a small business’s premises.
- Sales at events outside the usual business location: Such as trade fairs, exhibitions, or temporary stands where the business normally operates.
- Contracts signed during excursions organized by the trader: For example, a business trip organized by a supplier.
The 14-Day Withdrawal Window Explained:
Upon signing an eligible off-premises contract, small businesses will now have a 14-day period to reconsider their commitment. This cooling-off period begins on the day the contract is concluded. During this time, the business owner can decide to withdraw from the agreement without providing any reason and without incurring penalties.
Key Obligations for Businesses:
To ensure the proper application of this new right, the DGCCRF highlights crucial obligations for businesses offering these off-premises contracts to small professionals:
- Clear Information: Businesses must clearly inform the small professional of their right to withdraw, including the conditions, time limits, and procedures for exercising this right. This information must be provided in writing and be easily accessible.
- Withdrawal Form: A model withdrawal form should be provided to the small business owner, allowing them to easily communicate their decision to withdraw.
- No Payment Before the End of the Period: In most cases, businesses are prohibited from demanding or receiving payment, deposits, or any other form of compensation from the small business before the 14-day withdrawal period has expired.
Why is This Important for Small Businesses?
This new regulation offers significant advantages for small business owners:
- Protection Against Impulse Decisions: It provides a valuable buffer against hasty decisions made under pressure or in unfamiliar circumstances.
- Opportunity for Due Diligence: Small businesses can use this period to conduct further research, consult with advisors, or compare offers from other providers, ensuring they are making the best decision for their business.
- Fairer Commercial Practices: It promotes a more balanced and equitable relationship between larger businesses and smaller enterprises, fostering a healthier business environment.
The DGCCRF’s initiative underscores a commitment to supporting the growth and stability of small businesses within the French economy. By extending this fundamental withdrawal right, the French government is reinforcing its dedication to fair commercial practices and empowering small professionals to make informed and confident business decisions.
Small business owners are encouraged to familiarize themselves with these new provisions to ensure they are aware of their rights and obligations when entering into contracts outside of their usual business premises.
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economie.gouv.fr published ‘Petits professionnels : vous avez 14 jours pour vous rétracter en cas de contrat conclu hors établissement’ at 2025-07-01 13:34. Please write a detailed article about this news in a polite tone with relevant information. Please reply in English with the article only.