Mac Mahon Avocats is a business law firm based at 33 avenue Mac-Mahon, Paris 17. Its lawyers advise religious associations governed by the Act of 9 December 1905, diocesan associations, congregations, mixed-purpose 1901 associations and faith-based foundations facing financial difficulties. This page sets out the applicable legal framework; it does not constitute legal advice.
The amicable and insolvency proceedings of Book VI of the French Commercial Code apply to private-law legal entities. Declared religious associations, diocesan associations and legally recognised congregations fall within that scope where the opening conditions are met.
The distinctive features lie less in the procedure than in the balance sheet and the funding structure: resources largely made up of donations, collections and legacies, sometimes substantial real property subject to earmarking, no share capital, voluntary governance and reporting duties specific to religious status.
In Alsace-Moselle, local law on religious denominations continues to apply and public religious establishments there are governed by a separate regime: the exact legal qualification of the entity drives the analysis.
As the activity is not, in principle, commercial, jurisdiction lies with the judicial court (art. R. 600-1 of the Commercial Code). Since 1 January 2025, twelve commercial courts have been renamed economic activity courts on an experimental basis for four years (Act no. 2023-1059 of 20 November 2023; Decree no. 2024-674 of 3 July 2024; Order of 5 July 2024). Within their districts they hear amicable and insolvency proceedings for most private-law debtors, including those not carrying out a commercial activity.
| Procedure | Opening condition | Duration | Legal basis |
|---|---|---|---|
| Mandat ad hoc | No cessation of payments | Set by the president of the court, renewable | Art. L. 611-3 Com. C. |
| Conciliation | Actual or foreseeable difficulties; cessation of payments for no more than 45 days | 4 months + 1 month | Art. L. 611-4 to L. 611-16 |
| Safeguard | Insurmountable difficulties, without cessation of payments | 6-month observation period, extendable to 12 | Art. L. 620-1 et seq. |
| Rehabilitation | Cessation of payments, recovery possible | Observation period up to 18 months | Art. L. 631-1 et seq. |
| Liquidation | Cessation of payments, recovery manifestly impossible | Variable; continued trading 3 months, renewable | Art. L. 640-1 et seq. |
The cessation of payments must be filed within 45 days of its occurrence, unless conciliation is requested within the same period (art. L. 631-4 of the Commercial Code). A voluntary dissolution decided in that context does not remove those obligations.
The proceedings set out in Book VI of the Commercial Code apply to private-law legal entities. A declared religious association, a diocesan association or a legally recognised congregation falls within that category and may therefore be subject to amicable or insolvency proceedings where the opening conditions are met.
As the activity is not commercial, jurisdiction generally lies with the judicial court. Within the districts of the twelve economic activity courts created on an experimental basis since 1 January 2025, those courts hear amicable and insolvency proceedings for most private-law debtors, including non-traders.
The treatment depends on the title of ownership. Places of worship built before 1905 and owned by the State or municipalities are made available for use and do not appear among the association's assets. Owned property, gifts subject to charges or earmarking, and long-term administrative leases each require separate analysis.
The Act of 9 December 1905 governs the purpose and the permitted resources of religious associations. Act no. 2021-1109 of 24 August 2021 strengthened reporting and accounting obligations, including the five-yearly declaration of religious status and the reporting of foreign funding above a regulatory threshold.
Acting on a voluntary basis does not prevent a de jure or de facto director from being held liable, in particular for management failings that contributed to a shortfall of assets. The unpaid nature of the role may be taken into account by the court.
Phone: +33 1 45 03 20 20
Email: accueil@macmahon-avocats.fr
Address: 33 avenue Mac-Mahon, 75017 Paris, France
An initial confidential discussion helps identify the appropriate procedure (mandat ad hoc, conciliation, safeguard, rehabilitation) and the applicable timetable.
Take appointment Call +33 1 45 03 20 20 Contact form
Law firm registered with the Paris Bar — 33 avenue Mac-Mahon, 75017 Paris.