Welcome to the 151st Astrée press review:

• A decisive turning point in the case law on COVID operating losses.
• The Médiation de l'assurance confirms that the sale of a vehicle is not sufficient to trigger automatic termination without proof of transfer.
• CNIL publishes an analysis of the economic impact of the RGPD on cybersecurity.
• Mystery visits: the AMF assesses the practices of investment applications.
• A look back at the introduction of the civil fine in the case of profit-making negligence resulting in serial damage.

Enjoy your reading!

A decisive shift in COVID business interruption jurisprudence

May 28, 2025

In two recent rulingsthe Cour de cassation (French Supreme Court) has ruled that a ban on receiving the public does indeed constitute a ban on access for the purposes of business interruption cover, without requiring that it be totally impossible. It rejected the insurers' argument based solely on the possibility of residual activities such as takeaway sales.

The sale of a vehicle is not sufficient for automatic termination without proof of transfer

June 3, 2025

When contacted by a policyholder, the Insurance Mediation officer points out that the sale of a vehicle suspends the auto contract, but does not automatically cancel it. For automatic cancellation to be effective, and to entitle the policyholder to reimbursement of premiums, he or she must prove that the vehicle has been sold. In this case, in the absence of proof sent within six months, automatic termination could not be invoked. The insurer was therefore entitled to refuse reimbursement.

CNIL publishes an analysis of the economic impact of the RGPD on cybersecurity

June 5, 2025

Five years after the RGPD came into force, CNIL publishes an analysis highlighting its positive effects on the cybersecurity economy. By imposing stricter security obligations, the regulation has prevented up to €219 million in identity theft-related losses in France. The study underlines that this regulation corrects a market failure by encouraging companies to better protect data. This economic gain, which is still underestimated, argues for wider consideration of the benefits of the RGPD beyond its costs alone.

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Mystery visits: the AMF assesses the practices of investment applications

June 6, 2025

The Autorité des marchés financiers ("AMF") has published a survey based on mystery visits, aimed at assessing mobile subscription paths for investment products.

The study, which involved 11 establishments, revealed serious shortcomings in terms of pre-contractual information, particularly on risks and fees. In several cases, essential information was only available after underwriting, or in formats that were difficult to read on a smartphone.

The regulator is calling on players to improve the transparency and accessibility of key data, particularly on the mobile devices that have become essential. The aim of the survey is to make the industry more aware of its regulatory obligations and better protect retail investors, who are often young and inexperienced.

A look back at the introduction of a civil fine in the case of profit-making negligence resulting in serial damage

May 3, 2025

Under article 1254 of the French Civil Code, the DDADUE 2025 law introduces a civil fine applicable to professionals who deliberately commit a lucrative fault that causes serial damage. This penalty applies specifically to breaches of legal or contractual obligations relating to the exercise of a professional activity. Its scope of application is thus twofold: it extends to contractual liability, while being restricted to faults committed in a professional context.

• Reminder:

Published in the Journal Officiel on May 02, 2025, law no. 2025-391 ("DDADUE" law) adapts French law to numerous European regulations in a variety of fields: economy, environment, energy, transport, health and immigration. In particular, it introduces a unified regime for group actions, extends remedies for victims of serial damage, and strengthens the liability of economic players through new legal tools such as civil fines.

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Have a great week.
See our previous press reviews: https://astreeavocatsetconsultants.com/actualites-avocats-assurance-banque-finance/

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