termination by common agreement

French employment law allows employers and employees to agree on the termination of the employment contract by mutual consent. Such termination must be formalized through the implementation of a “rupture conventionnelle homologuée” (“RCH”) which requires adherence to a formal procedure including, among other things, the requirement to obtain approval from the Labour administration.

The legal background

An employment contract is above all a contract which is governed and subject to general rules applicable to any agreement entered into by two or more parties. In particular, contract law generally allows the parties to agree on the termination of the contract by which they are bound. Drawing the consequences from