1E9Ct5D

Employees are protected by so called “insolvency money” that covers wages for aperiod of three months. Contracts of employment are not automatically terminatedby the initiation of the insolvency proceedings, but they may be terminated with threemonths’ notice or, if applicable, with a shorter notice period. 56Certain otheremployee rights are limited in insolvency proceedings, as well.b. FranceUnder French Law, the salaries owed as of the date of the judgment, as well asthose owed after such date (including in the event that the Court has authorized thecompany to continue its business), may, be settled by the Assurance Générale desSalaires (“AGS”), a special state insurance scheme.The AGS will step into the shoes of the employees against the company in theLiquidation proceedings with respect to the amounts it pays to the employees. TheAGS will get a high priority (superprivilège and privilège) with respect to the paymentof such debt.Where it is necessary to dismiss employees, the dismissal falls within the legalregime of redundancies on economic grounds. The employees are made redundantby a simple notification letter sent by the liquidateur or administrateur (if any), subjectto the prior notice rights provided in the employment contracts or collectiveagreements. If the company is not able to pay the dismissed employees, the AGSwill pay their salaries and damages.The employees shall benefit from a priority right in case of re-employment (prioritéde réembauchage) and shall be offered a conversion contract (contrat de56 Insolvenzordnung [InsO] [Insolvency Statute], Oct. 5, 1994 [Bundesgesetzblatt] (BGBl.] 2866, aslast amended by Art. 6 G of the Act of August 31, 2013 [BGBl.], 3533, §§ 113 ff.43