Following European measures taken in response to the war in Ukraine, the French Government issued a decree to allow the publication of the names of legal entities that own Russian real estate frozen in France. In response to a challenge by three property management companies, the Conseil d’État has now ruled that the decree is legal. It only provides for the list of these legal entities to be published on the Ministry of the Economy's website and does not in itself establish the list.
On 8 April 2022, in response to actions undermining the territorial integrity, sovereignty and independence of Ukraine, the Council of the European Union decided to strengthen measures taken on the basis of an EU regulation of 17 March 20141 to freeze Russian funds and economic resources. This freeze also applies to real estate within the European Union, which cannot be sold, rented or mortgaged2. The measures are directly applicable in all Member States without any national measures being required.
Last May, the French government issued a decree to provide for the publication of the names of legal entities that own such property in France3. Three property management companies challenged the decree before the Conseil d’Etat.
The Conseil d’Etat today rejected the appeal against the decree. The decree merely provides that the list of legal entities owning Russian real estate frozen in France shall be published on the Ministry of the Economy's website, to help identify them and consequently ensure full public disclosure , thereby contributing to the effectiveness of the freeze. Contrary to claims, the decree does not extend the scope of the freeze to new legal entities.
Moreover, as the Court of Justice of the European Union has ruled, these are not sanctions.
Read the decision (in French)
1 Council Regulation (EU) No. 269/2014 of 17 March 2014 concerning restrictive measures in respect of actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine
2 Council Decision (CFSP) 2022/582 of 8 April 2022 amending Decision 2014/145/CFSP concerning restrictive measures in respect of actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine
3 Decree No. 2022-815 of 16 May 2022 regarding the publication of the list of legal entities owning real estate that is the subject of restrictive measures taken in application of EU Regulation No. 269/2014 of the Council of 17 March 2014