Société par actions simplifiée
Encyclopedia
Société par actions simplifiée (SAS) is the first hybrid law enacted under French law
and based on common law
principles rather than civil
. It is similar to a limited liability company
under United States law, as the Delaware limited liability company
was the model used by the French Government. The SAS is also similar to the limited company
in the British law
, and most other hybrids; though the hybrid in civil law countries is quite different because there is also a hybrid of common law principles applied.
A société par actions simplifiée has its annual statements controlled by an independent body, and the annual summary and balance sheet are published. The head of a société par actions simplifiée is its Président (chairperson). However, this company, unlike the société anonyme, does not have a board. The Président is also responsible for the operation of the company. The company may also have a Directeur Général (general manager
), who has the same authority as the Président with respect to third parties.
The société par actions simplifiée form of organisation is useful for companies that are wholly owned subsidiaries
of another company, often a publicly traded corporation, since they do not need a complex capital equity structure. An example of this is European aerospace giant Airbus
, which is an SAS wholly owned by the European Aeronautic Defence and Space Company (EADS
).
Law of France
In academic terms, French law can be divided into two main categories: private or judicial law and public law .Judicial law includes, in particular:*civil law ; and*criminal law ....
and based on common law
Common law
Common law is law developed by judges through decisions of courts and similar tribunals rather than through legislative statutes or executive branch action...
principles rather than civil
Civil law (legal system)
Civil law is a legal system inspired by Roman law and whose primary feature is that laws are codified into collections, as compared to common law systems that gives great precedential weight to common law on the principle that it is unfair to treat similar facts differently on different...
. It is similar to a limited liability company
Limited liability company
A limited liability company is a flexible form of enterprise that blends elements of partnership and corporate structures. It is a legal form of company that provides limited liability to its owners in the vast majority of United States jurisdictions...
under United States law, as the Delaware limited liability company
Limited liability company
A limited liability company is a flexible form of enterprise that blends elements of partnership and corporate structures. It is a legal form of company that provides limited liability to its owners in the vast majority of United States jurisdictions...
was the model used by the French Government. The SAS is also similar to the limited company
Limited company
A limited company is a company in which the liability of the members or subscribers of the company is limited to what they have invested or guaranteed to the company. Limited companies may be limited by shares or by guarantee. And the former of these, a limited company limited by shares, may be...
in the British law
Law of the United Kingdom
The United Kingdom has three legal systems. English law, which applies in England and Wales, and Northern Ireland law, which applies in Northern Ireland, are based on common-law principles. Scots law, which applies in Scotland, is a pluralistic system based on civil-law principles, with common law...
, and most other hybrids; though the hybrid in civil law countries is quite different because there is also a hybrid of common law principles applied.
A société par actions simplifiée has its annual statements controlled by an independent body, and the annual summary and balance sheet are published. The head of a société par actions simplifiée is its Président (chairperson). However, this company, unlike the société anonyme, does not have a board. The Président is also responsible for the operation of the company. The company may also have a Directeur Général (general manager
General manager
General manager is a descriptive term for certain executives in a business operation. It is also a formal title held by some business executives, most commonly in the hospitality industry.-Generic usage:...
), who has the same authority as the Président with respect to third parties.
The société par actions simplifiée form of organisation is useful for companies that are wholly owned subsidiaries
Subsidiary
A subsidiary company, subsidiary, or daughter company is a company that is completely or partly owned and wholly controlled by another company that owns more than half of the subsidiary's stock. The subsidiary can be a company, corporation, or limited liability company. In some cases it is a...
of another company, often a publicly traded corporation, since they do not need a complex capital equity structure. An example of this is European aerospace giant Airbus
Airbus
Airbus SAS is an aircraft manufacturing subsidiary of EADS, a European aerospace company. Based in Blagnac, France, surburb of Toulouse, and with significant activity across Europe, the company produces around half of the world's jet airliners....
, which is an SAS wholly owned by the European Aeronautic Defence and Space Company (EADS
EADS
The European Aeronautic Defence and Space Company N.V. is a global pan-European aerospace and defence corporation and a leading defence and military contractor worldwide...
).