How to protect yourself in case of a dispute over an unsigned or incomplete employment contract?

When hiring an employee, disputes can arise from issues related to employment contracts. An unsigned or improperly completed contract may lead to significant legal and financial risks for your business. Establishing a properly drafted and signed contract—ideally using a digital signing tool—is essential to safeguard both parties.

Preventing disputes from the start

Establish a comprehensive contract

Creating a complete and compliant employment contract is the first step in preventing disputes. Even if certain roles (like full‑time permanent positions) might not legally require a written contract, it is advisable to document details such as:

• The type and duration of the contract
• Salary and benefits
• Working hours and responsibilities
• Leave entitlements
  Including as much information as possible helps ensure clarity and reduces future conflicts.

Respect the signing deadlines

For contracts where a signature is legally required—such as fixed‑term, part‑time, temporary, apprenticeship, or professionalization contracts—the law mandates that the contract be signed within 48 hours after the effective start date. Completing all formalities before the employee begins work minimizes risks and establishes clear expectations.

Regularizing an incomplete contract

If you notice missing information or errors in the contract, act quickly:

• Sign the corrected contract and have the employee sign it as soon as possible.
• Explain the risks associated with delayed signatures to the employee.
• If errors are found, use an amendment (avenant) to correct mistakes. For minor material errors (such as typos or incorrect salary figures), an interpretative amendment signed by the company may be used, but with caution.

Risks for the employer with unsigned or incomplete contracts

An unsigned or poorly completed contract may lead to serious consequences:

• The employee might be deemed to be on a full‑time permanent contract, limiting your options for dismissal.
• The employee may claim indemnities equal to at least one month’s salary.
• Regulatory penalties can apply, such as fines of 1,500 € for part‑time or intermittent positions and up to 3,150 € (or 7,500 € in case of repeat offenses) for fixed‑term or temporary contracts.
• Ambiguous or incomplete contract terms can result in disputes that may escalate to labor court.

Handling a dispute

Preparing your defense

If a dispute arises, begin by checking if your professional liability insurance covers contract-related conflicts. Familiarize yourself with the relevant legislation, your obligations as an employer, and your responsibilities in the dispute. It may be beneficial to consult a labor law attorney who can help review the situation and gather necessary evidence (e.g., copies of contracts, pay slips, relevant emails, and work time records).

Resolving the conflict

Whenever possible, aim to resolve disputes amicably to avoid costly and time-consuming litigation. Mediation or arbitration can be effective alternatives to court proceedings. If an amicable resolution is not achievable, the dispute may ultimately be taken to the labor court (Prud’hommes), which is the competent tribunal for resolving such conflicts.

Conclusion

To protect your business in case of a dispute over an unsigned or incomplete employment contract, ensure that all contracts are comprehensive, signed within the legal deadlines, and regularly reviewed for accuracy. Quick action to correct any errors and seeking professional legal advice will help defend your interests and reduce potential legal risks.

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