Understanding artisan status: definition, qualifications and key distinctions

The craft industry is an essential pillar of the French economy, a dynamic sector with an incredible diversity of trades. However, behind the familiar image of manual skills, the legal status of craftspeople is sometimes hard to pin down. It's vital for the person carrying out the activity, as well as for their customers and partners, to have a clear understanding of what is meant by this term. Are they artists? A trader? Or a category in its own right?

This article aims to clarify the legal definition of the artisan in France. We will first explore the historical and economic contours of this concept, before detailing the criteria used by the courts (the civil definition) and then by the authorities (the administrative definition, linked in particular to registration). Finally, we will look at the scope and practical consequences of these different classifications.

The artisan: a concept with historical and economic contours

The very etymology of the word "artisan" reveals a certain ambivalence. Derived from the Latin arsThe term "craftsman" refers to talent, skill and know-how, and brings the craftsman closer to the artist. The boundary between the two has long been blurred. Although we intuitively think that the artist is only interested in beauty, while the craftsman adds a practical and useful dimension, history shows that many craftsmen claim an artistic fibre (think of Vatel or Boulle) and that artists like to compare themselves to craftsmen, as La Bruyère said: "It is a trade to make a book as it is to make a clock". The terms "art" and "craft" were synonymous for a long time, but it was not until quite some time later that a clear distinction was made between them.

The distinction with the merchant is no more obvious at first glance. From a sociological point of view, there is even a trend towards the "commercialisation" of the craft industry, but also, conversely, a marketing use of the "craft" label as a sales argument, a guarantee of quality and authenticity. Legally, the 1807 Commercial Code, by listing commercial acts, has created some grey areas: aren't "manufacturing businesses" or the purchase of goods for resale "after working on them" reminiscent of craftsmanship? Despite these ambiguities, one fundamental difference remains: the craftsman is characterised by his production, by the creation resulting from his personal work, whereas the trader is defined above all by buying for resale, by speculation. The craftsman creates more than he sells.

Economically speaking, the craft industry is far from being an outdated concept. Nicknamed "France's number one business", in 2013 there were almost 1.1 million businesses in the sector, generating a significant proportion of the country's added value. Its diversity is remarkable: the official nomenclature (NAFA) lists almost 500 trades, ranging from the most traditional (bricklaying, butchery) to the most modern (microelectronics, climate engineering), classically divided into four main sectors: food, construction, production/services, and arts and crafts. This is a dynamic sector, although it is mainly made up of very small structures (almost 60% without employees).

The civil status of the craftsman: criteria established by case law

Historically, in the absence of a clear legal definition of the artisan in the Civil Code or the post-Revolutionary Commercial Code (which abolished guilds but defined the merchant), it was the courts that had to define the contours of the artisan qualification. This "civil" classification, which is distinct from that linked to administrative registration, remains important because, in principle, craftspeople come under civil law, which has a particular influence on jurisdiction (even if recent developments are tending to bring craft litigation closer to the commercial courts) and the rules of evidence.

Case law has evolved. Initially, the Court of Cassation took a very restrictive view: any activity involving the purchase of raw materials for resale, even if processed, was considered to be commercial (for example, a locksmith buying iron was considered to be a trader as early as 1812). This rigid approach ignored the reality of artisanal work.

Gradually, under the influence of doctrine advocating a more pragmatic approach, case law became more flexible. A key ruling in 1909 concerning a shoemaker marked a turning point. The shoemaker worked alone, to order, without a shop, and his leather purchases were modest, made as he went along. The Court ruled that the shoemaker's earnings came essentially from his manual work and not from speculation on buying and reselling, thus qualifying him as a craftsman and not a trader. This development gave rise to the two main criteria for civil status, which are still relevant today: the existence of predominantly personal work and the absence of speculation.

Criterion 1: Personal work predominates

The image of the craftsman is strongly associated with manual work. Although mechanisation has extended its reach, this criterion remains central. The craftsman must participate personally and significantly in the production or provision of the service. Their main working tool is themselves. Case law assesses this involvement on a case-by-case basis. For example, the manager of an electrical winding company that used mainly automatic machines and did not personally participate in the manual finishing work (which represented only 30% of the business) was not considered to be a craftsman. Similarly, a manufacturer of medical belts who took measurements but did not participate in the production (sewing, cutting) carried out by female workers was not classified as a craftsman. The preponderance of personal work, often manual, therefore remains essential, even if it is assessed in concrete terms.

Criterion 2: Absence of speculation

Craftspeople are professionals who aim to make a living from their activity; their aim is to make a profit. However, he must not "speculate", i.e. seek his main profit by taking advantage of external factors such as other people's labour or fluctuations in the market for raw materials. His wealth must come first and foremost from his own work.

• Labour speculation : Artisans may employ salaried workers, but they must remain auxiliary staff. Their income must not be the company's main source of profit. If the craftsman is content to organise and supervise the work of a large number of employees, he is moving over to the commercial side of the business. Jurisprudence examines proportionality: employing a few employees is compatible with the status of craftsman, but running a business where most of the work is carried out by a large salaried workforce, on which the entrepreneur makes a substantial margin, is tantamount to commercial speculation. The exact number of employees is not an absolute criterion in itself in this civil qualification (unlike the administrative qualification). preponderance The decisive factor is whether the gain from the work of others is greater than the gain from one's own work.
• Commodity speculation : Craftsmen buy the materials they need for their production or processing work. He must not make his main profit from the purchase and resale of these materials. The fact that they do not build up large stocks is an indication that they qualify as craftsmen. In addition, the "accessory theory" applies: a shoemaker selling a few shoelaces or shoe polish does not necessarily become a trader, as these sales are incidental to his main activity of repair and manufacture. The purchase of raw materials, an act of commerce by nature, loses this character if it remains subordinate to the craft work and does not exceed the needs of this activity.

Administrative qualification: registration and its conditions

In addition to the civil definition provided by case law, there is also an "administrative" definition of a craftsman, mainly determined by law no. 96-603 of 5 July 1996 and its implementing decrees (in particular decree no. 98-247 of 2 April 1998). This definition determines compulsory registration with the Répertoire des Métiers (RM). It is based on several cumulative criteria.

Criterion 1: Carry out a listed activity

To be required to register with the RM, you must be engaged in the independent professional activity of producing, processing, repairing or providing a service. in the craft sector and appearing on a list established by decree. This list, appended to the 1998 decree, is very broad and covers the food, construction, manufacturing and service sectors. Significantly, the list explicitly includes certain activities that might appear to be commercial, such as "retail sale of meat" or "fish" in specialised shops. This underlines the fact that the nature of the activity alone is not always enough to distinguish the craftsman from the trader for the authorities, making the other criteria all the more important.

Criterion 2: Respect the size of the company

Initially, the 1996 law limited the obligation (and the possibility) of registration to companies not employing no more than ten employees. This threshold, calculated excluding apprentices and subsidised contracts, has been a strong marker of the "official" craft business. However, aware that development could lead to this threshold being exceeded without losing the craft nature of the business, the legislator has relaxed this rule. The Pinel Act (2014) and then the Sapin II Act (2016) introduced a "droit de suite": a business can stay registered with the RM, even if it has more than 10 employees, as long as it remains less than fifty employees. It is even possible to register directly, with more than 10 employees (but fewer than 50), in the case of a takeover of an already-registered business. If the threshold of 50 employees is exceeded, the business may remain registered for the year in which the threshold is exceeded and for the following two years.

Criterion 3: To act professionally and independently

The activity must be carried out professionalIn other words, on a regular basis and for profit, whether on a primary or secondary basis. Since the Pinel Act, even self-employed entrepreneurs running a craft business on a secondary basis must register with the RM. The activity must also be independent. This excludes salaried employees. Moreover, registration with the RM creates a simple presumption of non-salaried status vis-à-vis the principal (article L. 8221-6 of the French Labour Code). Beware, however, of the risk of this being reclassified as an employment contract if a legal relationship of subordination (power of direction, control and sanction) is demonstrated. This is a frequent situation in certain sectors, such as construction, where the qualification of craftsman is sometimes used to circumvent employment law ("false craftsmen"). A distinction must also be made between self-employed craftsmen and home workers (who work on behalf of one or more establishments, even without any apparent subordinate relationship).

Criterion 4: Proof of professional qualification (regulated activities)

For a certain number of activities considered more sensitive (listed in article 16 of the 1996 law), it is only possible to be carried out by one person. professionally qualified or under its effective and permanent control. This list includes in particular :

• Vehicle maintenance and repair.
• Construction, maintenance and repair of buildings.
• Electrical, gas, heating and plumbing installations.
• Chimney sweeping.
• Beauty treatments (non-medical).
• The production of dental prostheses.
• Preparing fresh produce (bakery, butcher's, fishmonger's, etc.).
• The farrier business.
• Hairdressing (added by the Sapin II law).

When registering for these trades, you must provide proof of a specific diploma (CAP, BEP, equivalent or higher qualification) or at least three years' professional experience in the trade. The Centres de Formalités des Entreprises (CFE) of the CMAs are responsible for checking this qualification. There has been some debate about the application of this requirement to new activities (such as nail styling, which may or may not be treated as beauty care). The system has led to some surprising situations where a qualification in one trade has enabled a related trade in the same category to be practised without any specific qualification (e.g. a plumber becoming a heating engineer), but the law is moving towards a stricter assessment by trade.

Scope and consequences of qualifications

It is essential to understand that the civil classification (based on case law) and the administrative classification (based on registration with the RM) are not the same. independenteven if they often overlap.

• La civil qualification traditionally determines the applicable legal regime (civil law vs. commercial law). Its main interest lay in its jurisdictional competence (civil courts for the craftsman). However, the "Justice 21" Act of 2016 provided for the gradual transfer (by 1 January 2022 at the latest) of disputes between tradespeople to the commercial courts, thereby bringing the procedural treatment of tradespeople closer to that of traders. It will continue to have an impact on the system of evidence (free in commercial matters, more regulated in civil matters). A judge hearing a dispute is not bound by whether or not an activity is registered with the RM to determine whether it is civil or commercial in substance.
• La administrative qualificationwhich is subject to the criteria described above, triggers the obligation (or possibility) ofregistration with the Répertoire des Métiers. Registration is crucial, because it gives you access to certain specific rights (such as the right to benefit from the status of commercial leases for your premises, or the possibility of pledging your business as collateral) and entitles you to use protected titles such as "craftsman" or "master craftsman". Failure to register when you are required to do so exposes you to criminal penalties and the risk of being prosecuted for undeclared work.

It is therefore possible to be considered a craftsman in the civil sense without meeting the criteria for registration with the RM (for example, a craftsman working alone but whose activity is not on the official list). Conversely, a person registered with the RM (meeting the administrative criteria) could, in certain borderline cases, be reclassified as a trader by a judge if his activity reveals predominant speculation and little personal involvement in the work.

Beyond the legal definition, the day-to-day running of a craft business also involves practical aspects relating to professional qualifications and managing the status of your close associates.

Determining your exact status as a craftsman has important legal consequences, whether for your obligations, your rights or your relations with third parties, particularly as regards the nature of your business. Our firm can help you to clarify your situation with regard to civil and administrative criteria and to secure your business.

Sources

• French Commercial Code (Articles L.110-1, L.110-2, L.121-1, etc.)
• Civil Code (Articles 1240, 1242 al.6, etc.)
• Law no. 96-603 of 5 July 1996 on the development and promotion of trade and craft industries
• Decree no. 98-247 of 2 April 1998 on craft qualifications and the register of trades
• Crafts Code (new codification since 2023)
• Law no. 2016-1547 of 18 November 2016 on the modernisation of the justice system for the 21st century (art. 95)
• French Labour Code (Art. L.8221-6)