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Deux Alpes Ordered to Pay 4.5 Million Euros in Ski Area Breach of Contract Case

The town of Deux Alpes, located in Isère, was ordered to pay 4.5 million euros to Compagnie des Alpes to compensate it following a breach of contract for the operation of its ski area, indicated this Friday 25 August the Administrative Court of Grenoble.

The commune of Deux Alpes (Isère) was ordered to pay 4.5 million euros to Compagnie des Alpes to compensate it following a breach of contract for the operation of its ski area, the administrative court of Grenoble.

The municipality had broken in November 2019, three years in advance, the public service delegation contract for the benefit of Sata Group, which Deux Alpes Loisirs (DAL), a subsidiary of Compagnie des Alpes, accused it of.

The DAL company claimed the sum of 322.5 million euros in compensation for the loss of earnings caused to it by the early termination, as well as the cancellation of the public service delegation contract concluded with Sata Group. This second request was rejected by the court.

Financial provisions had been secured “so as to anticipate the foreseen or foreseeable penalties”allowing to “reduce the financial impact for the municipality”for its part underlined the municipality of Deux Alpes in a press release.

“This decision of the administrative court reassures our fellow citizens after an incalculable number of false information shortly before the elections (municipal) from June 2023″she welcomed.

An investigation for suspicion of favoritism, with regard to the allocation of the public service delegation, was nevertheless opened in July 2021 by the Grenoble public prosecutor’s office and entrusted to the judicial police. The investigation is still ongoing, confirmed the public prosecutor of Grenoble, Eric Vaillant.

Compagnie des Alpes is one of the giants in the operation of ski areas. It operates 4,000 hectares of slopes in the Alps, as well as 12 leisure parks throughout France.

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