The legal system of Monaco
A French-influenced civil-law microstate where sovereignty rests with the Prince, who delegates judicial power to the courts in his name. Codes closely track the French model, and senior judges are frequently French magistrates, but Monaco is an independent state and not part of France. It uses the euro under a monetary agreement without being an EU member.
Legal tradition
Monaco belongs to the civil law tradition. A French-influenced civil-law microstate where sovereignty rests with the Prince, who delegates judicial power to the courts in his name. Codes closely track the French model, and senior judges are frequently French magistrates, but Monaco is an independent state and not part of France. It uses the euro under a monetary agreement without being an EU member.
How power is divided
A unitary state of about two square kilometres with a single commune. Legislative power is exercised jointly by the Prince and the National Council; executive power belongs to the Prince, exercised through the Minister of State and the Government Council; judicial power is delegated by the Prince to the courts, with the Tribunal Suprême acting as both constitutional and supreme administrative court.
Where law comes from
- Constitution
- The 1962 text as revised in 2002; the Prince is the source of sovereign power.
- Statutes (lois)
- Require the joint agreement of the Prince and the National Council.
- Sovereign ordinances
- Ordonnances souveraines, the principal instrument of the Prince’s executive power.
- Codes
- Civil, commercial, penal and procedural codes closely modelled on French law.
- Treaties
- Including the ECHR and the monetary agreement with the EU permitting use of the euro.
- Ministerial orders
- Arrêtés ministériels issued by the Minister of State.
The legal profession
A small bar of avocats-défenseurs, avocats and avocats stagiaires, organised as the Ordre des Avocats, with admission requiring Monegasque nationality preference, a law degree and a traineeship. French avocats may appear in specified circumstances. Notaries are appointed by sovereign ordinance and are few in number.
Law by topic in Monaco
- Criminal LawA French-model system with an investigating judge and no juryCriminal law and procedure follow the French tradition, with a Criminal Code and Code of Criminal Procedure. The public prosecutor directs prosecution, an investigating judge (juge d'instruction) inquires into serious offences, and the Criminal Court tries cases without a jury; the most serious crimes go to the Criminal Assize Court.
- Human RightsConstitutional rights, reinforced by the ECHR since 2005Fundamental rights are guaranteed by Title III of the Constitution and by the European Convention on Human Rights, which Monaco ratified in 2005 on joining the Council of Europe. The Tribunal Suprême protects these rights, and individuals may challenge acts that infringe them.
- Family LawCivil solidarity contracts since 2020, but no same-sex marriageSince June 2020 Monaco recognises civil solidarity contracts (contrats de vie commune) for couples regardless of sex, and cohabitation contracts for family members living together, both by notarial deed. Same-sex marriage is not recognised, and these contracts do not affect civil status, filiation or inheritance rights.
- Data Protection & PrivacyA national data-protection law overseen by the APDPAs a non-EU state, Monaco does not apply the GDPR directly but has its own data-protection law, modernised to align with European standards. The Personal Data Protection Authority (APDP) supervises processing by both public and private bodies.
- Property & LandOpen to foreign buyers, executed by notary, in one of the priciest marketsProperty law follows the French civil-law tradition, and there are no nationality restrictions on buying real estate. Transactions are executed by a notary and registered, with registration and notarial fees on the price, in what is among the most expensive property markets in the world.
- Immigration & NationalityA residence card requiring means, accommodation and a clean recordLiving in Monaco requires a residence card (carte de séjour). Applicants must show sufficient financial resources — through salary, business income or verified savings held with a Monaco bank — secure suitable accommodation in the Principality, and provide a clean criminal record. There is no single fixed savings threshold; banks set their own.
- Tax LawNo personal income tax for residents — except French nationals — and 20% VATMonaco famously levies no personal income tax on its residents, a policy dating from 1869, with one major exception: French nationals remain taxable in France under the 1963 bilateral convention. Companies earning most turnover outside Monaco face a profits tax, VAT is 20% under the customs union with France, and inheritance in the direct line is untaxed.
- Civil ProcedureA French-modelled code, a juge de paix and French magistrates on secondmentMonégasque civil procedure follows the Code de procédure civile, modelled on French law. The juge de paix handles the smallest claims, the Tribunal de première instance is the ordinary first-instance court, and appeal lies to the Cour d'appel and then the Cour de révision.
- Constitutional LawA constitutional monarchy under the 1962 Constitution, with a shared legislatureMonaco is a hereditary constitutional monarchy governed by the Constitution of 17 December 1962, revised in 2002. The Sovereign Prince holds executive authority and shares legislative power with the elected National Council, while judicial power is delegated by the Prince to independent courts.
- Business & CorporateCompany formation requires government authorisation — the SAM and the SARLDoing business in Monaco requires prior government authorisation of the activity, on top of forming a company. The main forms are the public limited company (SAM), needing EUR 150,000 of capital and a notary, and the private limited company (SARL), needing EUR 15,000; both must open a Monaco bank account.
- Employment & LabourA statutory priority-of-employment order favouring Monegasque nationalsMonegasque employment law imposes a distinctive priority order for hiring: Monegasque nationals come first, followed by residents with particular ties, and then others, and a work permit is required for employees. Dismissal and working conditions are governed by labour legislation in the French-influenced tradition.
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