Model Contract

between the French Public Bank of Investment and their Depositors



By Charles Moudourou Zeth

SKEMA Business School

Paris, France



Companies keep increasing prices sometimes without the approval of regulation authorities or informing customers; this phenomenon has increased depositor’s complaints especially in the banking industry; Depositors need to carefully read contracts proposed by banks before signing them, to avoid paying extra fees while using these products or services. The object of this work is to propose good contracts which will benefit to both banks and their depositors. We will be using the compensatory method from the multi-attribute method to decide which method among the Do nothing, go with the same contract, go with the cost plus incentive contract and go with the firm fixed price incentive best suit to depositors because they the more impacted. Based on the results we will have after the analysis, the go with the firm fixed price incentive contract seems to the best solution for depositors after comparing it to the go with cost plus incentive contract.

Key words: contracts, depositors, policy, regulation, clause, types of contracts, negotiation, dispute resolution


Due to the technological evolution in the whole world, companies always need to introduce new products and services in the market to satisfy customers. No matter the industry where you are competing, companies need to improve in order not to lost markets shares. In the banking industry which is moving even faster and where there are new competitors from different industries (like Orange Telecommunication Company which will be providing banking services soon), banks that will differentiate from its competitors will have to propose a best service or product at a good price.

Price is such an important variable that customers always have to keep a close look on it because banks keeps charging customers if failing to meet a specific clause of their contract.

According to the last report of the French Union of Consumers, banks fees are in net progression in 2017, only based on the reason of having an account at a bank.

But other reasons such as withdrawing the money in the cash machine of another bank (average of 4,5%°), cards of international payment with immediate debit (average of 3%) can also be mentioned, as they are even higher than the inflation.

As many banks adjust their fees in January, others even do that during the year like Societe Generale and some popular banks.

As customers are not looking carefully their contracts before signing them, the phenomenon is significantly increasing every year.

We therefore decide to have a look on this in order to determine if banks and their depositors can both benefit of signing a contract, respecting rules set up by the authority of the banking markets.

The aim of this study will be:

–       To determine whether contracts given by banks to customers are well written and suit to customers.

–       What are the benefits for depositors?

–       What are the limits of contracts proposed by banks to depositors?

–       What can be our suggestions to both parties?

The author of this paper will be focusing on one specific bank called the French Public Bank of Investment (PBI) by analyzing some specifics clauses of one of their contract with a specific client.

The author will be defining some concepts like banks, depositor, contract, in order to make a clear analysis of the specified contract.

To conclude this analysis, the author will give his opinion regarding the contract analyzed and say if he can recommend other customers to sign a contract with this bank.


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Editor’s note: Student papers are authored by graduate or undergraduate students based on coursework at accredited universities or training programs.  This paper was prepared as a deliverable for the course “International Contract Management” facilitated by Dr Paul D. Giammalvo of PT Mitratata Citragraha, Jakarta, Indonesia as an Adjunct Professor under contract to SKEMA Business School for the program Master of Science in Project and Programme Management and Business Development.  http://www.skema.edu/programmes/masters-of-science. For more information on this global program (Lille and Paris in France; Belo Horizonte in Brazil), contact Dr Paul Gardiner, Global Programme Director, at [email protected]

About the Author

Charles Moudourou Zeth

SKEMA Business School
Paris, France

Charles Moudourou Zet
h is a MSc student in Skema Business School Paris campus, majoring in Project Program Management and Business Development. He graduated from the University of Douala in Cameroon, where he holds a Professional Bachelor’s degree in Technical Commercial Management in 2007, a Professional Master Degree Level 1 in Marketing 2008, and Professional Master Degree Level 2 in Marketing, in 2009.

From 2007 to May 2011, he worked for the second telecommunication group in Africa, named MTN (Mobile Telecommunication Networks) , in his operation of Cameroon respectively as Contact Center Agent where he has handling customers queries, advising customers on new services and promotions; Account management agent where he was managing phone bills for biggest companies, and marketing officer in the Consumer Segment Unit; He was actively engaged in one successful project called “The MTN Mobile Money”, a service which consists for customers to pay their university fees, their electricity bills, send and receive money in Cameroon, buy train tickets, buy fuel at Total and Oilibya Stations… through their mobile phone. He also supervised all the promotional offers for prepaid customers like MTN Zik, and was fully engaged in elaborating the business plan of the Consumer Segment Unit in 2010.

In June 2011, he went to London in order to continue his studies at the former Cavendish College of London, where he got a postgraduate Diploma in Business, Management and leadership-Edexcel BTEC Level 7, in 2012. After ending his studies in London, he worked as Welcome Desk Agent at 45 Park Lane Hotel, the Dorchester Group in London. His work was to welcome and advise customers on promotions of the hotel, handle customers queries at his level or escalate them to the right person.

He holds two IELTS (International English Language Testing System) with two overall scores of 5.5 and 6. He also holds a Prince2 Foundation certification.

To get in touch with him, you can email [email protected]