The law, which has re-ignited the deeply divisive debate about euthanasia, also makes "living wills" -- drafted by people who do not want to be kept alive artificially if they are too ill to decide -- legally binding on doctors.
"Sleep before death to avoid suffering," said MP Jean Leonetti, summing up the law he proposed.
The law was passed by 436 votes to 34 in parliament.
The session was briefly interrupted when a group of people threw bits of paper from the gallery, with slogans such as "No to euthanasia".
Polls show French people are overwhelmingly in favour (96 per cent in a recent survey) of putting patients into a deep sleep if they are able to make the decision themselves.
This drops only slightly (to 88 per cent) if the medical care team takes the decision because the patient is unable.
Eight out of 10 French people would even go further than the draft law, and legalise euthanasia.
But the new law goes further, allowing doctors to couple this with "deep and continuous sedation" for terminally ill patients.
The debate on euthanasia regularly opposes those who say the sanctity of life must be respected at all costs and those who believe terminally ill patients in unbearable pain must be allowed to die with dignity.
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