Business Contracts

Pursuant to Article 1646 of the Civil Code, a seller who was unaware of a defect in an item owes the purchaser only restitution of the price and reimbursement of costs incurred in the sale . According to the Court of Cassation, the difference in treatment resulting from this provision between the seller in good faith of a defective item, whose liability is limited to the costs incurred by the sale …

Costs incurred by the sale

Pursuant to Article 1646 of the Civil Code, a seller who was unaware of a defect in an item owes the purchaser only restitution of the price and reimbursement of costs incurred in the sale . According to the Court of Cassation, the difference in treatment resulting from this provision between the seller in good faith of a defective item, whose liability is limited to the costs incurred by the sale, and the seller of a non-conforming item, who owes full compensation, does not infringe the principle of equality .

According to the trial courts, the seller is acting in good faith when he has had the item repaired before reselling it , when the equipment is new and the defects only became apparent with use , or when the defects were only detectable after the item had been dismantled . Thus, the seller of a vehicle containing a defect must be considered to have acted in good faith when the manufacturer's letter informing him of the defect was not received, and when his own seller never sent him any information or asked to see the vehicle, even though he was a customer and had the quad serviced in his workshop .

Case law has defined “expenses incurred in connection with the sale” as “expenses directly linked to the conclusion of the contract” . These expenses, which must be justified by the purchaser , may include: the cost of the vehicle registration document ; the cost of the vignette ; the cost of the leasing contract . On the other hand, costs incurred after the sale are excluded, such as immobilization costs , caretaking costs , repair costs , insurance bonuses , interest on loans taken out for the acquisition of the item  or even boarding and farrier's fees generated by the condition of a horse .

Cass. 3e civ, 8 April 2009, LawLex201200001601JBJ, which specifies that restitution may only be partial.

Cass. 1st civ. 23 October 2019, LawLex201900001361JBJ.

CA Colmar, 20 January 2004, LawLex200700000726JBJ.

CA Orléans, 22 June 2009, LawLex201200001808JBJ.

CA Aix-en-Provence, 3 July 2002, LawLex200700000715JBJ.

CA Aix-en-Provence, 3 July 2002, LawLex200700000715JBJ; Montpellier, 25 March 2003, LawLex200700000734JBJ; CA Orléans, 22 June 2009, LawLex201200001808JBJ.

CA Angers, 24 January 2012, LawLex201200001669JBJ, which considers that insurance bonuses cannot be considered as expenses incurred by the sale, since they were incurred by the use made of the vehicle by the purchasers and by the legal obligation of insurance incumbent on all drivers; Versailles, 21 December 2013, LawLex201300000323JBJ; 5 December 2019, LawLex201900001509JBJ. Contra: CA Rennes, 22 November 2019, LawLex201900001443JBJ: the buyer may claim, as costs incurred by the sale, reimbursement of travel expenses to collect the vehicle, registration fees and insurance costs for half a year.

CA Rennes, 10 October 2008, LawLex201200001881JBJ.

Cass. 1re civ, 16 July 1998, LawLex200500003847JBJ; CA Amiens, 29 April 2003, LawLex200300003563JBJ; Cass. 1re civ, 21 March 2006, LawLex200600000931JBJ.

CA Montpellier, 25 March 2003, LawLex200700000734JBJ.

CA Riom, 22 November 2017, LawLex201700001983JBJ.

CA Toulouse, 10 April 2012, LawLex201200001555JBJ.

Cass. 1re civ, 8 February 2005, LawLex200700000707JBJ; CA Colmar, 27 June 2005, LawLex200600001714JBJ.

CA Douai, 20 October 2003, LawLex200700000714JBJ.

CA Montpellier, 25 February 2003, LawLex200700000734JBJ; CA Rennes, 27 February 2004, LawLex200700000728JBJ; CA Colmar, 25 October 2006, LawLex200700000729JBJ; CA Rennes, 18 May 2018, LawLex201800000739JBJ; 22 November 2019, LawLex201900001443JBJ.

CA Versailles, 3 November 2000, LawLex200500005112JBJ.

Business Contracts

221. Costs incurred by the sale

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Les décisions de justice citées dans ce paragraphe :

Les notions juridiques connexes

221. Costs incurred by the sale

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Les décisions de justice citées dans ce paragraphe :

Les notions juridiques connexes

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