Commercial Leases/Business Goodwill

Under the terms of Article L. 145-32, para. 1, of the Commercial Code, the subtenant may request the renewal of their lease from the principal tenant to the extent of the rights that the latter holds from the owner. Thus, when the main lease is ongoing or has been renewed, the subtenant who wishes to renew their sublease must request it from the principal tenant who retains their rights. Indeed, the subtenant can directly request renewal from the landlord only when the principal tenant, having forfeited their rights to the premises occupied by the subtenant, loses their capacity to renew the sublease .

Given that the right to renewal is exercised to the extent of the rights that the main tenant holds from the owner (Art. L. 145-32, para. 1, Commercial Code)  and that the sublease and the main lease overlap when the latter is in effect, even if the law does not require a coincidence between the expiration of the sublease and that of the main lease , the main tenant cannot renew the sublease for a period extending beyond the duration of their own lease. Thus, if the main lease is renewed, the sublease continues only during the renewal period .

Furthermore, since the principal tenant, who receives notice from the lessor with a refusal to renew, no longer has rights over the premises occupied by the subtenant, the latter is not entitled to claim eviction compensation from them .

Cass. 3e civ., 6 December 1972, LawLex202200009885JBJ; 3 October 1973, LawLex202300012268JBJ; 7 December 1977, LawLex202300012269JBJ.

Cass. com., 1 April 1965, LawLex202300012254JBJ; Cass. 3e civ., 7 December 1977, LawLex202300012269JBJ.

Cass. 3e civ., 24 February 1988, LawLex202300012262JBJ.

Cass. 3e civ., 3 October 1973, LawLex202300012268JBJ.

334. Could you please provide the French text you would like translated?