Commercial Leases/Business Goodwill

The destruction of the leased property can refer to the material loss, but also to the legal loss of the leased property, particularly due to an administrative decision . When the condition of the building requires work whose cost proves excessive to ensure the use for which the property is intended, the Court of Cassation considers that the destruction of the building is total. This is the case w …

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The destruction of the leased property can refer to the material loss, but also to the legal loss of the leased property, particularly due to an administrative decision . When the condition of the building requires work whose cost proves excessive to ensure the use for which the property is intended, the Court of Cassation considers that the destruction of the building is total. This is the case when the commercial premises are completely devastated , when the building has issues with the roof's waterproofing, plumbing condition, electrical installation, and the presence of wood parasites , is in a state of ruin due to irreparable dilapidation , or must undergo compliance work prescribed by the administrative authority , and the cost of restoration exceeds the value of the building.

The destruction of the leased property is also total when its use or enjoyment, according to its intended purpose, has become impossible , regardless of the cost of the work. This is the case when the use of a workshop becomes impossible due to the total destruction of the roof , a fence intended to support advertising becomes unusable due to a municipal decree regulating advertising in the city , a premises that has been demolished and relocated to another neighborhood as part of an administrative urban renewal procedure , or unusable following the administrative closure of the shopping center in which it was located . The same applies when a fire has completely destroyed the two rooms used as a bar and restaurant, leaving only the storeroom, the back room, and the first-floor apartment, making the commercial operation of the premises according to their intended purpose impossible .

CA Paris, 30 March 2022, LawLex202200005146JBJ.

Cass. 3e civ., 4 May 2010, LawLex202300011212JBJ.

CA Paris, 29 September 2010, LawLex202200008619JBJ.

Cass. 3e civ., 9 December 2009, LawLex202200004637JBJ.

Cass. 3e civ., 3 May 1978, LawLex202300011220JBJ.

Cass. 3e civ., 12 June 1991, LawLex202300011222JBJ; 20 December 2018, LawLex202300011211JBJ.

CA Pau, 27 February 2024, LawLex202400001937JBJ, regarding a fire that completely destroyed the leased property.

Cass. com., 12 February 1962, LawLex202300011208JBJ.

Cass. 1re civ., 29 November 1965, LawLex202300011226JBJ.

Cass. 3e civ., 12 May 1975, LawLex202300011210JBJ.

Cass. 3e civ., 30 October 2007, LawLex202300011253JBJ.

Commercial Leases/Business Goodwill

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

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

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Les décisions de justice citées dans ce paragraphe :

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