France – leaseback issues- Coronavirus

Ongoing pandemic does not prevent owners from obtaining eviction of tenants for non payment of rent.

A decree was pasted by the French government (“Ordonnance n° 2020-306 du 25 mars 2020”) ordering that no procedure could be implemented against a party in breach of contract from the 12 of March 2020 until 2 months after end of period of state of urgency (“état d’urgence sanitaire”) du to coronavirus.

This decree notably applied to leaseback situations and more specifically termination of lease and payment of rent.

This restriction has been lifted since.

Further, management companies remain liable for rent due prior and after this period of epidemic.

Consequently, it currently possible to serve an injunction on a management company in breach of contract to obtain payment of rent and possibly eviction.

In 2020, despite the pandemic, the practice has evicted management companies in breach of lease contract.

For more information, please contact the practice.