Termination clause and commercial lease: the Court of Cassation unifies its case law

Two rulings handed down on the same day clarify the scope of Articles L. 145-41 and L. 145-15 of the Commercial Code. The Court of Cassation rules that any termination clause providing for a period of less than one month after an unsuccessful formal notice is deemed null and void. It also confirms that the …

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Exception for non-performance and commercial leases: prior formal notice is not required

Court of Cassation, 3rd Civil Chamber, 18 September 2025, Appeal No. 23-24.005 The tenant in a commercial lease may suspend payment of rent as soon as the premises become unfit for use, without prior formal notice. The facts: commercial premises affected by water infiltration The company Le Bourgeon had leased premises to Ms [D] for …

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Commercial Lease: Rent uncapping requires only a potential to favor the tenant’s business

A significant change in local commercial factors justifies setting aside rent capping as long as it is likely to have a favorable impact on the tenant’s business activity, without the need to demonstrate an actual, measurable effect on the business carried out. Court of Cassation, 3rd Civil Chamber, September 18, 2025, Appeal No. 24-13.288 The …

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