20 November 2023 bruno

Adagio Val d’Europe Leaseback

Adagio Val d'Europe Leaseback traesch lawyer

On 5 May 2022, 8 lessors of the Adagio Val d’Europe tourist residence succeeded in having the Meaux court order PV RESIDENCES & RESORTS France (PV CP CITY), part of the PIERRE ET VACANCES group, to pay €124,508 (Covid rents: €121,628 and €2,880 under article 700 of the French Criminal Procedure Code).

The Cour de Cassation confirmed this solution in its two rulings and its press release of 30 June 2022.

No “partial loss of the rented property

The operator, a company in the PIERRE ET VACANCES group, claimed that the confinements resulting from an administrative decision could be likened to a partial destruction of the rented property.

The aim was to avoid having to pay arrears of commercial rent for this tourist residence.

The Meaux court rejected this argument in the following terms:

“Temporary unavailability of the leased property, as a result of an administrative decision, is in no way comparable to partial destruction. The very nature of destruction is that it is definitive.

However, in the case in point, what is involved is a temporary administrative closure that cannot be equated with partial destruction of the rented property.

The plea alleging “partial loss of the rented property

Temporary unavailability of the leased property as a result of an administrative decision cannot in any way be equated with partial destruction. In fact, the very nature of destruction is that it is definitive.

However, in the case in point, what is involved is an administrative closure of a temporary nature that cannot be equated with partial destruction of the leased property.

The plea will be rejected.

Judgement of the Meaux judicial court of 5 May 2022, 1st chamber, No. RG 21/01536

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