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Citadines Residence Commercial Rents Judge

Citadines Residence Commercial Rents Judge traesch lawyer

Citadines and Vila Luca dispute over new commercial rents

Setting commercial rents for two apartments in a tourist residence

The judgment handed down by the Paris judicial court on March 14, 2024 concerns a dispute between SA Citadines (plaintiff) and SARL Vila Luca (defendant) over the setting of commercial rents for two apartments in a tourist residence.

Initial leases signed with SNC PV Prog

The initial leases, signed on October 1, 2008 between SNC PV Prog and SA Citadines, were tacitly extended after their expiry on September 30, 2018. SA Citadines requested renewal of the leases from July 1, 2019 with reduced rents, but received no response from SARL Vila Luca.

Citadines referred the matter to the Rent Tribunal.

SA Citadines then sought to have the rents judicially fixed at amounts lower than those initially agreed, on the basis of a rental value assessment carried out by an expert. SARL Vila Luca did not set up a lawyer and did not appear at the hearings. The court ordered the proceedings to be reopened so that SA Citadines could prove that SARL Vila Luca was the lessor, which it attempted to do by producing a seizure report.

Citadines did not prove that Vila Luca was the successor to the PIERRE ET VACANCES group company SNC PV Prog.

However, the court ruled that the evidence provided by SA Citadines was insufficient to establish that SARL Vila Luca had succeeded to the rights of SNC PV Prog as lessor of the two apartments. Consequently, SA Citadines’ claims were dismissed, and it was ordered to pay the costs.

The judgment underlines the importance of providing clear and sufficient evidence to establish lessor status in commercial rental disputes.

TJ de Paris, Loyers commerciaux, 14-03-2024, n° 23/00542

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