Who decides on eviction compensation?

Who sets the eviction compensation?

Possible agreement between lessor and lessee

Eviction compensation is set by amicable agreement between the lessor and the lessee. If the parties are unable to reach an agreement, the dispute is referred to the competent court (generally the law court).

A court-appointed expert proposes an amount

In this case, the court often appoints an expert to assess the amount of eviction damages, based on the legal and economic criteria mentioned above:

• occupancy rate,

• EBE,

• yearly turnover,

• location,

stars and repairs.

When is eviction compensation assessed?

Eviction compensation is assessed at the time the lessor notifies the lessee of his refusal to renew the lease without a legitimate reason, or at the end of the lease if no notification is made and the lessee takes action to claimeviction compensation. This assessment is based on the value of the business and other criteria at the date when the eviction takes effect.

It is important to note that the indemnity must cover all damages suffered by the tenant at the time of eviction. If changes occur in the tenant’s situation or in the economic environment between notification and the effective date of eviction, these changes may influence the assessment of eviction compensation.

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