The liability of the real estate agency
Written by, Séphora Amsellem on February 8, 2018
In this case, the French Supreme Court held that a real estate agency specialising in investment properties had breached its duty to provide adequate information and advice to purchasers who had acquired a property under a VEFA agreement (vente en l’état futur d’achèvement) within a tourist residence.
The agency was also found liable for failing to draw the purchasers’ attention to the risks associated with the investment, in particular the potential failure of the operator managing the tourist residence and the resulting risk of unpaid rent.
(French Supreme Court, civ 3rd. , 8 February 2018, n° 17-11051)