FRENCH LEASEBACK
AMS Law Firm, based in Lyon, advises individual owners who have invested in tourist residences, student housing, senior residences, or nursing homes (EHPAD), often under French tax-incentive schemes. While initially attractive, these investments can lead to complex legal disputes when operators fail to meet their contractual obligations.
Common Types of Disputes
- Unpaid rent despite contractual guarantees
- Abusive lease renewal or refusal to renew the commercial lease
- Owner seeking to regain possession of the property
- Insolvency proceedings (receivership or liquidation of the operator)
- Reclassification issues or loss of tax benefits under LMNP status
- The firm has experience with operators such as Pierre & Vacances, Odalys, Goelia, Nemea, and others.
Legal Services Offered
- Review of the commercial lease agreement and its clauses (duration, renewal, indexation, charges)
- Formal notices to the operator and negotiation for settlement or early lease termination
- Legal action before French courts to seek lease termination or rent recovery
- Representation before competent courts (Judicial Court, Commercial Court)
- Support in filing claims in insolvency proceedings against the operator.
AMS Law Firm provides comprehensive legal support throughout the dispute resolution process :
The firm can also assist groups of investors dealing with the same operator to pool legal costs and enhance procedural strategy.
Support for Foreign Investors
- Bilingual support in French and English
- Detailed explanation of French legal concepts (commercial leases, LMNP tax regime)
- Remote assistance (video calls, electronic signatures)
- Direct coordination with notaries, accountants, or property managers
AMS Law Firm advises numerous non-resident investors who acquired properties in France under commercial leaseback agreements.
Frequently Asked Questions
Can I exit the commercial lease without penalties?
Early exit depends on the lease terms and the operator’s conduct. Courts may authorize termination in cases of serious contractual breach.
Can I sell my property while the lease is still running?
Yes, but the lease may restrict the buyer profile. Terminating the lease beforehand may ease the sale.
What if the operator has stopped paying rent?
A formal notice should be sent promptly. Legal action can follow to seek termination and recover unpaid rent.
What are my rights if the operator is in liquidation?
You can file a claim as a creditor and request termination of the lease. The liquidator must comply with certain obligations toward landlords.