Our real estate agencies in Paris's 16th arrondissement—CENTURY 21 Auteuil Immobilier and Auteuil Seine—provide a detailed overview of these seller obligations.
The Seller's Duty to Disclose Information
When a property is put up for sale, the seller is generally required to provide the buyer with all information in the seller’s possession regarding the property being sold and the condition of the building. This obligation, which applies in particular to professional sellers and especially to real estate agents acting on behalf of the seller, is based on the seller’s good faith and transparency in gathering all relevant information (such as any pending legal proceedings, the existence of a lease, easements, etc.) and may not claim ignorance in the event of a dispute.
The obligation to disclose information to the buyer requires the seller—under penalty of legal sanctions—to provide accurate information and documents relating to the sale of a condominium unit as soon as the preliminary sales agreement or letter of intent is signed, including:
- The exact area, based on the property's square footage, in accordance with the Carrez Law
- the building maintenance log
- the condominium bylaws
- operating expenses
- the minutes of the general meetings from the past 3 years
- the technical inspections of the property being sold and the building
and, from a legal standpoint, certain details such as the existence of easements (for right of way, view, or drainage) or a mortgage.
The seller must indicate whether the property for sale is currently rented and, if so, give notice to the tenant or provide a copy of the current lease before the preliminary sales agreement is signed.
The Obligation to Issue
Delivery
One of the seller’s primary obligations upon completion of a real estate transaction—such as the sale of a house or apartment—is to deliver the property being sold; that is, to allow the buyer to take possession of the premises upon the handover of the keys. The obligation to deliver applies to the property itself as well as all items related to its use (title deeds, various certificates, etc.).
Compliance
Delivery of the property sold must comply with the specifications set forth in the sales contract. Article 1614 of the Civil Code specifies that the property sold must be delivered in the same condition as it was on the day the buyer inspected it. It is also standard practice to arrange a final inspection of the house or apartment with the buyer before signing thenotarized deed of sale, to ensure that the property is in compliance; it must retain its original condition and correspond in every respect to the description provided in the preliminary contract.
The seller of real estate is obligated to monitor the condition of the property before handing over the keys to the buyer. In the event of damage to or deterioration of the property resulting from a failure to comply with this monitoring obligation, the seller shall be liable and must bear the costs associated with the necessary repairs.
In accordance with Article 116 of the Civil Code regarding area measurements and pursuant to the Carrez Law, sales contracts for condominium units must specify the exact area. The buyer may claim a pro-rata reduction in price within one year of signing the notarized deed of sale if the actual area of the property sold is more than 5% below the stated area. Conversely, if the area is more than 5% larger than stated, the buyer must be prepared to pay the additional amount or cancel the purchase.
Failure to Comply with the Obligation to Issue
It is important to note that the buyer has the right to seek legal action to have the sale rescinded or to enforce its performance, along with potential damages for the harm suffered (moving expenses, etc.), if the seller fails to fulfill their obligation to deliver the property.
The obligation to deliver may, in the event of force majeure, be suspended or canceled by the court upon the seller’s request, which will be considered on a case-by-case basis by the courts.
