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After noting that the secretary
Droit Immobilier

After noting that the secretary

📅 Décision du 30 May 1978⚖️ Cour de cassation👁️ 19 vues📖 2 min de lecture

After noting that the general secretary of a company did not hide from the other party, when signing an agreement relating to shares, that he was not the representative of the company, and that he did not claim any special authority, a court of appeal may consider that the third party had a duty to verify the authority of the person dealing with him, and cannot claim to have been misled by appearances.

Reference decision: cc • N° 76-15.170 • 1978-05-30 • Consult the decision →

This decision sheds important light on your real estate law. Here is what it changes for you.

The situation

After noting that the general secretary of a company did not hide from the other party, when signing an agreement relating to shares, that he was not the representative of the company, and that he did not claim any special authority, a court of appeal may consider that the third party had a duty to verify the authority of the person dealing with him, and cannot claim to have been misled by appearances.

What the law says

This decision confirms the fundamental principles of property law.

Points to remember

  • Scrupulously observe statutory time limits for appeals
  • Keep all your supporting documents (title deeds, deeds, letters)
  • Anticipate: preventive advice always costs less than litigation

For an analysis of your situation: 30-minute consultation for €45 with Maître Zakine.

📌 Does this apply to your situation? Maître Cécile Zakine, French real estate lawyer, practises throughout France.
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Informations juridiques

  • Numéro: 76-15.170
  • Juridiction: Cour de cassation
  • Date de décision: 30 mai 1978

Mots-clés

droit immobilierjurisprudenceimmobilier

Cas d'usage pratiques

1

First-time buyer loses deposit due to unverified agent

You are a first-time buyer in Paris who signed a preliminary sale agreement ('compromis de vente') and paid a €15,000 deposit to a person claiming to be the sales manager for the developer. When the developer later denies the deal, stating the manager had no authority, you risk losing your deposit as the sale collapses.

Application pratique:

This case law confirms that you had a duty to verify the agent's authority before signing. Since the agent did not hide their lack of representative status, you cannot rely on appearances. Always demand a written mandate or power of attorney directly from the company, and verify it with the legal representative before transferring any funds or signing binding documents.

2

Landlord’s commercial lease void after signing with unauthorised person

As a landlord in Lyon, you let your shop to what you believed was a representative of a well-known retail chain. The individual signed a 9-year lease and paid a €6,000 deposit, but the company later denies the lease, arguing the signatory had no authorisation. You want to enforce the lease or keep the deposit.

Application pratique:

Under this ruling, you should have verified the signatory's authority because they did not pretend to be a legal representative. You cannot claim you were misled by appearances. Insist on seeing a recent extract from the trade register ('extrait Kbis') and a board resolution or express delegation of authority before accepting signatures. If in doubt, contact the company’s registered office directly.

3

Co-owners face €50,000 bill from unauthorised contract

In your Nice co-ownership, one co-owner posed as the syndicate’s representative and signed a €50,000 façade renovation contract with a builder. The other co-owners dispute the contract, but the builder demands payment. You now face legal action and potential liability for works you never approved.

Application pratique:

The decision reinforces that the builder had a duty to check the co-owner’s authority, as there was no deception about his status. To avoid such disputes, always verify that any person signing for the co-ownership has a valid mandate from the general meeting. Demand a copy of the minutes specifically authorising the works and the signatory, and ensure the mandate is within the legal limits of co-ownership powers.

Maître Cécile Zakine

À propos de l'auteur

Maître Cécile Zakine — Avocate au Barreau des Alpes-Maritimes, Docteur en Droit. Chaque article de ce magazine est rédigé à partir de l'analyse d'une décision de jurisprudence réelle, commentée et mise en perspective par les équipes de Maître Zakine.

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