Property law: legal framework and solutions

This decision provides important insight into your property law. Here is what it changes for you.

The situation

Having found that two companies, one a property-holding civil company (société civile immobilière) and the other a limited liability company, were created, the first to retain ownership of a building and the second that of a business operated in the building, by one and the same person to evade the proceedings of a committee for confiscation of illicit profits and the forced sale of his assets, that the shareholders are all members of the founder's family and that no lease was entered into between these companies, the trial judges, who held that the latter served only as a front and a nominee for their founder to enable him to continue carrying on his commercial activity, may infer that there is only one commercial undertaking, thus justifying their decision ordering the judicial administration of both companies and thereby answering the submissions that a joint declaration of judicial administration with pooling of assets and liabilities would be illegal.

What the law says

This decision confirms the fundamental principles of property law.

Key points to remember

• Strictly comply with the legal time limits for appeals
• Keep all your supporting documents (title deeds, deeds, correspondence)
• Anticipate: preventive advice always costs less than litigation

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