Landlord's Privilege over Premises

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

The situation

The landlord's privilege over premises and the privilege of the creditor holding a pledge over a business are both based on the notion that the creditors who hold them are invested with a right of pledge over the assets which constitute their basis; therefore, these two securities being of the same nature, the preference to be accorded to their respective holders must be determined according to the date on which each was made enforceable against third parties. Consequently, the judgment which grants preference to the claim of the landlord of premises on the ground that the payment of rents would have preserved the right to the lease and the enjoyment of the premises, without which there is neither the possibility of commercial activity nor a business, must be quashed.

What the law says

This decision confirms the fundamental principles of property law.

Key takeaways

• Scrupulously respect the legal time limits for appeals
• Keep all your supporting documents (title deeds, contracts, correspondence)
• Anticipate: preventive advice is always cheaper than litigation

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