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The manager of a partnership, which lacks legal personality, acting as agent for the partners, is liable for faults committed against them in the course of management
Droit Immobilier

The manager of a partnership, which lacks legal personality, acting as agent for the partners, is liable for faults committed against them in the course of management

📅 Decision of 06 May 2008🔄 Updated on 18 October 2026⚖️ Cour de cassation👁️ 26 views📖 1 min read

The manager of a partnership, which lacks legal personality, acting as agent for the partners, is liable for faults committed against them in the course of management

Reference decision : cc • N° 07-12.251 • 2008-05-06 • View the decision →

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

The situation

The manager of a partnership, which lacks legal personality, acting as agent for the partners, is liable for faults committed against them in the course of management

What the law says

This decision confirms the fundamental principles of property law.

Key takeaways

  • Strictly comply with statutory deadlines for appeals
  • Keep all your supporting documents (deeds, instruments, correspondence)
  • Plan ahead: preventive advice is always cheaper than litigation

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

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

  • Number: 07-12.251
  • Court: Cour de cassation
  • Decision of: 06 May 2008

Keywords

droit immobilierjurisprudenceimmobilier

Practical use cases

1

Manager misuses renovation funds in informal property partnership

In Lyon, three colleagues form an informal partnership (société en participation) to buy and renovate a flat for EUR 300,000. The appointed manager, Pierre, diverts EUR 20,000 of the budget for personal expenses, delaying the project by four months and causing a loss of rental income.

Practical application:

Under the 2008 Cour de cassation ruling, a manager of a partnership without legal personality is personally liable for faults against partners. The partners should gather evidence of the misappropriation (bank statements, emails) and formally demand repayment. If Pierre refuses, they can sue him for damages in the tribunal judiciaire, citing this decision. Act quickly: the five-year limitation period for personal liability claims (article 2224 of the Civil Code) starts from the discovery of the fault.

2

Unauthorised sale of shared property by investment club manager

In Nice, five family members create a silent partnership to purchase a holiday apartment for EUR 250,000. The manager, Claire, sells the property without consent, keeping the proceeds. The partners only learn of the sale six months later when trying to book a stay.

Practical application:

The 2008 ruling confirms that Claire, as manager, is liable for her fault. The partners must immediately secure all ownership documents and the sale contract. They should send a mise en demeure (formal notice) to Claire demanding the return of proceeds. If unsuccessful, they can file an action for damages and possibly challenge the sale if the buyer was aware of the lack of authority. Use this case law to argue that Claire breached her duties as agent for the partners.

3

Negligent maintenance leads to tenant lawsuit against partnership

In Marseille, four investors form a partnership to buy a rental building. The manager, Karim, neglects essential repairs, resulting in a tenant injury. The court orders the partnership to pay EUR 15,000 in damages. Karim claims he is not personally liable, leaving the partners to cover the cost.

Practical application:

The Cour de cassation ruling makes it clear: the manager is personally liable for faults committed in management. The partners should demand that Karim reimburse the damages paid, as his negligence caused the loss. They must compile evidence of his failure to act (inspection reports, correspondence) and issue a formal claim. If Karim refuses, they can sue him personally for the EUR 15,000 plus interest, invoking this decision. This preventive lesson: always document maintenance requests to the manager.

Maître Cécile Zakine

About the author

Maître Cécile Zakine — Lawyer at the Alpes-Maritimes Bar, Doctor of Law. Every article in this magazine is based on the analysis of a real court decision, commented and put into perspective by Maître Zakine’s team.

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Disclaimer: The analysis presented on this site is for informational purposes only and does not constitute personalised legal advice. For advice tailored to your situation, contact a qualified lawyer.

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