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Foreign States and the
Droit Immobilier

Foreign States and the

📅 Decision of 19 November 2008🔄 Updated on 17 October 2026⚖️ Cour de cassation👁️ 18 views📖 2 min read

Foreign States and the organisations emanating from them benefit from immunity from jurisdiction only insofar as the act giving rise to the dispute, by its nature and purpose, participates in the exercise of the sovereignty of those States and is therefore not a management act.

Reference decision: Court of Cassation • No. 07-10.570 • 2008-11-19 • View the decision →

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

The situation

Foreign States and the organisations emanating from them benefit from immunity from jurisdiction only insofar as the act giving rise to the dispute, by its nature and purpose, participates in the exercise of the sovereignty of those States and is therefore not a management act.

What the law says

This decision confirms the fundamental principles of property law.

Key takeaways

  • Strictly comply with the statutory time limits for appeals
  • Keep all your supporting documents (title deeds, instruments, correspondence)
  • Anticipate: preventive advice always costs less 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: 07-10.570
  • Court: Cour de cassation
  • Decision of: 19 November 2008

Keywords

droit immobilierjurisprudenceimmobilier

Practical use cases

1

Foreign embassy tenant stops paying rent in Paris

You own a flat in Paris worth €450,000, rented to a foreign embassy for €2,000 per month. The embassy has stopped paying rent for three months and ignores your reminders.

Practical application:

Under this ruling, renting a flat is a private management act, not a sovereign act, so the foreign state does not enjoy immunity from jurisdiction in French courts. You can sue the embassy before the Tribunal Judiciaire de Paris for unpaid rent and termination of the lease. Gather the signed lease, proof of non-payment, and formal notices, then file within the five-year limitation period for contractual claims.

2

Buying a flat from a foreign state-owned entity

You bought a €320,000 flat in Lyon from a company wholly owned by a foreign state. After moving in, you discover significant hidden damp and faulty wiring that the seller did not disclose.

Practical application:

The sale of real estate by a state-owned company as a private seller is a management act, not an exercise of sovereignty. This decision allows you to sue the foreign state-owned entity in a French court for hidden defects and breach of disclosure obligations. Keep the purchase deed, surveyor's report, and all correspondence, and act quickly: you have two years from discovering the defects to bring a claim.

3

Foreign state-owned flat ignores co-ownership charges

You are a co-owner in a building in Nice where one flat is owned by a foreign state's tourism office. That owner has not paid €6,500 in quarterly service charges over the last two years, causing the syndic to increase your contributions.

Practical application:

Owning and managing a flat in a co-ownership is a management act, so the foreign state cannot claim sovereign immunity to avoid the co-ownership's legal action. The syndic (property manager) can obtain a court order for payment and potentially force a sale of the flat if the debt persists. Collect all unpaid invoices, co-ownership meeting minutes, and formal notices, and instruct the syndic to file a claim before the Tribunal Judiciaire de Nice without delay.

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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