In addition to the tax credit mechanism proposed by the
Government as part of the discussions on the Finance Act (see our
newsflash dated 16 November 2020 relating to
the contribution of the French State to payment of rents through a
tax credit for landlords), three recent court decisions have
broadened the debate on the issue of the payment of
rent during periods of confinement.
First of all, it should be recalled that, in a widely commented
decision of 10 July 2020, the Paris Court ordered a lessee to pay
the rent for the months of March to May 2020. However, as the
lessee's claim was based mainly on the provisions of Article 4
of Decree 2020-316 of 25 March 2020 (which in no way provided for
the suspension of rent payment, but merely suspended lessors'
remedies), this solution seemed logical. However, the Court
considered the concept of good faith, holding that "in the
event of exceptional circumstances, parties are required to verify
whether such circumstances
