Leave of absence – refusal to renew for failure to operate



You leased a commercial space. You wish to give your tenant leave but you refuse to renew the lease because he does not effectively operate the business. Before granting such leave to your tenant, you must have sent him by bailiff a formal notice by registered letter with acknowledgement of receipt informing him of the reproaches you make to him and the time he has to regularize the situation. If your tenant has not regularized the situation following your formal notice, you are entitled to grant him a leave with refusal to renew by bailiff six months before the expiry of the commercial lease. Since the leave must be justified, you must indicate the reason why you refuse to renew the lease to your tenant; in this case, it is the tenant’s failure to operate. You must also quote Article L. 145-9 paragraph 2 of the Commercial Code which allows the tenant either to contest the leave or to claim eviction compensation within two years from the date for which the leave was granted.


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