Termination of the lease

What are the conditions under which the lessor or farmer can terminate the lease? A proposed sale by the landlord is not one of these conditions. We tell you more in this 8th article on rural leases.

Termination by the lessor  

Termination for fault

The lessor may only request the termination of a lease for certain reasons specifically provided for in the Rural Code (Article L 411-31):

• After 2 failures to pay and 3 months after formal notice 
• Actions by the farmer that may compromise the proper operation of the land 
• Non-compliance with the environmental clauses of the lease 
• Irregular subletting or transfer of the rural lease 
• Failure to comply with the lessor's obligations to inform the farmer of the availability of the land, exchanges, etc.

Termination can only be done by summoning the lessee before the Tribunal Paritaire des Baux Ruraux.

Termination may take effect during the life of the lease, unlike non-renewal of the lease or the right of repossession, which may only take effect at the end of the lease or one of its renewals.. 

Change of use of a plot of land

The change of use of a plot of land is a reason to terminate the lease. This is particularly the case when the plots become constructible in application of a town planning document (PLU for example).
The owner must then undertake to change the use of the plots within 3 years of the termination. 
In this situation, the farmer is entitled to compensation calculated over the remaining term of the lease and taking into account his loss of gross margin. 
It should be noted that the farmer may request that the termination be applied to all the parcels of the lease and not only to those that have changed their destination if it is likely to affect the economic balance of his farm. 
The destruction of the leased property may also justify the termination of the lease unless the lessor has it rebuilt.

Termination by the lessee

The lessee may request termination of the lease from the landlord by giving 12 months' notice for the following reasons  

• Retirement 
• Incapacity to work for more than 2 years concerning the lessee or one or more members of his family participating in the work 
• Death of one or more family members involved in the work 
• Purchase of a farm to run it himself 
• Refusal of authorisation to farm

Whether the termination is initiated by the lessor or the lessee, the lessee may claim compensation for improvements. You can find out more in our article on the duration and termination of a rural lease.

Amicable termination 

The lessor and the lessee can also decide amicably to terminate the rural lease during its lifetime. This is known as amicable termination. In this situation, there is no need to respect any particular notice period as it is an agreement between the parties. 
It is strongly advised to sign a written contract specifying the conditions of the termination, the termination date or the payment of a termination fee.

Author's note: The information we present is purely informative and pedagogical and cannot replace an analysis carried out by a professional in rural law. In case of conflict, difficulty, etc., we invite you to contact one of these professionals (lawyers, notaries, rural law experts, etc.).