In this second part of our articles dedicated to the specificities of the rural lease, we are interested in the questions of the duration of the lease, its renewals and the modalities of the end of the lease. These are crucial points that it is important to know before signing a rural lease.
A rural lease has a minimum duration of 9 years. It can therefore be concluded for a longer period of time without any ceiling.
It should be noted that beyond a duration of 12 years, a rural lease must be drafted by a notarial act. This obligation is linked to the collection of registration fees which are calculated on the cumulative amount of the rental payments over the duration of the lease.
Beyond the initial term of the lease, the lease is automatically renewed for an additional 9 years.
The farmer's right to renew the lease is a provision of public policy and it is not possible to include a clause that calls into question this right.
There is an exception related to the age of the farmer. When renewing a lease, if the farmer has reached retirement age, the owner may request the termination of the lease at each triennial expiration. The termination of the lease must respect a precise formalism and be notified to the tenant with a notice period of 18 months.
After this notice of termination, it should be noted that the farmer loses his right to transfer the lease to his descendants.
We have just seen that the farmer has a very broad right of renewal. He also has the possibility of transferring his lease to his descendants.
Theoretically, a rural lease can therefore continue indefinitely for the benefit of a lessee and his descendants without the lessor being able to terminate it.
However, there is a possibility open to the owner to oppose the renewal of the lease: the right of repossession.
The lessor can oppose the renewal of the lease if he wants to take over the property to exploit it himself or by his spouse or one of his descendants (article L 411.47 of the rural code).
This right of repossession requires compliance with a very strict form, under penalty of nullity. Thus, the leave must :
In addition, the beneficiary of the takeover must respect several conditions:
The lessee can contest the validity of the takeover before the Tribunal Paritaire des Baux Ruraux.
Last but not least, the lessor must pay the lessee compensation for the improvements made to the property.
Where the farmer has made improvements (through his work or investments) to the leased land, he is entitled to compensation from the lessor at the end of the lease.
Again, this is a provision of public policy.
A certain number of conditions must be met in order to benefit from this right.
First of all, it is necessary to be able to refer to an inventory of fixtures at the beginning of the lease. Too often ignored at the time of the entry in the places, it is the first element allowing to bring the proof of the improvements and to calculate the amount of it. If there is no inventory of fixtures, it will be possible to refer to the intervention of an expert.
The improvements made by the lessee must have been made regularly, i.e. they must have been authorized by the lessee. A farmer who carries out work without having obtained such authorization will lose his right to compensation and may, in addition, be ordered to restore the land to its previous state.
The works must also be useful and not superfluous and may concern :
Finally, the calculation of the indemnity must respect the criteria of article L 411.71 of the rural code and may not exceed the real added value brought to the land.
The farmer's right to compensation is not transferable. The farmer cannot sell the improvements either (for example to a new farmer who succeeds him). The farmer may, however, assign the improvements to a transferee of the lease or to a corporation to which he or she makes the lease available.
Author's note: The information we present is purely informative and pedagogical and cannot replace an analysis by a professional in rural law. In case of conflict, difficulty, ... we invite you to get in touch with one of these professionals (lawyers, notaries, lawyers in rural law, ...).
