Rural tenancies   

The universal character of the rural lease

Published at January 24, 2023 by Bernard Charlotin
Share
The universal character of the rural lease

In this first article, we present the universal status of the rural lease as well as the specificities of the verbal lease and the necessity to obtain an authorization to exploit under the control of the Structures, condition of validity of the rural lease. 

Summary 
1. The universal character of the rural lease
2. The verbal lease
3. The authorization to exploit under the Control of the Structures

The universal character of the rural leasechamps rural terres 

The rural lease has a universal status: Any paying rental of agricultural property is by definition subject to the status of a farm.  
There are of course exceptions and long-term leases, which we will discuss in future articles, with characteristics different from those of a rural lease. 
But apart from these exceptions, any
lease of agricultural land or buildings falls under the statute of fermage. 
And since the most important provisions of the rural lease are of public order, it is not possible to derogate from them. This means that even with the written agreement of the parties, certain clauses written in a rural lease contract may be illegal because they do not respect the law. 

It should be noted that the onerous nature (with a payment) of the contract, which is a determining factor in order to fall under the status of the lease, is broad and goes beyond the simple payment of the lease. For example, the reimbursement by the farmer of a share of property taxes is considered a payment as is a payment in kind. 

Some examples of clauses that are void despite the written agreement between the parties: rural lease signed for a period of 1 year, amount of rent higher than the scale, non-renewal clause at the end of the lease, commitment to purchase by the farmer after a few years, ... 
The general framework of a rural lease is given by the law (articles L 411-1 and following of the rural and maritime fishing code). In addition, each department has determined specific rules that must be consulted before drafting a lease. 

The verbal lease

A rural lease must be the subject of a written contract. However, a verbal lease, if it is accompanied by a payment and concerns an agricultural property, is subject to the statute of farming. 
The absence of a written contract is therefore not sufficient to be exempted from this status. On the contrary, the lack of a written document poses difficulties during the life of the lease for both the farmer and the lessor. 
After a few years, it is difficult to know when the lease began. It becomes impossible to determine when it will be renewed. It is difficult for the landlord to object to the renewal of a lease if he does not know the dates.  
In the case of a purchase by the farmer, it is difficult to prove the duration of the lease in order to be exempted from the SAFER's right of pre-emption or to benefit from the reduced registration fees as a farmer. 

It should be noted that the drafting of a lease must be accompanied by the drafting of an inventory of fixtures. This inventory of fixtures at the time of entry into the property makes it possible to verify the proper application of the rules of the lease concerning trees (felling, pruning, etc.), roads, buildings, etc. It can also serve as a basis for calculating the compensation for improvements due to the farmer at the end of the lease. 
It is therefore important to draw up a written lease and to accompany it with an inventory of fixtures. 

The authorization to exploit under the Control of the Structures landscape field

The validity of a rural lease requires an authorization to operate under the control of structures. If the lessee does not obtain this authorization, the lease is null and void. It is therefore an essential element of the lease. 
In spite of the agreement between the parties, the lease concluded for the benefit of a farmer who has a refusal of authorization to exploit is thus null and void. 
The Control of Structures is a regulation that authorizes the exploitation of agricultural land or the realization of an agricultural activity. Its objective is to encourage the installation of farmers and to regulate the size of farms. 

 

FIND OUT MORE : 

  1. Farming
  2. Duration and end of the rural lease
  3. Other types of agricultural leases
  4. Transfer, exchange and subletting of the rural lease
  5. The farmer's right of pre-emption
  6. Rural lease and succession
  7. Termination of the lease
  8. Recovering rented farmland for sale
  9. Can rented vines be sold?
  10. How to recover land leased to a farmer?
  11. The hire purchase agreement on agricultural land
  12. 5 steps to calculate the rental amount
  13. How to calculate the amount of rent for vineyards?

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, ... we invite you to get in touch with one of these professionals (lawyers, notaries, lawyers in rural law, ...).