Buying French property: in case of dispute you can place the payment made on deposit

Updated on Tuesday 14 May 2019

Expropriation and pre-emption are complex procedures. When the owner's payment raises obstacles, it may be necessary to use the deposit system for the price of the expropriated or pre-empted property.

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Where is the deposit made?

Placing money on deposit means handing over a sum of money.

The payment is made at any of the branches of the Caisse des Dépôts in local government finance offices and revenue offices, or at the branch at the head office of the Caisse des Dépôts et Consignations [Deposit and Consignment Office].

In case of preemption, the consignment intervenes in 2 cases:

Disagreement on the amount fixed by the seller and referral to the expropriation judge

The holder of the right of pre-emption must register within the period of 3 months from the referral to the judge, an amount equal to 15% of the assessment made by the Service France Domain. Otherwise, the public corporation is deemed to have waived the acquisition or exercise of the right of pre-emption (Article L 213-4-1 of the Town Planning Code).

Agreement on the price (or definitively fixed by the judge) but in the absence of payment or in case of obstacle to the payment

In this case, the owner of the right of first refusal must record the total price of the property within 4 months after the decision to acquire the property or the final decision of the expropriation judge. In the absence of payment or deposit within this period, the property may be disposed of freely by its owner (Article L 213-14 of the Town Planning Code).

The role of the notary in the consignment

Whether you are an individual or represent a local community, do not hesitate to approach your notary. He will advise you and explain the procedures in their entirety. He will also try to find a solution to the blockage of the situation.

Often it is the absence of a median interlocutor that causes difficulties. Your notary is this interlocutor: he will listen to the positions of the ones and the others and will propose a suitable solution which will give you satisfaction.