The French Court of Cassation has cancelled its previous decisions (Cass. 3e civ. 13-7-2022 n° 19-20.231 FS-B : BPIM 5/22 inf. 359), which held that equipment elements, whether or not they can be separated from the existing structure, were previously covered by the ten-year decennial warranty if their malfunction rendered the entire structure unusable. These elements were therefore previously covered by the ten-year civil liability insurance of contractors (Cass. 3e civ. 21-3-2024 n° 22-18.694 FS-BR, Sté Axa France IARD).
The Court of Cassation found that this regulation did not provide sufficient protection for the builder and that not enough compulsory insurance had been taken out. After speaking with various industry players, the Court of Cassation therefore changed its opinion.
Now, damage caused by subsequently installed or added elements is not covered by the ten-year or two-year guarantee, but only by general contractual liability. This decision applies with immediate effect, even for ongoing cases, as long as it does not unreasonably affect legal certainty or access to justice.
It is worth noting that:
1. equipment elements were previously covered by the ten-year guarantee if they rendered the building unusable as a whole (e.g. heat pump). This is now different.
2) The new judgement does not apply to elements that are “structures in themselves”, i.e. that are firmly attached to the existing structure.
3. the Court of Cassation changed its opinion because the ten-year guarantee and the compulsory décennale insurance could not sufficiently protect the building owner until now. It is expected that protection will be provided by the owner’s contents insurance and the builder’s general liability insurance.
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Information by ALARIS AVOCATS, English speaking lawyers in France (Paris)