11. Building Guarantees in France

1. 11.1. Ten Year Building Guarantee
   11.2. Builders Ten Year Insurance
   11.3. Householder Defects Insurance

11.2. French Builders Ten Year Insurance - Assurance Décennale

The assurance décennale taken out by the builder contractor covers their liability in the event of defects arising during the ten year guarantee period.

The insurance is obligatory and there are severe penalties for a builder (or other tradesmen) who does not carry appropriate insurance.

However, enforcement of the rule is weak and, like many rules in France, it is honoured as much in the breach as the observance!

The whole issue of insurances is a major issue in the construction industry in France because those who do act in a proper manner are clearly disadvantaged by those who do not, as the latter are more likely to be in a position to offer a more competitive quote.

Our own strong recommendation would be that you should always ask to see the defects insurance certificate of the builder before accepting a quotation or commencement of works.

You should check that it is an up-to-date certificate, failing which the insurance company may be unwilling to pay out in the event of a claim.

Where a defect arises the client is not obliged to prove the fault and the building contractor is presumed to be responsible. However, the builder can escape liability on grounds of force majeur (event not foreseeable, irresistible and external) or where the client (or their architect) was responsible for the design. The latter is a frequent source of litigation.

Accordingly, if, for instance, your boiler ceases to function after five years, you cannot go back on the builder, unless the cause of the failure was their installation work. If the builder was not at fault, you would need to examine the manufacturers' guarantee.

Ground movement is covered by the guarantee if the nature of the works involved construction of the foundations or stabilisation of the building. You will also be covered under your household insurance for this kind of risk.

The builder remains responsible for the work of their sub-contractors, although it is possible for them to bring an action against the sub-contractor in the event of default.

There is a lot of case law concerning the operation of the builders ten year guarantee, as the law itself is not precise on what is covered and the extent to which it may be covered.

In some measure, therefore, the level of cover you get will depend on the terms of the insurance policy held by the builder.

Thus, although major items may be covered for ten years, this is likely to be on a reducing scale eg 50% after 5 years. Whether or not all of these clauses are legal only a court can decide.

So you need to discuss the policy with the builder and be clear how it operates in the event of defects arising.

The best solution is to also take out your own defects insurance policy, the details of which are set out in the next section.