12. Handover
When the builder has completed construction of your new home, you then take delivery (or handover) of the property.
The formal handover of the property is called la réception.
If an unconditional handover takes place it registers the start of the ten year building guarantee period.
Accordingly, the process is very prescribed in the contract, which stipulates three different outcomes, as follows:
- 12.1 Unconditional Handover
- 12.2 Conditional Handover
- 12.3 Refusal of Handover
Top Tip!
As there may well be difficult judgements to be made, the use of an independent professional to undertake a full inspection of the property is essential.
If you have not retained an architect, then consider approaching an official bailiff, called a huissier, to assist in the handover inspection.
Indeed, if you are anticipating problems, the intervention of the huissier alongside your architect might be a wise choice.
In the event that you are not happy with the property on handover, the builder is unlikely to challenge the opinion of your expert as easily they might your own opinion.
Sometimes builders offer the services of an expert appointed by them to assist a client on handover if they have no building professional of their own. Resist the temptation to accept such an offer, and instead appoint your own.
At the conclusion of the handover a written report, called proces-verbal, must be completed and signed by all parties.
12.1. Unconditional Handover
Where you are completely satisfied with the dwelling then handover can be made on an unconditional basis - la réception sans réserve - and the outstanding 5% balance should be paid.
In these circumstances the financial guarantee of delivery provided by the builder - the garantie de livraison - ceases to operate.
If you are not accompanied by a professional advisor at handover, then under the terms of the contract you are granted a further eight days following handover to notify any apparent defects in the property, which the builder as an obligation to remedy.
This right operates separately from the ten year building guarantee - la responsabilité décennale.
You should notify any defects found during this 8 day period to the builder by recorded delivery letter. You have no need to pay the outstanding 5% until expiry of the eight days and, if defects are found during this period, you can withhold payment of the outstanding amount.
After this period, any defects that may become apparent will need to be taken up as part of the ten year building guarantee.
In effect, a somewhat artificial legal distinction is made between those defects occurring at handover and those found at a later date. In the first case it is non-compliance with the contract; in the second case it is a construction defect, dealt with under the building guarantee.
12.2. Conditional Handover
Where you are not completely satisfied with the dwelling, you may still accept handover, but on a conditional basis, called la réception avec réserves.
If this occurs, then a time is agreed with the builder for completion of the works. You are entitled to withold payment of the outstanding balance of 5%. You may also deposit the sum with the Notaire, pending completion of the works, to provide some assurance to the developer that you intend to pay.
Clearly, if you refuse to hand over the balance this is an important decision in law, leaving you open an interest charge and to be sued by the builder for non-payment if your claim is not substantiated by a court of law.
Do not be afraid of standing your ground if you consider you are correct, but make sure you have the advice and support of a building professional alongside you.
If the builder refuses to do the work, then, ultimately, you have the right to invoke the procedure in the delivery guarantee, for a third party to complete the works.
The owner is entitled to receive the keys on an conditional handover.
12.3. Refusal of Handover
If you and your advisor are completely dissatisfied with the works then handover can be refused, called le refus de réception.
But you need to be able to justify refusal of handover.
You should be able to do so where the property does not conform, in a substantive manner, with the terms of the contract, or there exists one or more defects that render the property incapable of normal occupation.
It is may well be that there are defects or non-conformities of both a substantive and minor nature. In these circumstances, you would be justified in refusing the handover on the substantive issues, and accepting conditional handover on the minor defects.
It can all get very 'bitty', but that is often the way the law works in France.
You are not obliged to handover the retention to the Notaire, which you can retain yourself.
Where agreement cannot be reached about the works to be carried out then, ultimately, you have the right to invoke the procedure under the delivery guarantee for a third party to complete the works.
Alternatively, as with a conditional handover, either party would need apply to the court for a decision.
Next: Disputes