Construction newsletter | May 2015
Authors
Editorial
Starting from 1 April 2015, a new body has been created that is called upon to play a role in the construction industry, i.e. the Higher Board for Construction and Energy Effectiveness. The Board was instituted by decree No.2015-328 of 23 March 2015 and is responsible for advising Government authorities as regards the definition, implementation and evaluation of public policies related to the construction sector and the adaptation of the construction rules to sustainable development targets.
The Board shall also be responsible for monitoring changes in the prices of construction and insulation equipment and materials. In addition, the Board shall have a consultative role in relation to bills and draft regulatory provisions amending the rules applicable to constructions. The Board’s works and opinions shall in particular cover the liability of the various parties concerned, construction insurance, and contractual relationships in the construction sector.
The first works and opinions issued by the Board are eagerly awaited, along with their repercussions on court decisions. In the meantime, many court decisions continue to be issued concerning the recurrent themes covered by this letter and in particular subcontracting. Also, it seemed to us that it would be useful to provide a reminder of the case law related to the heavy sanction applicable in case of any encroachment in the subsoil (see our focus).
Focus
Further discussion of the strict sanction applicable in case of encroachment in the subsoil
Court decisions concerning encroachments in the subsoil are relatively numerous, and are well settled. A recent decision (Cass Civ 3rd, 11 February 2015, No.13-26.023) confirms the principle according to which the defence of a property may never degenerate into an abuse. In practice, this question and the judicial response given to it are important, because cases of encroachment are frequent in an urban environment...
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Construction contracts
- Cass. 3rd Civ., 20 January 2015, No.13-26.498
Execution of private works contracts
Definition of the concept of acceptance
- Cass. 3rd Civ., 18 February 2015, No.13-24.627 : habitability of a construction used for residential purposes
Construction insurance
- Cass. 3rd Civ., 17 February 2015, No.14-13.703 : Optional casualty insurance – enforceability of the contractual deductible – possibility for the insurer to deduct the deductible from its payment
Subcontracting
Subcontracting and tâcheronnage
- Cass. 3rd Civ., 20 January 2015, No.13-24.283
Chain subcontracting – Procedure for the presentation of a second-tier subcontractor
- Cass. 3rd civ., 21 January 2015, No.13-18.316
- Cass. 3rd civ., 18 February 2015, No.14-10.604 and 14-10.632
Statutory liability of builders
- Cass. 3rd Civ., 20 January 2015, No.13-26.085 : contractual non-conformance
- Cass. 3rd Civ., 4 February 2015, No.13-26.746 : assignment of the action
- Cass. 3rd Civ., 20 January 2015, No.13-21.122 – 14-16.586 and 14-17.872 : notion of ouvrage
- Cass. 3rd Civ., 27 January 2015, No.13-25.514 : proper functioning guarantee
Other liability theories
Conditions under which the project owner may be held liable - Interference
- Cass. 3rd Civ., 21 January 2015, No.13-25.268