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Seller Of A Real Property Is Liable For Work He Conducted Depite An Exclusion Of Warranty Clause

Seller Of A Real Property Is Liable For Work He Conducted Depite An Exclusion Of Warranty Clause

Published on : 06/08/2025 06 August Aug 08 2025
Firm news
Firm news / INTERNATIONAL REAL PROPERTY DISPUTES IN FRANCE

Keywords: hidden defects real estate, professional seller liability, nonprofessional seller liability, construction defect warranty, warranty exclusion clause, real estate litigation, seller’s legal obligations, Article 1645 French Civil Code, property sale dispute France, Court of Cassation real estate

Summary

A recent ruling by the French Supreme Court (“ Court of Cassation”) reminds real estate sellers—and particularly individuals who act like professionals—of the strict liability they may face under Article 1645 of the French Civil Code when hidden defects ("vices cachés") are found in the property they sold.

The case highlights that sellers who carry out construction or renovation work themselves may be treated as professionals under the law. This means they are presumed to know the defects they caused or left unresolved—and cannot rely on warranty exclusion clauses to escape liability.

Cass. civ 3ème du 7 décembre 2023, n°22-20.093

A Renovated Farmhouse and Construction Work Gone Wrong

A couple sold a renovated farmhouse- They had performed the construction work themselves - The sale contract contained a warranty exclusions clause - After the sale, the buyers identified hidden defects, including: improper waterproofing in the bathroom, a damaged wastewater pipe caused by a staircase installation, à non-compliant chimney
Court of Cassation Ruling: liability of the Seller for his DIY despite warranty exclusion clause.

The Court ruled

A seller who behaves as a construction professional, even without formal training or certification, is irrefutably presumed to be aware of any hidden defects caused by or related to the work they performed.
Therefore, they cannot invoke a warranty exclusion clause and are fully liable for damages under Article 1645.

Practical Lessons for Sellers
 

DIY renovations or construction may expose you to strict liability, even if you are not a registered contractor.

If you act like a professional, the law will treat you like one.
Exclusion clauses in your sales agreement may be unenforceable if defects are found later.

Practical Lessons for Buyers


Hidden defects can justify price reductions, rescission, or full compensation—especially when the seller did major work.
Always document evidence and request expert reports early in the process.
Consider including warranty enforcement provisions in your sale agreement, even when buying from private parties.

Final Thought

This case reinforces a growing body of case law where courts hold individuals accountable as if they were construction professionals—due to the nature and extent of the work they perform on properties prior to sale. The Court of Cassation’s judgment is a strong reminder that, in real estate transactions, professional behaviour carries professional liability, whether or not the seller carries a license.

Legal Reference

Article 1645 of the French Civil Code – Seller’s liability when defects are known
Article 1643 – Limits to warranty exclusion clauses
Article 1145 – Presumption of knowledge for professional sellers



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