• In conformity with the laws “Grenelle I” and “Grenelle II”, landlords and tenants will have the obligation to attach an environmental annex to their commercial leases concerning office or retail premises for more than 2,000 m². This obligation will be effective from 1 January 2012 for new leases and from 13 July 2013 for existing leases or renewed leases. Thus, landlords and tenants will have to collaborate in particular on the works to be carried out, on a responsible environmental occupation of the premises and on the sharing of the charges. The law, however, has not (yet) imposed clauses to this end, so that it is for the parties to contractually agree on the terms and extent of their duties and obligations.  
  • There is currently debate in French Courts on the legality of the contractual indexation provisions in a commercial lease which limit the variation of such indexation upwards and/or downwards only, or which stipulates a capping of such indexation, as not being in compliance with the requirements of Article L112-1 of the French Financial and Monetary Code paragraph 2 (“Any clause in a successive performance contract, including all kinds of leases and rental agreements, which provides for application of an index variation period longer than the interval between each review is deemed not to exist”). The position is not fully determined, but the effect of this is that each commercial lease containing an indexation clause is being closely reviewed by both parties.