Failure by a property manager in his duty to advise

In a recent decision of April 28, 2011, the Court of Cassation ruled that the property manager with the management of housing that he knows is contracted to undertake the investigations necessary for the execution of his duty to advise against of its customers.

In practice, the payment of grants to carry out work in rented accommodation is subject to the obligation to first conclude an agreement with the ANAH. This conventionnement requires the landlord to comply with certain conditions in connection with the rental of his property.

In this case, the management of homes under contract was assigned to a property manager.

The Court of Appeal had not satisfied the landlord demanded that the condemnation of real estate professional to pay compensation for the damage that had generated the demand for repayment of the aid of ANAH. They saw no fault could be upheld with regard to the property manager who certainly knew the character of homes under agreement, but had not been informed in advance of obtaining grants.

The Court of Cassation quashed the decision of the trial court and held that the property manager that manages housing that he knows they are under contract to perform additional due diligence to satisfy its duty to provide advice to the against his client.

In other words, a real estate agent who manages homes under contract will be especially diligent and precise information on his client must respect the commitments it.