Research And Comparison Option To Renew The French Commercial Code

Once a business tenancy agreement comes to the end of its term, the tenant is granted a rightto renew the lease in condition that the landlord continues to seek possession of his real estate.The right to renewal is not yet defined by any existing legislation but only some local regulationsin our country. In legal practicing, even if the parties include a renewal clause in their lease,disputes on the renewal are hard to be settled amicably and the tenant seeking resolution fromcourt often encounters difficulties to find his claims be satisfied for lacking protection affordedby detailed rules.The scope of the right to renewal is well illustrated in the French commercial law. It isstatutory and the landlord and the tenant are not allowed to exclude it in any previous agreement.At the expiration of the tenancy, both parties can reach a new tenancy in an amicable way. Ifneither the landlord nor the tenant acts to end the business tenancy, it will continue indefinitely；should the tenant ask for a new tenancy, the landlord cannot deny this request without any reasonset out by the law, at the risk of paying the tenant for the damages he suffered. The rent of thenew tenancy is either subject to any agreement already reached between the parties, or fixed bythe court to who the commercial law has given some guidance on the amount.The right to renewal, as part of the compulsory contract terms, embodies the lease right’stendency to taking more and more proper characteristics from the property right. Setting out astatutory law on it helps to complete the loophole of the contract liberty principal and torebalance the benefits of the landlord and the tenant but the latter in often in a more venerablyposition. To put it in another way, the right to renewal also promotes social stability andeconomic development. The provisions on the right to renewal set out in the French commerciallaw, which finds a proper way between legislative intervention and contract liberty, provides uswith a good example to follow.