Derogatory lease (or short-term lease)

Verified 09 June 2026 - Entreprendre Service Public / (Prime Minister), Ministry of Justice

The derogating lease (or short-lived) also called precarious lease is a lease of premises used for the operation of a business for a maximum period of 3 years. The protective rules of commercial lease status shall not apply. The derogatory lease is adapted for the opening of a pop-up store or " pop up store » or to test the launch of a new activity.

A derogatory (or short-term) lease may be entered into when all of the following conditions are met:

  • The lease contract must be established by written.
  • The landlord and the tenant must clearly express their willingness to disregard the status of commercial leases. This status corresponds to a set of rules that automatically applies to commercial lease agreement. It allows the tenant to benefit from different advantages: the right to lease renewal after 9 years, the payment of a eviction pay to the tenant in case of non-renewal or rent review every 3 years or depending on sliding scale clause.
  • The total duration successive leases or leases shall not exceed 3 years. There is no set minimum duration.

FYI  

A lessor may sign one or more short-term lease agreements on the same premises and with the same tenant provided that the total duration does not exceed 3 years.

If these conditions are not met, it is the rules of the commercial lease status which apply.

The landlord and the tenant have a great deal of freedom to insert all the clauses corresponding to their needs: the type of activity carried out in the premises, the amount of rent and charges, etc.

An inventory must be made at the time of the taking possession premises (state of the premises of entry) and attached to the lease agreement.

An inventory must also be established at the time of restitution premises (state of the exit).

These two inventory reports are prepared by the parties in one of the following ways:

  • Either amicably
  • Either by a person mandated by the parties (e.g. a real estate agent)

Please note

Where the parties do not agree, they must ask a commissioner of justice to establish the state of play. In this case, the costs are shared between the landlord and the tenant.

The rent is set freely by the parties and is not capped.

The parties may provide for a rent indexation clause: the rent may then vary automatically, up or down, depending on Commercial Rent Index (CLI)) or the tertiary sector rent index (the tertiary rental index (ILAT)).

In principle, the derogating lease is concluded for a fixed duration and he stops automatically on the date specified in the contract. It is therefore not necessary for the landlord to give the tenant leave. For his part, the tenant does not have to send his leave 6 months in advance to the landlord.

At the end of the lease, the tenant must follow the following steps:

  1. Free the premises
  2. Return the keys on the last day of the contract
  3. Establish an inventory of exit.

Warning  

The tenant must pay the rent throughout the term of the lease, even if he leaves the premises before the end date provided for in the contract.

When the tenant remains in the premises after the end of the lease, the landlord must ask him in writing to leave the premises. If it does not, the derogating lease automatically becomes a commercial lease.

Lessor's request to leave

When the tenant remains on the premises after the end date of the lease, the lessor must end this occupation of the premises. This allows it to avoid the transformation of the derogating lease into a commercial lease.

To recover the premises, the landlord has a deadline ofone month from the end date fixed in the lease to ask the tenant to leave the premises. To do so, he must send one of the following documents:

  • Either a leave by act of commissioner of justice (formerly act of judicial officer)
  • Either a registered letter with a request to the tenant to leave the premises

Lack of response from the lessor

If the tenant remains in the premises at the expiry of the derogating lease term, and the landlord has not come forward at the latest in a one month delay, a new lease is automatically entered into. This new lease is subject to commercial lease status.

In other words, when the tenant remains in the premises without opposition from the lessor, he then benefits from a commercial lease. This takes effect the day after the contractual expiry date of the derogating lease.

Example :

A landlord announces to the tenant 2 days after the end of the derogating lease that he does not wish to continue the contract. In this case, the tenant cannot claim the benefit of a commercial lease.

The derogating lease (or short-lived) is signed for a closed period. This means that it is not possible to terminate the contract before the end date set in the contract.

The tenant who wishes to leave the premises before the end of the short-term lease must in principle pay the rents throughout the duration provided for in the contract. However, he can try to negotiate amicably with the landlord for an early departure.

However, the parties have the option of inserting a termination clause at the time of signing the lease agreement. This clause thus makes it possible to terminate the contract before the expected term. It specifies the conditions of this termination (notice period, notification, etc.).

FAQ