Transfer of a leasing agreement
The transfer of a leasing agreement does not imply any transfer of property of the equipment which remains the property of the lessor until the end of the agreement and the possible exercise of the option held by the lessee.
As a consequence, the registration duties provided for in Article 719 of the French General Tax Code in case of sale of a business are not applicable on the sale price of the equipment considered as including the part paid cash and the undertaking of the leasing agreement (Cass. com. January 24, 1995, nø 176 P, BCV Chantiers).
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances. For additional information contact Claire Acard on 33/(1)/55 61 10 10 or Lionel Benant on 33/18.104.22.168. The members of Archibald Andersen Association d'Avocats (S.G. Archibald and Arthur Andersen International) are registered with the Hauts-de-Seine Bar and the Lyon Bar.