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Welcome to our first newsletter of the year

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As anyone who’s investigated the area will know, your choice of tax residency can have a huge impact on how your assets are treated. Whether you’re thinking about civil or tax law, you may be surprised by how beneficial it can be to change where your residency is registered. As experts in providing clients with effective, helpful services, we are perfectly placed to offer advice for those thinking of making the change.

Read on through our blog to see what some countries offer to clients like you.

The French tax authorities have confirmed that from the 1st January 2021, the UK will be considered as a third state in the EU.

The decree 2020-1422 dated the 20th November 2020, introducing the signing of an authentic power of attorney outside the Notaire’s office, came into force on the 22nd November 2020 for an unlimited period. This is a good news for those who have to have an authentic power of attorney for the signing of their deed in France.

I HAVE REPRODUCED BELOW THE ENTIRE PAGE OF THE FRENCH HOME OFFICE. YOU CAN EITHER FOLLOW THE LINK  https://contacts-demarches.interieur.gouv.fr/brexi... OR READ THE CONTENT THAT WAS COPIED FROM THE HOME OFFICE. This is not an article but only a reproduction of the French home office

A recent decision from High Cour of Justice (Cour de Cassation) dated the 1st July 2020 confirmed that the purchaser of a property, who undertook some renovation work before completing, does so at its own risk. 

My latest contribution to the living magazine

The purchase of a property can be done privately directly

with the property owner or through the intermediate role of an estate agent.
When you purchase through an estate agent, you know that there will be a
commission in order to pay the agent for his work.  

For nearly five years (since 17th August 2015), international private law regarding succession has come into force in the 27 countries of the European Union that have ratified it. However, there are still some interrogations necessary. If choosing the law that is applicable to your estate is possible, then the European text also provides for an implicit choice which must be used with precautions

The cooling-off period, which was introduced after the law dated 13th December 2000 and amended by the law Macron dated 6th august 2015, provides that a

non-professional purchaser can withdraw from the contract within a period of ten days starting "from the day after the first notice by the post office”. Notaires and estate agents tend to send contracts duly signed by the parties to each purchaser by registered post without worrying whether or not the recipient of the letter is the actual purchaser.
A recent court case dated 12th October 2017 brought a new position regarding the validity of a cooling off period signed by a third party.

 The settlement of an estate involving French assets will not only be complicated because of the language barrier but also due to the differences between the legal systems. British citizens who own a property in France or who have moved to France often wonder how their estate will be shared between their beneficiaries. What are the rules without a will? Does a will made many years ago still fully apply in France?

BREXIT will take place on 31 January 2020. As from the 1st February 2020, the UK will no longer be part of the European Union and will not be a member of the EEA either. As it stands, British residents and all companies having their head office in the United Kingdom selling a property located in France will be required to appoint a tax representative.

The PACS, contrary to the Civil Partnership Act 2004, is a contract made by two adults to the same or opposite sex to organise their lives. Like the Civil Partnership Act 2004 the PACS sets out the rights and duties of partners and requires formalities regarding the registration and termination.

Any foreign nationals can buy a property in France as a secondary or main residence. The French system of conveyancing law is different and despite being as safe as the English one, the legislation and practice are different. This is a stressful time for everybody due to the fact that they are not only dealing with a foreign legal system but also a foreign language. 

The conveyancing itself is not complicated but will still require attention to make sure that you do not find out any pitfalls before completing it. As a
purchaser, it is normal that you focus on the purchase, sometimes to the detriment of estate planning. Buying and having estate planning at the same
time can be useful and prevent any unexpected issues in the long term.

When somebody wishes to create a business in France, he will have the option of operating under a company structure or as a sole trader. Both options have pros and cons and the nature of the business will determine which structure, but also, which tax regime to choose.

When two parties intend to enter into an agreement for a property transaction, they first sign a sale agreement to agree on the price and the terms and conditions of the sale. Whether you have an Estate agent or Notaire preparing the contract, they will both have to explain to the parties that this contract can take the form of a unilateral promise of sale (promesse unilaterale de vente), or that of a binding contract (compromis de vente).

The question will be the opportunity for the parties to choose the form best suited for their transaction. Indeed, under different circumstances, the parties may prefer one form rather than the other.

Q: My Belgian partner and I (a UK national) are considering getting married or having a PACS later this year here in France. I've heard of recent law change regarding matrimonial regimes and PACS, can you explain them?

Welcome to our July issue and to our new subscribers, last month I attended the annual Notaires’ conference, that took place in Brussels. What a perfect

place to discuss this year’s topic: International law - Family and Estate planning. The conference is always a very good opportunity to discuss our
practise, experience and exchange information with professionals, lawyers, University professors. Four committees composed of Notaires work on a subject in connection with the topic and propose relevant suggestions to make the Law evolve.

This month our article is quite different. Instead of treating a specific area of Notarial law, we have provided our readers with a practical case.

Welcome to our March issue. The past few weeks have been rich in reflections on Brexit and it does not make our life easier when we have to advise our clients on international matters. International private law is part of our work on a daily basis.

The concept of tax residency links a person to a particular territory for the purpose of determining questions of law (including tax law) that applies to him. In practice, a person’s tax residency is not always obvious or easy to determine, despite its being a crucial element of his relationship with a particular legal system.

Two regulations dated 24th June2016 are complementing the inheritance regulations that came into force lastAugust 2015. After inheritance, so these are matrimonial and registeredpartnerships which are subject to European regulation. 19 members states,including France, wanted to establish enhanced cooperation in these matters. The regulations will come into force on the 29th January 2019.

I often have clients asking how long does a property transaction take to be completed in France. The average timescale is between 2 to 3 months but often depends on the particularities of each transaction. Indeed, some of you may purchase a property without any renovation work, ready to move in, others may want to renovate or extend it and would require planning permission before signing, a mortgage may be required, a division of lands, or the property/land is occupied.

Parents may wish to pass on their assets while they are still alive to their children, perhaps to help them buy a property or to avoid conflict between heirs after a death, or simply to ensure the smooth transmission of a family property.

As a Lawyer, I meet people every day who have lost a relative or become concerned by their future and the possibility of losing the capacity to deal with their own affairs. In England it is possible to anticipate and curb a problem by signing a Lasting Power of Attorney. Alternatively, we may create a trust to administrate those assets posthumously. In France,neither of these forms existed until two recent Laws were passed, which introduced a form of Power of Attorney (mandate) with the purpose of providing the flexibility to organise and administrate a person’s assets or estate.

The Notaire who is called upon to settle an international succession is often confronted with a certain number of questions, one of them being the validity of a Will left by the deceased. Making a Will is the most common way for a person to settle his estate and transfer his assets to his heirs. For instance in of common Law Countries (United Kingdom, Unites States…) it is most of a time a testamentary succession.

Notaires in France are Public Officials appointed by the Ministry of Justice and have their own system and practice which is distinctive from the other profession of Avocat or even Solicitors.They are empowered to place the French State Seal on the deeds that they prepare. These deeds fall into a category of public document and are difficult to challenge. We have calls every day from client enquiring what the Notaire's fees are. Notaires always provide clients with a figure to complete the transaction butrarely break it down unless specifically requested.

With the recent European Succession law that came into force on 17th August 2015, most of British nationals wonder whether the use of a SCI to hold a property in France still has a benefit. Indeed, the new succession law permits a British national to choose English law as the law applicable to his estate and overcome the compulsory French forced heirship.

The system of buying a property in France is not so different from the one in the UK. Balancing the two systems, none is better or worse than the other but they both have their particularities. Whereas exchange takes place after the formalities have been carried out in England, the French exchange (signing of initial contract) takes place prior to carrying out the searches. The purpose of this article is to give you an indication of the process of purchasing a property in France. In any case it will replace any advice that you would seek through a professional.

In December, France lost one of its greatest singers and idols of several generations, Johnny Hallyday. The sadness of his death has now been shadowed by a media unpacking around his estate and his Will. Johnny Hallyday had two children from previous unions and adopted two children with his surviving spouse, Laeticia - a situation that is not unusual nowadays. According to his Will, he designated Californian law as the law applicable to his succession and bequeathed all his estate to his wife, to the detriment of his two children from previous unions.

In this month French Property News Magazine I will be looking at the different options to give a property to your children.

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Yet again another decision made by the High Court on 14th February 2018 regarding the cooling off period in France. This time the Notaire is directly involved because the claim was made against him by a vendor.

Most of European countries have ratified the European succession Law and Monaco has now decided to create its own international rules to match the rest of Europe. As a result civil law will no longer be an issue for an English national as he will always be able to apply English law to his assets wherever he is located.

The European Court of Justice said in the case JAHIN (CJUE 18/01/2018 – CASE C45/17 JAHIN) that a non-resident of France living outside the European Economic Area and Switzerland could be subject to social contributions (CSG and CRDS) levied on their income in France by the French tax authorities.

We are one year away from the new European legislation regarding matrimonial regime that was voted and adopted by 18 members of the European Union. It will

come into force in the countries that voted and adopted it from 29th January 2019 and has for aim to replace The Hague convention dated 14th
March 1978. There is no doubt that Notaires and International Lawyers will have to review their client’s personal situation regarding their French and overseas
assets for estate planning purposes. They will also have to juggle with the Hague convention, Common Law and new legislation to assess the nature of the assets.

On 28th June 2017 the National Council of Monaco voted a new Act on private international law to complete the existing provisions and bring a legal solution to the competent jurisdiction and applicable law in situations involving various jurisdictions as well as establishing recognition of foreign decisions and instruments.

One of the promises of Emmanuel Macron was to replace the current wealth tax by a new tax that would only apply to real estate. The capital property tax (IFI) as envisaged by Emmanuel Macron consists of taking out financial investments, savings, luxury movables (cars, yachts, horses…) and other securities from the taxable assets of the ISF in order to retain only real estate.

Since the succession regulation (EU) No 650/2012 of the European Parliament and of the Council of 4 July 2012 on jurisdiction, applicable law, recognition and enforcement of decisions and acceptance and enforcement of authentic instruments in matters of succession and on the creation of a European Certificate of Succession, that came into force on 17th August 2015 in the states members of the EU, to the exception of Denmark, United Kingdom and Ireland, the question was

raised in France as to whether or not the forced heirship would prevail over  the regulation.