What are the legal obligations of an exclusive mandate in France under the loi Hoguet?
In France, every real-estate transaction mandate — whether exclusive or simple — must comply with the loi Hoguet (n°70-9) and its implementing decree. Failure to comply results in nullity of the mandate and loss of all commission.
Short answer
- A French exclusive mandate must be written, signed, numbered in the répertoire des mandats, and limited to 3 months with automatic weekly renewal clause per Art. 78 of Décret 72-678.
- The commission (honoraires) clause must precisely state the rate and the party responsible for payment — it cannot be a range. A vague clause voids the right to commission.
- During an exclusive mandate period the seller cannot sell privately without owing full commission — unlike a simple mandate where the seller retains direct-sale rights.
Legal framework: loi Hoguet and Décret 72-678
The loi Hoguet (January 2, 1970) regulates all real-estate agents (agents immobiliers, administrateurs de biens, syndics). It requires that every transaction mandate be in writing, signed by both parties, with a unique reference number in the répertoire des mandats. The Décret 72-678 specifies that exclusive mandates must not exceed 3 months; after the initial period they renew by tacite reconduction on a week-by-week basis until one party gives notice. A mandatory precise honoraires clause states who pays the commission, the rate, and the calculation base (often the net seller price, FAI — frais d'agence inclus — or TTC).
Practical examples: exclusive vs simple mandate
Example 1 (exclusive): Agency A signs an exclusive mandate with Dupont for 3 months at 5% FAI. During this period Dupont's neighbor offers to buy directly. Dupont cannot accept without owing full commission to Agency A — the exclusivity clause is enforceable. Example 2 (simple mandate): Agency B has a simple mandate with Martin. Martin simultaneously lists with two other agencies. Agency C finds a buyer first. Agency B earns nothing despite having worked on the file.
Common errors that void the mandate
Three recurring errors in French agencies: 1) Missing or incorrect mandate number — every French mandate must have a unique sequential number from the répertoire des mandats. Without it the mandate is void and commission unenforceable. 2) Vague commission clause — courts have repeatedly annulled commission rights where the clause said 'approximately' or gave a range. 3) Failure to give the standard notice on exclusivity rights — the Décret requires the agent to specifically inform the seller of the rights they waive with an exclusive mandate.
How 4property.net helps French agencies
4property.net includes mandate templates compliant with loi Hoguet requirements: the system automatically assigns the next sequential mandate number, pre-fills the precise honoraires clause (FAI or net-seller basis), and sets the 3-month exclusivity countdown with reminders at D-30, D-15 and D-7. Digital signature for the mandate is integrated. All mandates are archived and audit-searchable. Start free for 14 days.