NOTE THAT THIS IS AN EXAMPLE OF A PRE-SALE AGREEMENT ...lacordee-chamonix.com/wp-content/uploads/Pre-Sales-Agreement-En… · The technical characteristics of the work to be undertaken

NOTE THAT THIS IS AN EXAMPLE OF A PRE-SALE AGREEMENT (COMPROMIS DE VENTE) OF THE LA CORDÉE PROJECT:

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BACKGROUND INFORMATION

The parties detailed below, being due to enter into a pre-sales agreement relating to the sale of a real property, have been informed by notary that has drafted this agreement, that because this agreement is not executed as a deed, it cannot be lodged at the registry of title.

As a result if one of the parties refuses or is unable to complete the undertakings in this greement by execution of a deed, then the other party cannot rely on this document to have their title to the property registered or to assert title in respect any third parties, without a court order to that effect.

The parties having been notified of this situation have nevertheless agreed to

proceed on the basis of this document signed as a private agreement. Accordingly in the event of refusal or incapacity of either party, a notarised

minute attesting the signing of this agreement, together with a copy of this agreement, may at the request of the party not in default be produced in order to give notice of the default, it being noted that this will not confer upon this agreement the status of a title deed.

The above minute can be published at the registry of title pending an order of

the Court. SALES AGREEMENT The parties to this Agreement have agreed the sale of the property detailed

below on the conditions of this Agreement. For simplicity, in this Agreement the following terms will have the meaning set

out below: - THE SELLER shall mean the seller or sellers jointly and severally. - THE BUYER shall mean the buyer or buyers jointly and severally. - THE PROPERTY shall mean the real property right and interests the

subject of this Agreement. - THE COMPLEX shall mean the building or buildings governed by co-

ownership regime in which the PROPERTY is situated - THE DESCRIPTIVE NOTICE shall mean the descriptive document by

which the property is advertised or a descriptive document that corresponds to the proforma approved by decision of the minister responsible for construction. These documents apply to the “PROPERTY”, to that part of the building in which the PROPERTY is located and which is to be renovated.

- EXPERT shall in accordance with Article R 232-7 of the Code of Construction and Habitation, mean a person skilled in the field as detailed by Articles R 262-4, R 262 – 9, R 262-10 and R 262-13, who shall be a professional to whom law number 77-2 of 3 January 1977 relating to architecture applies, he shall be independent, impartial and insured for the services provided. This person is nominated by the mutual agreement of the Parties to this Agreement, or in the absence of agreement by an order of the President of the Tribunal de Grande Instance, (equivalent of high Court), of the region in which the Property is situated, on the application of either party, which order cannot be challenged on appeal.


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- The word “day” or days” shall mean any day of the week, except if the last day of any time period shall fall on a Saturday a Sunday or a bank holiday in mainland France then the final day of the period shall be the next working day.

- “Working Day(s)” shall mean any day of the week except a Saturday, Sunday or bank holiday in mainland France. For the avoidance of doubt if any obligation of any Party is due to be fulfilled on a day that is not a Working Day then it shall fall to be fulfilled on the next Working Day.

SELLER

The company LA CORDEE II, a simplified single member company with a capital of 30,000.00 euros, whose head office is located at CHAMONIX MONT BLANC (Haute-Savoie), 113 Chemin des Souchettes, SIREN number 815 195 367, registered in the companies register of ANNECY.

BUYER [ ]

PRESENCE - REPRESENTATION

The Company LA CORDEE II is represented for the purpose of this

Agreement by Mr Gilbert MATILLAT, under the special powers granted to him by the sole shareholder to act in the name of and on behalf of the Company under the terms of [ ].

DRAFT AGREEMENT

The parties acknowledge that have each received a draft copy of this Agreement prior to the date of this Agreement and have received all necessary explications of its contents.

SUBSTITION

The BUYER may, without further consideration, be substituted by another party, providing at all times that he remains jointly liable with such party in respect of his obligations under this Agreement until completion of the formal deed of sale.

PROVISIONAL SALES AGREEMENT

The SELLER sells, in anticipation of future renovation and subject to all the standard guarantees arising in fact or law in similar matters, and subject to the conditions precedent stated below, to the BUYER, who accepts, the sale subject to renovation, of the PROPERTY referred to below, and in accordance with article L 262-1 and subsequent and R. 262-1 of the Code of Construction and Habitation.

DESCRIPTION

In the commune of CHAMONIX MONT BLANC (Haute-Savoie) 57 Chemin de Champraz.


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A property located in a COMPLEX, in the process of renovation, and which will be governed by the co-ownership regime, and located on land detailed at the land registry under the references:

Section No. Name of the place Surface area C 3581 LES ROSIERES 1 ha 08 a 00 ca

The COMPLEX is made up of 8 buildings in the process of being renovated. Description of the property to be sold: In the building designated by letter ***: The property and property rights, such as they will exist after completion of the

renovation, together with all benefits, rights, annexes or other appurtenances that may be dependent on them, without any exceptions or reservations,

Such as they shall be set out in the description of the division of the building that will be completed prior to the completion of this sale contemplated by this Agreement,

And such as they appear in the plan of the immovable property, a copy of which is annexed to this Agreement.

It being specified that the description of the apartment is set out in a note

which is annexed to this Agreement.


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Description and technical characteristics of the rights and immovable property

In accordance with the provisions of Article L 262-4 and R 262-8 of the Code

of Construction and Habitation, the exact nature of the PROPERTY and the COMPLEX is defined:

A/ in respect of the PROPERTY: - By a plan, which details the relevant measurements, the location of the

apartment in the building, the heights and sizes of each room and passageway.

B/ in respect of the COMPLEX: - By a plan that details the number of buildings in the COMPLEX, their

relative location and the number of floors in each one. These documents are certified by the SELLER and accepted by the BUYER as “ne varietur” (not to be changed) and are annexed to this AGREEMENT. C/ Technical characteristics of the work to be undertaken by the SELLER: The technical characteristics of the work to be undertaken by the SELLER set out in the Descriptive Notice defined above as forming the descriptive basis upon which the properties are advertised for sale, has been certified as exact by the SELLER and accepted by the BUYER and is annexed to this AGREEMENT.1

PROVISIONS OF ARTICLE 46 OF THE LAW OF 10 JULY 1965 AS MODIFIED BY

THE LAW OF 18 DECEMBER 1996

To the extent that the measurement made by the SELLER of the surface area

of those parts of the Property that will be in private ownership, is subject to the provisions of Article 46 of the law of 10 July 1965 (known as the “Loi Carrez” law), the SELLER, declares that this area is: xxxxm².

The Parties acknowledge that the above declaration of surface area is based on measurements of the PROPERTY made prior to renovation and in particular prior to the construction of interior walls, of which the BUYER acknowledges awareness.

CO-OWNERSHIP RULES – DESCRIPTION OF DIVISION

Prior to completion of the sale of the PROPERY in accordance with this Agreement, a description of division of the COMPLEX will be drawn up and the COMPLEX will be become subject to co-ownership rules to be formalised by Maître Eric BARBIERI, notary, based in CHAMONIX MONT BLANC, a notarised copy will be filed at the registry of land titles of BONNEVILLE.

The co-ownership rules will be sent to each BUYER prior to completion of

each sale and a copy will be supplied to each BUYER on signature of sale.

1 for ease of reading, of this translation “Works” shall mean the definition given above even though in the original French version this is not capitalised as a defined term.


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DECLARATION BY THE SELLER

The SELLER declares and undertakes that:

- The Works do not include any works to extend or completely rebuild the COMPLEX, as would fall within the definition of “reconstruction” under sub-paragraph 3 of Article L. 262-1 and would mean that any of the following would be considered to be new: 1. The majority of the foundations; 2. The majority of those parts of the building other than the foundations

that determine the resistance or rigidity of the structure; 3. The majority of the facades other than the render; 4. The internal fit-out in respect of at least two thirds of each of the

following heads: a) the floor boards that are not structural, b) the external woodwork c) The internal walls d) the plumbing e) the electrics f) and, for projects in mainland France, the heating system;

- The works to be carried out do not fall within the scope of Articles L 111-3,

L 111-15 and L 111-16 of the Code of Construction and Habitation.

TITLE

Acquisition made under an Act formalised by Maître BARBIERI, notary, of CHAMONIX MONT BLANC, on 18 December 2015 a copy of which has been lodged for publication by the land title registry services of BONNEVILLE.

PURPOSE

The PROPERTY is to be acquired by the BUYER for the purpose of use as a

dwelling.

ENJOYMENT OF PROPERTY

The BUYER shall be the owner of the PROPERTY such as it is at the time of completion of sale and as the renovations works progress, together with the relevant share of the common parts of the building that are associated with the PROPERTY.

The BUYER shall become the owner of the Works as they progress. The BUYER will have possession from the completion of the renovation

works, which will take place in accordance with the conditions detailed below. The BUYER agrees not to enter into any agreement for the rental of the

PROPERTY or that grants any right of use of the PROPERTY or any promise to enter into such an agreement until the full acquisition price is paid, without the prior written agreement of the SELLER.

HANDOVER DATE

The date for completion of Works and handover of possession of the

PROPERTY is planned for the end of the 4th trimester of 2017, except in the case of an incident of force majeure or other legitimate reason for delay, as such delays are defined in the conditions set out in the SECOND PART of this Agreement.


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NATURE OF RIGHTS

NATURE OF RIGHTS SOLD Full title to the entirety of the PROPERTY belongs to the Company LA

CORDEE II. NATURE OF RIGHTS BOUGHT

Full title to the entirety of the PROPERTY is to be acquired by [ ].

PRICE- PAYMENT

The sale, if it takes place, shall be made in return for the consideration of the payment of ******* THOUSAND EUROS ( ***.000.00€).

Of which: - **** thousand euros, or 70% relates to the property as it currently exists is

actually; and - **** thousand euros, or 30% relates to the cost of the renovation works to be

undertaken. The Price indicated above shall be paid as set out below. 2

STAGED PAYMENTS The Price indicated above shall be due and payable from the date of

completion of sale in respect of that part of the Price that relates to the existing property, i.e. ***** THOUSANS EUROS (***.00.00€).

The remaining part of the Price that relates to the Works to be undertaken by the SELLER shall be due and payable as follows:

Total

– The sum of 50 % of the cost of the work, when the works completed amount to half of the total cost of Works 50 %

– Such sum as would equate to a total of 95% of the cost of the Works, once the Works are completed 95 %

– such sum as represents 5% of the cost of the Works on handover of possession 100 %

The SELLER may provide in the final purchase deed, for intermediary staged

payments to be made between the staged payments referred to above, providing always that the sums to be paid do not exceed the legal limits for staggering of payments stipulated by Article R 262-10 of the Code of Construction and Habitation.

The SELLER wishes it to be noted that: - The above programme of payments is in accordance with the provisions

of Article R 262-10 of the Code of Construction and Habitation - That in application of Article 262-9 of the Code of Construction and

Habitation, the accuracy of the attribution of the price between the existing property and the value of the renovation works has been verified by an

2 Price is not a defined term in the French version of the document but for

ease of reading, use of the capitalised “Price” in this translation shall have the meaning given here.


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expert from the Architectural practice TEMA and an attestation of this has been annexed to this Agreement.

PRIORITY OF VENDOR

By way of guarantee of payment of the balance of the price and of any interest or supplement, the SELLER shall be granted priority by way of first charge on the PROPERTY in the formal sale Deed, which right shall be in addition to the right of cancellation.

CONDITIONS RELATING TO THE STAGED PAYMENTS 1. Information for the BUYER

The BUYER shall be kept informed of the progress of the Works and timescale for completion by way of statements of each stage made by the EXPERT. The SELLER shall inform the BUYER of the stages defined above. The notifications to the BUYER shall be made by letter and accompanied with the Expert’s statement and the due dates and instructions for payments.

2. Payment dates The BUYER shall pay sums due within TEN (10) days from the date of reception of any letter sent by the SELLER.

3. Payment methods All payments, without exception, shall be made by bank transfer to the account of the notary, in the name of the SELLER. Any payments made other than by bank transfer will not release the BUYER from its payment opbligations. The final balance of the Price is payable on handover of possession, however, under Article L 262-3 of the Code of Construction and Habitation, it can be consigned in the event of a default of conformity or visible defects mentioned in the written minute of handover.

4. Penalties for late payment Any sums that are part of the Price and are not paid on the due date, will become immediately, without need for further demand, subject, by way of penalty, to an indemnity payable to the SELLER, equivalent to the legal rate of interest plus two (2) points, for each day of delay (Article 262-10 the Code of Construction and Habitation). Payment of sums due shall not constitute acceptance on the part of the SELLER of any delay. These provisions shall apply to any delays in payment that may by permitted to the BUYER by law pursuant to clause 6 below.

5. Non division The sums due are not to be deemed as divisible. Accordingly: o on the death of a person buying jointly with their spouse and

defined in this Agreement together or severally as “BUYER”, then


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the surviving spouse and the estate of the deceased shall be jointly liable for the payment due to the SELLER arising from the sale and for the costs of notification required by Article 877 of the Civil Code;

o on the death of both spouses purchasing jointly and defined together or severally in this Agreement as the “BUYER”, then the estate of the deceased shall be liable for the payments due to the SELLER and the costs indicated above.

6. Cancellation of sale for non-payment

It is expressly stated that in the absence of payment on the due date of the full and exact amount of any sum that is part of the Price under this Agreement, then the SELLER may cancel the sale if he so wishes, if one (1) month after an order to pay the sum due has been delivered to the domicile elected by the BUYER and indicating the intention of the SELLER to rely on this clause, the payment obligation has remained unfulfilled. The above provision shall be suspended for the time period of any delay that is allowed to the BUYER by the court under the provisions of Article 1244 of the Civil Code. The above clause shall be deemed not to have been relied upon if the BUYER fulfils the conditions laid down by the judge.

7. In the event of cancellation of sale In the event that the cancellation of the sale for whatever reason, the party to whom the cancellation is attributable shall be liable to the other Party to pay an indemnity equal to ten per cent of the price. Furthermore the Party to whom the cancellation is attributable shall also be liable to compensate the other Party for any damage suffered, if that Party justifies their demand.

8. Promise to transfer priority

It is noted that as guarantee of payment of the balance of the price due under this Agreement, the SELLER reserves the right of priority of charge along with the right to rescind the Agreement.

If the BUYER, seeks a loan from a lending institution in order to pay the balance of the Price due under this Agreement, the SELLER undertakes to transfer to such lending institution the right to take the first charge on the PROPERTY up to the value of the sum lent where such institution requires priority without competion in respect of any charge on the PROPERTY which guarantees the sum lent, furthermore the SELLER undertakes not to exercise its right to cancellation under this Agreement without prior consultation with the lending institution such that in respect of any distribution of the price for the PROPERTY or of any indemnity paid in the event of an insurance claim following damage, the lending institution shall be paid before the SELLER and preferentially in respect of the total amount of the loan, any interest and costs.

The SELLER undertakes to sign a transfer of right of priority at the request of

any such financial institution, such transfer to be prepared at the cost of the BUYER. If necessary the SELLER grants power to any clerk of the notary’s office

detailed above to act either together or separately, in order to give effect to the priority of charges detailed above in respect of the Price, to declare, reiterate or exercise such rights, during the term of any loan or to undertake to exercise its right to rescission


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only with the agreement of such lending institution, and to this end to enter into or sign such acts, elect domicile and generally do all that is required to give effect to the above clauses.

TOTAL TRANSACTION COST

The total cost of the transaction pursuant to this Agreement is: Price ..................................................... **** THOUSAND EUROS ( ***.000,00 € ) To which is added: - The costs of the conveyancing ......................................................... **.000,00 € - Costs relating to the loan ..................................................................................... __________ Total equal to .................................................................................... ***.000,00 € The BUYER acknowledges that these costs are indicative only and will only be

firm and definitive in the formalised sales deed on this basis if the stamp duty attaching to the transaction has not increased by the time of the final completion.

FINANCING THE ACQUISITION

The BUYER declares that the acquisition shall be financed as follows: - Cash sum equal to ***** THOUSAND EUROS ( ***.000,00 € ) - Loans that the BUYER shall apply for in the sum of **** THOUSAND

EUROS ( ***.000,00 € ). TAXATION

FISCAL REGIME

The SELLER declares: - To be subject to value added tax in the context of its professional activity. - To be acting in the context of its professional activity; - That the PROPERTY is more than 5 years old. Accordinlgy the sale envisaged by this Agreement, will, if it is concluded, be

exempt from value added tax pursuant to Article 261, 5-2° of the General Taxation Code but will be subject to the stamp duty at the general rate stipulated by Article 1594 D of the General taxation Code, which tax will be paid by the BUYER.

DECLARATION BY THE SELLER IN RELATION TO CAPITAL GAINS

The SELLER declares that it is not subject to the provisions of the law relating to the declaration of capital gains made by individuals in so far as this sale is made in the context of its professional activity.

CONDITIONS PRECEDENT

CONDITION PRECDENT FOR OBTAINING FINANCE

The conclusion of this Agreement is conditional upon the fulfilment of a condition precedent for the benefit of the BUYER only; of having obtained an offer of a loan from one or several banks of his choice that correspond to the conditions below:

- Maximum amount of the borrowed sum: ***€. - Amount of the borrowed sum: ***€. - Maximum period of repayment: ** years.


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- Maximum nominal rate of annual interest: **% (excluding insurance). BUYER’s obligations The BUYER shall take all necessary steps to obtain his finance offer as soon

as possible and shall submit a request no later than 15 days after the date of this Agreement.

The BUYER shall provide to the SELLER proof of finance, and at least an

offer in principal no later than 30 days from the date of this document. If the said evidence is not provided within the authorised period, this

Agreement shall be deemed null and void, if no such proof is provided at the end of one week from the date of receipt of a demand served by the SELLER by registered letter with acknowledgement of receipt, requiring justification of proof of an offer in principal based upon the above terms.

Fulfilment of the suspensive condition For the purposes of this clause the loan shall be considered as obtained if one

or a number of written offers corresponding to the terms above are provided by lending institutions to the BUYER.

The BUYER shall provide to the SELLER, evidence of application and reply. In particular the BUYER shall send a copy of any loan offer to the notary within 8 days of receipt of the offer.

This offer must be received no later than 60 days from the date of this Agreement.

Failure to provide proof of loan to the SELLER within the time provided shall render this Agreement null and void, if no such proof is provided at the end of one week from the date of reception of a demand served by the SELLER by registered letter with acknowledgement of receipt, requiring proof of having obtained the loan,.

The BUYER shall not be liable to pay any compensation to the SELLER if he

can prove that the loans have been refused, providing that he has respected the conditions set out above. In this case all sums that have been paid by way of deposit by the BUYER shall be repaid.

CONDITION PRECDENT FOR OBTAINING PLANNING PERMISSION

Obtaining planning permission

The conclusion of this Agreement is also conditional upon the fulfilment if the following condition:

a) that the SELLER obtains, no later than ********, a planning permission authorising the creation of an additional 230m² of interior useable surface area,3 the modification of the facades and of the outside spaces, and

which application for planning permission should comply with the usual legal

and regulatory provisions that apply to the type of development that is anticipated in this Agreement.

3 The term used in the French version has a very specific legal definition of the

area that is or is not included.


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b) that there are no appeals or action for withdrawal or cancellation of the above planning permission within the time periods set out in the Planning Code.

The SELLER undertakes to advertise the notice of the planning permission at

the site of the development within 10 days of the date of grant by the planning authorities.

If the application for planning permission is refused, or a decsion as to grant is

deferred, or the permission granted does not correspond to the details set out in this Agreement then this condition precedent shall be deemed to have not been fulfilled; this will also be the case if any action for cancellation or withdrawal of the permission is commenced in the time periods set out for appeal.

OTHER SUSPENSIVE CLAUSES

Planning

It is a condition precedent to the completion of the sale under this Agreement that the informative notice relating to planning and the certificate relating to the surrounding roads both of which are to be obtained from the local planning authorities in relation to the PROPERTY prior to sale, do not reveal the existence of any easement likely to render the PROPERTY unsuitable for the purpose envisaged by the BUYER.

Right of pre-emption

It is a condition precedent to the completion of the sale under this Agreement that any third party right of pre-emption in relation to the PROPERTY is purged.

To this effect all necessary powers are granted to the notary in charge of the sale in order to make any necessary notification.

Real property rights - mortgages

This pre-sales Agreement is entered into on the condition that a check for registered charges against the PROPERTY:

- does not reveal the existence of any charge for a sum greater than the Price or of any publication of notice to repossess.

- does not reveal the existence of any rights in respect of the PROPERTY other than those detailed above that would prevent the free disposition of the PROPERTY or be likely to significantly diminish its value.

SELLER’S UNDERTAKINGS

Third party guarantee of completion of works

The SELLER hereby undertakes to produce for the execution of the sale, proof (i) of the guarantee of completion of the work and (ii) of insurance, as each are respectively required by three provisions of clauses e and f of Article L 262- 4 of the Code of Construction and Habitation:

- In accordance with Article L 262-4 e) of the Code of Construction and Habitation, the SELLER shall supply the BUYER with the guarantee of


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completion of works in relation to the PROPERTY, in the form prescribed by Article L 262- 7. Under that guarantee the guarantor undertakes to be liable to the BUYER jointly and severally with the SELLER to pay to the sums necessary for the completion of the works set out in the contract of guarantee.

- In accordance with Article L 111-33 of the Code of Construction and Habitation, the SELLER shall satisfy the obligations of Articles L 241 to L 242-1 of the Insurance Code in respect of liability and insurance in the construction industry.

- Together with the proof of payment of all relevant insurance premiums.

SECURITY DEPOSIT

AMOUNT

By way of security deposit the BUYER shall pay a sum equal to 5% of the Price, or **** THOUSAND EUROS (***.000.00€), at the latest 10 days following the date of this Agreement.

If this payment is not made within the 10 day period the SELLER may if he wishes deem this Agreement to be null and void.

The payment required by this Clause may only be made by way of bank transfer to the account of Maître BARBIERI notary in CHAMONIX MONT BLANC, as chosen by the Parties and the details of which are set out below:

IBAN: FR 69 4003 1000 0100 0033 0086 N74 BIC : CDCG FR PP

AGREEMENT BETWEEN THE PARTIES

The Parties have agreed as follows : - If the sale completes, the sum paid above shall be attributed towards the

Price. - If one or a number of conditions precedent are not fulfilled in the time

required, this sum shall be simply repaid to the BUYER. The onus being on the BUYER to prove that the condition or conditions in question have not been fulfilled other than by his deliberate act, failure to act or negligence;

- if all of the conditions precedent are fulfilled and the completion of the sale cannot take place in the prescribed timescale due to the deliberate act or negligence of the BUYER, this sum shall be paid to the SELLER without prejudice to the right of the SELLER to pursue an action for specific performance of this Agreement by completion of sale and or additional damages and interest.

The security deposit shall count towards the amount set out in any penalty clause detailed below

The BUYER gives an irrevocable power to the notary to pay this security deposit to the SELLER in the circumstances detailed above.

This clause shall apply immediately, if execution has not taken place, withing a delay of 15 days from the service of a demand for execution served by registered post with a notice of receipt.


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OBLIGATIONS INCUMBENT UPON THE SELLER UNTIL THE DATE OF HANDOVER OF POSSESSION

From the date of this Agreement until the date of handover of possession, the PROPERTY shall remain under the responsibility and in the possession of the SELLER.

The SELLER undertakes not to transfer ownership of the PROPERTY in any manner even partially.

The SELLER undertakes to maintain insurance in respect of the PROPERTY until the date of handover of possession of the PROPERTY.

CHARGES AND GENERAL CONDITIONS

The sale shall take place under the following general conditions:

EASEMENTS

The BUYER shall support the passive easements whether apparent or hidden continuous or discontinued that may burden the PROPERTY, and may defend and seek to benefit from any that are active, in both cases at his own risk and without any recourse against the SELLER, which hereby declares that as far as it is aware there are no easements affecting the PROPERTY apart from those that arise from the natural location of the PROPERTY, the title of the PROPERTY, the co-ownership rules and any modifications to it that have been enacted, the local town planning rules or the law and any set out in this Agreement, and that the SELLER has not created any.

If the sale completes according to the provisions of the Agreement the BUYER shall stand into the shoes of the SELLER in respect of any rights and obligations of the SELLER in relation to the above easements.

THE FOLLOWING IS TO BE NOTED

1°) The contents of a deed formalised by Maître MILAN, notary in

CHAMONIX MONT BLANC, on 21 February 1977, an authentic copy of which has been published at the register of property interests and titles of BONNEVILLE, on 28 February 1977, volume 3925, number 1, as set out below:

“CREATION OF EASEMENT On the basis of the above background the following easements shall be

created: 1°- Messieurs Bayle and Lehoux in the name of the Société Civile Immobilière

(property owning company) Le Dru grant an easement for the benefit of parcel 3581, To the Société Civile Immobilière La Verte, which easement is accepted by Mr

Berthrand on the company’s behalf : - a right of way, solely for pedestrians over the parcel 3745 (the land

burdened) along its Eastern boundary, on the banks of the lake referenced on the land registry plan under the number 3442.

Such right of way corresponding to the line ABCDA on the attached plan. - a right of way for any purpose in the basement used as a garage built on the

parcel number 3475 (land burdened) in order to access the individual garages likely to be built on the parcel 3581 (land profiting).

Such right of way corresponding to the line EFGHIJKLE on the attached plan. - a right of way for any purpose (at ground level and basement) on the parcel

number 3745 (land burdened) for the benefit of parcel number 3581 (land profiting).


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Such right of way corresponding to the line MNOPQRM on the attached plan. 2°- Mr Berthrand in the name of the Société Civile Immobilière (property

owning company) La Verte hereby grants easements: To the Société Civile Immobilière Le Dru, which grant is accepted by

Messieurs Bayle and Lehoux : - a right of way, solely for pedestrians over the parcel 3581 (land burdened)

along the length of its Southern boundary, on the banks of the lake, referenced on the land registry plan under the number 3442, for the benefit of the parcels 3745 and 3746 (land profiting).

- and a right of way for any purpose on the parcel 3581 (land burdened) on a line and extent to be determined at a later date and for the benefit of parcels 3745 and 3746 (land profiting).”

2°) and the contents of an act formalised by Maître Robert MILAN, on 6

October 1978 an authentic copy of which was published at the register of property titles and rights in BONNEVILLE, on 19 October 1978, volume 4463, number 1, as set out below:

“CREATION OF EASEMENT On the basis of the above background the following easements shall be

created: 1°- Messieurs Bayle and Lehoux in the name of the Société Civile Immobilière

(property owning company) Le Dru grant an easement for the benefit of parcel 3581, To the Société Civile Immobilière La Verte which easement is accepted by Mr

PREBOIS on the company’s behalf : - a right of way, solely for pedestrians over the parcel 3746 (the land

burdened) along its Eastern boundary, on the banks of the lake referenced on the land registry plan under the number 3442.

This easement is also for the benefit of parcel 3745 of 84.43 ares, belonging to the SCI LE DRU and was acquired under the provisions of the act set out in relation to the origins of title.

Such right of way corresponding to the letters C D J K L C on the attached plan.

2°- Mr PREBOIS in the name of the Société Civile Immobilière (property

owning company) La Verte hereby grants easements: To the Société Civile Immobilière Le Dru, which grant is accepted by

Messieurs Bayle et Lehoux : - a right of way five metres wide over the parcel number 3581 (land burdened)

the length of the North-Western boundary for the benefit of the parcel 3746 (land profiting) in order to link this parcel to the Route des Drus.”

3°) and the contents of an act formalised by Maître BRAND, notary in

CHAMONIX MONT BLANC, on 27 January 1987, the terms of which are set out below :

“ INSTALLATION OF AN EDF TRANSFORMER ON THE PARCEL 3581 A transformer belong to E.D.F. and serving the buildings known as «

CHAMPRAZ II » is installed on the parcel 3581, as shown on the attached plan.”

TAXES

From the day of handover of possession the BUYER shall be responsible for all fiscal charges and taxes, to which the PROPERTY may be subject.


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CONDITIONS RELATING TO THE SALE OF AN EXISTING PROPERTY PENDING RENOVATION

PURSUANCE COMPLETION AND RECEPTION OF WORKS

This Agreement is entered into on the basis of works to be carried out in the future in accordance with the provisions of Article L 262-1 of the Code of Construction and Habitation, and the following Articles; of Article L 262-1 of that Code and the subsequent Articles; and of the contractual provisions in this Agreement, which detail the conditions under which the Works are to be carried out, completed and delivered

In accordance with L 262-1 of the Code of Construction and Habitation, the

SELLER shall be the commissioning party (responsible for the project as the project owner) until the date of handover of possession.

1° General provisions: definition of completion of works

The PROPERTY sold shall be deemed to be completed in accordance with Article L. 262-7, R. 262-10 and R. 262-13 of the Code of Construction and Habitation, when the Works have been carried out.

In determing whether the Works on the PROPERTY are completed in

accordance with this Agreement, those defects of conformity that are not of a significant nature and defects that do not render the PROPERTY or elements of the equipment provided within it unfit for its intended use shall not be taken into account.

The formalisation of completion of the works is established by the certified

declaration provided by the EXPERT. The formalisation of completion of the Works does not in itself constitute any

acknowledgement on the part of the BUYER that the Works conform to the contractual obligations under this Agreement, nor does it constitutre a waiver of the BUYER’s rights under Article L. 262-3 of the Code of Construction and Habitation.

2° undertaking to complete the works

The SELLER undertakes to carry out the Works until they are completed in accordance with the DESCRIPTIVE NOTICE.

3° Conditions relating to the execution of the Works

In the execution of the Works that are to be carried out after the signature of this Agreement, the SELLER undertakes to conform to the plans annexed to this Agreement and to the DESCRIPTIVE NOTICE.

The SELLER may be obliged to modify elements of the Works set out in the

DESCRIPTIVE NOTICE and to replace the element stipulated by another of equivalent character in the event of previously unforeseen difficulties discovered during the course of the Works; in the case force majeure events (and in particular a change in legal or administrative regulations, the insolvency of a sub-contractor or supplier, a supply difficulty in relation to any material) or more generally if technically the solution originally envisaged is not possible. In these cases the SELLER may also be forced to modify the layout or dimensions of certain elements that may be intrinsically linked to the technical issue in question.


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Modifications to the structure and the design of both the external and internal

layout that are required in order to resolve any technical problem or to complete or perfect the architectural design or aesthetic harmony of the project as they arise in the course of the Works, shall not, if they are approved by the EXPERT, constitute non-conformity with the DESCRIPTIVE NOTICE.

In particular it is noted that in general that the plans do not detail the dimensions or exact location of false ceilings, heights between windows and ceilings, the passage of pipes and conduits, soffits, radiators and boilers; where such elements are shown they are of indicative nature only, the final position and dimension may be changed.

The BUYER declares his awareness and acceptance of these conditions. Certain plans may show terraces which constitute commonly owned parts of

the building, but to which the rights of exclusive use by individual buyers attach. The BUYER accepts that it may be technically necessary for certain pipes or conduits to pass through over or under such terraces, but providing always that these installations should not constitute a nuisance or impinge substantially upon the BUYERS right to enjoyment of any terrace to which he has the right of private use or undermine the fitness for use of such terrace.

4° Delays

In accordance with the provisions of Article L. 262-4, d of the Code of Construction and Habitation, the SELLER undertakes to complete the Works by the date indicated above unless there is a case of force majeure, or, more generally another legitimate cause for delay.

In particular the permitted timescale for completion and handover of

possession will be extended for the following causes which shall be considered as legitimate reasons for a delay and for the grant of an extension of the timescale for delivery:

- days of bad weather as determined by the « Fédération Française du

Bâtiment Construction Paris Île-de-France », (the French Federation of Building of the Paris Region), which shall include any bad weather days from the date of signature of this Agreement.

- industrial action, whether general or particular to the building industry or a public service that is widely established to significantly disrupt the advancement of the project, but not including industrial action unique to the contractors working on the project.

- any injunction whether administrate or judicial requiring the suspension or cessation of work, providing always that they are not attributable to the SELLER or of any of the contractors working on the project;

- difficulties arising from military conflict, revolution, cataclysms, natural catastrophes or industrial accidents unless the SELLER or one of the contractors on the project is potentially responsible.

- any late payments made by the BUYER whether in relation to Works or additional work that the SELLER may have agreed to undertake;

If a legitimate reason for delay in completion of the Works arises or if there is a

force majeure event, the deadline for completion of the Works will be extended by the same number of working days that the pursuance of the Works was prevented or considerably perturbed by the event in question.


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For the avoidance of doubt legitimate reasons for delay shall not have any impact on the Price.

The SELLER shall notify the BUYER by registered letter with receipt of

delivery within 10 days of the interruption of work, of any event under this clause, giving details (nature, date and time) together with a statement signed by the project manager declaring the interruption of work, and in the event of halts due to bad weather, with a bulletin issued by the local weather station within one month following ther interruption.

Any failure on the part of the SELLER to notify a delay to the BUYER will mean that the SELLER cannot rely upon that delay as being a legitimate delay if he fails to respect the completion deadline.

The SELLER shall use best efforts to reduce as much as possible the delay

caused by any legitimate reason for delay or event of force majeure.

5° The SELLER retains the status as COMMISSIONING PARTY (project owner)

In accordance with the provisions of Article L. 262-2 of the Code of Construction and Habitation, notwithstanding the completion of the sale envisaged by this Agreement, the SELLER will retain his status as the commissioning party (or project owner), in respect of the architect, the contractors or other technicians and or experts and the authorities or any utilities suppliers and generally in respect of any third parties.

As a result, the SELLER alone shall be competent to choose architects,

contractors or other technicians, to enter into agreements with such parties and to accept completion of any work undertaken by such parties, including where necessary any work necessary to resolve any defects in conformity.

This also includes the exclusive power to file any planning application under

the Planning Code that may be required for the realisation of the Works. The BUYER undertakes not to interfere in the execution of the Works by the

SELLER or to use his status as owner of the PROPERTY to give instructions to the architects or contractors or other parties engaged in the Works.

The Parties acknowledge that pursuant to Article L. 262-2 of the Code of

Construction and Habitation the SELLER’s status as commissioning party (project owner) comes to an end only upon the official completion of works as defined under that Article.

6° Powers

a) Relating to the PROPERTY

In consideration of the undertakings given by the SELLER and in order to permit him to fulfil these undertakings, the BUYER shall grant to the SELLER, who accepts, all powers necessary to do all acts and execute any deeds relating to the PROPERTY and the rights sold in order to carry out the Works pursuant to this Agreement.

This mandate extends to acts that are essential to the Works or to the

Complex.


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This mandate includes the power for the SELLER to enter into acts relating to

parts of the common areas of the Complex that may be necessary for instance: - to satisfy and planning requirements; - to satisfy any conditions imposed as part of the grant of any planning

permission relating to the work to the building in which is situated the PROPERTY and on which may be dependant the grant of a permission relating to works to be carried out on another building within the Complex;

- to ensure the connection of the Complex to the public utilities networks and that the Complex will receive public services;

Which mandate shall be irrevocable and shall bind any party whose title derives from the BUYER such as on death or the transfer of the BUYER’s rights under this Agreement.

b) Relating to the Co-ownership group : The BUYER grants to the SELLER the power to modify the description of the

division of the building and the co-ownership rules and any other documents relating to the Complex that arise from the above description or rules.

The SELLER may exercise this power only to the extent that the modifications

do not change the designated use of the building as defined in the co-ownership rules. The above powers are granted to the SELLER in the interests of all of the

BUYERS and in consideration of the mutual engagements between each buyer and the SELLER.

As a result these powers are irrevocable. The above powers shall expire on the issue of the declaration of completion of

Works by the EXPERT, or if a planning permission has been granted, on the issue of the certificate that the Works conform to the planning permission.

The above grant of powers shall also engage any party whose title derives

from the BUYER whether by voluntary transfer of the BUYER’s rights under this Agreement or forced as a result of death.

The SELLER shall account to the parties having mandated him and in

particular the BUYER, in accordance with Article 1993 of the Civil Code. The Parties expressly agree that any sums payable to third parties, such as in

consideration for the grant of easements, rights of view, rights of way or for the acquisition or exchanges of land, in the fulfilment by the SELLER of the undertakings given by the SELLER under this Agreement, shall be borne by the SELLER without any right to pass on the same to the BUYER via an increase in the Price or to deduct from any sums owed by the SELLER to the BUYER.

7° Official Completion of the works

The official completion of the works, as defined by Article L. 111-19 of the Code of Construction and Habitation shall be accepted by the SELLER in respect of the whole project on one day, which date shall be the start point for the calculation of all applicable guarantees.


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The guarantees as builder for which the SELLER is liable shall commence on the date of official completion of works.

8° handover of possession

a) Convocation: Once the Works are declared to be completed for the purpose of Article R.

262-4, as required by the Clause 1 above ("definition of completion of Works") and officially completed in the sense set out in Article R. 262-5 and detailed above, the SELLER shall convoke the BUYER by registered letter with receipt of delivery, to attend an official handover of possession of the PROPERTY, which handover will be recorded by a written minute.

This convocation will be sent to the BUYER or his agent by registered letter with receipt of delivery at least 15 days before the date planned for handover or by such other method that guarantees the ability to establish the exact date of receipt of the notice.

The record of the acceptance of the Official Completion of the Works shall be

attached to the convocation. In the absence of the BUYER, the declaration of handover of possession shall

be made by a party designated by order of the judge of the Tribunal de Grande Instance (equivalent of the High Court) of the region of the PROPERTY, following request for an order, from which order there shall be no right of appeal.

The declaration of handover of possession shall be made by the nominated

person in the presence of the notary detailed in this Agreement. This declaration shall be deemed to constitute the minute of handover required by Article L 262-3.

The declaration of handover shall be deemed to be completed and correct if

made in this manner and shall be notified to the other Party by registered letter with receipt of delivery. The date of notification shall be deemed to constitute the date of handover.

b) Verification of condition. – Defects: Any defects in construction or non-conformity in the Works as such are

defined in the first sub-paragraph of Article L. 262-1 shall be declared in the record of handover of Works or shall be notified within one month after handover. Any action for rectification of defects of construction or non-conformity thus declared must be commenced within one year of handover.

The defects notified by the BUYER can be accepted as such or contested by

the SELLER

COMPLETION AND HANDOVER OF THE COMMON PARTS

The BUYER mandates the co-ownership management agent (“Syndic”) as his exclusive agent for the purpose of taking possession of the common parts of the building.

The Syndic shall take possession of the common parts (in the manner that possession is defined above) and shall notify to the SELLER those aspects of the Work that it deems not to be satisfactorily completed in accordance with this Agreement.


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The Syndic alone has the power to sign the record of the handover that will bind all of the co-owners and it shall not be necessary to validate the signature of that record by a subsequent assembly of the co-owners.

The Syndic will provide an account of all actions undertaken by it pursuant to this mandate at the first assembly of the co-owners following handover.

This mandate, being granted in the general interests of all of the buyers is expressly stated to be irrevocable.

VERIFICATION OF CONFORMITY

All claims that the PROPERTY does not comply with the engagements given by the SELLER, should be declared in the record of handover or notified by the BUYER, to the SELLER, by registered letter with receipt of delivery, within one month of the date of handover, failure to do so shall render any subsequent claim invalid.

Guarantee: 1. The SELLER shall be liable for any non-conformity that is apparent

as detailed by Article L. 262-3 of the Code of Construction and Habitation.

2. These provisions are set out below: Faults in construction or apparent non-conformity in the work as detailed in the first sub-paragraph of Article L. 262-1 shall be notified in the record of handover of possession or within one month after handover. Any action in respect of construction defects or apparent non-conformity that have been notified as above must be commenced within a delay of 1 year from handover.

INFORMATION RELATING TO THE PROPERTY

ADMINISTRATIVE INFORMATION

The SELLER declares that as far as it is aware, no part of the PROPERTY is subject to any notice of compulsory purchase or seizure and is not the subject of any notice of risk.

CHARGES

The SELLER undertakes to sell the PROPERTY free of any charge or mortgage, or preference for the benefit of any third party that may in any manner prevent the transfer of full title to the PROPERTY to the BUYER.

TECHNICAL REPORTS

In accordance with Articles L 271-4 I of the Code of Construction and Habitation, the SELLER has supplied to the BUYER, who acknowledges having received, a pack which contains reports of all of the mandatory technical inspections required for the sale of a property.

These documents have been provided by a technician who fulfils the

conditions stipulated by law as confirmed by the certificate of qualification annexed to the Agreement.


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The Parties agree that the Price has been fixed taking into account the conclusions of these diagnostic reports.

The notary reminds the Parties that the failure to provide a mandatory

diagnostic does not allow the SELLER to escape liability for hidden defects of which he is aware.

LEAD

The SELLER declares that the PROPERY was built after 1 January 1949 and therefore does not fall within the scope of the provisions of Articles L1334-5 et seq. of the Public Health Code.

The SELLER declares that to the best of its knowledge no occupant of the PROPERTY has been affected by lead poisoning. In particular the SELLER confirms that it has not received notice from the authorities of any investigation to determine if the PROPERTY presents a risk of exposure to lead to its occupants.

ASBESTOS

The SELLER declares that: - The PROPERTY does fall within the scope of the provisions of Article R

1334-14 and subsequent of the Code of Public Health; - That the searches carried out in accordance with Article R 1334-24 and of

the Code of Public Health, have not revealed the existence of asbestos, and that the technical report established by Cabinet 7 Ex of BRANTOME 24310 – 3 Rue Victor Hugo, and dated 29 July 2015 is annexed to this Agreement.

TERMITES

The SELLER declares: - that at the date of this Agreement the PROPERTY is not situated in a zone

contaminated or likely to be contaminated by termites and that as far as it is aware the PROPERTY has not been infested by termites,

- that if the authorities decide that the area in which the PROPERTY is

situated in is at risk of contamination prior to the date of sale under this Agreement then the SELLER shall provide a technical report proving the absence of any termites in the PROPERTY.

.

DRY ROT

The SELLER declares: - that at the date of this Agreement the PROPERTY is not situated in a zone

where dry rot is likely to be present as identified by Article L 133-8 of the Code of Construction and Habitation and that as far as it is aware the PROPERTY is not affected by dry rot.

- that if it the authorities decide that the area in which the PROPERTY is

situated in is at risk of contamination prior to the date of sale under this Agreement then the SELLER shall provide prior to the date of completion of sale a technical report proving the absence of any dry rot in the PROPERTY


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GAS

The SELLER declares that the PROPERTY does not have any internal gas equipment.

As a result the sale under this Agreement does not fall within the provisions of Article L 134-6 of Code of Construction and Habitation.

NATURAL MINING AND TECHNOLOGICAL RISKS

The SELLER declares that given the information provided by the regional authorities and the mayor of the commune, that:

Natural risks The commune in which the PROPERTY is situated is covered by a risk

prevention plan in respect of natural risks: * Approved on 26 Mars 2010 – relating to the risk of: avalanches * Approved on 17 May 2002 – relating to the risk of: flooding, river banks

bursting, earth slides and movements * Revision on 19 June 2014 – relating to: avalanches. The PROPERTY is situated in the zone of exposure shown on the plan as

supplied by the town hall and the diagnostic report relating to the PROPERTY, as annexed.

Information for the BUYER The BUYER expressly recognises that he has been informed by the SELLER

that the PROPERTY was affected by flood damage. The BUYER’s attention is specifically drawn to the possibility that the cellars in

the basement of the building may be at risk of further flooding in the event of heavy rainfall.

The BUYER declares complete awareness of this situation and is deprived of

any course of action against the SELLER in relation to this subject. Mining risks There is no plan for the prevention of mining risks in the area. Technological risks There is no plan for the prevention of technological risks in the area. Seismic risk zone The PROPERTY is situated in a zone of MODERATE ZONE 4 seismic risk,

accordingly it is appropriate that new constructions, extensions or new floors respect the rules referenced in Articles L.111-26 and R.111-38 of the Code of Construction and Habitation, notably in relation to technical tests.

Natural mining or technological disasters - The commune in which the PROPERTY is situated has been identified in a

prefectural decision as being in a zone at risk for natural mining or technological disasters as identified on the list attached.


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- The PROPERTY has never suffered damage for any natural, mining or technological disaster.

- A report of the natural, mining and technological risks has been provided

dated ***** and is annexed to this Agreement.

ENERGY PERFORMANCE

Energy performance report

In accordance with the Code of Construction and Habitation, the SELLER undertakes to provide the BUYER, no later than the date of handover of possession, a report on the energy performance of the PROPERTY although it is noted that the information contained within will have no value.

The Parties acknowledge: – that the energy performance diagnostic should be carried out by a person

fulfilling the conditions of Article L. 271-6, line 1 of the Code of Construction and Habitation, a person who can provide proof of competence and professional indemnity insurance for such activity;

– that Article L. 271-4-II of the Code of Construction Habitation provides that the BUYER does not have any cause of action against the SELLER in respect of the contents of the energy performance diagnostic report and that this report is of informative value only.

The person carrying out the energy performance diagnostic and all those involved in it should be independent of the SELLER and be impartial.

The BUYER recognises that this report is of indicative value only and hereby releases the SELLER of any responsibility arising from the provision of this report, the choice of person that carried out the diagnostic, his competence, his insurance or the information contained within the report or which ought to be within it. The SELLER accepts no responsibility in relation to this report, which disclaimer of liability is accepted by the BUYER.

ELECTRICAL INSTALLATION

The Parties declare awareness of the obligations of Article L. 134-7 of the Code of Construction and Habitation relating to the security of electrical installations, notably in the case of buildings destined for habitation, and that an inspection of the installation should be undertaken and a report provided when the installation is older than 15 years in order to enable an assessment of the risks by any interested party under the conditions set out by Articles L. 271-4 to L. 271-6.

In accordance with the technical characteristics of the Works, the electrical

installation will be entirely renovated such that on completion of the Works the electrical installation shall comply with current norms and notably in relation to the avoidance of risks to the safety of individuals.


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PLAN FOR THE PROTECTION OF THE ATMOSPHERE (P.P.A.) OF THE ARVE VALLEY

COMPLIANCE OF HEATING SYSTEMS USING BIOMASS

Following the Haute-Savoie prefectural decision of 10 May 2012 n°2012131-0022, as modified by the prefectural decision of 8 October 2013 n°2013281-0007, also modified by decision of 7 May 2014 n°2014127-0010, relating to the establishment of a plan for the protection of the atmosphere (P.P.A.) in the Arve valley – compliance of biomass heating systems.

The plan for the protection of the atmosphere in the Arve valley approved on 16 February 2012 establishes a number of measures with the aim of reducing atmospheric pollution.

Article 1 of the decision defines: - installations working by combustion: any fixed system using the following

combustibles: natural gas, liquid petroleum gas, domestic oil, coal, heavy fuels or biomass fuels burnt alone or in a mix, with the exception gas flares and radiant panels;

- Biomass: any product composed either in whole or in part from plant based materials either agricultural or forestry that may be used as a combustible;

- Individual heating systems that use biomass energy: any heating system that uses biomass fuels installed in a property in a residential sector. This relates in particular to heating systems such as open fireplaces, wood burning stoves, wood pellet stoves, domestic wood burning ovens, and wood burning boilers.

For the sale of any property having an individual Biomass energy heating

system, the seller of the property shall provide a report of the emissions of the system of no more than 3 years old, as required by article 3 of the above decision.

This technical inspection report should be attached to the file of other technical

reports required by Article L.271-4 of the Code of Construction and Habitation and is to be annexed to the pre-sales agreement or the deed of sale. In the event of a public sale it is to be annexed to the particulars.

This technical inspection report shall be in the form of either a manufacturer’s

notice or a report prepared by a professional with the validation “Recognised Protector of the Environment” (under the names QUALI’BOIS, Qualibat ENR BOIS or similar).

The prefectural decision stipulates that if the technical inspection report

detailed above, or alternatively of a declaration made by the seller that the installation does not conform to the regulations, is not provided for the completion of sale of a property, then the seller cannot seek to exclude liability for hidden vices and any non-conformity shall be deemed to be vice that is known to the seller.

If the technical inspection report indicates that an installation using biomass

fuel does not respect the emissions limit then the seller, or by agreement set out in the deed of sale, the buyer, shall carry out such works as are necessary to ensure that the installation conforms, such works to be completed within 1 year of the signature of the deed of sale.

In addition to the criminal sanctions for non-respect of these provisions, set

out in Article R-226-8 of the Code of the Environment, if the seller has not complied with his obligations to provide information or to carry out works to ensure the


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compliance of the installation, the buyer shall have the option to withdraw from the acquisition or to negotiate a diminution of the price. He can also require that the seller carry out the remedial works necessary.

The SELLER declares and the BUYER acknowledges that the PROPERTY

does not have an installation that uses biomass fuel.

CONNECTION TO MAINS DRAINAGE

The SELLER declares that the PROPERTY is served by a system of mains drainage and that the PROPERTY is connected to this system.

The system has not been verified for conformity with any applicable regulations and the SELLER’s shall be liable as a professional of the construction industry in respect of any non-compliance.

APPLICABLE PLANNING RULES

CERTIFICATE OF URBANISM

An informative certificate was issued by the town hall on 27 October 2015, under the number CU 074 056 15 A2542.

The BUYER has been informed that the content of this certificate is as follows: - the regime of planning rules that are applicable - any easements of public interest - rights of pre-emption - the taxes that apply in relation to development on the land - the permissions required - any other applicable notices.

From this document it is noted that the building in which the PROPERTY is situated is:

ARTICLE 1

The land is situated in a commune with a local development plan approved by the town hall on 8 July 2005 and 14 September 2005, as modified on 22 August 2008 and revised 6 November 2009 (simplified revision No 1 and 2); updates on 28 February 2011, modified 9 September 2011, 29 November 2011 and 30 March 2012, revised on 11 May 2012 (simplified revision no. 3 and 4), le 15 June 2012 (simplified revision no 5), modified on 13 February 2014, further developed in part on 13 February 2014, open to revision in meeting of the local council and voted on 14 October 2014.

- Urbanised zone, sector UDc 1.1 of the plan (which can be viewed at www.chamonix.fr)

- The plan of easements and architectural constraints and Article 11 of the rules relating to zone UD of the local development plan indicate that the land is of type III

- The existence of pedestrian routes to be maintained on the plan of the zones.

OTHER PLANNING CONSIDERATONS APPLICABLE TO THE LAND: The land is subject to: * To articles in the national planning regulations (articles R 111-2, R 111-3, R

111-4, R 111-14-2, R 111-15, R 111-21 of the Planning Code), * To regulations relating to connections to the public mains drainage network.


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* Law relating to the protection of mountains (articles L 145-1 à L 145-8 of the Planning Code).

* To the prefectural decision n°684/2005 determining the priority zones in relation to the risk of exposure to lead.

The land is subject to the following easements: EASEMENTS FOR THE PASSAGE OF PIPES FOR THE PUBLIC WATER

SUPPLY AND MAINS DRAINAGE The land is subject to the right of passage of the mains pipes supplying

drinking water. EASEMENTS RELATING TO PUBLIC SAFETY The plan for the prevention of natural risks in the Commune approved by

prefectural decision on 17 May 2002, indicates in the section relating to flooding, that the land is partially situated in a zone at risk of river banks bursting and of giving way within the urbanised zone (risk low prior to works and weak to zero after the planned public works), sector n° 105 O (see internet for details www.chamonix.fr).

According to the above plan, the commune of Chamonix is situated in a zone

of medium seismicity risk (prefectural decision n°2010-280 of 20 Avril 2010 updated on 31 March 2011).

Article 2

The land is situated in in a sector where the town hall enforces its right of pre-emption on any sale.

Prior to any transfer of title, details of the proposed sale must be sent to the

town hall of Chamonix. In the absence of notification the sale may be declared to be null and void.

The BUYER acknowledges that it is his responsibility to ensure compliance

with the stipulations set out above, to accept the burden of the public easements and any other limitations on his use of the PROPERTY as set out in the documents annexed to this Agreement.

The BUYER declares having received from the notary responsible for this

Agreement all necessary explications of these charges, rules and limitations.

INFORMATION RELATING TO THE CO-OWNERSHIP GROUP

Co-ownership group management

The SELLER declares having been informed by the notary responsible for this Agreement that:

- The functions of manager of the co-ownership group (Syndic) will initially be

exercised by the SELLER pending the first annual general meeting of the co-owners

DAMAGE TO THE PROPERTY DURING THE TERM OF THIS AGREEMENT

If during the term of this Agreement the PROPERTY suffers damage that renders it unsuitable for its intended use, the BUYER shall have the possibility:


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- Either to opt not to proceed with the completion of the sale and shall have any sums paid by him under this Agreement reimbursed;

- Either to proceed with the completion of the sale receiving any indemnities

paid out by the insurers of the PROPERTY. The SELLER undertakes that in this case the BUYER shall stand into his shoes in respect of the insurance policies taken out by it in respect of the PROPERTY.

SIGNATURE OF THE NOTARISED DEED OF SALE

The Parties agree that the execution of the official deed of sale shall be overseen by Maître Eric BARBIERI, Notary in CHAMONIX MONT BLANC with the participation of Maître Simon Attey, notary in Moutiers, acting for the BUYER

This Deed shall be executed no later than ****** The failure to have executed the sale by this date does not extinguish this

Agreement. This date constitutes the start of the period during which either Party may seek to oblige the other Party to complete by service of a letter before action sent by recorded delivery or by service of proceedings. If in the 15 days following such service, the situation is not resolved then the following shall apply:

Default by the BUYER If the failure to execute the sale on the projected date is owing to a failure on

the part of the BUYER, the SELLER may seek an order against the BUYER for specific performance of this Agreement and may pursue the BUYER for damages and interest arising.

Default by the SELLER If the failure to execute the sale on the projected date is owing to a failure on

the part of the SELLER, the BUYER may seek an order against the BUYER for specific performance of this Agreement and may pursue the SELLER for damages and interest arising. The Parties acknowledge that the SELLER may not seek to rely on the provisions of Articles 1590 of the Civil Code.

Penalty Clause If one of the Parties, after having been served with a notice requiring them to

execute the sale, fails to do so within the time scale indicated, the defaulting Party shall be liable to pay to the other a sum equal to ten percent (10%) of the sale price, which shall first be deducted from the deposit paid and any further sum due shall be paid by the defaulting Party without delay.

POWER OF WITHDRAWAL

In accordance with the provisions of Article L 271-1 of the Code of Construction and Habitation, the BUYER who is not a professional in the field of real estate, is entitled to withdraw form this Agreement without justification during a period of ten (10) days from the day following receipt of formal notification of this Agreement.

The Parties appoint maître Eric BARBIERI, notary of CHAMONIX MONT

BLANC – 82 Rue Joseph Vallot to carry out the notification. In the event that the BUYER exercises the power of withdrawal within the

specified time period, then no completion of sale, even partial can take place and any


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party holding funds paid by the BUYER shall return them within twenty one days of the day following the date of withdrawal.

If there is more than one Party as BUYER, then it is expressly stated that the

withdrawal of one shall bind all of the BUYERS. Any withdrawal should be notified in the form set out in Article L 271-1 sub-

paragraph 2 of the Code of Construction and Habitation to the office of maître Eric BARBIERI, notary of CHAMONIX MONT BLANC – 82 Rue Joseph Vallot.

The Parties appoint maître Eric BARBIERI, notary of CHAMONIX MONT

BLANC – 82 Rue Joseph Vallot to carry out the notification this agreement along with its annexes by an electronic registered letter with an acknowledgement of receipt.

DEATH

In the event of the death of on the Parties, the heirs of the SELLER shall be bound to give legal effect to the terms of this Agreement; the heirs of the BUYER shall have the option to withdraw without penalty.

AGENCY COMMISSION

The SELLER recognised that the sum of **** (****) inclusive of all taxes is due

to the agency *** in respect of commission arising from the negotiation of this sale.

COSTS

The BUYER shall bear the charges and emoluments of this Agreement and the sale and those that follow as a result.

By way of a provisions towards costs, the BUYER shall on this day pay to the

notary the sum of three hundred euros (300.00€). In the event of the non-execution of the formal sale act this sum shall be

retained by the drafting notary as a contribution towards costs incurred. In the event of execution of the formal sale act this sum shall be deemed to be

a deposit for the costs of the final act of which the full sum is detailed herein on an indicative basis.

REGISTRATION

At the request of the Parties this Agreement shall not be registered.

GENERAL DECLARATIONS

The Parties to this Agreement declare for themselves or by way of their representatives that there is no impediment or limit to their capacity to fulfil the undertakings in this Agreement and they further declare:

That their identity and civil status as detailed above is correct; That they are not and have never been subject to bankruptcy or insolvency

proceedings;


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That they are not subject to any condition (civil, judicial or commercial) that would hinder the free disposition of their property by them;

That if they are not subject to any measure of legal protection or supervision; The SELLER declares that to the best of his knowledge the PROPERTY is

free of any legal, contractual or administrative impediment.

STATEMENT OF ACCURACY

The Parties, having been informed of the penalties imposed by Article 1837 of the General Tax Code, affirm, that this Agreement sets outs the entirety of the agreed price.

ELECTION OF DOMICILE

For service of any document relating to this Agreement, the parties elect domicile at their respective residences.

SEPARATION OF ATTACHED DOCUMENTS

The parties agree that the documents attached to this agreement under a private signing can be removed so as to be annexed to the official act of sale.

SUCH ARE THE AGREEMENTS OF THE PARTIES Made in one original copy, which, with the agreement of all the Parties shall

remain in the possession of Maître Eric BARBIERI, notary, who has drafted this Agreement.

Signed Date This document includes: - Pages - Spaces - Lines crossed - Figures crossed out - Words crossed

Documents

NOTE THAT THIS IS AN EXAMPLE OF A PRE-SALE AGREEMENT ...lacordee-chamonix.com/wp-content/uploads/Pre-Sales-Agreement-En… · The technical characteristics of the work to be undertaken