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Hidden defects and chain sales: Presumption of knowledge on the part of the professional - Enforceability of the exception against the sub-purchaser

Hidden defects and chain sales: Presumption of knowledge on the part of the professional - Enforceability of the exception against the sub-purchaser

Published on : 01/10/2025 01 October Oct 10 2025
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Source: www.courdecassation.fr

A BMW vehicle, initially sold by a company and then resold to several successive buyers, was found to have a defect related to poor engine maintenance. The subsequent buyers, upon discovering the problem, brought an action against the original seller for hidden defects. The Court of Appeal upheld their claim, ruling that the defect was insidious and undetectable by a non-professional buyer.

The Court of Cassation overturned this decision. It pointed out that when the warranty claim is brought against the original seller, knowledge of the defect must be assessed at the time of the first sale. If the first purchaser is a professional, it is irrefutably presumed that they were aware of the defect, which determines the action of the subsequent purchasers.

In this case, the Court of Appeal should have investigated whether or not the first professional purchaser was aware of the defect at the time of purchase. In the absence of such verification, the decision lacks legal basis and is partially overturned.
 
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