The project owner who concludes a private works contract referred to in 3° of Article 1779 must guarantee the contractor payment of the sums due when these exceed a threshold set by decree in the Conseil d’Etat.
When the client has recourse to a specific loan to finance the works, the credit institution may not pay the amount of the loan to a person other than those mentioned in 3° of article 1779 until they have received payment in full of the claim arising from the contract corresponding to the loan. Payments are made on the written order and under the sole responsibility of the project owner into the hands of the person or an agent appointed for this purpose.
When the project owner does not have recourse to a specific loan or when he has partial recourse to it, and in the absence of a guarantee resulting from a specific stipulation, the payment is guaranteed by a joint and several guarantee granted by a credit institution, a finance company, an insurance company or a collective guarantee body, in accordance with the procedures laid down by decree in the Conseil d’Etat. As long as no guarantee has been provided and the contractor remains unpaid for the work carried out, the contractor may suspend performance of the contract after formal notice has remained without effect after a period of fifteen days.
The provisions of the previous paragraph do not apply when the project owner concludes a works contract on his own account and for the satisfaction of needs that do not relate to a professional activity in connection with this contract.
The provisions of this article do not apply to contracts concluded by a body referred to in article L. 411-2 of the French Construction and Housing Code, or by a semi-public company, for rental housing assisted by the State and built by this body or this company.