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State Registration Of Property Rights To Land Plots Has Been Improved

State Registration Of Property Rights To Land Plots Has Been Improved

Date  30-March-2015 10:14
State Registration Of Property Rights To Land Plots Has Been Improved
Serhiy Piontkovsky, Managing Partner, Baker & McKenzie
Lina Nemchenko, Partner, Baker & McKenzie

On 25 March 2015 Law of Ukraine No. 247-VIII "On Amendments to Certain Laws of Ukraine Regarding Specifying the Authorities of Notaries and Peculiarities of Registration of Derivative Property Rights to Agricultural Land Plots" (the "Law") became effective. The Law, among other things, (i) opens access to the State Land Cadaster (the "Cadaster") for notaries, () contributes to the increase of information content of the State Register of Property Rights to Real Estate (the "Register"), and () simplifies the registration of property rights to agricultural land.

Notaries will be granted access to the Cadaster

The Law authorizes notaries to access information from the Cadaster when performing a notarization or registration actions with regard to land plots. Prior to the Law, Ukrainian legislation allowed notaries access to the Cadaster, which, however, was hindered by technical problems and an incomplete regulatory framework.

The procedure for notaries to access the Cadaster must be developed by the Cabinet of Ministers of Ukraine. Moreover, the Law obliges the Cabinet of Ministers of Ukraine to arrange for technical access of notaries to the Cadaster within three months.

Transfer of information to the Register

The Law provides for the automatic transfer of records from the State Land Register on property rights to land plots, their encumbrances, holders of the rights and title documents thereto to the Register. As a result, transferred rights will be deemed registered in the Register. Such information transfer is expected to be completed by July 2016.

Registration of property rights to agricultural land

The registration of a derivative right to agricultural land (lease, servitudes, emphyteusis etc.) is performed simultaneously with the registration of the ownership right thereto if:
  • the ownership right to a land plot was duly formalized before 1 January 2013, and
  • the ownership right to a land plot is not registered in the Register.
The application for such registration may be submitted by a land owner, an acquirer of right (including the tenant) or their authorized persons. Accordingly, the acquirer of derivative right is able to personally submit an application to the state registrar on the registration of property right as well as derivative right to the above land. Moreover, an acquirer of derivative right (e.g. tenant) is not obliged to submit title documents to the land plot if such land plot is registered in the Cadaster (until the transfer of information from the State Land Register to the Register, as mentioned above).

In addition, the Law authorizes a notary to perform state registration of derivative rights to agricultural land even without notarization of the agreement giving rise to such rights.

Conclusion

The changes introduced by the Law should simplify state registration of property rights to land plots. The proper implementation of the Law will be possible only after relevant legislation is brought into accordance with the Law and the necessary technical support is ensured.

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