- BOOK ONE
- CIVIL LAWS AND THEIR APPLICATION
- CHAPTER I
- Article 1.1. Relationships regulated by the Civil Code of the Republic of Lithuania
- Article 1.2. Principles of legal regulation of civil relationships
- Article 1.3. Sources of civil law
- Article 1.4. Customs
- Article 1.5. Application of the criteria of justice, reasonableness and good faith
- Article 1.6. Ignorance of laws or improper understanding thereof
- Article 1.7. The effect of civil laws
- Article 1.8. Analogy of a statute and law
- Article 1.9. Principles of interpretation of the Civil Code provisions
- Article 1.10. Application of foreign law
- Article 1.11. Limitation of the application of foreign law
- Article 1.12. Determination of the content of foreign law
- Article 1.13. International treaties
- Article 1.14. Referring back and referring to the law of a third state (renvoi)
- SECTION TWO
- Article 1.15. Civil capacity of foreign citizens and stateless persons
- Article 1.16.Civil active capacity of foreign citizens and stateless persons
- Article 1.17. Prohibition to invoke incapacity
- Article 1.18. Declaration of foreign citizens and stateless persons to be missing or dead
- Article 1.19. Civil capacity of foreign legal persons or any other organisations
- Article 1.20. Issues regulated in accordance with the applicable law
- Article 1.21. Law applicable to the representative offices and branches of foreign legal persons or any other organizations
- Article 1.22. Law applicable to representatives of foreign legal persons or any other organizations and to their civil liability
- Article 1.23. Law applicable to the state and state institutions as well as to local governments and local government institutions as subjects to civil legal relationships
- SECTION FOUR
- Article 1.24. Law applicable to a promise to marriage
- Article 1.25. Law applicable to the conditions to contract marriage
- Article 1.26. Law applicable to the procedure of contracting marriage
- Article 1.27. Law applicable to personal relations between spouses
- Article 1.28. Law applicable to matrimonial property relations between spouses
- Article 1.29. Law applicable to separation and dissolution of marriage
- Article 1.30. Jurisdiction in the cases of annulment, dissolution of marriage and separation
- Article 1.31. Law applicable to the ascertainment of the origin of a child (legitimation)
- Article 1.32. Law applicable to relations between the parents and the child
- Article 1.33. Law applicable to adoption relationship
- Article 1.34. Law applicable to protective measures in relation to minors, their guardianship and curatorship
- Article 1.36. Law applicable to maintenance obligations (alimony relationships) within the family
- SECTION FIVE
- Article 1.37. Law applicable to contractual obligations
- Article 1.38. Law applicable to the form of transaction
- Article 1.39. Particularities of application of foreign law to consumer contracts
- Article 1.40. Laws applicable to the form, time-limit of validity and content of a power of attorney
- Article 1.41. Law applicable to gift
- Article 1.42 Law applicable to the assignment of a claim and the assumption of debt
- SECTION SIX
- Article 1.43. Law applicable to delictual obligations
- Article 1.44. Law applicable to claims resulting from a traffic accident
- Article 1.45. Law applicable to claims resulting from infringement of personal non-property rights
- Article 1.46. Law applicable to claims for reparation of damage resulting from an act of unfair competition
- Article 1.47. Plurality of debtors
- SECTION SEVEN
- Article 1.48. Law applicable to ownership legal relations
- Article 1.49. The right of the parties to choose the law applicable to a movable thing
- Article 1.50. Law applicable to encumbrance of the right in a movable thing
- Article 1.51. Law applicable to pledge
- SECTION EIGHT
- Article 1.52. Law applicable to contracts related to intellectual property rights
- Article 1.53. Intellectual property rights and the law applicable to their protection
- SECTION NINE
- LAW APPLICABLE TO OTHER OBLIGATIONS
- Article 1.54. Law applicable to obligations arising from the reception of a thing not due, or unjust enrichment
- Article 1.55. Law applicable to unilateral transactions
- Article 1.56. Law applicable to securities
- Article 1.57. Law applicable to the currency in which payments are to be made
- Article 1.58. Law applicable to obligations deriving from other grounds
- Article 1.59. Law applicable to prescription
- SECTION TEN
- LAW APPLICABLE TO LEGAL RELATIONS OF SUCCESSION
- Article 1.60. Capacity to make a will
- Article 1.61. Form of a will
- Article 1.62. Law applicable to other legal relations of succession
- Article 1.63. Concept and types of transactions
- Article 1.64. Form of the expression of will
- Article 1.65. Expression of will by means of public notice
- Article 1.66. Conditional transaction
- Article 1.67. Consequences of an unfair hindering or assistance in the appearance of a condition
- Article 1.68. Other consequences of a conditional transaction
- Article 1.69. Place of transaction forming
- Article 1.70. Procedure of forming transactions
- Article 1.71. Form of transactions
- Article 1.72. Verbal form of transactions
- Article 1.73. Written form of transactions
- Article 1.74. Notarised transactions
- Article 1.75. Legal registration of transactions
- Article 1.76. Signing of transactions formed in writing
- Article 1.77. Formation of transactions in the form other than established by the law
- Article 1.78. Null and voidable transactions
- Article 1.79. Ratification of a voidable transaction
- Article 1.80. Nullity of a transaction that does not correspond to the requirements of mandatory statutory provisions
- Article 1.81. Nullity of a transaction contradicting public order and good morals
- Article 1.82.Voidability of a transaction contradicting the legal passive capacity of a legal person by whom the transaction was formed
- Article 1.83. Legal effects of a transaction formed on behalf of a legal person that is not registered within the procedure established by laws or has no licence to be engaged in the activities that are prohibited without a licence
- Article 1.84. Voidability of a transaction formed by a natural incapable person
- Article 1.85. Voidability of a transaction made by a natural person who overindulges in strong drinks or narcotic substances
- Article 1.86. Nullity of a fictitious transaction
- Article 1.87. Nullity of a simulated transaction
- Article 1.88. Declaring voidable a transaction made by a minor from fourteen to eighteen years of age
- Article 1.89. Declaring voidable a transaction formed by a natural person who was unable to understand the meaning of his own actions
- Article 1.90. Declaring voidable a transaction formed under the influence of a mistake
- Article 1.91. Voidability of a transaction made by a party whose consent was obtained by fraud, extorted by duress, economic pressure or induced by real threatening, likewise of a transaction made by the malicious agreement of a agent of one party with the other party, or a transaction entered into because of abusive circumstances
- Article 1.92. Voidability of a transaction formed by an agent outside the authority conferred on him
- Article 1.93. Voidability of a transaction resulting from the lack of requisites of its form established by laws
- Article 1.94. Legal effects of non-observance of the requirement to perform legal registration of a transaction
- Article 1.95. Time from which the effect of annulment arises
- Article 1.96. Consequences of partial nullity of a transaction
- PART III
- OBJECTS OF CIVIL RIGHTS
- Article 1.97. Kinds of objects of civil rights
- Article 1.98. Things as object of civil rights
- Article 1.99. Kinds of things as objects of civil rights
- Article 1.100. Money
- Article 1.101. Securities
- Article 1.102. A share
- Article 1.103. A bond
- Article 1.104. A cheque
- Article 1.105. A bill of exchange
- Article 1.106. A bill of lading
- Article 1.107. A bank certificate
- Article 1.108. A state debt obligation
- Article 1.109. A plot of land and other resources
- Article 1.110. Enterprises and other property complexes
- Article 1.111. Results of intellectual activities
- Article 1.112. Property rights
- Article 1.113. Actions and their results
- Article 1.114. Personal non-property rights and values
- Article 1.115. Personal non-property rights
- Article 1.116. Commercial (industrial) and professional secret
- Article 1.117. Definition of a time-limit
- Article 1.118. Commencement of a time-limit
- Article 1.119. Expiration of a time-limit expressed in years and months
- Article 1.120. Expiration of a time-limit expressed in weeks
- Article 1.121. Inclusion of official holidays and weekends
- Article 1.123. Legal significance of a time-limit
- Article 1.124. Concept of prescription
- Article 1.125. Time limits of prescription
- Article 1.126. Application of prescription
- Article 1.127. Commencement of prescription
- Article 1.128. Prescription of claims arising from an obligation upon subrogation
- Article 1.129. Suspension of prescription
- Article 1.130. Interruption of prescription
- Article 1.131. Legal effects of the expiration of a time-limit of prescription
- Article 1.132. Suspension, interruption and restoration of abridged prescription
- Article 1.133. Consequences arising when a debtor performs an obligation after the expiration of a time-limit of prescription
- Article 1.134. Claims not subject to prescription
- Article 1.135. Application of prescription with respect to accessory claims
- Article 1.136. Grounds for the arisal of civil rights and duties
- Article 1.137. Enjoyment and exercise of civil rights and performance of civil duties
- Article 1.138. Protection of civil rights
- Article 1.139. Self-defense
- Article 2.1. The concept of passive civil capacity of natural persons
- Article 2.2. Beginning and end of passive civil capacity of natural persons
- Article 2.3. Acts of birth and death of natural persons
- Article 2.4 Content of the passive civil capacity of natural persons
- Article 2.5. Active civil capacity of natural persons
- Article 2.6. Prohibition to impose restrictions on the passive or active civil capacity of Natural Persons on the Grounds which are not Prescribed by Law.
- Article 2.7. Active civil capacity of minors under fourteen years of age
- Article 2.8. Active civil capacity of minors over fourteen and under eighteen years of age
- Article 2.9. Emancipation of minors
- Article 2.10. Declaration of incapacity of a natural person
- Article 2.11. Limitation of active civil capacity of natural persons
- Article 2.12. Domicile of a Natural Person
- Article 2.13. Domicile of Legally Incapable Natural Persons
- Article 2.14. Domicile of Juvenile Natural Persons
- Article 2.15. Right of the Parties to the Contract to Choose Domicile
- Article 2.16. Place of Residence of a Natural Person
- Article 2.17. Criteria for the Establishment of Residence
- Article 2.18. State Registration of Acts of Civil Status
- Article 2.19. The Order of Registration of Acts of Civil Status
- Article 2.20. Right to a Name
- Article 2.21. Protection of the Right to a Name
- Article 2.22. Right to an Image
- Article 2.23. Right to Privacy and Secrecy
- Article 2.24. Protection of Honour and Dignity
- Article 2.25. Right to the Inviolability and Integrity of the Person
- Article 2.26. Prohibition to Restrict the Freedom of a Natural Person
- Article 2.27. Right to the Change of the Designation of Sex
- Article 2.28 Recognition of person’s absence
- Article 2.29. Protection of the Property of an Absentee
- Article 2.30. Revocation of the Judgement to Recognise the Person an Absentee
- Article 2.31. Declaratory Judgement of Death
- Article 2.32. Consequences of the Return of a Person who was Declared Dead
- Article 2.33. Concept of a Legal Person
- Article 2.34. Public and Private Persons
- Article 2.35. State and Municipalities
- Article 2.36. Participation of the State and Municipalities in Civil Relations.
- Article 2.37. Religious Communities and Associations
- Article 2.38. Trade Unions
- Article 2.39. Business Name of a Legal Person
- Article 2.40. Composition of the Business Name of Legal Person
- Article 2.41. Business Name of a Legal Person which is in the Process of Incorporation
- Article 2.42. Right to the Business Name of a Legal Person
- Article 2.43. Alteration of the Business Name of a Legal Person
- Article 2.44. Information Supplied in the Documents of a Legal Person
- Article 2.45. Member of the Legal Person
- Article 2.46. Documents of Incorporation of a Legal Person
- Article 2.47. Articles of Incorporation of a Legal Person
- Article 2.48. Property of legal persons
- Article 2.49. Registered Office of a Legal Person
- Article 2.50. Contractual Liability of Legal Persons
- Article 2.51. Term of the Activities of a Legal Person
- Article 2.52. Financial Year of a Legal Person
- Article 2.53. Branch Office of a Legal Person
- Article 2.54. Regulations of the Branch Office of a Legal Person
- Article 2.55. Regulation of Branch Offices
- Article 2.56. Representative Office of a Legal Person
- Article 2.57. Regulations of a Representative Office of a Legal Person
- Article 2.58. Regulation of the Representative Office of a Legal Person
- Article 2.59. Procedure for the Incorporation of a Legal Person
- Article 2.60. Incorporators of a Legal Person
- Article 2.61. Contracts Concluded Prior to the Incorporation of a Legal Person
- Article 2.62. Register of Legal Persons
- Article 2.63. Moment of Incorporation of a Legal Person
- Article 2.64. Registration of Legal Persons
- Article 2.65. Code of a Legal Person
- Article 2.66. Data of the Register of Legal Persons
- Article 2.67. Persons Responsible for the Production of Documents of a Legal Person and the Data of the Register to the Registrar of the Register
- Article 2.68. Refusal to Register
- Article 2.69. Rectification of the Register of Legal Persons
- Article 2.70. Liquidation of a Legal Person on the Initiative of the Registrar of Legal Persons.
- Article 2.71. Publication of the Register of Legal Persons
- Article 2.72. Procedure and Mode of Publication of the Data of the Register of Legal Persons
- Article 2.73. Liability for Unlawful Refusal to Register a Legal Person and for Errors in the Register of Legal Persons
- Article 2.74. Legal Capacity of Legal Persons
- Article 2.75. Restrictions on the Legal Capacity of Legal Persons
- Article 2.76. Prohibition of Discrimination
- Article 2.77. Licensing of the Activities of Legal Persons
- Article 2.78. Licensing Requirements
- Article 2.79. Issuance of a Licence
- Article 2.80. Prohibition to Use Administrative Methods
- Article 2.81. Bodies of a Legal Person
- Article 2.82. Authority and Functions of the Bodies of Legal Persons
- Article 2.83. Contracts Concluded in Overstepping the Authority of Managing Bodies of a Private Legal Person
- Article 2.84. Contracts Concluded in Overstepping the Authority of Managing Bodies of a Public Legal Person
- Article 2.85. Public Announcement of the Authority
- Article 2.86. Equality of Members of Legal Person’s Managing Bodies
- Article 2.87. Duties of Members of Legal Person’s Managing Bodies
- Article 2.88. Agreements on the Voting of the Members of a Legal Person
- Article 2.89. Transfer of a Voting Right
- Article 2.90. Minutes
- Article 2.91. Keeping and Signing of Minutes
- Article 2.92. Remarks on the Minutes
- Article 2.93. Voting
- Article 2.94. Verification of a Decision
- Article 2.95. Termination of Legal Persons
- Article 2.96. Reorganisation of Legal Persons
- Article 2.97. Modes of Reorganisation of Legal Persons
- Article 2.98. Reorganisation of Legal Persons of Different Legal Forms
- Article 2.99. Terms of Reorganisation and Report on the Reorganisation
- Article 2.100. Assessment of the Terms of Reorganisation
- Article 2.101. Protection of the Rights of Creditors of the Legal Persons under Reorganisation
- Article 2.102. Invalidity of Reorganisation
- Article 2.103. Simplified Reorganisation of Legal Persons
- Article 2.104. Restructuring of Legal Persons
- Article 2.105. Mandatory Restructuring of Legal Persons
- Article 2.106. Grounds for Liquidation of a Legal Person
- Article 2.107. Resolution of Members of a Legal Person on Liquidation
- Article 2.108. Appointment of a Liquidator
- Article 2.109. Revocation of a Liquidator of a Legal Person
- Article 2.110. Authority of a Liquidator
- Article 2.111. Contracts of a Legal Person in Liquidation
- Article 2.112. Notification about Liquidation
- Article 2.113. Sequence of and Procedure for the Satisfaction of Claims of a Legal Person’s Creditors
- Article 2.114. Unlawful Incorporation of a Legal Person
- Article 2.115. Content of Forced Sale of Shares (Interest, Contributions)
- Article 2.116. Persons Entitled to File an Application for Forced Sale of Shares (Interest, Contributions).
- Article 2.117. Restrictions on the Transfer of Title to Shares (Interest, Contributions)
- Article 2.118. Appointment of Experts
- Article 2.119. Setting of a Price
- Article 2.120. Procedure for Forced Sale
- Article 2.121. The Procedure for Forced Selling of Shares in the Presence of a Prior Right
- Article 2.122. Transfer of the Right to Vote
- Article 2.123. Forced Sale of Shares (Interest, Contributions) Due to the Failure to xercise the Rights Properly
- Article 2.124. Content of the Investigation of Legal Person’s Activities
- Article 2.125. Persons Enjoying the Right to Apply for Investigation of the Activities
- Article 2.126. Filing of an Application
- Article 2.127. Appointment of Experts
- Article 2.128. Rights of Experts
- Article 2.129. Payment for Experts’ Work
- Article 2.130. Experts’ Reports and Dissemination of Guidelines
- Article 2.131. Measures Applied by the Court
- Article 2.132. Conclusion of Contracts by Agents
- Article 2.133. Legal Effects of a Contract Concluded by an Agent
- Article 2.134. Restriction Imposed on Agent’s Rights to Conclude a Contract
- Article 2.135. Conflict of Interests
- Article 2.136. Legal Effects of a Contract Concluded in Other Person’s Name Without Express Authorisation or in Excess of Authority
- Article 2.137. Power of Attorney
- Article 2.138. Verification of the Power of Attorney by a Notary
- Article 2.139. Simplified Verification of Power of Attorney
- Article 2.140. Power of Attorney Granted by a Legal Person
- Article 2.141. Rights and Obligations of a Legal Person Vested with the Power of Attorney
- Article 2.142. Term of the Power of Attorney
- Article 2.143. The Right to Request Power of Attorney and its Copy
- Article 2.144. Obligation to Return the Power of Attorney
- Article 2.145. Re-authorisation
- Article 2.146. The Right to Revoke Power of Attorney and Re-authorisation and the Right to Waive Them
- Article 2.147. Expiry of the Power of Attorney
- Article 2.148. Obligation of an Authorised Agent to Notify About the Expiry of the Power of Attorney
- Article 2.149. Subsidiary Application of Provisions Regulating Agency
- Article 2.150. Obligation of an Agent to Report
- Article 2.151. Obligation of a Principal to Refund the Expenses and Offer Remuneration
- Article 2.152. Concept of a Commercial Agent
- Article 2.153. Prerequisites for the Activities of a Commercial Agent
- Article 2.154. Establishment of Commercial Agent’s Rights and Obligations
- Article 2.155. Term of Validity of a Contract
- Article 2.156. Obligations of a Commercial Agent
- Article 2.157. Obligations of a Principal
- Article 2.158. Remuneration to a Commercial Agent
- Article 2.159. Setting of the Amount of Commercial Agent’s Remuneration
- Article 2.160. The Procedure for the Remuneration to a Commercial Agent
- Article 2. 161. The right to Retention
- Article 2.162. Rights of a Commercial Agent
- Article 2.163. Liability for Obligations Arising Under Contracts Concluded by a Commercial Agent
- Article 2.164. Prohibition of Competition
- Article 2.165. Termination of a Contract Concluded for an Indefinite Period
- Article 2.166. Termination of a Contract for a Fixed Period
- Article 2.167. Right to Compensation and Damages
- Article 2.168. Exemptions
- Article 2.169. The Field of Application
- Article 2.170. Rights and Obligations of an Agent
- Article 2.171. Validity of Contracts Concluded by an Agent
- Article 2.172. Conclusion and Enforcement of a Contract Without Due Authority or Outside One’s Authority
- Article 2.173. Approval of Agent’s Actions
- Article 2.174. Legal Consequences of a Failure to Approve Agent’s Actions
- Article 2.175. Termination of Agent’s Authority
- Article 2.176. Concept of Procuracy
- Article 2.177. Issuance of a Procuracy
- Article 2.178. Form of a Procuracy
- Article 2.179. Rights of a Procurator
- Article 2.180. Restrictions on a Procuracy
- Article 2.181. Entering Into Force of a Procuracy
- Article 2.182. Signature of a Procurator
- Article 2.183. Procurator’s Liability
- Article 2.184. Termination of Procuracy
- Article 2.185. Acts Performed Without Procuracy
- BOOK THREE
- Article 3.1. Relationships governed by Book Three of the Civil Code of the Republic of Lithuania
- Article 3.2. Sources of family law
- Article 3.3. Principles of the legal regulation of family relationships
- Article 3.4. Analogy of statute or law
- Article 3.5. Implementation and protection of family rights
- Article 3.6. Limitation period for action
- Article 3.7. Concept of marriage
- Article 3.8. Agreement to marry (engagement)
- Article 3.9. Return of gifts
- Article 3.10. Compensation of damages
- Article 3.11. Compensation for non-pecuniary damage
- 1. Where the parties had made a public agreement to marry, the party entitled to damages under Article 3.10 hereof, may also claim compensation for non-pecuniary damage.
- 2. An action for compensation of non-pecuniary damage may be brought within a year of the date of the refusal to marry.
- SECTION TWO
- Article 3.12. Prohibiting marriage of persons of the same gender
- Article 3.13. Voluntary nature of marriage
- Article 3.14. Legal age of consent to marriage
- Article 3.15. Active capacity
- Article 3.16. Prohibition to violate the principle of monogamy
- Article 3.17. Prohibition to contract marriage between close relatives
- Article 3.18. Application to register a marriage
- Article 3.19. Making public the application to register a marriage
- Article 3.20. Confirmation of the compliance with the requirements for the formation of a marriage
- Article 3.21. Premarital medical examination
- Article 3.22. Declaration on impediments to marriage
- Article 3.23. Proof of marriage
- Article 3.24. Formation of religious marriages in the procedure established by the Church (confessions)
- Article 3.25. Official records of marriages formed in the procedure established by the Church (confessions)
- Article 3.26. Equality of spouses
- Article 3.27. The duty of spouses to support each other
- Article 3.28. Creation of family relations
- Article 3.29. Passive and active capacity of spouses
- Article 3.30. Duties of the spouses in respect to their children
- Article 3.31. The surnames of the spouses
- Article 3.32. Representation
- Article 3.33. Disputes of spouses relating to the performance of their duties or exercise of their rights
- Article 3.34. Temporary Restriction of the property rights of a spouse
- Article 3.35. Rights and duties of the spouses in the household
- Article 3.36. The rights and duties of spouses in respect of the dwelling considered to be Family Property
- Article 3.37. The grounds and procedures for declaring marriage null and void
- Article 3.38. Persons entitled to petition for a decree of nullity on the grounds of violation of the requirements for the formation of marriage.
- Article 3.39. Nullity of a fictitious (‘sham’) marriage
- Article 3.40. Declaring a marriage null and void due to the lack of free will
- Article 3.41. Bars to the nullity of marriage
- Article 3.42. Statutes of limitation
- Article 3.43. Separation of spouses and maintenance order
- Article 3.44. Extinguishment of the right to petition
- Article 3.45. Legal effects of marriage declared null and void
- Article 3.46. Legal consequences of nullity where one or both spouses were in bad faith
- Article 3.47. Rights of the spouse in good faith
- Article 3.48. Mandatory participation of guardianship and care institutions
- Article 3.49. Cases of dissolution of marriage
- Article 3.50. Dissolution of marriage by the death of one of the spouses
- Article 3.51. Conditions for divorce
- Article 3.52. Application for divorce
- Article 3.53. Divorce proceedings
- Article 3.54. Reconciliation of spouses
- Article 3.55. Conditions for obtaining divorce
- Article 3.56. The content of the application
- Article 3.57. Examination of the application
- Article 3.58. Mandatory participation of guardianship and care institutions
- Article 3.59. Matters to be resolved by the court in granting divorce
- Article 3.60. Conditions for obtaining divorce
- Article 3.61. Both spouses at fault
- Article 3.62. Divorce procedure
- Article 3.63. Omission of the specific causes of a divorce from the court judgement
- Article 3.64. Conciliation of spouses
- Article 3.65. Provisional protection measures
- Article 3.66. The moment of the dissolution of marriage
- Article 3.67. Consequences of divorce to the property interests of the spouses
- Article 3.68. Invalidation of transactions made after the commencement of the divorce proceedings
- Article 3.69. Surnames of the former spouses
- Article 3.70. Legal consequences of a divorce on the basis of the fault of one of the spouses
- Article 3.71. Retention of the right to use the matrimonial dwelling
- Article 3.72. Mutual maintenance of the former spouses
- Article 3.73. Application for separation
- Article 3.74. Counter-applications
- Article 3.75. Separation procedure
- Article 3.76. Matters to be resolved in making a separation judgement
- Article 3.77. Legal consequences of separation
- Article 3.78. Mutual maintenance of the spouses
- Article 3.79. End of a separation
- Article 3.80. Mandatory participation of the state institution for the protection of the child’s rights
- Article 3.81. Kinds of legal regime of property of spouses
- Article 3.82. Application of Statutory Legal Regime of Property
- Article 3.83. The right of the spouses to fix their matrimonial regime in their marriage contract
- Article 3.84. Family assets
- Article 3.85. Legal regime of family assets
- Article 3.86. End of the legal regime of family assets
- Article 3.87. Definition of the fundamentals of the legal regime of property
- Article 3.88. Joint community property
- Article 3.89. Individual property of the spouses
- Article 3.90. Declaration of individual property to be joint community property
- Article 3.91. Enterprise (farm, business)
- Article 3.92. Management, use and disposal of joint community property
- Article 3.93. Consent to enter into a transaction
- Article 3.94. Power of attorney to manage property
- Article 3.95. Challenging the competence of managing joint community property
- Article 3.96. Avoidance of transactions
- Article 3.97. Management of the individual property of a spouse
- Article 3.98. Right to compensation
- Article 3.99. Gifts of the spouses
- Article 3.100. Grounds for termination of joint co-ownership of the spouses
- Article 3.101. Marriage contract
- Article 3.102. Making a marriage contract
- Article 3.103. The form of a marriage contract
- Article 3.104. Content of a marriage contract
- Article 3.105. Nullity of conditions in a marriage contract
- Article 3.106. Amendments and termination of a marriage contract
- Article 3.107. Termination of a marriage contract
- Article 3.108. Nullity of a marriage contract
- Article 3.109. Obligations discharged from community property
- Article 3.110. Liability of spouses for obligations created before the registration of marriage
- Article 3.111. Obligations arising from gift agreements or succession
- Article 3.112. Liability for the obligations of one of the spouses
- Article 3.113. Enforcement against the individual property of spouses
- Article 3.114. Separation of the liability of spouses
- Article 3.115. Entitlement to compensation
- CHAPTER VIII
- Article 3.116. Ways of division
- Article 3.117. Shares of the spouses in joint community property
- Article 3.118. Balance of property
- Article 3.119. Assessment of the value of property
- Article 3.120. Property not to be partitioned
- Article 3.121. Attribution of individual property to joint community property
- Article 3.122. Security for the claims to a share in the community property
- Article 3.123. Departure from the principle of the equality of the shares of the spouses in the community property
- Article 3.124. Division of property by the court judgement without divorce
- Article 3.125. Registration of division of property
- Article 3.126. Guarantees of the rights of the creditors
- Article 3.127. Property to be divided
- Article 3.128. Mutual obligations of spouses after the division of property without divorce
- Article 3.129. Limitations
- Article 3.130. Concept of consanguinity
- Article 3.131. Lines of consanguinity
- Article 3.132. Direct consanguinity
- Article 3.133. Collateral consanguinity
- Article 3.134. Degree of consanguinity
- Article 3.135. Close relatives
- Article 3.136. Affinity
- Article 3.137. Legitimate filiation of a Child
- Article 3.138. Proof of legitimate filiation
- Article 3.139. Maternal affiliation
- Article 3.140. Paternal affiliation
- Article 3.141. Conditions for the acknowledgement of paternity
- Article 3.142. Procedure for acknowledging paternity
- Article 3.143. Acknowledging paternity before the child’s birth
- Article 3.144. Acknowledging paternity without the consent of the child’s mother
- Article 3.145. Examination of the application for the approval of the acknowledgement of paternity
- Article 3.146. Conditions for paternity affiliation
- Article 3.147. Persons entitled to petition for Paternity Affiliation
- Article 3.148. Grounds for paternity affiliation
- Article 3.149. Conditions for contesting paternity (maternity)
- Article 3.150. Grounds for contesting paternity (maternity)
- Article 3.151. Persons entitled to file an action for contesting paternity (maternity)
- Article 3.152. Limitation period for proceedings
- Article 3.153. Mandatory participation of the agency for the protection of the child’s rights
- Article 3.154. Legal regulation of artificial insemination
- Article 3.155. Substance of paternal authority
- Article 3.156. Equality of paternal authority
- Article 3.157. Representation of children
- Article 3.158. Authority of minor-aged parents
- Article 3.159. Mandatory exercise of parental authority
- Article 3.160. End of parental authority
- Article 3.161. Children’s rights
- Article 3.162. Children’s duties
- Article 3.163. Assurance of children’s rights
- Article 3.164. Involvement of a minor in the assurance of his or her rights
- Article 3.165. Substance of personal parental rights and duties
- Article 3.166. Giving a child a name
- Article 3.167. Giving a child a surname
- Article 3.168. A child’s residence
- Article 3.169. A child’s residence where the parents are separated
- Article 3.170. The right of the separated parent to have contact with the child and be involved in the child’s education
- Article 3.171. Contact with the child and involvement in the child’s education in special circumstances
- Article 3.172. Contact of other relatives with the child
- Article 3.173. Disputes over the name or surname of the child
- Article 3.174. Disputes over a child’s residence
- Article 3.175. Disputes of separated parents over contact with the child or involvement in the education of the child
- Article 3.176. Disputes over the child’s contact with his or her close relatives
- Article 3.177. The child’s right to express his or her views
- Article 3.178. Mandatory participation of the state institution for the protection of the child’s rights
- Article 3.179. Separation of parents and children
- Article 3.180. Conditions, methods and consequences of the restriction of parental authority
- Article 3.181. Cancellation of the restriction of parental authority or the replacement of the kind of limitation with another kind of limitation
- Article 3.182. Persons entitled to seek restriction of parental authority or the cancellation of the limitation of parental authority
- Article 3.183. Examination of application for the restriction of parental authority
- Article 3.184. Mandatory participation of the state institution for the protection of the child’s rights
- CHAPTER XII
- Article 3.185 Management of the property owned by underage children
- Article 3.186. The duties of the parents in managing their underage children’s property
- Article 3.187. Property of minors not subject to the right of usufruct
- Article 3.188. Transactions relating to an underage child’s property
- Article 3.189. Prohibition to assign or encumber the right of usufruct
- Article 3.190. Right of usufruct where the property is managed by one of the parents
- Article 3.191. End of the property management and right of usufruct
- Article 3.192. Parents’ duty to maintain their children
- Article 3.193. Parental agreement on the maintenance of their underage children
- Article 3.194. Maintenance orders
- Article 3.195. Maintenance duty when the children are separated from their parents
- Article 3.196. The form and amount of maintenance
- Article 3.197. Judicial pledge (hypothec)
- Article 3.198. Maintenance orders in respect of two or more children
- Article 3.199. Kinds of income against which maintenance payments shall be made
- Article 3.200. The date on which a maintenance order becomes operative
- Article 3.201. Changing the amount and form of maintenance
- Article 3.203. Use of maintenance
- Article 3.204. Children maintained by the State
- Article 3.205. The duty of adult children to maintain their parents
- Article 3.206. Rejection of the parent’s claims to maintenance
- Article 3.207. Compensation for additional expenses of parents who have lost earning capacity
- Article 3.208. Indexation of maintenance
- Article 3.209. Children allowed to be adopted
- Article 3.210. Persons entitled to adopt a child
- Article 3.211. Adopter-child age differential
- Article 3.212. Consent of the parents to adoption
- Article 3.213. Revocation of the parents’ consent to adoption
- Article 3.214. Adoption without the consent of the parents
- Article 3.215. The consent of the child to be adopted
- Article 3.216. The consent of the adopter’s spouse
- Article 3.217. Verification of the readiness for adoption
- Article 3.218. Provision of data on the child to be adopted
- Article 3.219. Registration of adoptions
- Article 3.220. Examination of applications for adoption
- Article 3.221. Confidentiality of adoption
- Article 3.222. Transfer of the child to the adoptive family before adoption
- Article 3.223. Priority for adoption
- Article 3.224. Adoption where the adopter is a citizen of a foreign country
- Article 3.225. Recognition of adoption executed in another country
- Article 3.226. Adoption of children who are citizens of a foreign country
- Article 3.227. Consequences of adoption
- Article 3.228. The name and surname of the adopted child
- Article 3.229. Scope
- Article 3.230. Assets subject to the legal regime set in this Chapter
- Article 3.231. Legal regime of assets used by the cohabitees together
- Article 3.232. Division of assets acquired and used together
- Article 3.233. Limitations of the right to dispose of the assets used together
- Article 3.234. Division of assets used together
- Article 3.235. Right to use a dwelling place
- Article 3.236. The duty of an adult brother (sister) to maintain his (her) minor brother (sister)
- Article 3.37. Mutual maintenance of grandchildren and grandparents
- Article 3.238. Guardianship
- Article 3.239. Curatorship
- Article 3.240. Legal position of the guardian or curator
- Article 3.241. Institutions of guardianship and curatorship
- Article 3.242. Designation of a guardian or a curator
- Article 3.243. Performance of the duties of a guardian or a curator
- Article 3.244. Use of the assets and income of the legally incapable ward or the ward of limited active capacity
- Article 3.245. Administration of the assets owned by a legally incapable person or person of limited active capacity
- Article 3.246. Relieving the guardian and curator of their duties
- Article 3.247. End of guardianship curatorship
- Article 3.248. The purpose and objectives of child guardianship (curatorship)
- Article 3.249. Principles of establishing child guardianship (curatorship)
- Article 3.250. Determination and registration of children in need of guardianship (curatorship)
- Article 3.251. Establishment of guardianship and curatorship
- Article 3.252. Kinds and forms of child guardianship (curatorship)
- Article 3.253. Temporary child guardianship (curatorship)
- Article 3.254. Fundamentals of placing a child under temporary child guardianship (curatorship)
- Article 3.255. End of temporary child guardianship (curatorship)
- Article 3.256. Permanent child guardianship (curatorship)
- Article 3.257. Placing a child under permanent guardianship (curatorship)
- Article 3.258. End of permanent child guardianship (curatorship)
- Article 3.259. A child’s guardianship (curatorship) in a family
- Article 3.260. A child’s guardianship in a social family
- Article 3.261. Child guardianship (curatorship) in public and non-governmental guardianship institutions
- Article 3.262. Placing a child under temporary guardianship (curatorship)
- Article 3.263. Placing a child under permanent guardianship (curatorship)
- Article 3.264. Designation of a child’s guardian (curator)
- Article 3.265. Place of guardianship (curatorship)
- Article 3.266. Organising child guardianship (curatorship)
- Article 3.267. Supervision of child guardianship (curatorship)
- Article 3.268. The procedure for the selection of the guardian (curator) for a child
- Article 3.269. Persons which may not be appointed guardians (curators) of a child
- Article 3.270. Preparation for child guardianship (curatorship)
- Article 3.271. Duties of a child’s guardian (curator)
- Article 3.272. The rights of a child’s guardian (curator)
- Article 3.273. Liability of a child’s guardian (curator)
- Article 3.274. Maintenance of a child ward
- Article 3.275. Management of the child ward’s income
- Article 3.276. Relations between the child and the child’s guardian (curator) in property
- Article 3.277. Placing under guardianship or curatorship
- Article 3.278. Monitoring of the guardian’s or the curator’s activities
- Article 3.279. Curatorship of a person of Full Active Capacity
- Article 3.280. Agencies registering civil status acts and their competence
- Article 3.281. Rules for the registration of civil status acts
- Article 3.282. Language of the records of civil status acts
- Article 3.283. Prohibition to make records of civil status acts for oneself and for one’s relatives
- Article 3.284. Documents filed for the record of civil status
- Article 3.285. Making records of civil status acts
- Article 3.286. Challenging and cancelling records of civil status acts
- Article 3.287. Supervision of the legitimacy of records of civil status acts
- Article 3.288. State fee for registration of civil status acts
- Article 3.289. Registration of births
- Article 3.290. Notification of births
- Article 3.291. Time limits for the registration of birth
- Article 3.292. Record of birth
- Article 3.293. Registration of the acknowledgement of paternity
- Article 3.294. Registration of paternity affiliation
- Article 3.295. Data on the father in the record of the child’s birth
- Article 3.296. Place of registration of an adoption
- Article 3.297. Data in the birth record of an adopted child
- Article 3.298. Place of registration of marriage
- Article 3.299. Application for the registration of marriage
- Article 3.300. Documents to be presented together with the application for the registration of marriage
- Article 3.301. Time of registration of marriage
- Article 3.302. Public announcement of an application for the registration of marriage
- Article 3.303. Registration of marriage
- Article 3.304. Registration of religious marriages
- Article 3.305. Registration place of divorce
- Article 3.306. Procedure for the registration of divorce
- Article 3.307. Procedure for the registration of the change of a name, surname or nationality
- Article 3.308. Making changes in the records of civil status in respect of the change of a name, surname or nationality
- Article 3.309. Procedure for the registration of death
- Article 3.310. Notification of death
- Article 3.311. Time limit for the registration of death
- Article 3.312. Death record
- Article 3.313. Procedure for the restoration, supplementation or correction of civil status records
- Article 4.1 Definition of things
- Article 4.2 Movable and immovable things
- Article 4.3 Fungible and non- fungible things
- Article 4.4. Things with individual characteristics and things with properties of a kind
- Article 4.5. Consumable and non-consumable things
- Article 4.6 Divisible and indivisible things
- Article 4.7. Things taken out of circulation, things in limited circulation and things remaining in circulation
- Article 4.8. Household things
- Article 4.9. Encumbrances of Real Rights
- Article 4.10. Thing expenses
- Article 4.11. Things by value
- Article 4.12. Principal things
- Article 4.13. Auxiliary things
- Article 4.14. Treatment of auxiliary things
- Article 4.15. Essential parts of a principal thing
- Article 4.16. Fruit
- Article 4.17. Output
- Article 4.18 Income
- Article 4.19. Appurtenances
- Article 4.20. Definition of real rights
- Article 4.21. Legal regime of real rights
- Article 4.22. Possession
- Article 4.23. Legal and illegal possession
- Article 4.24. Object of possession
- Article 4.25. Acquisition of possession
- Article 4.26. Acquisition of possession in good faith and in bad faith
- Article 4.27. Acquisition of possession of immovable thing
- Article 4.28. Acquisition of possession of movable thing
- Article 4.30. Actual possession through another person
- Article 4.31. Termination of possession
- Article 4.32. Termination of possession of movable thing
- Article 4.33. Termination of possession of immovable thing
- Article 4.34. Protection of possession
- Article 4.35. Violation of possession
- Article 4.36. Disputes regarding possession
- Article 4.37. Definition of ownership right
- Article 4.38. Object of ownership right
- Article 4.39. Limitation of ownership right
- Article 4.40. Content of the rights of owners of a land parcel
- Article 4.41. Content of ownership right of animals
- Article 4.42. Right to parts of trees, bushes, and other vegetation of neighbouring parcels and their fruit
- Article 4.43. Temporary use of land parcel of another’s ownership for transport
- Article 4.44. Impossibility to use temporarily another’s land parcel for transport
- Article 4.45. Delimitation of land parcel
- Article 4.46. Right to immovable things marking the limits of a land parcel
- Article 4.47. Provisions regarding the acquisition of ownership right
- Article 4.48. Acquisition of ownership right by transfer
- Article 4.49. The moment from which the acquirer of the thing by contract acquires ownership right
- Article 4.50. Transfer of property to the acquirer
- Article 4.51. Acquisition of things having a special import
- Article 4.52. The risk of accidental perish or damage of a transferred thing
- Article 4.53. Ownership right to fruit and income
- Article 4.54. Things arising from joining movable things
- Article 4.55 Making of a thing from another’s material
- Article 4.56. Making of a thing from own and another’s material
- Article 4.57. Thing without owner
- Article 4.58. Acquisition of ownership right to an ownerless thing
- Article 4.59. Wild animals
- Article 4.60. Wild and domestic bees
- Article 4.61. Untended and stray domestic animals
- Article 4.62. Finds
- Article 4.63. Perishable ownerless goods and finds
- Article 4.64. Compensation for the find
- Article 4.65. Treasure trove
- Article 4.66. Improper keeping of cultural heritage
- Article 4.67. Expropriation of a thing
- Article 4.68. Definition of acquisitive prescription
- Article 4.69. Things acquired by acquisitive prescription
- Article 4.70. Property acquired and possessed in good faith
- Article 4.71. Continuous possession
- Article 4.72. Definition of common ownership and its subjects
- Article 4.73. Kinds of co-ownership
- Article 4.74. Object of common ownership right
- Article 4.75. Implementation of co-ownership rights
- Article 4.76. Rights and duties of co- owners in possession and maintenance of common partial ownership
- Article 4.77. Change of rights of co-owners due to increase of common partial ownership
- Article 4.78. The right of a co-owner to transfer or encumbrance the right to his share of the thing held in common partial divided ownership
- Article 4.79. Priority right to buy shares held in co-ownership
- Article 4.80. Partitioning of common partial divided property
- Article 4.81. The order of use of houses, flats and other immovable things owned in common
- Article 4.82. Right of common partial divided ownership to flats and other premises
- Article 4.83. Rights and duties of owners of flats and other premises to use common partial property
- Article 4.84. Administration of common partial ownership of owners of flats and other premises, when such owners have not formed a condominium or have not made a contract on joint activities (partnership)
- Article 4.85. Implementation of right of common partial ownership of owners of flats and other premises
- Article 4.86. Rights and duties of co-owners in using and maintaining common joint property
- Article 4.87. Change of rights of co-owners upon increasing common joint property
- Article 4.88. Right of co-owner to transfer or limit the right to the part held in joint common ownership
- Article 4.89. Establishing the share of a co-owner in common joint ownership
- Article 4.90. Partitioning of common joint ownership
- Article 4.91. Payment for common joint property
- Article 4.92. Common joint ownership right of spouses
- Article 4.93. Protection of owner’s rights
- Article 4.94. Temporary use of a thing against the will of the owner
- Article 4.95. Owner’s right to vindicate a thing from another’s illegal possession
- Article 4.96. Vindication a thing from an acquirer in good faith
- Article 4.97. Payments in returning a thing illegally possessed
- Article 4.98. Defence of ownership right from violations unrelated to loss of possession
- Article 4.99. Defence of rights of owners of land parcels from possible violations, unrelated to loss of possession
- Article 4.100. Expropriation of property for public needs
- Article 4.101. Protection of rights of persons whose land parcels held in their ownership and carrying construction works thereon are claimed for public needs
- Article 4.102. Protection of rights of persons who use land parcels for building purposes without owning them when such land parcels are claimed for public needs
- Version of the Article valid until 1 January 2011
- Article 4.103. Legal civil consequences of illegal construction
- 1. If a construction works (its part) has been built or is being built without authorisation or with authorisation, but in violation of the decisions of the design documentation of the construction works, or in violation of the requirements of legal acts, then the builder shall have no right to use or dispose of such a building (sell, give as gift, lease, etc.). Laws shall define which construction works (its part) has been built or is being built without authorisation.
- 2. Persons whose rights and interests are violated, as well as other persons authorised by laws shall have the right to appeal to the court regarding the violations referred to in paragraph 1 of this Article.
- 3. The court by its decision may:
- 1) obligate the builder to rightly remodel the construction works within a set time limit (pull down a part of the construction works, reconstruct, etc.);
- 2) obligate the builder to pull down the construction works within a set time limit.
- 4. If the builder fails to comply with the requirement laid down in paragraph 3.1 of this Article within the set time limit, the construction works (its part) shall be remodelled by a court decision at the expense of the builder.
- 5. If the builder fails to comply with the requirement laid down in paragraph 3.2 of this Article within the set time limit, the construction works shall be pulled down by a court judgment at the expense of the builder.
- 6. Construction materials remaining after the demolition of such construction works are the ownership of the builder.
- 7. Damage incurred due to violations of the normative construction technical specifications shall be indemnified in accordance with the procedure laid down in Section Three of Chapter XXII of Book Six of this Code.
- Article 4.103. Legal civil consequences of construction which violates requirements of legal acts
- Article 4.104. Consequence s of loss of right to use a land parcel
- Article 4.105. Consequences of loss of right to a land parcel
- Article 4.106 Definition and purpose of right of trust
- Article 4.107. Subjects of the right of trust
- Article 4.108. Basis for the right of trust
- Article 4.109. Content of the right of trust
- Article 4.110. Protection of the right of trust
- Article 4.111. Concept of a Servitude
- Article 4.112. Contents of a Servitude
- Article 4.113. Exercise of Servitude Rights
- Article 4.114. Duty of the Servitude Holder to Maintain the Servient Thing Properly
- Article 4.115. Retaining of a Servitude when the Servient Thing is Divided
- Article 4.116. Retaining of a Servitude when the Dominant Thing is Divided
- Article 4.117. Servitude of Right of Way
- Article 4.118. Servitude of Right of Way Granting the Right to a Footpath
- Article 4.119. Servitude of Right of Way Granting the Right to Drive Vehicles
- Article 4.120. Servitude of Right of Way Granting the Right to Drive Cattle
- Article 4.121. Determination of the Location and the Direction of the Road (Path)
- Article 4.122. Servitude of Construction Works
- Article 4.123. Other Servitudes
- Article 4.124. Grounds and Time for the Establishment of a Servitude
- Article 4.125. Establishment of a Servitude by Transactions
- Article 4.126. Establishment of a Servitude by a Court Judgement
- Article 4.127. Restrictions on the Establishment of a Servitude
- Article 4.128. Things in Respect of which a Servitude May be Established
- Article 4.129. Compensation of Damages Incurred due to the Establishment of a Servitude
- Article 4.130. Grounds and Time for the Extinction of a Servitude
- Article 4.131. Renunciation of a Servitude
- Article 4.132. Extinction of a Servitude by the Union of the Qualities of the Owner of the Servient and the Dominant Thing in One Person
- Article 4.133. Extinction of a Servitude when the Dominant and the Servient Thing is Destroyed
- Article 4.134. Extinction of a Servitude when the Condition of the Servient Thing Deteriorates
- Article 4.135. Extinction of a Servitude through the End of Necessity
- Article 4.136. Extinction of a Servitude through Prescription
- Article 4.137. Extinction of a Servitude of Construction Works through Prescription
- Article 4.138. Right of the Servitude Holder to Claim Compensation for Damages
- Article 4. 139. Protection of Rights of the Owner of the Servient Thing
- Article 4.140. Liability in Accordance with Property Obligations arising from a Servitude
- Article 4.141. Concept of the Usufruct
- Article 4.142. Object of the Usufruct
- Article 4.143. Contents of the Usufruct
- Article 4.144. Duties of the Usufructuary
- Article 4.145. Use of the Usufruct in Respect of Land
- Article 4.146. Liability of the Usufructuary
- Article 4. 147. Grounds and Time for the Establishment of the Usufruct
- Article 4.148. Establishment of the Usufruct by Transactions
- Article 4.149. Restrictions on the Establishment of the Usufruct
- Article 4.150. Grounds and Time for the Extinction of Usufruct
- Article 4.151. Renunciation of the Usufruct
- Article 4.152. Extinction of the Usufruct by the Death of the Usufructuary, by the Dissolution of the Legal Person or by the Expiry of a Term of Thirty Years from the Establishment of the Usufruct in Respect of the Legal Person
- Article 4.153. Extinction of the Usufruct by the Expiry of a Time Period or when a Legal Fact Laid Down in the Resolutory Condition Becomes Effective
- Article 4.154. Extinction of the Usufruct when the Usufructuary Becomes the Owner of the Object of the Usufruct
- Article 4.155. Extinction of the Usufruct by Destruction of the Object of the Usufruct
- Article 4.156. Termination Extinction of the Usufruct when the Condition of the Object of the Usufruct Deteriorates
- Article 4.157. Extinction of the Usufruct through Prescription
- Article 4.158. Return of the Object of the Usufruct following the Extinction of the Usufruct
- Article 4.159. Protection of Rights of the Owner of the Object of the Usufruct
- Article 4.160. Concept of the Right of Superficies
- Article 4.161. Retribution
- Article 4.162. Contents of the Right of Superficies
- Article 4.163. Establishment of the Right of Superficies
- Article 4.164. Extinction of Superficies
- Article 4. 165. Concept of Emphyteusis
- Article 4.166. Emphyteutic Canon
- Article 4.167. Establishment of Emphyteusis
- Article 4.168. Contents of Emphyteusis
- Article 4.169. Extinction of Emphyteusis
- Article 4.170. Concept of Mortgage
- Article 4.171. Object of Mortgage
- Article 4.172. Validity of the Mortgage after Dividing the Mortgaged Immovable Thing
- Article 4.173. Validity of the Mortgage after Joining Together Mortgaged Immovable Things
- Article 4.174. Satisfactions and Recoveries Secured by the Mortgage
- Article 4.175. Types of Mortgage
- Article 4.176. Establishment of Mortgage to Secure State Claims Arising from Taxing Legal Relations
- Article 4. 177. Establishment of Mortgage to Secure Claims Related to the Construction of Construction Works or Reconstruction
- Article 4. 178. Establishment of Mortgage to Secure Claims to be Satisfied in Accordance with a Court Judgement
- Article 4. 179. Ordinary Mortgage
- Article 4. 180. Joint Mortgage
- Article 4.181. Mortgage of the Thing of Another
- Article 4. 182. Maximum Mortgage
- Article 4.183. Common Mortgage
- Article 4. 184. Conditional Mortgage
- Article 4.185. Execution and Registration of the Mortgage
- Article 4.186. Contents of the Mortgage Bond
- Article 4.187. Time of the Mortgage Becoming Effective
- Article 4.188. Lack of Correspondence between the Mortgage Bond and the Data of the Register of Mortgages
- Article 4.189. Transfer of the Claim Secured by Mortgage
- Article 4. 190. Right of the Mortgagee to Transfer his Priority for the Satisfaction of his Claim from the Value of the Mortgaged Thing to Another Mortgagee
- Article 4.191. Pledge of the Claim Secured by Mortgage
- Article 4.192. Right of the Mortgagee to Apply for the Recovery of Debt
- Article 4.193. Right of the Mortgagee to Satisfy the Claim from the Mortgaged Thing
- Article 4.194. Recovery of the Debt by Selling at the Forced Auction Sale the Thing Mortgaged by Joint Mortgage
- Article 4.195. Recovery of the Debt by Selling the Thing Mortgaged by the Mortgage of the Thing of Another
- Article 4.196. Right to Acceleration of the Claim Secured by Mortgage
- Article 4.197 Grounds and Moment of Extinction of the Mortgage
- Article 4.198. Concept of a Pledge
- Article 4.199. Grounds for the Pledge
- Article 4.200. Claims Secured by the Pledge
- Article 4.201. Object of the Pledge
- Article 4.202. Pledge of Goods in Stock that are in Circulation
- Article 4.203. Substitution of the Collateral
- Article 4.204. Real Rights as the Object of the Pledge
- Article 4.205. Insurance of the Object of the Pledge
- Article 4.206. The Pledgor
- Article 4.207. Remaining of the Right to Pledge when the Right of Ownership of the Collateral has been Transferred to Another Person
- Article 4.208. Right to Inspect the Subject of Pledge
- Article 4.209. Form of a Pledge Contract and of a Unilateral Declaration of the Owner of the Object of the Pledge
- Article 4.210. Contents of a Pledge Contract (Bond)
- Article 4.211. Subsequent Pledges
- Article 4.212. Pledge Priority
- Article 4.213. Creation of the Right to Pledge
- Article 4.214. Duties of the Person to whom the Collateral is Transferred
- Article 4.115. Vindication of the Collateral
- Article 4.216. Creation of the Right of Enforcement towards the Object of the Pledge
- Article 4.217. Enforcement towards the Object of the Pledge that Consists of Two or More Things (Property Rights)
- Article 4.218. Consequences Arising when the Claims of the Pledgee are Satisfied by a Third Person
- Article 4.219. Enforcement Procedure of Collaterals
- Article 4.220. Realisation of Property Rights Subject to a Pledge
- Article 4.221. Procedure for the Satisfaction of the Creditor’s Claim Secured by the Funds in the Bank Account of the Pledgor
- Article 4.222. Settlements after the Sale of the Collateral
- Article 4.223. Transfer of the Claim Secured by the Pledge or the Right Arising from the Pledge
- Article 4.224. Extinction of the Right to Pledge
- Article 4.225. Guarantees of the Pledgor’s Interests
- Article 4.226. Extinction of the Right to Pledge by Depositing Money
- Article 4.227. Concept of the Pledge at a Pawnshop
- Article 4.228. Rights, Duties and Responsibilities of a Pawnshop
- Article 4.229. Contents of the Right of Retention
- Article 4.230. Indivisibility of the Right of Retention
- Article 4.231. Right in Respect of Fruits of the Retained Thing
- Article 4.232. Custody Conditions of the Retained Thing
- Article 4.233. Remuneration of Expenses Related to the Retention of the Thing
- Article 4.234. Limitation of Actions in Cases of Retention
- Article 4.235. Extinction of the Right of Retention
- Article 4.236. Scope of Application of Property Administration Provisions
- Article 4.237. Property Administrator
- Article 4.238. Right of the Property Administrator to Remuneration
- Article 4.239. Kinds of Property Administration
- Article 4.240. Contents of Simple Property Administration
- Article 4.241. Contents of Full Administration of Property
- Article 4.242. Obligations of the Property Administrator Towards the Beneficiary
- Article 4.243. Prohibitions in Respect of the Property Administrator
- Article 4.244. Obligations of the Property Administrator or the Beneficiary Towards Third Persons
- Article 4.245. Making an Inventory of the Administrated Property and Insurance
- Article 4.246. Joint Administration of the Property
- Article 4.247. Liability of Administrators in Joint Administration of the Property
- Article 4.248. Investment of Property under Administration
- Article 4.249. Account and Use of Revenues Generated by the Administrated Property
- Article 4.250. Extinction of Property Administration
- Article 4.251. Extinction of Property Administrator’s Powers
- Article 4.252. Consequences of the Termination of Property Administration
- Article 4.253. Objects of registration
- Article 4.254. Registered Juridical Facts
- Article 4.255. Legal Principles for the Registration of Juridical Facts in the Public Register
- Article 4.256. Applications to Register Things, Encumbrances, Real Rights or Juridical Facts
- Article 4.257. Examination of the Application to Register Things, Encumbrances, Real Rights or Juridical Facts and the Adoption of the Decision
- Article 4.258. An Appeal against the Registration and the Refusal to Register Things, Encumbrances, Real Rights or Juridical Facts
- Article 4.529. Time of the Registration of Things, Encumbrances, Real Rights or Juridical Facts
- Article 4.260. Compensation for Damage through the Fault of a Public Register Controller
- Article 4.261. Right to Use the Public Register Data
- Article 4.262. Legal Status of the Register Data
- Article 5.1. Concept of succession
- Article 5.2. Grounds for succession
- Article 5.3. Opening of succession
- Article 5.4. Place of the opening of succession
- Article 5.5. Persons who have capacity to inherit
- Article 5.6. Persons unworthy of inheriting
- Article 5.7. Forfeiture of the right of succession by a spouse
- Article 5.8. Challenging the right of succession
- Article 5.9. Effects of the challenging of the right of succession
- Article 5.10. Persons not entitled to testamentary reservation
- Article 5.11. Order of intestate succession
- Article 5.12. Succession by the right of representation
- Article 5.13. Spouses’ right of inheritance
- Article 5.14. Inheritance of house furnishing and household equipment
- Article 5.15. Testamentary capacity
- Article 5.16. Nullity of a will or its parts
- Article 5.17. Contesting of a will
- Article 5.18. Conditions for making a will
- Article 5.19. The right of a testator to bequeath his estate at his discretion
- Article 5.20. Right to the mandatory share of the inheritance
- Article 5.21. Appointment of another successor
- Article 5.22. Inheritance of the part of estate not bequeathed by a will
- Article 5.23. Testamentary reservation
- Article 5.24. Acceptance of the testamentary reservation
- Article 5.25. Types of testamentary reservation
- Article 5.26. Bequeath of property to the society for useful and charitable purposes
- Article 5.27. Types of wills
- Article 5.28. Official wills
- Article 5.29. Signing of wills by another person
- Article 5.30. Private will
- Article 5.31. Depositing of a private will
- Article 5.32. Register of wills
- Article 5.33. Announcement of the will
- Article 5.34. Time-limit for keeping the will in deposit
- Article 5.35. Revocation, supplementing and alteration of a will
- Article 5.36. Conditions of a will
- Article 5.37. Execution of a will
- Article 5.38. Rights and obligations of the executor of the will appointed by the testator
- Article 5.39. Inventory of inheritance
- Article 5.40. Possession of inheritance and its duration
- Article 5.41. Report of the executor of the will
- Article 5.42. Removal of the executor of the will or the administrator of the inheritance
- Article 5.43. Concept of a joint will of spouses
- Article 5.44. Making a joint will of spouses
- Article 5.45. Content of a joint will of spouses
- Article 5.46. Revocation and invalidity of a joint will of spouses
- Article 5.47. Obtaining the deposited will
- Article 5.48. Declaration of a joint will of spouses
- Article 5.49. Renunciation of inheritance under a joint will of spouses
- Article 5.50. Acceptance of succession
- Article 5.51. Acceptance of succession after the actual start of property possession
- Article 5.52. Liability for the debts of the bequeather by the successor who has accepted inheritance by starting to possess the estate or by filing an application with the notary
- Article 5.53. Acceptance of succession in accordance with an inventory
- Article 5.54. Inaccurate inventory
- Article 5.55. Applying to the court for the administration of the property of the succession
- Article 5.56. Implementation of the right to succession of legally incapable persons or persons of limited legal capacity
- Article 5.57. Extension of the time-limit for the acceptance of succession
- Article 5.58. Transference of the right to accept succession
- Article 5.59. Rights of a successor who has started possessing the inheritable estate before the appearance of other successors
- Article 5.60. Renunciation of inheritance
- Article 5.61. Increase of the shares of succession
- Article 5.62. Devolution of succession to the state
- Article 5.63. The procedure for making and satisfying creditors’ claims
- Article 5.64. Securing of inheritance
- Article 5.65. Appointment of an administrator for the inheritable estate
- Article 5.66. Application for the issuance of the certificate of the right to inheritance
- Article 5.67. Time-limit for the issuance of the certificate of the right to inheritance
- Article 5.68. Legal status of the inheritable estate
- Article 5.69. Division of the inheritance
- Article 5.70. Methods of property division
- Article 5.71. Inheritance of a farmstead
- Article 5.72. Priority right of an successor to an enterprise
- Article 5.73. Priority right of other successors to purchase an inherited farmstead
- Article 5.74. Documents
- Article 5.75. Inheritance of land
- Article 5.76. Inheritance of industrial property
- Article 6.1. Notion of an obligation
- Article 6.2. Grounds for arising of obligations
- Article 6.3. Subject matter of an obligation
- Article 6.4. Duties of parties to an obligation
- Article 6.5. Plurality of debtors
- Article 6.6. A solidary duty of debtors
- Article 6.7. Defences of co-debtors against claims of a creditor
- Article 6.8. Other rights and duties of co-debtors
- Article 6.9. Recourse between co-debtors
- Article 6.10. Divisibility of a solidary duty and solidary claim between the heirs of the parties to obligation
- Article 6.11. Influence of novation upon solidary duty
- Article 6.12. Acknowledgement of a solidary debt and the right of solidary claim
- Article 6.13. Merger of a debtor and a creditor
- Article 6.14. Power of a court judgement in the case of solidary duty
- Article 6.15. Non-performance of an obligation in the case of a solidary duty through the fault of one of the co-debtors
- Article 6.16. Prescription of a solidary obligation
- Article 6.17. Solidarity among creditors
- Article 6.18. A solidary claim of creditors
- Article 6.19. Possibility of choice of creditor for performance
- Article 6.20. Influence of novation on a solidary claim
- Article 6.21. Renunciation of the right to claim
- Article 6.22. Power of a court judgement in the case of solidary claim
- Article 6.23. Renunciation of a claim
- Article 6.24. Divisible obligations
- Article 6.25. Indivisible obligations
- Article 6.26. Concept of an alternative obligation
- Article 6.27. The right of choice
- Article 6.28. Impossibility of performing of an alternative obligation
- Article 6.29. Facultative obligation
- Article 6.30. Concept of a conditional obligation
- Article 6.31. Requirements for a condition
- Article 6.32. Time-limits for fulfilment or non-fulfilment of a condition
- Article 6.33. Types of termed obligations
- Article 6.34. Fulfilment of obligations with a term
- Article 6.35. Determination of a term
- Article 6.36. Currency of monetary obligations
- Article 6.37. Interest on monetary obligations
- Article 6.38. Principles of performance of obligations
- Article 6.39. Manner of performance of an obligation
- Article 6.40. Partial performance of an obligation
- Article 6.41. The quality of performance of an obligation
- Article 6.42. Furnishing security of performance of obligation
- Article 6.43. Duty to safeguard
- Article 6.44. The person to whom the performance must be made
- Article 6.45. Performance of an obligation to an erroneous creditor
- Article 6.46. Suspension of performance of an obligation
- Article 6.47. Performance of an obligation to an incapable creditor or to a creditor who had no right to accept the performance personally
- Article 6.48. Incapacity of a debtor
- Article 6.49. Performance made with the property of another
- Article 6.50. Right of a third person to perform an obligation
- Article 6.51. The right of a third person to perform an obligation for the debtor
- Article 6.52. Place of performance of an obligation
- Article 6.53. Time-limit for performance of an obligation
- Article 6.54. Imputation of payments
- Article 6.55. Imputation of payments in the event of several debts
- Article 6.56. Performance of obligation by payment to a deposit account
- Article 6.57. Expenses of performance of an obligation
- Article 6.58. Right of suspension of performance of obligation
- Article 6.59. Inadmissibility of unilateral refusal of performance of an obligation
- Article 6.60. Consequences of non-performance of an obligation to deliver an individually determined thing
- Article 6.61. Effects of non-performance of an obligation to do a certain work
- Article 6.62. Liability for non-performance of an obligation arising from a bilateral contract
- Article 6.63. Cases in which a debtor is considered to be in default
- Article 6.64. Cases when the creditor is considered to be in default
- Article 6.65. Confirmation of performance of an obligation
- Article 6.66. Right of a creditor to dispute transactions made by a debtor (Paulian action)
- Article 6.67. Presumption of bad faith
- Article 6.68. An oblique action
- Article 6.69. Right of retention
- Article 6.70.Kinds of security of obligations
- Article 6.71. Concept of penalty
- Article 6.72. Form of agreement upon penalty
- Article 6.73. Penalty and real performance of the principle obligation
- Article 6.74. Voidability of agreement upon penalty
- Article 6.75. Burden of proof
- Article 6.76. Concept of a contract of suretyship
- Article 6.77. Grounds for suretyship
- Article 6.78. Obligations secured by suretyship
- Article 6.79. Form of a contract of suretyship
- Article 6.80. Relationships between a surety and a creditor
- Article 6.81. Liability of a surety
- Article 6.82.Rights and duties of a surety arising as the result of an action brought against him
- Article 6.83. Rights of a surety after the obligation is performed
- Article 6.84. Right of recourse of a surety performing a solidary obligation
- Article 6.85. Duty of a debtor to inform the surety about the performance of the obligation secured
- Article 6.86. Relief of a surety from liability
- Article 6.87. Termination of suretyship
- Article 6.88. Termination of suretyship contracted for a determinate period
- Article 6.89. Termination of a suretyship contracted for an indeterminate period
- Article 6.90. Concept of a guarantee
- Article 6.91. Form of a guarantee
- Article 6.92. Limits of the obligation of a guarantor
- Article 6.93. Bank guarantee
- Article 6.94. Irrevocability of a bank guarantee
- Article 6.95. Prohibition to assign the right of claim
- Article 6.96. Termination of a bank guarantee
- Article 6.97. Right of recourse of the bank
- Article 6.98. Concept of the earnest money
- Article 6.99. Form of the agreement for an earnest
- Article 6.100. Consequences of non-performance of an obligation secured by the earnest
- Article 6.101. Right of the creditor to assign a claim
- Article 6.102. Forbidden assignments
- Article 6.103. Form of a contract
- Article 6.104. Delivering of documents
- Article 6.105. Liability of an assignor (previous creditor)
- Article 6.106. Performance of an obligation in favour of the assignor by the debtor uninformed about the assignment of the claim
- Article 6.107. Defences of the debtor against the claims of the assignee (new creditor)
- Article 6.108. Set-off against the assignee
- Article 6.109. Notice of the assignment of a claim
- Article 6.110. Assignment of other rights
- Article 6.111. Grounds for subrogation
- Article 6.112. Cases of subrogation
- Article 6.113. Rights acquired in the result of subrogation
- Article 6.114. Subrogation by operation of law
- Article 6.115. Delegation of debt by a contract between the creditor and the new debtor (delegee)
- Article 6.116. Delegation and assumption of debt by the effect of a contract between the debtor and the person who assumes the debt (delegee)
- Article 6.117. Assumption of a debt secured by pledge (hypothecated debt)
- Article 6.118. Form of the contractual delegation and assumption of debt
- Article 6.119. Defences available to the person who assumes a debt (delegee)
- Article 6.120. Accessory rights
- Article 6.121. Effects of invalidity of a contract of delegation of debt
- Article 6.122. Assumption of property or a legal person
- Article 6.123. Extinction of an obligation by performance
- Article 6.124. Extinction of an obligation by the expiry of a resolutory time-limit
- Article 6.125. Extinction of an obligation by the agreement of parties
- Article 6.126. Extinction of an obligation by confusion
- Article 6.127. Extinction of an obligation by impossibility of its performance
- Article 6.128. Extinction of an obligation upon the death of a natural person or liquidation of a legal person
- Article 6.129. Release of a debtor from the performance of an obligation
- Article 6.130. Extinction of an obligation by a set-off
- Article 6.131. Procedure of a set-off
- Article 6.132. A time-limit of grace in a set-off
- Article 6.133. A set-off when debts are not payable at the same place
- Article 6.134. Prohibition to effect a set-off
- Article 6.135. Set-off in suretyship relations
- Article 6.136. A set-off in the case of assignment of claim
- Article 6.137. A set-off in the case of a solidary obligation
- Article 6.138. A set-off in the case of several debts
- Article 6.139. A set-off in a contract concluded in favour of a third person
- Article 6.140. A set-off in the case of the debtor's insolvency
- Article 6.141. Concept of novation
- Article 6.142. Conduct that does not imply novation
- Article 6.143. Influence of novation upon accessory rights
- Article 6.144. Other effects of novation
- Article 6.145. Grounds for restitution
- Article 6.146. Mode of restitution
- Article 6.147. Estimation of monetary equivalence
- Article 6.148. Indemnity for the lost property
- Article 6.149. Partial destruction of the property
- Article 6.150. Reimbursement for expenses incurred for the care of the property
- Article 6.151. Restoration of fruits and revenues
- Article 6.152. Costs of restitution
- Article 6.153. Effect of restitution on third persons
- Article 6.154. Concept of a contract
- Article 6.155. Limits of application
- Article 6.156. Principle of freedom of contract
- Article 6.157. Mandatory rules of law and a contract
- Article 6.158. Good faith and fair dealing
- Article 6.159. Elements of contract
- Article 6.160. Classes of contracts
- Article 6.161. Public contract
- Article 6.162. Formation of a contract
- Article 6.163. Obligations of parties in pre-contractual relationships
- Article 6.164. Duty of confidentiality
- Article 6.165. Preliminary contract
- Article 6.166. Presumption of knowledge
- Article 6.167. Definition of an offer
- Article 6.168. Effect of an offer
- Article 6.169. Revocation of an offer
- Article 6.170. Termination of an offer
- Article 6.171. Offer to public
- Article 6.172. Death, bankruptcy, liquidation or incapacity of an offeror or an offeree
- Article 6.173. Acceptance and its forms
- Article 6.174. Period of acceptance
- Article 6.175. Acceptance within a fixed time-limit
- Article 6.176. Late acceptance
- Article 6.177. Revocation of acceptance
- Article 6.178. Modified acceptance
- Article 6.179. Conflict of standard conditions
- Article 6.180. Written confirmation
- Article 6.181. Time and place of contract forming
- Article 6.182. Contract with conditions left open
- Article 6.183. A modification clause
- Article 6.184. Peculiarities of conclusion of public contracts
- Article 6.185. Standard conditions of contracts
- Article 6.186. Surprising standard conditions of contracts
- Article 6.187. Conflict between standard conditions and non-standard conditions
- Article 6.188. Peculiarities of conditions in consumer contracts
- Article 6.189. Effects of a contract
- Article 6.190. Effects of contracts with respect to third persons
- Article 6.191. Contract in favour of a third person
- Article 6.192. Form of a contract
- Article 6.193. Rules of the interpretation of contracts
- Article 6.194. Linguistic discrepancies
- Article 6.195. Filling in gaps of a contract
- Article 6.196. Kinds of conditions of a contract
- Article 6.197. Quality of performance of a contract
- Article 6.198. Price of a contract
- Article 6.199. Contract for an indefinite period
- Article 6.200. Principles of performance of a contract
- Article 6.201. Order of performance of a contract
- Article 6.202. Permission of a state institution
- Article 6.203. Refusal to grant permission
- Article 6.204. Performance of contractual obligations upon a change of circumstances.
- Article 6.205. Non-performance or defective performance of a contract
- Article 6.206. Actions of the other party
- Article 6.207. Suspension of performance of a contract
- Article 6.208. Elimination of defects of performance
- Article 6.209. Additional period for performance of a contract
- Article 6.210. Interest
- Article 6.211. Conditions excluding liability
- Article 6.212. Superior force (force majeure)
- Article 6.213. Demand to make a performance
- Article 6.214. Repair or replacement of a defective performance
- Article 6.215. Fine for non-performance of the requirement to perform an obligation in kind
- Article 6.216. Change of remedies
- Article 6.217. Dissolution of a contract
- Article 6.218. Notice of dissolution of a contract
- Article 6.219. Anticipatory non-performance
- Article 6.220. Assurance of due performance
- Article 6.221. Legal effects of the dissolution of a contract
- Article 6.222. Restitution
- Article 6.223. Modification of a contract
- Article 6.224. Nullity of a contract
- Article 6.225. Absolute and relative nullity of a contract
- Article 6.226. Partial nullity of a contract
- Article 6.227. Right to bring an action for nullity
- Article 6.228. Gross disparity of parties
- Article 6.229. Duties of a person managing the affairs of another
- Article 6.230. Management of the affairs of another person against his will
- Article 6.231. Managing of the affairs of another in cases of danger
- Article 6.232. Ratification of actions
- Article 6.233. Compensation of expenses incurred
- Article 6.234. Return of the received property
- Article 6.235. Legal effects of a transaction formed on behalf and in the interests of another person
- Article 6.236. Supposed managing of the affairs of another
- Article 6.237. Obligation to return property not due
- Article 6.238. The right of a supposed debtor to demand the return of a debt unjustly paid
- Article 6.239. Obligation to return property transferred to a third person gratuitously
- Article 6.240. Repayments in returning unduly received property
- Article 6.241. Property that cannot be recovered
- Article 6.242. Unjust enrichment
- Article 6.243. Effects of gambling and wagering
- Article 6.244. Lottery and other games based on risk and chance
- Article 6.245. Concept and kinds of civil liability
- Article 6.246. Unlawful actions
- Article 6.247. Causation
- Article 6.248. Fault as a condition for civil liability
- Article 6.249. Damage and damages
- Article 6.250. Non-pecuniary damage
- Article 6.251. Compensation of damages in full
- Article 6.252. Agreements of parties upon exclusion or limitation of civil liability
- Article 6.253. Non-application of civil liability or exemption from it
- Article 6.254. Insurance of civil liability
- Article 6.255. Preventive action
- Article 6.256. Grounds for arising of contractual liability
- Article 6.257. Liability for actions of third persons
- Article 6.258. Penalty and damages
- Article 6.259. Fault of a creditor
- Article 6.260. Effects of a debtor’s default by the delay in performance of an obligation
- Article 6.261. Effects of a debtor’s default by delay in the performance of an obligation to pay a sum of money
- Article 6.262. Effects of a creditor’s default by delay in performance of an obligation
- Article 6.263. Obligation to compensate for damage caused
- Article 6.264. Liability of an employer for damage caused by the fault of his employees
- Article 6.265. Liability to compensation for damage caused by others
- Article 6.266. Liability of the owner (possessor) of construction works
- Article 6.267. Liability to compensation for damage caused by animals
- Article 6.268. Liability to compensation for damage caused by a natural person incapable of understanding the meaning of his own actions
- Article 6.269. Damage caused by a person in self-defence or self-help
- Article 6.270. Liability arising from the exercise of hazardous activities
- Article 6.271. Liability to compensation for damage caused by unlawful actions of institutions of public authority
- Article 6.272. Liability for damage caused by unlawful actions of preliminary investigation officials, prosecutors, judges and the court
- Article 6.273. Defendants in respect of obligation of the state or municipality to compensate for damage
- Article 6.274. Liability to compensation for damage caused in the state of necessity
- Article 6.275. Liability to compensation for damage caused by minors under fourteen years of age
- Article 6.276. Liability to compensation for damage caused by a minor between fourteen and eighteen years of age
- Article 6.277. Civil liability of parents with restricted parental authority to compensation for damage caused by their minor children
- Article 6.278. Liability to compensation for damage caused by a natural person declared legally incapable
- Article 6.279. Liability to compensation for damage caused jointly by several persons
- Article 6.280. The right of recourse against the person who caused damage
- Article 6.281. The manner and amount of compensation for damage
- Article 6.282. Assessment of damage in the light of the degree of the aggrieved person’s fault and the property state of the person who caused the damage
- Article 6.283. Compensation for damage caused to another person’s health
- Article 6.284. Liability to compensation for damage caused by fatal injury
- Article 6.285. Damages awarded for damage caused to the health of a minor under fourteen years of age
- Article 6.286. Change of the amount of compensation upon the demand of the aggrieved person subsequent to a change of his labour capacity
- Article 6.287. Change of the amount of compensation upon the demand of persons from whom the compensation for damage is awarded
- Article 6.288. Payment of the compensation for damage
- Article 6.289. Compensation for damage after the termination of a legal person or after the death of a natural person obliged to compensate for the damage
- Article 6.290. Imputation of social insurance payments
- Article 6.291. Compensation of funeral expenses
- Article 6.292. Liability of a producer and a supplier of services
- Article 6.293. Definition of a product and services
- Article 6.294. Definition of defectiveness
- Article 6.295. Conditions of liability
- Article 6.296. Solidary liability
- Article 6.297. Fault of an aggrieved person
- Article 6.298. Exemption from liability
- Article 6.299. Damage subject to compensation
- Article 6.300. Prescription
- Article 6.301. Concept of misleading advertising
- Article 6.302. Subject of liability
- Article 6.303. Conditions of liability
- Article 6.304. Prohibition and denial of misleading advertising
- Article 6.305. Concept of the Contract of Purchase-Sale
- Article 6.306. Subject Matter of Contract of Purchase-Sale
- Article 6.307. Sale of the Thing of another
- Article 6.308. Prohibition to Buy or Sell a Thing
- Article 6.309. Promise of Sale or of Purchase
- Article 6.310. Expenses Incidental to the Formation of a Contract of Purchase-Sale
- Article 6.311. Form of the Contract of Purchase-Sale
- Article 6.312. Contract of Purchase-Sale Imposing a Condition concerning the Use of the Thing being Sold
- Article 6.313. Price
- Article 6.314. Payment of Price
- Article 6.315. Payment for the Thing in Advance
- Article 6.316. Insurance of the Thing
- Article 6.317. Obligation of the Seller to Deliver the Things
- Article 6.318. Place and Time of Delivery of the Things and Documents
- Article 6.319. Time Limit of Delivery of the Things
- Article 6.320. Risk of Accidental Perishing of or Damage to the Things
- Article 6.321. Seller’s Duty to Give Warranty of Ownership of the Things
- Article 6.322. Obligations of the Seller and the Buyer in Case of an Action being Brought by the Third Party for the Taking of the Thing
- Article 6.323. Seller’s Liability where the Sold Thing is Revendicated against the Buyer
- Article 6.324. Consequences of Failure to Perform the Obligation to Deliver the Thing
- Article 6.325. Consequences of Failure to Perform the Obligation to Deliver Fixtures, Accessories, and Deeds
- Article 6.326. Seller’s Obligation to Preserve the Sold Thing
- Article 6.327. Requirements in respect of the Thing
- Article 6.328. Right to Examine the Thing
- Article 6.329. Quantity of Things
- Article 6.330. Legal Consequences of Breach of the Contractual Condition relating to the Quantity of the Things
- Article 6.331. Range of Things
- Article 6.332. Legal Consequences of Breach of the Conditions concerning the Range of Things
- Article 6.333. Quality of Things
- Article 6.334. Rights of Buyers of Things of Unsatisfactory Quality
- Article 6.335. Period of Warranty of Quality of Things
- Article 6.336. Period of Fitness for Use of Things
- Article 6.337. Inspection of Quality of Things
- Article 6.338. Time Limits for Filing Claims regarding the Defects of the Sold Things
- Article 6.339. Completeness of Things
- Article 6.340. Complete Set of Things
- Article 6.341. Legal Consequences of Delivery of Incomplete Things
- Article 3.342. Containers and Packaging of Things
- Article 6.343. Legal Consequences of Violation of Requirements relating to Containers and Packaging of Things
- Article 6.344. The Buyer’s Obligation to Pay the Price and other Expenses
- Article 6.345. Legal Consequences of the Buyer’s Non-performance of the Obligation to Pay the Price
- Article 6.346. Buyer’s Obligation to Accept the Things
- Article 6.347. Obligation of the Buyer to Preserve the Things
- Article 6.348. The Buyer’s Obligation to Notify the Seller of Improper Performance of the Contract
- Article 6.349. Prohibition to Dispose of Things
- Article 6.350. Concept of Consumer Contract of Purchase-Sale
- Article 6.351. Form of the Consumer Contract of Purchase and Sale
- Article 6.352. Public Offer
- Article 6.353. Seller’s Obligation of to Inform the Buyer
- Article 6.354. Expenses of and Incidental to Contract Formation
- Article 6.355. Sale of Things Conditional on Acceptance thereof by the Buyer within a Certain Period
- Article 6.356. Sale of Things by Sample
- Article 6.357. Sale of Things inside the Premises not Intended for Trade
- Article 6.358. Sale of Things by Slot-Machines
- Article. 6.359. Sale of Things Conditional on their Delivery to the Buyer
- Article 6.360. Price of the Things and its Payment
- Article 6.361. Hire-Purchase Contract
- Article 6.362. Replacement and Return of Things
- Article 6.363. Quality of Things and Buyer’s Rights upon being Sold Things of Improper quality
- Article 6.364. Compensation of the Difference in Prices
- Article 6.365. Seller’s Liability and Performance of the Obligation in Kind
- Article 6.366. Sale of Things under Distance Contracts
- Article 6.367. The Buyer’s Right to Repudiate a Distance Contract Concluded by Means of Communication
- Article 6.368. Supply of Unsolicited Things
- Article 6.369. Time-sharing Contract
- Article 6.370. Buyer’s Right of Repudiation in the Case of Time-sharing Contracts
- Article 6.371. Concept of Contract of Wholesale Purchase-Sale
- Article 6.372. Period of Time for the Delivery of Things
- Article 6.373. Delivery of Things
- Article 6.374. Acceptance of Things
- Article. 6.375. Preservation of the Unaccepted Things
- Article 6.376. Taking Possession of the Things
- Article 6.377. Containers and Packaging
- Article 6.378. Sale of Things of Improper Quality or Completeness
- Article 6.379. Unilateral Rescission of the Contract
- Article 6.380. Concept of Public Procurement Contract
- Article 6.381. Specifics of Conclusion of Public Procurement Contracts
- Article 6.382. Regulation of Public Procurement Contracts
- Article 6.383. The Concept of the Contract of Purchase-Sale of Energy
- Article 6.384. Conclusion and Extension of a Contract for the Purchase-sale of Energy
- Article 6.385. Energy Amount and Rates (Tariffs)
- Article 6.386. Energy Quality
- Article 6.387. Buyer’s Duties relating to the Maintenance of Installations
- Article 6.388. Payment for Energy
- Article 6.389. Sub-subscriber
- Article. 6.390. Modification and Rescission of the Contract
- Article 6.391. Scope of Application
- Article 6.392. Scope of Application
- Article 6.393. Form of the Contract
- Article 6.394. Rights to a Land Plot
- Article 6.395. Rights to an Immovable Thing in the Event of Sale of a Land Plot
- Article 6.396. Subject Matter of the Contract
- Article 6.397. Price
- Article 6.398. Transfer of a Thing
- Article 6.399. Transfer of a Thing of Improper Quality
- Article 6.400. Conditions and Contents of Contracts for Purchase-sale of a Residential House or Apartment
- Article 6.401. Contract of Purchase-sale of a Planned House or Apartment
- Article 6.402. Concept of Purchase-sale of an Enterprise
- Article 6.403. Form of the Contract
- Article 6.404. Contents of the Contract and the Accompanying Documents
- Article 6.405. Protection of Rights of Creditors of the Enterprise
- Article 6.406. Legal Consequences of Violation of Right of the Enterprise Creditors
- Article 6.407. Transfer of the Enterprise
- Article 6.408. Legal Consequences of Sale of a Defective Enterprise
- Article 6.409. Arising of Effects of Nullity of Transactions and other Legal Effects of Dissolution or Change of a Contract
- Article 6.410. Cases when the Norms of this Section shall not be Applicable
- Article 6.441. Contract of Instalment Sale
- Article. 6. 412. Risks of Accidental Perishing or Damaging of Thing
- Article. 6. 413. Form and Contents of the Contract
- Article 6.414. Price and Settlement Procedure
- Article 6.415. Interest
- Article 6.416. Specifics of Instalment Sale
- Article 6.417. Contract of Sale with Right of Redemption
- Article 6.418. Exercise of the Right of Redemption
- Article 6.419. Sale of Things by Auction
- Article 6.420. Price and Conditions of the Auction
- Article 6.421. Moment of Conclusion of the Contract
- Article 6.422. Payment of the Price
- Article 6.423. Withdrawing the Thing from Auction
- Article 6.425. Contracts for Purchase-sale of Rights
- Article 6.426. Sale of Rights of Succession
- Article 6.427. Sale of Litigious Rights
- Article 6.428. Contracts of Purchase-sale of Securities and Currency
- Article 6.429. Conclusion of a Contract of Purchase-sale of Securities and Currency
- Article 6.430. Conclusion of Contracts of Purchase-sale on the Exchange
- 6.431. Contract for Purchase-sale with a Reservation regarding the Right of Ownership
- Article 6.432. Concept of contract of exchange
- Article 6.433. Price and expenses of concluding a contract
- Article 6.434. Performance of the obligation to transfer things
- Article 6.435. Legal consequences for eviction of things acquired under a contract of exchange
- Article 6.436. Concept of a contract of giving in payment
- Article 6.437. Prohibition to agree on giving in payment in advance
- Article 6.438. Contract of alienation for rent
- Article 6.439. Concept of a contract of rent
- Article 6.440. Capital transferable under a contract of rent
- Article 6.441. A contract of rent for the benefit of a third person
- Article 6.442. Duration of contract of rent
- Article 6.443. Form of a contract of rent
- Article 6.444. Encumbrance of rights in an immovable thing by rent
- Article 6.445. Security for payment of rent
- Article 6.446. Interest for delay of payment of rent
- Article 6.447. Protection of interests of a recipient of rent
- Article 6.448. Substitution of a payer of rent
- Article 6.449. Recipient of rent in perpetuity (permanent rent)
- Article 6.450. Form and amount of rent in perpetuity (permanent rent)
- Article 6.451. Periods of payment of rent in perpetuity (permanent rent)
- Article 6.452. Right of the payer of rent to purchase rent in perpetuity (permanent rent)
- Article 6.453. Purchase of rent in perpetuity (permanent rent) at the demand of the recipient of rent
- Article 6.454. Purchase price of rent in perpetuity (permanent rent)
- Article 6.455. Risk of accidental perishing or damage of property transferred under payment of rent in perpetuity (permanent rent)
- Article 6.456. Recipient of rent for life
- Article 6.457. Amount of rent for life
- Article 6.458. Dissolution of contract of rent for life at the demand of the recipient of rent
- Article 6.459. Risk of accidental perishing or accidental damaging of property transferred under payment of rent for life
- Article 6.460. Contract of life annuity
- Article 6.461. Duty to grant life annuity
- Article 6.462. Replacement of a life annuity by periodical payments
- Article 6.463. Right of the debtor of the annuity to dispose and use alienated property
- Article 6.464. Termination of life annuity
- Article 6.465. Concept of contract of gift
- Article 6.466. Transactions not deemed to be a gift
- Article 6.467.Contract of gift under condition
- Article 6.468. Right of refusal of a donee to accept gift
- Article 6.469. Form of contract of gift
- Article 6.470. Capacity to make and receive gifts
- Article 6.471. Limitations to make a gift
- Article 6.472. Revocation of gift
- Article 6.473. Duties of a donor
- Article 6.474. Liability of the donee for debts of the donor
- Article 6.475.Compensation for injury
- Article 6.476. Donations (aid and charity)
- 6. Article 6.467 of this Code shall not apply to donations.
- Article 6.477. Concept of a contract of lease
- Article 6.478. Form of a contract
- Article 6.479. Period of a contract of lease
- Article 6.480. Consequences of a contract of lease concluded for an indefinite period
- Article 6.481. Continuance of use of property after the expiry of period of contract
- Article 6.482. Preferential right of the lessee to renew a contract of lease
- Article 6.483. Delivering property to the lessee
- Article 6.484. Consequences of non-delivering the thing to the lessee
- Article 6.485. Liability of lessor for defects of the thing
- Article 6.486. Rights of third persons to leased property
- Article 6.487. Lease payment
- Article 6.488. Right of a lessee to incomes received from the leased thing
- Article 6.489. Use of leased property
- Article 6.490. Sublease
- Article 6.491. Assignment or encumbrance of rights and duties of a lessee
- Article 6.492. Duty of the lessor to make capital repair of a leased thing
- Article 6.493. Duty of a lessee with regard to maintenance of a leased thing
- Article 6.494. Validity of a contract in the event of the transfer of a thing to another owner or in the event of death of a lessee
- Article 6.495. Duty of a lessor to inform about a contract of lease
- Article 6.496. Termination of a contract of lease upon expiry of its time-limit
- Article 6.479. Dissolution of a contract before time upon demand of the lessor
- Article 6.498. Dissolution of a contract before time upon demand of a lessee
- Article 6.499. Return of a thing to the lessor
- Article 6.500. Liability of a lessee for deterioration of a thing
- Article 6.501. Improvement of a thing
- Article 6.502. Liability of a lessee for loss of a thing
- Article 6.503. Purchase of leased property
- Article 6.504. Concept of a contract of consumer lease
- Article 6.505. Time-limit of a contract of consumer lease
- Article 6.506. Form of a contract of consumer lease
- Article 6.507. Duty of the lessor to make a repair of the thing under a contract of consumer lease
- Article 6.508. Granting of a thing to the lessee
- Article 6.509. Elimination of defects in a leased thing
- Article 6.510. Lease payment
- Article 6.511. Limitation of the rights of the lessee
- Article 6.512. Concept of lease of means of transport with granting of services relating to driving and technical maintenance
- Article 6.513. Form of a contract
- Article 6.514. Duty of the lessor relating to maintenance of means of transport
- Article 6.515 Duty of the lessor to grant services relating to driving and technical maintenance
- Article 6.516. Duty of the lessee to pay the expenses connected with the use of means of transport for commercial
- Article 6.517. Insurance of means of transport
- Article 6.518. Contracts with third persons
- Article 6.519. Liability for damage caused to means of transport
- Article 6.520. Liability for damage caused to third persons
- Article 6.521. Peculiarities of lease of separate types of means of transport with granting of services relating to driving and technical maintenance
- Article 6.522. Concept of a lease of means of transport without granting services relating to driving and technical maintenance
- Article 6.523. Form of a contract
- Article 6.524. Duty to maintain the means of transport
- Article 6.525 Duty of the lessee in respect of operation and technical maintenance
- Article 6.526. Duty of the lessee with regard to payment of expenses connected with the use of the means of transport and other expenses
- Article 6.527. Contracts with third persons
- Article 6.528. Liability for damage caused to third persons
- Article 6.529. Peculiarities of lease of individual types of means of transport without granting services relating to driving and technical maintenance
- Article 6.530. Concept of the contract of lease of buildings, construction works and installations
- Article 6.531. Form of a contract
- Article 6.532. Rights to a land plot
- Article 6.533. Right of the lessee to the use of a land plot in the event of substitution of its owner
- Article 6.534. Payment of lease
- Article 6.535. Transfer of building, construction works or installation
- Article 6.536. Concept of the contract of lease of enterprise
- Article 6.537. Rights of the creditors of the enterprise in the event of lease of enterprise
- Article 6.538. Form of a contract
- Article 6.539. Transfer of an enterprise
- Article 6.540. Use of property of a leased enterprise
- Article 6.541. Duty of a lessee to ensure exploitation of a leased enterprise
- Article 6.542. Improvements of enterprise
- Article 6.543. Arising of effects of nullity of transactions and other legal effects to contract of lease of enterprise
- Article 6.544. Return of a leased enterprise
- Article 6.545. Concept of a land lease contract
- Article 6.546. Subject matter of a land lease contract
- Article 6.547. Form of a land lease contract
- Article 6.548. The lessor of land and the lessee of land
- Article 6.549. Duration of a land lease contract
- Article 6.550. Content of land lease contracts
- Article 6.551. Lease of public land
- Article 6.552. Payment of land rent
- Article 6.553. Sub-lease of land
- Article 6.554. Reimbursement of expenses incurred by the lessee for the improvement of land designated for agricultural purposes
- Article 6.555. Duty of the lessor to repair land reclamation installations, roads, bridges and other engineering facilities
- Article 6.556. Duty of the lessee in regard to the preservation and quality of soil, proper maintenance of land reclamation installations, roads, bridges, other engineering facilities and green plantations
- Article 6.557. The right of the lessee to compensation for erected buildings, construction works and installations
- Article 6.558. Validity of a land lease contract upon the substitution of the lessee of land
- Article 6.559. Validity of a land lease contract upon the substitution of the lessor of land
- Article 6.560. Duty of the lessor to notify about the lease contract
- Article 6.561. Prohibition to lease mortgaged land
- Article 6.562. Expiry of a land lease contract
- Article 6.563. Dissolution of a land lease contract upon the expropriation of land for public needs
- Article 6.564. Dissolution of a land lease contract at the demand of the lessor before the expiry of its time-limit
- Article 6.565. Dissolution of a land lease contract at the demand of the lessee before the expiry of its time-limit
- Article 6.566. Right of a lessee to renew a land lease contract
- Article 6.567. Concept of the leasing (financial lease) agreement
- Article 6.568. Subject-matter of the leasing agreement
- Article 6.569. Lessor’s duty to notify of the leasing agreement
- Article 6.570. Transfer over of the leasing object
- Article 6.571. Risk of accidental perish or damage to the thing
- Article 6.572. Effect of the leasing agreement on third parties
- Article 6.573. Seller’s liability
- Article 6.574. Termination of the leasing agreement
- Article 6.575. Sphere of application
- Article 6.576. Concept of a contract of lease of a dwelling
- Article 6.577. Grounds for contract forming
- Article 6.578. Parties to a contract
- Article 6.579. Form of a contract
- Article 6.588. Members of the lessee’s family
- Article 6.589. Rights and duties of the lessee’s family members
- Article 6.590. Right of family members to take occupancy of the leased dwelling
- Article 6.591. Preservation of the right to use state or municipality dwelling upon temporary departure
- Article 6.592. Use of a state or municipality dwelling upon a temporary departure of the lessee, a member of his family or former member of his family
- Article 6.593. Reservation of a state or a municipality dwelling
- Article 6.594. Use of a reserved state or a municipality dwelling
- Article 6.595. Sublease of a dwelling
- Article 6.596. Temporary dwellers
- Article 6.597. Eviction of sublessees and temporary dwellers upon dissolution of the contract of lease of a dwelling
- Article 6.598. Modification of contract
- Article 6.599. Modification of a contract upon dividing the apartment
- Article 6.600. Modification of a contract where one dwelling is exchanged for several ones
- Article 6.601. Modification of a contract upon the uniting of the lessees into one family
- Article 6.602. Change of a contract upon acknowledgement another family member as the lessee
- Article 6.603. Change of a contract after the transfer of a vacated dwelling
- Article 6.604. Change of a contract of lease of dwelling after termination of labour relationship by the lessee
- Article 6.605. Right of a lessee to modify and change the plan of the dwelling
- Article 6.606. Relocation of the lessee for the duration of capital repair and reconstruction of the dwelling
- Article 6.607. Priority right of the lessee in renewing the contract of lease
- Article 6.608. Exchange of dwellings
- Article 6.609. Right of a lessee to dissolve the contract
- Article 6.610. Procedure of dissolving a contract and evicting persons
- Article 6.611. Dissolution of a contract upon the violation of conditions of the contract of lease by the lessee
- Article 6.612. Eviction from wilfully occupied premises
- Article 6.613. Effects of termination of a fixed-term contract of lease of a dwelling
- Article 6.614. Dissolution of contract of lease of dwelling of indeterminate term
- Article 6.615. Eviction from dilapidated apartment houses, flats
- Article 6.616. Dissolution of a contract and eviction of persons with another fit for habitation dwelling being provided
- Article 6.617. Provision of another dwelling fit for habitation to evicted persons
- Article 6.618. Legal status of office dwelling premises
- Article 6.619. Procedure of granting and using office dwelling premises
- Article 6.620. Eviction from office dwelling premises
- Article 6.621. Eviction from office dwelling premises by granting another dwelling
- Article 6.622. Granting of another dwelling to evicted natural persons
- Article 6.623. Hostels
- Article 6.624. Prohibition to sublease hostel premises
- Article 6.625. Temporary relocation
- Article 6.626. Hotels
- Article 6.627. Homeless shelters
- Article 6.628. Occupancy in the premises of health and social guardianship (curatorship) establishments
- Article 6.629. Concept of contract of loan for use
- Article 6.630. Limitations on forming a contract of loan for use
- Article 6.631. Legal effects of promise to transfer a thing for uncompensated use
- Article 6.632. Lender
- Article 6.633. Transference of a thing for use
- Article 6.634. Liability of the lender for defects of the thing
- Article 6.635. Rights of third persons to the thing transferred under the contract of loan for use
- Article 6.636. Duty of the loan recipient with regard to maintenance and preserve the thing
- Article 6.637. Duty of the loan recipient to use the thing in accordance with its designation
- Article 6.638. Risk of accidental perishing or damaging of the thing
- Article 6.639. Liability for damage caused to third persons
- Article 6.640. Prohibition to use the right of retention
- Article 6.641. Dissolution of a contract of loan for use before time
- Article 6.642. Right to revoke a contract of loan for use
- Article 6.643. Change of parties to a contract of loan for use
- Article 6.644. Concept of contract of independent work
- Article 6.645. Subject matter of a contract of independent work
- Article 6.646. Permits (licences) for individual types of work
- Article 6.647. Fulfilment of work from the materials and by the means of the independent work contractor
- Article 6.648. Fulfilment of work from the materials of the customer
- Article 6.649. Distribution of risks between parties
- Article 6.650. General independent work contractor and subcontractor
- Article 6.651. Particularities of a contract of independent work where the work is fulfilled by several persons
- Article 6.652. Time-limits for the fulfilment of work
- Article 6.653. Price of work
- Article 6.654. Economies of the independent work contractor
- Article 6.655. Procedure for payment of work
- Article 6.656. Right of the independent work contractor to exact remuneration due to him
- Article 6.657. Liability of the independent work contractor for non-preservation of the property granted to him by the customer
- Article 6.658. Rights of the customer during the fulfilment of work
- Article 6.659. Circumstances of which the independent work contractor is obliged to warn the customer
- Article 6.660. Assistance of the customer
- Article 6.661. Legal effects of the failure to perform counter-duties of the customer
- Article 6.662. Acceptance of work fulfilled
- Article 6.663. Quality of work
- Article 6.664. Guarantee of the quality of work
- Article 6.665. Liability of the independent work contractor for improper quality of work
- Article 6.666. Periods for discovery of defects of the work
- Article 6.667. Prescription
- Article 6.668. Duty of the independent work contractor to transfer information to the customer
- Article 6.669. Duty of the parties in respect of confidentiality
- Article 6.670. Return of property to the customer
- Article 6.671. Legal effects of the dissolution of a contract of independent work before acceptance of the results of work
- Article 6.672. Concept of contract of consumer independent work
- Article 6.673. Guarantees of the customer
- Article 6.674. Granting of information to customer about proposed work
- Article 6.675. Fulfilment of work from materials of the independent work contractor
- Article 6.676. Price and payment for work
- Article 6.677. Duty of the independent work contractor to notify the customer about the conditions of use of the work fulfilled
- Article 6.678. Legal effects of discovery of defects in the work fulfilled
- Article 6.679. Legal effects of the failure of the customer to appear for receipt of the results of work
- Article 6.680. Rights of the customer in the event of failure to fulfil the work indicated in the contract or improper fulfilment thereof
- Article 6.681. Concept of a contract of construction independent work
- Article 6.682. Distribution of risk between parties
- Article 6.683. Insurance of the object of construction
- Article 6.684. Technical construction regulations and estimates
- Article 6.685. Change in the contractual documentation
- Article 6.686. Provision of construction with materials and equipment
- Article 6.687. Payment for work
- Article 6.688. Other duties of the customer
- Article 6.689. Right of the customer to control and supervise construction work
- Article 6.690. Participation of the projecting and other institutions in the fulfilment of duties and effectuation of rights of the customer
- Article 6.691. Cooperation of parties to a contract of construction independent work
- Article 6.692. Duties of the independent work contractor related with the protection of environment and ensuring safety of work
- Article 6.693. Legal effects of conservation of construction work
- Article 6.694. Handing over and acceptance of work
- Article 6.695. Liability of the independent work contractor for the quality of work
- Article 6.696. Liability for the collapse of a construction works
- Article 6.697. Guarantee of the quality of work
- Article 6.698. Guarantee periods
- Article 6.699. Elimination of defects at the expense of the customer
- Article 6.700. Concept of the contract of independent work for fulfilment of projecting and survey work
- Article 6.701. Task of projecting and survey work
- Article 6.702. Duties of the independent work contractor
- Article 6.703. Liability of the independent work contractor for the quality of work
- Article 6.704. Duties of the customer
- Article 6.705. Fulfilment of construction and projecting work for the needs of the state or municipalities
- Article 6.706. Content of contract of independent work formed on the basis of a public tender
- Article 6.707. Concept of a contract for the fulfilment of scientific-research, experimental, development or technological work
- Article 6.708. Fulfilment of work
- Article 6.709. Confidentiality of information
- Article 6.710. Right of the parties to the results of work
- Article 6.711. Duties of the executor
- Article 6.712. Duties of the customer
- Article 6.713. Impossibility of achieving anticipated results in conducting scientific research work
- Article 6.714. Impossibility of continuing experimental, development or technological work
- Article 6.715. Liability of the executor for violation of the contract
- CHAPTER XXXV
- PROVISION OF REMUNERATIVE SERVICES
- SECTION ONE
- Article 6.716. The concept of the contract for services
- Article 6.717. Performance of the contract for services
- Article 6.718. Priority of the interests of the client
- Article 6.719. The obligation of the provider of services to furnish information
- Article 6.720. The price of services and payment
- Article 6.721. Unilateral termination of the contract
- Article 6. 722. Report of the provider of services
- Article 6.723. Termination of the contract for services
- Article 6.724. Subsidiary application of other norms of this Code to the contracts for services
- SECTION TWO
- Article 6.725. The contract for personal healthcare services
- Article 6.726. Patients who are minors
- Article 6.727. Provision of information to the patient
- Article 6.728. The right not to know
- Article 6.729. Consent of the patient
- Article 6.730. Indication of the patient’s consent in his medical documents
- Article 6.731. Co-operation of the patient with the provider of personal healthcare services
- Article 6.732. Degree of care
- Article 6.733. Necessity of patients’ medical documents
- Article 6.734. Destruction of records in the medical documents
- Article 6.735. The patient’s right of access to the records contained in his medical documents
- Article 6.736. Provision of information
- Article 6.737. Scientific research
- Article 6.738. Observers
- Article 6.739. The right to terminate the contract
- Article 6.740. The price of the contract
- Article 6.741. Healthcare institutions
- Article 6.742. Prohibition to limit or exclude liability
- Article 6.743. Scope of application
- Article 6.745. Emergencies
- Article 6.746. The use of human tissues and organs
- SECTION THREE
- Article 6.747. The concept of the contract for the provision of tourist services
- Article 6.748. Provision of information
- Article 6.749. The form and content of the contract
- Article 6.750. The right of the tourist to waive the contract
- Article 6.751. The right of the trip organiser to waive the contract
- Article 6.752. Alteration of the terms of the contact
- Article 6.753. Changing of the parties to the contract
- Article 6.754. Performance of the contract and liability for the improper performance thereof
- Article 6.755. Prohibition to exclude or limit civil liability
- Article 6.756. Concept of a contract of mandate
- Article 6.757. Subject matter of a contract of mandate
- Article 6.758. Remuneration of the mandatary
- Article 6.759. Performance of mandate in accordance with instructions of the mandator
- Article 6.760. Duties of an mandatary
- Article 6.761. Duties of a mandator
- Article 6.762. Substitution
- Article 6.763. Termination of a contract of mandate
- Article 6.764. Legal effects of the termination of a contract of mandate
- Article 6.765. Duties of the heirs of a mandatary and a liquidator
- Article 6.766. Concept of a contract of franchise
- Article 6.767. Form of a contract of franchise
- Article 6.768. Contract of sub-franchise
- Article 6.769. Remuneration under a contract of franchise
- Article 6.770. Duties of the franchiser
- Article 6.771. Duties of the franchisee
- Article 6.772. Limitation of rights of the parties
- Article 6.773. Liability of the franchiser in relation to claims brought to the franchisee
- Article 6.774. Right of a franchisee to conclude a contract of franchise for a new term
- Article 6.775. Change of the conditions of a contract of franchise
- Article 6.776. Termination of a contract of franchise
- Article 6.777. Substitution of parties
- Article 6.778. Effects of change of the firm name and trade (service) mark of the franchiser
- Article 6.779. Effects of the termination of exclusive right
- Article 6.780. Concept of a contract of commission
- Article 6.781. Remuneration for commission
- Article 6.782. Performance of a contract of commission
- Article 6.783. Liability for failure to perform transaction
- Article 6.784. Sub-commission
- Article 6.785. Deviation from the instructions of the committent
- Article 6.786. Right of ownership of the committent
- Article 6.787. Satisfaction of claims of the commission agent from the amounts due to the committent
- Article 6.788. Liability of the commission agent for the loss, shortage or damaging of a thing belonging to the committent
- Article 6.789. Report of a commission agent
- Article 6.790. Duty of the committent to accept performance of commission
- Article 6.791. Compensation of expenses incurred in the performance of a contract of commission
- Article 6.792. Termination of a contract of commission
- Article 6.793. Revocation of commission
- Article 6.794. Refusal of the commission agent to perform commission
- Article 6.795. Instructions in respect of property in the event of refusal by the commission agent to perform commission or upon revocation of the commission by the committent
- Article 6.796. Concept of a contract of distribution
- Article 6.797. Duration of a contract of distribution
- Article 6.798. Form of a contract of distribution
- Article 6.799. Distributor
- Article 6.800. Types of contract of distribution
- Article 6.801. Limitation of rights of the parties
- Article 6.802. Rights and duties of a distributor
- Article 6.803. Rights and duties of the producer (supplier)
- Article 6.804. Dissolution of a contract of distribution
- Article 6.805. Renewal of a contract
- Article 6.806. Liability of parties to a contract of distribution towards third persons
- Article 6.807. General provisions of carriage
- Article 6.808. Contract for the carriage of goods
- Article 6.809. Contract for the carriage of passengers
- Article 6.810. Charter-party
- Article 6.811. Direct combined transport
- Article 6.812. Public transport services
- Article 6.813. Carriage charges
- Article 6.814. Provision of means of transport
- Article 6.815. Loading (unloading) of goods
- Article 6.816. Time limits for the delivery of goods, passengers and luggage
- Article 6.817. Liability for the breach of the contract of carriage
- Article 6.818. Liability for the failure to provide or to use the means of transport
- Article 6.819. The carrier’s liability for the delay of the means of transport
- Article 6.820. The carrier’s liability for the failure to preserve the goods or luggage
- Article 6.821. Presentation of claims to the carrier
- Article 6.822. Contracts for the organisation of carriage
- Article 6.823. The carrier’s liability for the death or injury of the passenger
- Article 6.824. Concept of freight forwarding and the contract of freight forwarding
- Article 6.825. Form of the contract of freight forwarding
- Article 6.826. Freight forwarder’s liability
- Article 6.827. Documents and information to be furnished to the freight forwarder
- Article 6.828. Invoking a third party for the performance of an obligation
- Article 6.829. Unilateral termination of the contract
- Article 6.830. Concept of Contract of Deposit
- Article 6.831. Form of the Contract of Deposit
- Article 6.832. Obligations and Rights of the Depositary
- Article 6.833. Performance of the Obligation to Deliver a Thing for Safekeeping
- Article 6.834. Period of Deposit
- Article 6.835. Mixture of Things
- Article 6.836. Conditions of Safekeeping of a Thing
- Article 6.837. Changing the Conditions of Safekeeping
- Article 6.838. Safekeeping of Dangerous Things
- Article 6.839. Delivery of Things for Safekeeping to a Third Person
- Article 6.840. Remuneration for Deposit
- Article 6.841. Reimbursement of Expenses related to Safekeeping
- Article 6.842. Extraordinary Expenses of Deposit
- Article 6.843. Depositor’s Obligation to Withdraw the Thing
- Article 6.844. Depositary’s Obligation to Restore the Thing
- Article 6.845. Grounds of Depositary’s Liability
- Article 6.846. Amount of Depositary’s Liability
- Article 6.847. Compensation for Damage Inflicted on the Depositary
- Article 6.848. Termination of the Contract of Deposit on Depositor’s Demand
- Article 6.849. Necessary Deposit
- Article 6.850. Deposit under Law
- Article 6.851. Concept of a Warehouse Contract
- Article 6.852. Warehouse of Common Use
- Article 6.853. Inspection of Goods
- Article 6.854. Changing the Conditions of Safekeeping of the Goods
- Article 6.855. Inspection of the Released Goods
- Article 6.856. Warehousing Documents
- Article 6.857. Double Warehouse-Certificate and its Contents
- Article 6.858. Rights of the Holder of Warehouse and Pledge Certificates
- Article 6.859. Transfer of Warehouse and Pledge Certificates
- Article 6.860. Release of the Goods under Double Warehouse Certificate
- Article 6.861. Ordinary Warehouse Certificate
- Article 6.862. Deposit of the Things with the Right of their Disposal
- Article 6.863. Temporary Deposit (Sequestration) of Things which are the Object of Dispute
- Article 6.864. Deposit of Things with a Pawnshop
- Article 6.865. Deposit of Things in Hotels
- Article 6.866. Deposit of Things with a Bank
- Article 6.867. Deposit of Valuable Articles in the Bank Safe-deposit
- Article 6.868. Deposit of Things in Left Luggage Offices of Transport Companies
- Article 6.870. Concept of the loan agreement
- Article 6.871. Form of the loan agreement
- Article 6.872. Interest
- Article 6.873. The obligation of the borrower to repay the amount of loan
- Article 6.874. Consequences of the breach of the agreement by the borrower
- Article 6.875. Contesting of the loan agreement
- Article 6.876. Legal consequences of the loss of security for fulfilment of the Borrower's obligations
- Article 6.877. Purpose loan
- Article 6.878. Bill of Exchange
- Article 6.879. Bond
- Article 6.880. Substitution (novation) of the debt by the loan obligation
- Article 6.881. Concept of credit agreement
- Article 6.882. Form of the crediting agreement
- Article 6.883. Refusal to grant or accept the credit
- Article 6.884. Crediting with goods
- Article 6.885. Commercial crediting
- Article 6. 886. Concept of the credit agreement for consumers
- Article 6.888. Repealed
- Article 6.889. Repealed
- Article 6.892. Concept of the bank deposit
- Article 6.893. The right to accept deposits
- Article 6.894. Form of the bank deposit agreement
- Article 6.895. Types of deposits
- Article 6.896. Interest
- Article 6.897. Calculation and payment of interest
- Article 6.898. Guarantees for the return of deposits.
- Article 6.899. Third persons' right to pay money to the depositor's account.
- Article 6.900. Deposits for the benefit of third persons
- Article 6.901. The depositor's book
- Article 6.902. Deposit certificate
- Article 6.903. Concept of the factoring agreement
- Article 6.904. Financier
- Article 6.905. The subject-matter of the factoring agreement
- Article 6.906. The client's liability against the financier
- Article 6.907. The invalidity of the prohibition to assign the monetary claim
- Article 6.908. Subsequent assignment of the monetary claim
- Article 6.909. Performance of the monetary claim
- Article 6.910. The financier's rights to the amounts of money received from the debtor
- Article 6.911. The cross claims of the debtor
- Article 6.912. The return to the debtor of the debts received by the financier
- Article 6.913. Concept of the bank account agreement
- Article 6.914. Conclusion of the bank account agreement
- Article 6.915. Approval of the right to dispose of the funds in the account
- Article 6.916. Operations performed by the bank
- Article 6.917. Terms for performance of operations
- Article 6.918. Crediting of the account
- Article 6.919. Fees for bank services and operations
- Article 6.920. Interest for use of the funds in the account
- Article 6.921. Set-off of mutual claims of the bank and the client
- Article 6.922. The grounds for withdrawal of monetary funds from the account
- Article 6.923. Order of sequence of the withdrawal of the funds
- Article 6.924. The liability of the bank for improper performance of operations
- Article 6.925. The secret of the bank.
- Article 6.926. Limitations on disposal of the account
- Article 6.928. Bank accounts
- Article 6.929. Settlement in cash and non-cash
- Article 6.930. Means of settlements in non-cash
- Article 6.931. General provisions
- Article 6.932. Terms and conditions of performance of the payment order
- Article 6.933. Performance of the order
- Article 6.934. Liability for non-performance or improper performance of the payment order
- Article 6. 935. General provisions
- Article 6.936. Revocable letter of credit
- Article 6.937. Irrevocable letter of credit
- Article 6.938. Performance of the letter of credit
- Article 6.939. Refusal to accept the documents
- Article 6.940. The liability of the bank for violation of the conditions of the letter of credit
- Article 6.941. The closing of the letter of credit
- Article 6.942. General provisions
- Article 6.943. Performance of the collection order
- Article 6.944. Notification on operations performed
- Article 6.945. Obligation to pay reward
- Article 6.947. Announcement of public tender
- Article 6.948. The change of the tender conditions or revocation of the tender
- Article 6.949. Resolution to pay remuneration (award) or grant a special right
- Article 6.950. Use of the works of science, literature, art and architecture awarded under the tender
- Article 6.951. The return of the presented works or projects to the participants of the tender
- Article 6.952. Indemnification of damages to the participants of the tender due to non-observance of the rules of the tender by the person who has announced the tender
- Article 6.953. Concept of the property trust agreement
- Article 6.954. The contents of the property trust right
- Article 6.955. Conclusion of transactions
- Article 6.956. Objects of the trust right
- Article 6.957. The founder of the trust right (trustor)
- Article 6.958. Trustee
- Article 6.959. Essential conditions of the property trust agreement
- Article 6.960. The form of the property trust agreement
- Article 6.961. Separation of property
- Article 6.962. The assignment of the mortgaged (pledged) property by the trust right
- Article 6.963. The rights and duties of the trustee
- Article 6.964. Duty to perform the agreement personally
- Article 6.965. The trustee's liability
- Article 6.966. Remuneration for the trustee
- Article 6.967. The expiration of the property trust agreement
- Article 6.968. Peculiarities of the property trust right
- Article 6.969. Concept of the agreement on joint activities (partnership)
- Article 6.970. Contributions of the partners
- Article 6.971. Joint ownership of partners
- Article 6.972. Management of joint affairs
- Article 6.973. The right of the partners to information
- Article 6.974. Joint expenses and joint damages
- Article 6.975. The liability of partners under joint obligations
- Article 6.976. Distribution of profit
- Article 6.977. The separation of the interest of a partner
- Article 6.978. The expiration of the agreement on joint activities
- Article 6.979. Waiver of the non-term agreement on joint activities
- 1. The partner who wishes to waive the non-term agreement on joint activities shall notify to that effect the other partners at least three months prior to such withdrawal, unless otherwise established in the laws or the agreement.
- Article 6.980. Termination of the agreement on joint activities at the request of one of the partners
- Article 6.981. Liability of the partner who has terminated the agreement on joint activities
- Article 6.982. Undeclared partnership
- Article 6.983. Concept of the peaceful settlement agreement
- Article 6.984. The cases when the peaceful settlement agreement is not valid
- Article 6.985. The effect of the peaceful settlement agreement
- Article 6.986. Recognition of the peaceful settlement agreement as void
- Article 6.987. Concept of the insurance agreement
- Article 6.988. Forms and branches of insurance
- Article 6.989. The form of the insurance agreement
- Article 6.990. The procedure for execution of the insurance agreement
- Article 6.991. The insurance certificate (policy)
- Article 6.992. The execution of the insurance agreement according to standard conditions
- Article 6.993. The obligation to disclose information
- Article 6.994. The right of the insurer to evaluate the risk of insurance
- Article 6.995. Confidentiality of information
- Article 6.996. The coming into force of the insurance agreement
- Article 6.997. The amount of insurance
- Article 6.998. Contesting of the amount of insurance
- Article 6.999. Partial insurance
- Article 6.1000. Additional insurance
- Article 6.1001. Legal consequences of the insurance which exceeds the value of insurance
- Article 6.1002. Insurance against various risks
- Article 6.1003. Coinsurance
- Article 6.1005. The substitution of the covered person
- Article 6.1006. Substitution of the beneficiary
- Article 6.1007. Performance of the insurance agreement when there are both the insured and the beneficiary
- Article 6.1008. Substitution of the insurer
- Article 6.1009. The termination of the insurance agreement prior to the term
- Article 6.1010. Increase and decrease of the insurance risk
- Article 6.1011. The change of the owner of the insured property
- Article 6.1012. The obligation of the insured to notify about the insured event
- Article 6.1013. The obligation to take measures to mitigate the loss
- Article 6.1014. Release from the payment of the insurance indemnity
- Article 6.1015. The assignment of the rights of the insured to compensation of the damage onto the insurer (subrogation)
- Article 6.1016. Reinsurance
- Article 6.1017. Mutual insurance
- Article 6.1018. Special branches and groups of insurance
CIVIL CODE
OF THE REPUBLIC OF LITHUANIA
18 July 2000 No VIII-1864 Vilnius
(Last amended on 12 April 2011 No XI-1312)
BOOK ONE
GENERAL PROVISIONS
PART I
CIVIL LAWS AND THEIR APPLICATION
CHAPTER I
CIVIL LAWS AND THE RELATIONSHIPS THEY REGULATE
Article 1.1. Relationships regulated by the Civil Code of the Republic of Lithuania
1. The Civil Code of the Republic of Lithuania shall govern property relationships and personal non-property relationships related with the aforesaid relations, as well as family relationships. In the cases provided for by laws, other personal non-property relationships shall likewise be regulated by this Code.
2. The provisions established by this Code shall apply to property relationships based on the legal subordination of persons to state institutions and directly resultant from their exercise of functions of state power (realization of subordination), or from the performance of persons’ obligations established by laws towards the state, or from the infliction of administrative or criminal sanctions established by laws, including relationships in the field of taxation and other obligatory payments or dues to the state or to its institutions, also in the field of the state budget, as well as to any other relationships governed by the provisions of public law to the extent that these relationships are not regulated by the relevant laws, also in the cases when it is expressly prescribed by this Code.
3. Labour relationships shall be regulated by special laws. The provisions of this Code shall apply to labour relations to the extent that they are not regulated by special laws.
Article 1.2. Principles of legal regulation of civil relationships
1. Civil relationships shall be regulated in accordance with the principles of equality of their subjects’ rights, inviolability of property, freedom of contract, non-interference in private relations, legal certainty, proportionality, and legitimate expectations, prohibition to abuse a right, as well as the principles of comprehensive judicial protection of civil rights.
2. No civil rights may be limited, except in the cases established by laws, or on the basis of a court judgment made in accordance with laws, where such limitation is necessary to protect public order, the principles of good morals, likewise the health and life of people, property of persons, their rights and lawful interests.
Article 1.3. Sources of civil law
1. The sources of the Civil law shall be the Constitution of the Republic of Lithuania, the present Code, other laws and international treaties of the Republic of Lithuania.
2. In the eventuality of contradictions between the present Code and other laws, the provisions of this Code shall apply, except in cases where this Code gives priority to the provisions of other laws.
3. When implementing legal acts of the European Union, other laws may lay down the norms, regulating civil legal relationships, other than those laid down by this Code. In this case the Civil Code shall apply to the extent other laws do not specify otherwise.
4. Civil relationships may be regulated by the decisions of the Government and legal acts of other state institutions only in the cases and to the extent expressly indicated by laws. Where legal acts of the Government or those of the other state institutions contradict the provisions of the present Code or the norms of other laws, the provisions of the Civil Code, or those of the other laws shall prevail.
5. A court has the right to declare a legal act or a part thereof void if it contradicts the Civil Code or another law in those cases where the supervision of the conformity of this act to the Constitution or to other laws is not within the competence of the Constitutional Court. The court, having recognized such a legal act to be void, shall within 3 days send a copy of its judgement to the institution or the official that has passed the legal act concerned. The res judicata court judgement shall be published in “Valstybės žinios” (“The Official Gazette”).
Article 1.4. Customs
1. In the cases established by laws or agreed on in contracts, civil relationships shall be regulated by customs.
2. Customs may not be applied if they are contrary to the mandatory legal norms or to the principles of good faith, reasonableness and justice.
Article 1.5. Application of the criteria of justice, reasonableness and good faith
1. In exercise of their rights and performance of their duties, the subjects of civil relationships shall act according to the principles of justice, reasonableness and good faith.
2. In the cases when laws do not prevent subjects of civil legal relationships from determining their mutual rights and duties upon agreement between themselves, these subjects shall act in accordance with the principles of justice, reasonableness and good faith.
3. If laws or an agreement between the parties provide for certain issues to be decided by a court according to its discretion, the court shall act in accordance with the principles of justice, reasonableness and good faith.
4. In interpreting and applying laws, the court shall be guided by the principles of justice, reasonableness and good faith.
Article 1.6. Ignorance of laws or improper understanding thereof
Ignorance of laws or improper understanding thereof shall not exempt from the application of the sanctions established therein, and shall not justify the failure to comply with the requirements of laws, likewise improper compliance therewith.
Article 1.7. The effect of civil laws
1. Civil laws and the other legal acts regulating civil relationships shall enter into force only upon their publication within the procedure established by the laws.
2. Civil laws and other legal acts regulating civil relationships shall have no retroactive effect.
Article 1.8. Analogy of a statute and law
1. Civil relationships not regulated by the norms of the Civil law shall be governed by civil laws that regulate similar relationships (analogy of statute).
2. In absence of relevant civil laws regulating similar relationships, general principles of law shall be applied (analogy of law).
3. Special norms, i.e. those establishing exceptions to general rules, may not be applied by analogy.
Article 1.9. Principles of interpretation of the Civil Code provisions
1. In order to ensure the integrity of the present Code and the conformity of its separate structural parts, the provisions of this Code in the process of their application shall be interpreted by taking into account the structure and system of this Code.
2. The words and word combinations used in this Code shall be interpreted according to their general meaning, except in those cases where it is clear from the context that a word or word combination is used in a special – legal, technical or any other – meaning. In the cases of non-conformity between the general and the special meaning of a word, priority shall be given to the special meaning.
3. In determining the right meaning of an applicable norm, the purposes and tasks of the Civil Code and the norm concerned shall be taken into consideration.
CHAPTER II
PRIVATE INTERNATIONAL LAW
SECTION ONE
GENERAL PROVISIONS
Article 1.10. Application of foreign law
1. Foreign law shall apply to civil relationships where it is so provided for by the international treaties of the Republic of Lithuania, agreements between the parties or the laws of the Republic of Lithuania.
2. A reference to foreign law shall include all the provisions applicable to the facts of a case under that law. The application of a provision of foreign law may not be precluded solely because of the provision being attributed to public law.
3. A reference to an applicable foreign law means a reference to the national material law of the state concerned, but not a reference to the private international law of that state, except in cases provided for by this Code.
4. Where the legal system of the state to which the renvoi is made by the provisions of this Code comprises different legal systems based on the criteria of division into several territorial units, a reference to an applicable foreign law shall mean a reference to the legal system of the relevant territory determined in accordance with the criteria established in the law of that foreign state.
5. Where the legal system of the state to which renvoi is made by the provisions of this Code comprises several legal systems applied to different categories of persons, the applicable legal systems shall be determined in accordance with the criteria established in the law of that foreign state.
6. Where the criteria foreseen in paragraphs 4 and 5 of this Article may not be identified within the scope of the applicable foreign law, the law of the legal system to which the relevant case is most closely connected shall apply.
Article 1.11. Limitation of the application of foreign law
1. The provisions of foreign law shall not be applied where the application thereof might be inconsistent with the public order established by the Constitution of the Republic of Lithuania and other laws. In such instances, the civil laws of the Republic of Lithuania shall apply.
2. Mandatory provisions of laws of the Republic of Lithuania or those of any other state most closely related with a dispute shall be applicable regardless of the fact that another foreign law has been agreed upon by the parties. In deciding on these issues, the court shall take into consideration the nature of these provisions, their purpose and the consequences of application or non-application thereof.
3. In accordance with this Code, the applicable foreign law may not be given effect where, in the light of all attendant circumstances of the case, it becomes evident that the foreign law concerned is clearly not pertinent to the case or its part, with the case in question being more closely connected with the law of another state. This provision shall not apply where the applicable law is determined by the agreement of the parties.
Article 1.12. Determination of the content of foreign law
1. In the cases established by the international treaties of the Republic of Lithuania or by the laws of the Republic of Lithuania, the application, interpretation and determination of the content of foreign law shall be performed by the court ex officio (on its own initiative).
2. In the instances where the application of foreign law is established upon agreement between the parties, the burden of proof in relation to the content of the applicable foreign law in accordance with its official interpretation, practice of application and the law doctrine in the relevant foreign state, shall be imposed on the disputing party that refers to the foreign law. Upon request of the disputing party, the court may provide assistance in collecting information on the applicable foreign law.
3. If the court or the disputing party that refers to foreign law fails to perform the obligation indicated in paragraphs 1 and 2 of this Article, the law of the Republic of Lithuania shall apply.
4. In the exceptional cases where it is necessary to take immediate interim measures to protect the rights or the property of a person, the court may decide on the urgent questions by applying the law of the Republic of Lithuania pending the determination of the law applicable to the dispute and the content thereof.
Article 1.13. International treaties
1. Where the provisions established in the international treaties of the Republic of Lithuania are different from those determined by the present Code and other laws of the Republic of Lithuania, the provisions of the international treaties of the Republic of Lithuania shall apply.
2. The international treaties of the Republic of Lithuania shall apply to civil relationships directly, except in cases where an international treaty establishes that a special national legal act is necessary for its application.
3. The provisions of international treaties shall be applied and interpreted in accordance with their international character and the necessity to guarantee a unified interpretation and application thereof.
Article 1.14. Referring back and referring to the law of a third state (renvoi)
1. If the applicable foreign law refers back to the Lithuanian law, that reference shall be observed only in the instances provided for by this Code or the foreign law.2. If the applicable foreign law refers to the law of a third state, that reference shall be observed only in the instances provided for by this Code or the law of the third state.
3. If in the matters of determining the civil legal status of a person, the applicable foreign law refers back to the law of the Republic of Lithuania, such reference shall be observed.
4. Paragraphs 1, 2 and 3 of this Article shall not apply in the instances where the applicable law has been chosen by the parties to a transaction, likewise in determining the applicable law to the form of a transaction and to non-contractual obligations.
5. Where the provisions of this Chapter provide for the application of an international treaty (convention), the matters of renvoi, i.e. referring back and referring to the law of a third state, shall be decided in accordance with the provisions of the applicable international treaty (convention).
SECTION TWO
LAW APPLICABLE TO THE CIVIL LEGAL STATUS OF NATURAL PERSONS
Article 1.15. Civil capacity of foreign citizens and stateless persons
1. Foreign citizens in the Republic of Lithuania shall possess the same civil capacity as the citizens of the Republic of Lithuania. Exceptions to this rule may be established by the laws of the Republic of Lithuania.
2. The time of birth and death of foreign citizens shall be determined in accordance with the law of the state where was the domicile of the foreign citizens (Article 2.12 of this Code) at the moment of their birth or death.
3. Stateless persons shall possess the same civil capacity as the citizens of the Republic of Lithuania. Special exceptions to this rule may be established by the laws of the Republic of Lithuania.
4. The time of birth and death of stateless persons shall be determined in accordance with the law of the state where was the domicile of the stateless persons at the moment of their birth or death.
Article 1.16.Civil active capacity of foreign citizens and stateless persons
1. Civil active capacity of foreign citizens or stateless persons shall be governed by the laws of their state of domicile.
2. If such persons have no domicile or it cannot be determined with certainty, their legal active capacity shall be determined in accordance with the laws of the state within the territory of which these persons formed a relevant transaction.
3. If a person has residence in more than one state, the law of the state with which he is the most closely connected shall apply.
4. The ascertainment of incapacity or limited capacity of foreign citizens and stateless persons with permanent residence in the Republic of Lithuania shall be governed by the laws of the Republic of Lithuania.
5. A change of domicile shall not affect civil active capacity if that capacity was acquired prior to the change of domicile.
Article 1.17. Prohibition to invoke incapacity
1. A party to a transaction, who is incapable under the law of the state of his domicile may not invoke his incapacity if he was capable under the law of the state in which the transaction was formed, unless the other party was or should have been aware of the first party’s incapacity under the law of the state of the latter’s domicile.
2. Provisions of paragraph 1 of this Article shall not apply to family law and the law of succession, as well as to real rights.
Article 1.18. Declaration of foreign citizens and stateless persons to be missing or dead
Foreign citizens and stateless persons shall be acknowledged missing or declared dead in accordance with the law of the state of their last known domicile.
SECTION THREE
LAW APPLICABLE TO LEGAL PERSONS OR ANY OTHER ORGANISATIONS
Article 1.19. Civil capacity of foreign legal persons or any other organisations
1. Civil capacity of foreign legal persons or any other organisations shall be governed by the laws of the state where these persons or organizations are founded.
2. If the procedure of founding a foreign legal person or any other organisation has been violated, its civil capacity shall be determined by the law of the state of its actual functioning.
3. Irrespective of the state of foundation of a legal person or any other organisation, the civil capacity of its subdivisions shall be determined in accordance with the law of the Republic of Lithuania if the head office, principal place of business or other activity of the subdivision is located in the Republic of Lithuania.
4. Merger, association or transfer of the head office of legal persons or any other organizations, one of which is located in the Republic of Lithuania and the other in a foreign state, shall have effect on their civil capacity in the Republic of Lithuania only if implemented in conformity with the laws of both states concerned.
Article 1.20. Issues regulated in accordance with the applicable law
1.The following shall be regulated in accordance with the applicable law determined in Article 1.19 of this Code:
1) the legal nature (legal form and status) of a legal person or any other organization;
2) foundation, reorganization and liquidation of a legal person or any other organization;
3) the name of a legal person or any other organization;
4) the system and competence of the bodies of a legal person or any other organization;
5) civil liability of a legal person or any other organization;
6) the power to represent a legal person or any other organization;
7) legal effects of the violation of laws or incorporation documents;
2. Protection against infringement of the business name of a legal person or any other organization registered in the Republic of Lithuania shall be governed by the law of the Republic of Lithuania.
Article 1.21. Law applicable to the representative offices and branches of foreign legal persons or any other organizations
1. Representative offices and branches of foreign legal persons or any other organizations registered in the Republic of Lithuania shall be governed by the law of the Republic of Lithuania.
2. At least one of the persons acting on behalf of a representative office or a branch shall be bound to reside in the Republic of Lithuania. This provision shall not apply to representative offices or branches, established in the Republic of Lithuania, of the legal persons or other organizations of the member states of the European Union and the states of the European Economic Area.
3. The rights and obligations (competence) of the persons acting on behalf of a representative office or a branch registered in the Republic of Lithuania shall be determined by the law of the Republic of Lithuania.
Article 1.22. Law applicable to representatives of foreign legal persons or any other organizations and to their civil liability
1. If the business of a legal person or any other organization founded under foreign law is conducted in the Republic of Lithuania, the civil liability of the persons acting on behalf and in the interests of those legal persons or any other organizations shall be governed by the law of the Republic of Lithuania.
2. A legal person or any other organization may not claim for annulment or invalidity of a transaction formed by its body or any other representatives in excess of their competence (powers) if the law of the state where the domicile or the head office of the other party to the transaction is located does not provide for any restrictions on their representative powers, unless the other party knew or, taking into account its position and the relationship with the other party, should have known of such restrictions.
Article 1.23. Law applicable to the state and state institutions as well as to local governments and local government institutions as subjects to civil legal relationships
Civil capacity of the state and state institutions as well as those of local governments and local government institutions shall be governed by the law of the state concerned.
SECTION FOUR
LAW APPLICABLE TO FAMILY LEGAL RELATIONSHIPS
Article 1.24. Law applicable to a promise to marriage
1. A promise to marry and its legal effects shall be governed by the law of the state of domicile of the parties to the promise.
2. Where the parties to the promise of marriage are domiciled in different states, the promise of marriage and its legal effects shall be governed by the law of the place where the promise was made, or by the law of the state of domicile of one of the parties, or by the law of the state of citizenship of one of the parties, whichever law is most closely related with the dispute.
Article 1.25. Law applicable to the conditions to contract marriage
1. Matrimonial capacity and other conditions to contract marriage shall be governed by the law of the Republic of Lithuania.
2. Civil Registration Bureaus of the Republic of Lithuania shall have jurisdiction to perform the registration of marriage if either of the persons intending to marry is domiciled in the Republic of Lithuania or is a Lithuanian citizen at the time of solemnization of the marriage.
3. Matrimonial capacity and other conditions to contract marriage in respect of foreign citizens and stateless persons without Lithuanian domicile may be determined by the law of the state of domicile of both persons intending to marry if such marriage is recognized in the state of domicile of either of them.
4. A marriage validly performed abroad shall be recognized in the Republic of Lithuania, except in cases when both spouses domiciled in the Republic of Lithuania performed the marriage abroad with the purpose of evading grounds for nullity of their marriage under Lithuanian law.
Article 1.26. Law applicable to the procedure of contracting marriage
The procedure of contracting marriage shall be determined in accordance with the law of the state where the marriage is solemnized. Marriage shall also be recognized valid if the procedure of its contracting is in compliance with the requirements of the law of the state of domicile of either of the spouses or the law of the state of citizenship of either of them at the moment of solemnization of the marriage.
Article 1.27. Law applicable to personal relations between spouses
1. Personal relations between spouses shall be governed by the law of the state of their domicile.
2. Personal relations between the spouses domiciled in different states shall be governed by the law of the state of their last common domicile. Where the spouses have never had a common domicile, the law applicable to their personal relations shall be the law of the state to which the personal relations between the spouses are the most closely related. Where it is not possible to determine to the law of which state the personal relations between the spouses are the most closely related, the law of the state where the marriage was solemnized shall apply.
Article 1.28. Law applicable to matrimonial property relations between spouses
1. The matrimonial property legal regime shall be governed by the law of the state of domicile of the spouses. Where the spouses are domiciled in different states, the law of their common state of citizenship shall apply. Where the spouses have never had a common domicile and are citizens of different states, the law of the state where the marriage was solemnized shall apply.
2. The law applicable to contractual legal regime of matrimonial property shall be determined by the law of the state chosen by the spouses upon agreement. In this event, the spouses may choose the law of the state in which they are both domiciled or will be domiciled in future, or the law of the state in which the marriage was solemnized, or the law of the state a citizen of which is one of the spouses. The agreement of the spouses upon the applicable law shall be valid if it is in compliance with the requirements of the law of the chosen state or the law of the state in which the agreement is made.
3. The applicable law chosen upon agreement of the spouses may be invoked against third persons only if they knew or should have known of that fact, i.e. if the third party knew or should have known the chosen law that governed the matrimonial property regime when the legal relationship commenced.
4. The applicable law chosen upon agreement of the spouses may be used in resolving a dispute related to real rights in immovable property only in the event if the requirements of public registration of this property and of the real rights therein, as determined by the law of the state where the property is located, were complied with.
5. Any agreed change of matrimonial property legal regime shall be governed by the law of the state of domicile of the spouses at the time of the change. If the spouses were domiciled in different states at the time of change of the matrimonial property legal regime, the applicable law shall be the law of their last common domicile, or failing that, the law governing matrimonial property relationships between the spouses.
Article 1.29. Law applicable to separation and dissolution of marriage
1. Separation and dissolution of marriage shall be governed by the law of the spouses’ state of domicile.
2. If the spouses do not have their common domicile, the law of the state of their last common domicile shall apply, or failing that, the law of the state where the case is tried.
3. If the law of the state of common citizenship of the spouses does not permit dissolution of marriage or imposes special conditions for dissolution, the dissolution of marriage may be performed in accordance with the law of the Republic of Lithuania if one of the spouses is also a Lithuanian citizen or is domiciled in the Republic of Lithuania.
Article 1.30. Jurisdiction in the cases of annulment, dissolution of marriage and separation
The courts of the Republic of Lithuania shall have jurisdiction over actions of annulment, dissolution of marriage or separation in the cases provided for by the Code of Civil Procedure of the Republic of Lithuania.
Article 1.31. Law applicable to the ascertainment of the origin of a child (legitimation)
1. The origin of a child (ascertainment or contest of paternity or maternity) shall be established either in accordance with the law of the state the citizenship of which the child acquired at his birth, or with the law of the state which is recognized as the domicile of the child at the time of his birth, or with the law of the state in which one of the child’s parents is domiciled, or with the law of the state the citizen of which one of the parents was at the time of the child’s birth, whichever is more beneficial to the child.
2. The consequences of legitimation shall be governed by the law of the state of domicile of the child.
3. If a child or one of his parents is domiciled in the Republic of Lithuania, the questions of legitimation shall be decided by the courts or other state institutions of the Republic of Lithuania.
4. The parents’ (the father’s or the mother’s) legal active capacity in acknowledging paternity (maternity) shall be governed by the law of the state of his or her domicile at the time of the acknowledgement. The form of the acknowledgement of paternity (maternity) shall be governed by the law of the state in which it is made or by the law of the state of the child’s domicile.
5. The provisions of this Article shall also apply to the legitimation of a child born out of wedlock.
Article 1.32. Law applicable to relations between the parents and the child
1. Personal and property relationships between the parents and the child shall be governed by the law of the state of the child’s domicile.
2. If neither parent is domiciled in the state of the child’s domicile, while the child and the parents are citizens of the same state, the law of the state of their common citizenship shall apply.
Article 1.33. Law applicable to adoption relationship
1. Relationships of adoption shall be governed by the law of the state of the child’s domicile.
2. Where it becomes evident that the adoption performed according to the law of the state of the child’s (the adoptee’s) domicile will not be recognized in the state of domicile or citizenship of the adoptive parents (adoptive parent), the adoption may be performed pursuant to the law of the state of domicile or citizenship of the adopter (the adopters) if this will not prejudice the best interests of the child. If the recognition of adoption remains uncertain, the adoption shall not be allowed.
3. Relations between the adopted person (the adoptee) on the one side, and the adopting persons (the adopters) and the relatives of the latter on the other side shall be governed by the law of the state of the adopters’ (the adopter’s) domicile.
4. Cases related with adoption shall belong to the jurisdiction of the courts of the Republic of Lithuania if the child (the adoptee) or the adopting persons (adopting person) are domiciled in the Republic of Lithuania.
Article 1.34. Law applicable to protective measures in relation to minors, their guardianship and curatorship
Law applicable to protection of minors, their guardianship and curatorship shall be determined pursuant to the Hague Convention of 5 October 1961 concerning the Powers of Authorities and the Law Applicable in Respect of the Protection of Minors.
Article 1.35. Law applicable to guardianship and curatorship of family members who have reached majority
1. Guardianship and curatorship of family members who have reached majority shall be governed by the law of the state of such incapable persons’ domicile.
2. Cases related with guardianship or curatorship of persons who have reached majority shall belong to the jurisdiction of the courts of the Republic of Lithuania if the incapable person’s domicile or his property is located in the Republic of Lithuania.
Article 1.36. Law applicable to maintenance obligations (alimony relationships) within the family
Maintenance obligations (alimony) within the family shall be governed by the Hague Convention of 2 October 1973 on the Law Applicable to Maintenance Obligations.
SECTION FIVE
LAW APPLICABLE TO CONTRACTUAL OBLIGATIONS
Article 1.37. Law applicable to contractual obligations
1 Contractual obligations shall be governed by the law agreed by the parties. Such agreement of the parties may be expressed in the form of separate terms of the concluded contract or it may be determined in accordance with the factual circumstances of the case. The law of the state designated by the agreement of the contracting parties may be applied to the whole contract or only to a part or parts thereof.
2. The initially chosen law applicable to contractual obligations may be changed by the agreement of the parties at any time. A change of law shall be retroactive to the time the contract was concluded though such change may not adversely effect the rights of third persons and shall not prejudice the formal validity of the contract.
3. The choice of the law applicable to a contract as made by the agreement of the parties may not be the grounds for refusing to apply the mandatory legal norms of the Republic of Lithuania or those of any other state that cannot be changed or declined by the agreement of the parties.
4. If no law applicable to a contractual obligation is designated by the agreement of the contracting parties, the law of the state with which the contractual obligation is most closely connected shall apply. The contractual obligation shall be presumed to be the most closely connected with the state in the territory of which:
1) the party bound to perform the obligation most characteristic to the contract is domiciled or has its central administration. If the obligation is most closely connected with the law of the state where the business of the party to the obligation is located, the law of that state shall apply;
2) immovable property is located, if the subject matter of the contract is the right in the immovable property or the right to its use;
3) was the place of the principal business of a carrier at the time when the contract for carriage was made, if the state of the principal business of the carrier is also the same state where the cargo was loaded, or the head office of the sender is located, or the place the cargo was dispatched from.
5. Paragraph 4 of this Article shall not apply where it is impossible to determine the place of performance of the obligation most characteristic to the contract and the presumptions established in this paragraph may not be relied upon as it is evident from the circumstances of the case that the contract is most closely connected with another state.
6. A contract of insurance shall be governed by the law of the state where the domicile or the place of business of the insurer is located; a contract of insurance in respect to an immovable thing shall be governed by the law of the state in the territory of which the thing is located.
7. An arbitration agreement shall be governed by the law applicable to the principal contract, and in the case of invalidity of the principal contract, by the law of the place where the arbitration agreement was concluded, where it is impossible to identify the place of conclusion, the law of the state in which arbitration is situated shall apply.
8. Contracts concluded in a stock exchange or auction shall be governed by the law of the state in which the stock exchange or auction is located.
Article 1.38. Law applicable to the form of transaction
1. The form of transaction shall be governed by the provisions established in paragraph 1 of Article 1.37 of this Code.
2. If no applicable law is designated by the agreement of the parties, the form of transaction shall be governed by the laws of the place where the parties entered into that transaction. A contract made by the parties residing in different states shall also be considered valid if its form corresponds to the legal requirements in respect of the form of the relevant transaction established in the national law of at least one of those states.
3. The form of transactions regarding an immovable thing or the rights therein shall be governed by the law of the state in which the immovable thing is located.
4. The form of consumer contracts concluded in cases provided for in paragraph 1 of Article 1.39 of this Code shall be governed by the law of the place of the consumer’s domicile.
Article 1.39. Particularities of application of foreign law to consumer contracts
1. A consumer contract for the purposes of this Article as well as other Articles of this Code shall be a contract on the acquisition of goods or services concluded between a natural person (consumer) and a person who sells such goods or services (supplier) for the purposes not related with the consumer’s commercial or professional activities, i.e. for the satisfaction of the consumer’s personal, family or household needs.
2. The right of the contracting parties established in paragraph 1 of Article 1.37 of this Code to make a choice of the law applicable to a contractual obligation shall not result in depriving or restricting the consumer of the right to protect his interests by the remedies determined by the provisions of the law of the state of his domicile if:
1) the formation of the contract in the state of his domicile was preceded by a special offer or by advertising in that country;
2) the consumer was induced by the other contracting party to travel to a foreign state for the purpose of forming the contract;
3) the order was received by the other party or his agent from the consumer in the state of the latter’s domicile.
3. If the parties to a consumer contract have not made a choice of the applicable law, the law of the state in which the consumer is domiciled shall apply.
4. The provisions of this Article shall not apply to contracts for carriage, contracts for the supply of services where the services are to be supplied to the consumer exclusively in a country other than the Republic of Lithuania.
Article 1.40. Laws applicable to the form, time-limit of validity and content of a power of attorney
The form of a power of attorney shall be governed by the law of the state in the territory of which it is issued. The time-limit of validity of a power of attorney, where it is not indicated in the document itself, the powers (rights and obligations) of the agent, the bilateral liability of the principal and the agent, and their liability in respect of third persons shall be governed by the law of the state in which the agent acts.
Article 1.41. Law applicable to gift
1. Gifts shall be governed by the law of the state of the donor’s domicile or his business activities with the exception of contracts upon gifting of an immovable thing, as such contracts shall be governed by the law of the state where that immovable thing is located.
2. A gift cannot be declared invalid as to its form if the form corresponds to the requirements of the law of the state in which the act of gift was performed, or of the law of the state of the donor’s domicile or his place of business activities.
Article 1.42 Law applicable to the assignment of a claim and the assumption of debt
1. Relations connected with the assignability of a claim and the assumption of a debt shall be governed by the law chosen by the parties upon agreement.
2. The choice of law made by the parties in the assignment of a claim may not be applied against the debtor without his consent to the application of the chosen law.
3. In the event of the parties not having made a choice of the applicable law, relations connected with the assignability of a claim and the assumption of a debt shall be regulated by the law governing the principal obligation, the claim arising from which (the debt) is to be assigned (assumed).
4. The form of the assignment of a claim or the assumption of a debt shall be governed by the law applicable to the contract of assignment or assumption.
SECTION SIX
LAW APPLICABLE TO DELICTUAL OBLIGATIONS
Article 1.43. Law applicable to delictual obligations
1. Rights and obligations of the parties resulting from tort shall be governed, at the choice of the aggrieved party, either by the law of the state where the tortious act was committed or any other tortious circumstances occurred, or by the law of the state in which the damage occurred.
2. Where it is impossible to determine the place where the act was committed or other circumstances occurred, or the state in which the damage appeared, the law of the state most closely connected with the case upon reparation for damage shall apply.
3. After the incurrence of damage, the parties may agree that the law applicable to the reparation for damage shall be the law of the state where the case concerned is being heard.
4. If both parties are domiciled in the same state, the law of that state shall be applicable to the reparation for damage.
5. An obligation to make reparation for damage caused by defective products shall be governed by the law of the state where the damage was incurred if the aggrieved person is domiciled in the same state, or it is the place of business of the person liable for the damage, or the products of inferior quality were acquired there by the aggrieved person. If the state of domicile of the aggrieved person coincides with the state of the place of business of the person liable for the damage caused, or with the state in which the defective product was acquired, the law of the state of the aggrieved person’s domicile shall apply. Where it is impossible to determine the applicable law in accordance with the criteria indicated in this paragraph, the law of the state where the business of the person liable for the damage is located shall apply, except in cases when the claim of the plaintiff is based on the law of the state in which the damage was made.
6. Terms of civil liability, its extent, the person liable and the terms of release from civil liability shall be governed by the law applicable to the obligations resulting from the delictual obligations.
Article 1.44. Law applicable to claims resulting from a traffic accident
Claims resulting from a traffic accident shall be governed by the Hague Convention of 4 May 1971 on the Law Applicable to Traffic Accidents.
Article 1.45. Law applicable to claims resulting from infringement of personal non-property rights
1. Claims for reparation of damage resulting from infringement of personal non-property rights committed by the mass media shall be governed, depending on the choice of the aggrieved person, by the law of the state where the aggrieved person is domiciled, or has his place of business, or where the infringement occurred, or by the law of the state where the person who caused the damage is domiciled or has his place of business.
2. Response to the media (denial) shall be governed by the law of the state in which the publication appeared, or the radio or television program was broadcast.
Article 1.46. Law applicable to claims for reparation of damage resulting from an act of unfair competition
Claims for reparation of damage resulting from an act of unfair competition shall be governed by the law of the state in whose market the negative effects of unfair competition occurred. If the act of unfair competition has affected exclusively the interests of an individual person, the applicable law shall be that of the state where the place of business of the aggrieved person is located.
Article 1.47. Plurality of debtors
If damage is caused by several persons, the applicable law shall be determined for each of them in accordance with the provisions of Article 1.43 of this Code.
SECTION SEVEN
LAW APPLICABLE TO REAL RIGHTS
Article 1.48. Law applicable to ownership legal relations
1. The ownership right and other real rights in an immovable and movable thing shall be governed by the law of the state where the thing was situated at the moment of change of its legal status. Acknowledgement of a thing to be movable or immovable shall be governed by the law of the state in which the relevant thing is located.
2. Official registration of the ownership right and other real rights shall be governed by the law of the state where the thing is located at the time of its registration.
3. The ownership right and other real rights in a thing in transit (cargo) shall be governed by the law of the state of destination of this thing.
4. The ownership right to an immovable thing resulting from acquisitive prescription shall be governed by the law of the state where the thing is located.
Article 1.49. The right of the parties to choose the law applicable to a movable thing
1. The parties may choose upon their agreement the law of the state of dispatch or the state of destination of the thing, or the law regulating the underlying legal transaction as the law applicable to the arisal and termination of the rights to the movable property.
2. The choice of the applicable law may not affect the rights of third persons.
Article 1.50. Law applicable to encumbrance of the right in a movable thing
1.Where a movable thing over which encumbrance of right was validly established abroad is imported into the Republic of Lithuania, that encumbrance shall be acknowledged to be likewise valid in the Republic of Lithuania.
2. Retention of title over a movable thing validly established abroad shall remain valid after that thing has been transported into the Republic of Lithuania, though such retention may not affect the rights of third persons in good faith.
3. Retention of title over a movable thing in transit shall be governed by the law of the state of its place of destination.
Article 1.51. Law applicable to pledge
1. The pledge of rights, securities and claims shall be governed by the law chosen by the parties, though the choice of law may not affect the rights of third persons.
2. In the absence of the parties’ choice of law, the pledge of claims and securities shall be governed by the law of the state where the place of domicile or business of the secured creditor is located; the pledge of other rights shall be governed by the law applicable to such rights.
SECTION EIGHT
LAW APPLICABLE TO INTELLECTUAL PROPERTY RIGHTS
Article 1.52. Law applicable to contracts related to intellectual property rights
1. In the absence of the parties’ choice of applicable law (Article 1.37 of this Code), contracts related to intellectual property rights shall be governed by the law of the state where the party transferring the intellectual property rights or granting the use thereof has his domicile or the place of business.
2. Contracts between an employer and an employee regarding the rights to intellectual property created by the employee in the course of his employment shall be governed by the law applicable to employment contracts.
Article 1.53. Intellectual property rights and the law applicable to their protection
1. Intellectual property rights and their protection shall be governed by the law of the state where the protection of the intellectual property rights is sought.
2. In the event of infringement of intellectual property rights, the parties may agree after the occurrence of the damage that the applicable law shall be the law of the state where the court hearing the case concerned is located.
SECTION NINE
LAW APPLICABLE TO OTHER OBLIGATIONS
Article 1.54. Law applicable to obligations arising from the reception of a thing not due, or unjust enrichment
1. Claims resulting from an obligation performed without any legal grounds for such performance shall be governed by the law of the state pursuant to the laws of which the legal sources for the obligation are determinable.
2. Claims related with unjust enrichment resulting from unlawful actions shall be governed by the law of the state where such unlawful actions were performed.
3. Where reception of a thing not due or unjust enrichment occurs from the existing legal relationship between the parties, the law determining that legal relationship shall apply.
Article 1.55. Law applicable to unilateral transactions
Unilateral transactions shall be governed by the law of the state where they were formed.
Article 1.56. Law applicable to securities
1. Cheques and bills of exchange shall be governed by the provisions set forth in the Geneva Convention of March 19, 1931 on Conflicts of Law in Matters of Bank Cheques and the Geneva Convention of June 7, 1930 on Conflicts of Law in Matters Involving Bills of Exchange and Promissory Notes.
2. Other securities shall be governed by the law of the state where they are issued (drawn).
Article 1.57. Law applicable to the currency in which payments are to be made
1. Currency in which payments are to be made shall be determined by the law of the state where the payment must be made, unless the parties have chosen upon their agreement the currency in which the payments are to be made.
2. In all other cases, currency shall be regulated by the law of the state which issued the currency.
Article 1.58. Law applicable to obligations deriving from other grounds
Obligations deriving from management of affairs of another, likewise obligations deriving from other grounds not specified in this Chapter shall be governed by the law of the state where the grounds for the obligation occurred.
Article 1.59. Law applicable to prescription
Prescription shall be governed by the law applicable in determining the rights and obligations of the participants in the relevant civil legal relationship.
SECTION TEN
LAW APPLICABLE TO LEGAL RELATIONS OF SUCCESSION
Article 1.60. Capacity to make a will
The capacity of making, amending or revoking a will shall be governed by the law of the state of the testator’s domicile. Where a person has no domicile or it is impossible to be determined, the capacity of such person to make a will shall be governed by the law of the state were the will is made.
Article 1.61. Form of a will
1. The form of a will, its amendment or revocation shall be governed by the law of the state where these acts are performed.
2. A will as well as its amendment or revocation shall also be valid in regard of the form if the form of the indicated acts is in compliance with the requirements of the law of the state of the testator’s domicile, or those of the laws of the state whose citizen the testator was at the time when the relevant acts were performed, or the law of the state of the testator’s residence at the time when those acts were performed or at the time of his death. A will in respect of an immovable thing, as well as any amendment or revocation thereof shall be valid if the form of the acts concerned is in compliance with the requirements of the law of the state where the immovable thing is located.
Article 1.62. Law applicable to other legal relations of succession
1. Other legal relationships of succession, with the exception of those related with inheritance of immovable things, shall be governed by the law of the state of domicile of the testator at the time of his death. Relations of succession in respect of an immovable thing shall be governed by the law of the state where the immovable thing is located.
2. Where succession opens by the death of a citizen of the Republic of Lithuania, irrespective of the law applicable, his heirs residing in the Republic of Lithuania and in possession of the right to the mandatory share of succession shall inherit this part in accordance with the law of the Republic of Lithuania, except the immovable things.
3. Where in accordance with the law applicable to relations of succession a property cannot devolve to a foreign state, and where no other heir thereto is known and the property is located in Lithuania, that property shall be devolved to the ownership of the Republic of Lithuania.
PART II
TRANSACTIONS
CHAPTER III
CONCEPT AND FORM OF TRANSACTIONS
Article 1.63. Concept and types of transactions
1. Transactions are the actions of persons intended to create, modify or extinguish civil rights and duties.
2. Transactions may be unilateral, bilateral or multilateral.
3. A transaction shall be considered to be unilateral where the expression of the will of one party is a necessary and sufficient condition for its formation.
4. A unilateral transaction shall impose obligations exclusively on the person who forms it. Obligations on any other persons shall be imposed by a unilateral transaction only in the cases established by laws or by an agreement between the persons concerned.
5. Legal norms which regulate obligations and contracts shall apply to unilateral transactions to the extent that this does not prejudice laws and the essence of the unilateral transaction.
6. A transaction shall be considered to be bilateral where the concerted will of two parties is a necessary condition for its formation.
7. A transaction shall be considered to be multilateral where the concerted will of three or more parties is a necessary condition for its formation.
Article 1.64. Form of the expression of will
1. The free will of a person who enters into a transaction may be expressed verbally, in writing, by action or in any other manner of expressing will.
2. The will of a person may be implied subject to the special circumstances under which the transaction is formed.
3. Silence may be deemed to be an expression of will exclusively in the cases established by laws or agreed upon by the parties to the transaction.
Article 1.65. Expression of will by means of public notice
1. In the cases established by laws or a contract, a person – the declarant – may express his will by means of a public notice (public authorization, public annulment of authorization, etc.) in accordance with the procedure established by this Article.
2. A public notice shall be published in a newspaper that is issued in the last known place of residence or business either of the other party to the transaction or that of the declarant of will, also in the major dailies of the Republic of Lithuania in accordance with the procedure established by the Code of Civil Procedure in respect of the service of public notice of court summons. The court may, if necessary, establish any other procedure for the expression of a person’s will by means of public notice.
3. A declaration of will by public notice shall be presumed to have become known to the other party upon the lapse of 14 days counting from the date of the last public declaration. However, this presumption shall not apply if the person who declared his will by public notice failed to perform every possible action available to him for the ascertainment of the place of residence or business of the other party to the transaction.
4. A public declaration of will shall be published at the expense of the declarant of the will.
Article 1.66. Conditional transaction
1. A transaction may render the appearance, modification or extinguishment of rights and duties dependent upon the fulfillment or non-fulfillment of certain conditions.
2. A transaction shall be deemed to be concluded with a suspensive condition if the arising of rights and duties therefrom is conditioned by the parties upon an uncertain event.
3. A transaction shall be deemed to be concluded with a resolutory condition if the extinguishment of rights and duties arising therefrom is conditioned by the parties upon an uncertain event.
4. A transaction shall be null and void if the arising, modification or extinguishment of rights and duties is conditioned by the parties upon the fulfillment of an unlawful condition or a condition incompatible with the public order or good morals, or upon the performance of unlawful actions.
Article 1.67. Consequences of an unfair hindering or assistance in the appearance of a condition
1. Where the appearance of a condition is unfairly hindered by a party to whom the condition is disadvantageous, this condition shall be considered as having existed.
2. Where the appearance of a condition is unfairly facilitated by a party to whom the condition is advantageous, this condition shall be considered as not having existed.
Article 1.68. Other consequences of a conditional transaction
- 1.
-
If a condition had already been fulfilled at the time when the transaction was formed, such transaction shall be unconditional in the case of a suspensive condition, and null and void in the case of a resolutory condition.
- 2.
-
If non-fulfillment of the conditions was already certain at the time when the transaction was formed, such transaction shall be unconditional in the case of a suspensive condition, and null and void in the case of a resolutory condition.
- 3.
-
A transaction subject to a suspensive condition which is impossible objectively shall be null and void; a transaction subject to a resolutory condition which is objectively impossible shall be unconditional.
- 4.
-
A transaction subject to a suspensive condition shall be null and void if the condition is dependent solely upon the will of the debtor.
Article 1.69. Place of transaction forming
1. A unilateral transaction shall be deemed to have been formed in the place where the will of a party to the transaction is expressed (the place where an authorization is given or a will (a testament) is made, etc.)
2. A bilateral or multilateral transaction shall be deemed to have been formed in the place of residence or business of the offeror, unless laws or agreement of the parties provide for otherwise.
3. Where the receipt of the notice of acceptance by the offeror is not a necessary condition for the formation of a transaction, such transaction shall be deemed to have been formed in the place of residence or business of the acceptor, or the place in which the factual actions of the acceptor were performed.
Article 1.70. Procedure of forming transactions
1. Natural persons may form transactions themselves or through their agents. It shall not be allowed to enter into transaction through an agent if, dependent on the nature of the transaction, it may be formed only by the natural person himself; the same stands for any other transactions determined by laws.
2. Transactions on behalf of legal persons shall be formed by the bodies or agents indicated in their incorporation documents.
Article 1.71. Form of transactions
1. Transactions shall be made in writing (in the ordinary or notarial form) or their formation may be implied from the actions.
2. A transaction, in respect of which there is no specific form established by laws, shall be deemed to have been formed if the person demonstrates by his behaviour the will to form a transaction (a contract formed by actions).
Article 1.72. Verbal form of transactions
1. Where the written form is not required by laws or by an agreement of the parties as a necessary condition for the forming of a transaction, the transaction may be formed verbally.
2. Transactions resulting from the performance of a written contract may be formed verbally if this does not contradict laws or the contract.
Article 1.73. Written form of transactions
1.The following shall be made in the ordinary written form:
- 1.
-
transactions made by natural persons in the event where at the moment of their formation the value of the property upon which the transaction is made exceeds five thousand Litas, except such transactions which are performed at the time of their formation;
- 2.
-
transactions on the foundation of legal persons;
- 3.
-
contracts of purchase and sale of goods by instalments;
- 4.
-
insurance contracts;
- 5.
-
arbitration agreements;
- 6.
-
contracts of lease of a movable thing for a term of over one year;
- 7.
-
preliminary contracts;
- 8.
-
contracts of life annuity (contracts of rent);
- 9.
-
compromise agreements;
- 10.
-
other transactions whose mandatory ordinary written form is provided for by this Code or other laws.
2. Written transactions shall be made either by drawing up one document signed by all the parties or by the parties exchanging separate documents. Documents signed by the parties and transmitted by means of telegraph, facsimile communication or over any other means of communication terminal equipment shall be conferred the same power as having been made in the written form, providing the protection of the text is guaranteed and the signature can be identified.
3. The parties may agree to adopt additional requirements for the written form of the transaction (signatures of certain persons, affixation of a stamp on the document, assignment of a special form for the document, etc.) and establish the legal effects for non-compliance with such requirements. In the event of the parties failing to comply with the established requirements, the transaction shall not be considered formed, unless the parties agree otherwise.
Article 1.74. Notarised transactions
1.The following transactions shall be drawn up in the notarial form:
1) transactions on the transfer of the real rights in an immovable thing and transactions on the encumbrance of the real rights and of the immovable thing;
2) contracts of marriage (pre-nuptial and post-nuptian( �
3) other transactions which are to be notarised in accordance with the mandatory provisions of this Code.
Article 1.75. Legal registration of transactions
1. The law may establish mandatory legal registration of certain transactions. A transaction shall produce its effects between the parties even if it is not registered in the mandatory order. In such instances, the rights and duties of the parties produce their effects between them not from the moment of registration of the transaction but from the moment established by the law or agreement of the parties, except in cases where it is expressly determined by this Code that the rights and duties of the parties shall arise only from the moment of registration of the transaction concerned.
2. The parties to an unregistered transaction may not invoke the fact of transaction against third persons and argue their rights against third persons by relying on other means of proof.
3. If the same real rights or the same thing is acquired by several acquirers but only one of them registers that transaction, it shall be considered that the acquirer who has registered the transaction is vested with that thing or with the real rights in that thing. If none of the acquirers registers the transaction, it shall be considered that the acquirer who is the first to form that transaction is vested with the rights indicated above.
4. If several persons register their property rights or real rights in the same thing, the person who is the first to register that transaction shall be vested with these rights.
5. Damage caused to persons by unlawful acts of the officials of state institutions or other organisations effectuating mandatory legal registration of transactions shall be compensated by the state.
Article 1.76. Signing of transactions formed in writing
1. Transactions drawn up in writing must be signed by the contracting parties. Where a natural person, due to physical defect, illness or any other reason, cannot sign it himself, he may authorize another person to sign on his behalf. The signature of the latter must be witnessed by a notary; or the head or a deputy head of the enterprise, institution or organisation where the person concerned is employed or studies; or by the head physician or a deputy head physician of the in-patient medical institution where the person concerned undergoes treatment; or by the commander of the military unit or a deputy commander thereof if the transaction is made by a soldier; or by the master of a ship during the period of a long voyage; in addition, the reason for which the person entering into the transaction is unable to sign it himself must be indicated.
2. Where the transaction is made by employing telecommunication terminal equipment, in all cases there must be sufficient data for the ascertainment of the parties to the transaction. In the event of absence of such data, the parties, if a dispute arises, may not rely upon witnesses to prove the fact of transaction forming.
Article 1.77. Formation of transactions in the form other than established by the law
1. Transactions which are permitted by laws to be formed verbally, may also be made in the written or notarial form.
2. Transactions, the ordinary written form for which is mandatory, may also be formed in the notarial form.
CHAPTER IV
VOIDABILITY OF TRANSACTIONS
Article 1.78. Null and voidable transactions
1. If the nature of nullity is clearly indicated in the law, a transaction shall be presumed to be null, irrespective of the fact of existence of a court judgement upon its nullity. The parties may not ratify a transaction which is null and void.
2. Any transaction for the declaration of voidability of which a court judgement is necessary, shall be a voidable one.
3. A transaction may be deemed to be null and void only on the grounds established by laws.
4. An action for the voidability of a voidable transaction may be invoked only by the persons indicated in the laws.
5. A claim to apply the legal effects arising from a transaction that is null and void may be invoked by any interested person. Legal effects of a null and void transaction, also the fact of its nullity shall be stated by the court ex officio (on its own motion).
Article 1.79. Ratification of a voidable transaction
1. A party possessing the right to invoke voidability of a transaction may ratify it within the time-limit established by the other party or the laws. After ratifying the transaction, the party forfeits his right to claim for voidability of that transaction.
2. It shall be presumed that a transaction is ratified by the party if, after it became possible to be ratified or disputed by that party, any of the following events have taken place:
1) the transaction has been performed partly or in whole;
2) a demand has been made against the other party for the performance of the transaction;
3) a security for the performance of the obligation subject to ratification has been granted to the other party;
4) the rights acquired according to that transaction have been transferred to another person partly or in whole.
Article 1.80. Nullity of a transaction that does not correspond to the requirements of mandatory statutory provisions
1. Any transaction that fails to meet the requirements of mandatory statutory provisions shall be null and void.
2. When a transaction is null and void, each party shall be bound to restore to the other party everything he has received according to that transaction (restitution), and where it is impossible to restore in kind the received, the parties are bound to compensate the received to each other in money, unless the laws provide for other consequences of voidness of the transaction.
3. The rules of restitution are established by Book Six of this Code.
4. The property – object of the transaction that is annulled – may not be claimed from the third person in good faith, except in cases provided for in paragraphs 1, 2 and 3 of Article 4.96 of this Code.
Article 1.81. Nullity of a transaction contradicting public order and good morals
1. A transaction that is contrary to public order or norms of good morals shall be null and void.
2. If a transaction is annulled on the grounds established in paragraph 1 of this Article, the rules provided for in paragraph 2 of Article 1.80 of this Code shall not apply if both parties knew or should have known the transaction to be contrary to public order or good morals.
3. Unilateral or bilateral restitution may take place where its application is not contrary to the mandatory statutory provisions or good morals, i.e. where the purpose of the transaction contradicting public order or norms of good morals was not achieved, and the provisions of public law do not establish any property sanctions in regard to the parties to such transaction.
Article 1.82.Voidability of a transaction contradicting the legal passive capacity of a legal person by whom the transaction was formed
1.Transactions made by the governing bodies of a private legal person in breach of the competence conferred on them by their incorporation documents or contradicting the goals of that legal person may be declared void only in the cases where it is proved that the other party acted in bad faith, i.e. he knew or should have known that the transaction was contrary to the goals of the legal person concerned. In such cases, the fact of announcement of the incorporation documents of the legal person concerned shall not be a sufficient proof of the other party’s bad faith, therefore the legal person shall be bound to prove that the other party deliberately acted in bad faith (Article 2.74 and Articles from 2.83 to 2.85 of this Code).
2. Transactions formed by public legal persons that are contrary to the goals of their activities may be declared void.
3. An action for the declaration of voidness on the grounds established by this Article may be brought by the legal person, the founder (founders) or a participant (participants) thereof. The laws may also specify other persons entitled to bring such an action, or special requirements which have to be met by the persons bringing such an action (e.g., holding of a certain number of shares (deciding votes))
4. Transactions indicated above shall be governed by the rules prescribed in paragraph 2 of Article 1.80 of this Code.
Article 1.83. Legal effects of a transaction formed on behalf of a legal person that is not registered within the procedure established by laws or has no licence to be engaged in the activities that are prohibited without a licence
1. Where a transaction is made on behalf of a legal person that is not registered within the procedure established by laws, the natural person by whom such a transaction is made acquires the rights and assumes the duties arising from that transaction, providing there are no other grounds for declaring such transaction void.
2. Where transactions are made on behalf of a legal person prior to its registration, the persons by whom these transactions are made shall be solidary liable, unless the legal person, after it is registered, assumes the obligations resulting from those transactions (Article 2.61 of this Code).
Article 1.84. Voidability of a transaction formed by a natural incapable person
1. A transaction shall be voidable if formed by a minor under fourteen years of age, except in cases where the minor, within the limits imposed by his age and in accordance with this Code and other laws of the Republic of Lithuania, may enter into transactions alone to satisfy his ordinary and usual needs.
2. A transaction is likewise voidable if it is made by a natural person who within the procedure established by laws is recognised as legally incapable by reason of mental disease or imbecility.
3. In the cases established in paragraphs 1 and 2 of this Article, besides the consequences provided for in paragraph 2 of Article 1.80 of this Code, the legally capable party shall be obliged to compensate the expenses suffered by the other party, also any damage to the latter’s property or loss thereof if the capable party knew or should have known about the incapacity of that other party.
4. The voidness of such transaction may be invoked by statutory representatives of the incapable person, also a public prosecutor. A transaction, if it is beneficial to the incapable person, may be ratified by the statutory representative of the latter in accordance with the procedure established by laws.
Article 1.85. Voidability of a transaction made by a natural person who overindulges in strong drinks or narcotic substances
1. A transaction upon the transfer of property or a real right that is formed by a natural person whose legal active capacity is limited by reason of overindulgence in strong drinks or narcotic substances and without the consent of a curator, except small transactions to meet his ordinary and usual needs, can be declared voidable within the judicial procedure on the action of the curator or a prosecutor.
2. If a transaction indicated in the preceding paragraph of this Article is declared voidable, the provisions of paragraph 3 of Article 1.84 of this Code shall apply.
3. After a transaction has been formed, a curator may ratify the transaction formed by the protected person alone during the period of his limited capacity for which he required to be represented if such transaction is beneficial to the person with limited capacity.
Article 1.86. Nullity of a fictitious transaction
1. A transaction made for the sake of appearance without intention to create legal effects shall not produce its effects between the parties and shall be null and void.
2. The provisions established in paragraph 2 of Article 1.80 of this Code shall apply to the transactions specified above.
Article 1.87. Nullity of a simulated transaction
1. If a transaction is formed to cover up another transaction, i.e. if the parties’ intent to make a transaction is different from the simulated transaction, the rules applicable to the intended transaction shall apply.
2. If the rights or lawful interests of third persons are violated by a simulated transaction, the third persons in defence of their rights shall be able to plead simulation against the parties of the simulated transaction.
3. A simulated transaction cannot be used as a defence by the contracting parties against third persons who in good faith have acquired rights from the simulated transaction.
Article 1.88. Declaring voidable a transaction made by a minor from fourteen to eighteen years of age
1. A transaction made by a minor from fourteen to eighteen years of age, where the law does not allow him to act without the consent of his parents or curators, may be declared void within the judicial procedure on the action of such minor’s parents or curators, with the exception of transactions into which the minor may, within the limits imposed by his age, enter alone in accordance with this Code and other laws of the Republic of Lithuania.
2. If a transaction specified in paragraph 1 of this Article is declared void, the rules prescribed in paragraph 3 of Article 1.84 of this Code shall apply.
3. Statutory representatives of a minor can ratify a voidable transaction made without a proper consent, by giving their consent after the transaction has been formed, if such transaction is beneficial to the minor concerned.
Article 1.89. Declaring voidable a transaction formed by a natural person who was unable to understand the meaning of his own actions
1. A transaction formed by a capable natural person may be annulled within the judicial procedure on the action of the natural person concerned if, by reason of his state at the moment of the transaction forming, he was unable to comprehend the meaning of his acts or to control them.
2. Where the transaction specified in paragraph 1 of this Article is declared void, besides the consequences established in paragraph 2 of Article 1.80 of this Code, the following additional consequences arise: the other party shall be bound to compensate to the party who at the moment of the transaction forming was unable to comprehend his own actions or to control them the expenses suffered, also any damage to his property or loss thereof, if this another party was aware or should have been aware of the state of the first contracting party.
Article 1.90. Declaring voidable a transaction formed under the influence of a mistake
1. A transaction resulting from the consent given by an essential mistake may be declared void within the judicial procedure on the person’s whose consent is vitiated action for its voidness.
2. A mistake is an erroneous assumption of the essential facts of the transaction that existed at the moment of the transaction forming.
3. In the event of annulment of a transaction formed under the influence of an essential mistake, the provisions established in paragraph 2 of Article 1.80 of this Code shall apply. The party upon whose action the transaction is declared void may, in addition to the annulment, also claim from the other party compensation for the expenses incurred or the damage to his property or loss thereof if this party proves that the mistake was caused by the fault of the other party. Where it is not proved, the party on whose action the transaction is declared void shall be bound to compensate to the other party the expenses incurred as well as the damage to his property or loss thereof.
4. A mistake is essential where the error relates to the nature, object or any other essential conditions of the contract itself, or the civil legal status of the other contracting party or any other circumstances, and where a person of normal diligence and attentiveness would not have made the transaction in a similar situation or would have made it on essentially different terms if he had known the real state of events. A mistake is likewise essential if both contracting parties are mistaken, or an error of one party induced the other party to err without the former’s intention to deceive, or if one party was aware or should have been aware of the mistake committed by the other party and the requirement addressed to the mistaken party to perform the transaction would contradict to the principles of good faith, justice and reasonableness.
5. A mistake may not be considered essential if caused by gross negligence of the mistaken party, or induced by circumstances the risk of which was taken by the party upon himself or if, taking into account the concrete circumstances, the risk of mistake falls on that party in particular.
6. A mistake resulting from the expression or transmission of a party’s will shall be deemed to be a mistake committed by that party himself.
7. The mistaken party cannot claim for the annulment of a contract where his rights and interests may be adequately protected by invoking other remedies.
Article 1.91. Voidability of a transaction made by a party whose consent was obtained by fraud, extorted by duress, economic pressure or induced by real threatening, likewise of a transaction made by the malicious agreement of a agent of one party with the other party, or a transaction entered into because of abusive circumstances
1. A transaction may be declared voidable by a court on the action of the aggrieved party if it was entered into due to fraud, duress, economic pressure or real threatening, or if it was formed by a malicious agreement of the agent of one party with the other party, likewise if, by entering into the transaction by reason of abusive circumstances, one party assumes obligations under unfair conditions.
2. Where the voidability of a transaction is based on any of the grounds specified in paragraph 1 of this Article, the other party shall be bound to restore to the aggrieved party everything he has received according to that transaction, and where it is impossible to restore (in kind), it must be compensated in money. In addition, the guilty party shall be bound to compensate to the aggrieved person all the expenses incurred.
3. Where a transaction is declared voidable by reason of fraud, violence, economic pressure, real threatening or malicious agreement made between the agent of one party and the other party, the aggrieved party may, in addition to remedies provided for in the preceding paragraph of this Article, claim non-pecuniary damage caused by the actions indicated.
4. For the purposes of this Article, the notion “real threatening” means unjustifiable or unlawful actions of the other party or a third person directed towards the person, property or reputation of the other contracting party, or that of his parents, children, spouse, grandparents, grandchildren or any other close relatives; the threatening actions must be of such nature as to impress a reasonable person and to cause him fear that the person, property or reputation of the persons concerned may be exposed to damage and there is no other reasonable alternative except to enter into the transaction. Threatening shall also be deemed to be real where one party or a third person threatens to enforce measures of economic pressure against the other contracting party that is economically weaker or is in essence economically dependent in order to compel him to form a transaction under exceptionally economically disadvantageous conditions. In determining the occurrence of real threatening, the court shall take into account the age, economic and financial position, and the gender of the party towards whom the threat was directed, the nature of the threat, and any other conditions significant for the case.
5. In addition to the forms specified in the preceding paragraph of this Article, fraud may result from the silence of a party, i.e. from concealment of such circumstances being aware of which the other contracting party would not have formed the transaction and which, within the principles of reasonableness, justice and good faith, had to be disclosed to the other party; fraud may also result from active actions by which it is desired to mislead the other contracting party concerning the effect of the transaction, essential terms thereof, civil legal capacity of the person who enters into the transaction, and any other essential circumstances.
6. If a third person, but not the other party to the transaction is guilty of fraud, duress or threatening, the transaction shall be declared voidable only in the cases where that other party was aware or should have been aware of those facts.
7. The fact of declaring voidable a transaction formed under the influence of fraud may not be invoked against third persons in good faith, except in cases established by this Code.
Article 1.92. Voidability of a transaction formed by an agent outside the authority conferred on him
A transaction made by a agent outside the limitations of the authority conferred on him by laws or a contract, may be declared voidable upon the action of the principal, unless such transaction is ratified by the principal (Article 2.133 of this Code).
Article 1.93. Voidability of a transaction resulting from the lack of requisites of its form established by laws
1. A transaction not made in the form required by laws for this particular case shall be void only in the case when such consequence is expressly indicated in the laws.
2. Where any dispute arises upon the fact of forming or performance of a transaction which fails to meet the necessary requirements for its ordinary written form, the parties lose the right to use testimony of witnesses as evidence to prove the facts indicated above; in the cases expressly prescribed by the law, non-observance of the ordinary written form obligatory to a concrete kind of transactions shall cause the nullity of such transaction.
3. Non-observance of the notarial form required by the law as a necessary condition of a transaction shall result in the nullity of the transaction in any case.
4. Where one party in the whole or partly performs his obligations arising from a transaction that must be notarized while the other party avoids the notarization thereof, the court may, on the action of the party who has performed his obligations, declare such transaction valid. In such event, a subsequent notarization of the transaction is not required.
5. Where nullity of a transaction results from the lack of necessary requisites of its form as established by laws, the consequences provided for in paragraph 2 of Article 1.80 of this Code shall arise.
6. The provisions established in paragraph 2 of this Article may not be applied by a court if they contradict the principles of good faith, justice and reasonableness, in particular where:
1) there exists other written evidence, even though indirect, that proves the forming of the transaction;
2) written evidence to prove the fact of transaction forming has been lost not through the fault of the party;
3) taking into consideration the circumstances in which the transaction was formed, it was objectively impossible to form that transaction in writing;
4) taking into consideration the interrelations between the parties, the nature of the transaction, and other circumstances of importance to the proceedings, prohibition to invoke testimonies of witnesses would contradict to the principles of good faith, justice and reasonableness.
Article 1.94. Legal effects of non-observance of the requirement to perform legal registration of a transaction
Non-observance of the requirement established by laws to perform legal registration of a transaction shall not result in nullity of the unregistered transaction, except in the cases prescribed by this Code.
Article 1.95. Time from which the effect of annulment arises
1. A transaction which has been annulled shall be deemed to be null and void ab initio (from the moment of its forming).
2. Where from the content of a transaction follows that it is impossible to declare such transaction void ab initio, it may be declared void only for the future, i.e. from the time when the judgement acquires the authority of the final judgement (res judicata).
Article 1.96. Consequences of partial nullity of a transaction
Partial nullity of a transaction shall not import the nullity of the entire transaction where it can be supposed that the contracting parties would have entered into that transaction even without the part affected by nullity having been included.
PART III
OBJECTS OF CIVIL RIGHTS
CHAPTER V
CONCEPT AND KINDS OF OBJECTS OF CIVIL RIGHTS
Article 1.97. Kinds of objects of civil rights
1. Objects of civil rights shall be things, money and securities, other property and property rights, results of intellectual activities, information, actions and results thereof, as well as any other material and non-material values.
2. Things and property the turnover of which is restricted may be considered to be objects of civil rights only in the cases established by laws. Things which are withdrawn from civil use or the turnover of which is restricted must be imperatively indicated in the laws. Otherwise, the civil turnover of things or property shall not be considered restricted.
Article 1.98. Things as object of civil rights
1. Things as object of civil rights shall be divided into movables and immovables.
2. Land and other things which are connected with land and which cannot be moved from one place to another without change of their purpose and essential reduction of their value are immovables (buildings, equipment, perennial plants and other things which, according to their purpose and nature, are deemed to be immovable).
3. Ships and aircraft, the mandatory legal registration for which is established by laws, are also considered to be immovables. Any other property may also be attributed to immovables by the laws.
4. Things which can be moved from one place to another without a change of their purpose and considerable reduction of their value are considered to be movables, unless otherwise provided for by laws.
Article 1.99. Kinds of things as objects of civil rights
1. Things as objects of civil rights shall be divided into things determined by their individual features and things determined by their specific properties.
2. Things also are divided into divisible and undivisible, consumptable and unconsumptable, principals and accessories.
Article 1.100. Money
1. Money, as an object of civil rights, shall be bank-notes issued by the Bank of the Republic of Lithuania, coins and means in accounts, also bank-notes issued by other foreign states, Treasury notes, as well as coins and means in accounts, serving as lawful means of settlement.
Article 1.101. Securities
1. A security, as an object of civil rights, is a document certifying the obligation of its issuer to the holder of this document. A security can confirm the right of the person in possession of the document (holder) to receive from the issuer interest, dividends, part of an enterprise upon its liquidation, or the funds lent to the issuer (shares, bonds, etc.); the right or duty to acquire or alienate for payment or gratuitously other securities (the right to sign, future transactions, options, convertible bonds, etc.); the right to some income or payment duty subsequent to a change of prices on the security market (index, etc.). A security is also a document by which a direct order is issued to a bank to pay a certain sum of money (cheques) or which certifies a duty to pay a certain sum of money to the person whose name is indicated in the document (bill of exchange); or which proves the right of ownership to merchandise (mercantile securities): likewise a document which certifies the right or duty to acquire or alienate mercantile securities (derivative mercantile securities). Uncertified securities are issued in the cases established by laws and indicated (consolidated) in a special security register.
2. The laws may also provide for other types of securities. For the purposes of protecting the rights of investors, as well as for supervising and regulating the capital market, the laws may provide for a different definition of securities (investment) to be employed in the laws which regulate these relationships. Unless provided for otherwise, the provisions of this Code and the definition of securities shall apply to investment (investment securities) if the documents certifying the investment possess the features specified in paragraphs 1 and 3 of this Article.
3. The right certified by a security may be alienated to another person only in that event if the security itself is alienated, unless otherwise provided for by the laws. Securities may be alienated in accordance with the laws, the ordinary practice or by custom freely and unrestrictedly. Securities shall be alienated by transfer, though it ought to be certified by means of making an inscription of transfer of the security – an endorsement.
4. Securities may be underlying or derivative. Underlying securities confirm their holders’ rights and duties specified in paragraph 1 of this Article, with the exception of the right or duty to acquire or alienate for payment or gratuitously other securities, as well as the right to receive certain income or an duty to pay a certain sum of money subsequent to a change of prices on the security market. The securities which certify these exclusive rights or duties are called derivative securities.
5. Securities are divided into registered, bearer or order securities. They also divided into monetary, investment and mercantile securities.
6. A monetary security grants the right to receive a certain sum of money indicated therein (cheque, bill of exchange, bond).
7. An investment security concedes the right to participate in the management of the enterprise, certifies possession of the enterprise capital and entitles to receive a part of its profits (shares and certificates of shares, etc.), except in cases provided for by laws.
8. A mercantile security grants the right of ownership of merchandise, also the right to receive merchandise (bill of lading, way-bill, etc.).
9. Securities must contain the requisites provided for by laws. The absence of obligatory requisites of a security shall render it null, except in cases established by laws.
10. Upon the issue of uncertified securities, where the laws do not provide for otherwise, it shall be presumed pursuant to this Code that the holder of the securities has entrusted the accountant with their keep upon the contract of deposit. The rights, obligations and liability of the keeper shall be determined in accordance with the provisions of Book Six of this Code applicable to the contract of deposit. Where accountancy is managed by several persons on different levels, it shall be presumed that the person who handles the accounts of the security owner has transferred the keep of the securities concerned to another person under the contract of deposit. Such securities shall be alienated by the relevant entries in the security register.
Article 1.102. A share
1. A share is a security certifying the right of its holder (shareholder) to participate in the management of a stock company and, where the laws do not provide for otherwise, to receive a part of the stock company profits in the form of dividend and a part of the remaining property of the stock company in case of its liquidation, as well as certifying other rights established by laws.
2. Shares may be of the following classes: registered or bearer, ordinary or preference, certificates or uncertificated.
Article 1.103. A bond
A bond is a security certifying its holder’s right to receive from the person who issues the bond the nominal value of the bond, annual interest or any other equivalent, or other property rights within the time-limits prescribed in it.
Article 1.104. A cheque
A cheque, as a security, is an unconditional order drawn up in a certain manner that is addressed by the drawer to a bank to pay a certain sum in money to the holder of the cheque.
Article 1.105. A bill of exchange
1. A bill of exchange, as a security, is an unconditional order in writing addressed by one drawer to another by which the first person pledges himself or entrusts another person to pay directly or indirectly a certain sum of money to the person whose name is indorsed therein.
2. A bill of exchange may be of two forms: an order bill (draft bill) or a single bill (sole bill).
3. By using an order bill (draft bill) its drawer entrusts another person to pay to the person whose name is indorsed in the bill the sum indicated therein.
4. By using a single bill (sole bill) its drawer pledges himself to pay the sum indicated therein.
Article 1.106. A bill of lading
1. A bill of lading, as a security, is a document certifying the fact of conclusion of a contract and its holder’s right to receive from the carrier the goods specified therein (cargo) and the right to dispose of the goods (cargo) received.
2. A bill of lading may be bearer, order or straight. If a bill of lading is drawn up in several copies, after the shipment is delivered under any of the copies of the bill of lading presented first, the other copies thereof shall lose their legal power.
Article 1.107. A bank certificate
1. A bank certificate is a written bank document containing a statement on the monetary contribution and granting the depositor the right to receive that contribution and interests subject to the time-limits stated therein.
2. A bank certificate may be inscribed, transferable or non-transferable.
Article 1.108. A state debt obligation
1. A state debt obligation is a security payable to the bearer which certifies that its holder has lent a certain sum in money to the state and grants its holder the right to receive the sum indicated therein and interests established thereby during the period of the possession of this security.
Article 1.109. A plot of land and other resources
A land plot indicated in kind and registered within the procedure established by laws, also the indicated areas of the entrails of the earth, as well as waters, forests, objects of flora and fauna may be objects of civil rights.
Article 1.110. Enterprises and other property complexes
1. An enterprise, as a complex of assets, property and non-property rights belonging to the person who is engaged in business (seeking profit), as well as debts and other duties thereof, may be the object of civil rights. An enterprise is considered to be an immovable thing.
2. A property complex, as the object of civil rights, is the totality of things joined by a common economic purpose.
Article 1.111. Results of intellectual activities
Works of science, literature and art, invention patents, industrial samples and other results of intellectual activities expressed in any objective form (manuscripts, technical drawings, models, etc.) shall be deemed to be objects of civil rights. Invention patents and other results of intellectual activity shall become objects of civil rights from the moment of their recognition as such made within the procedure established by laws.
Article 1.112. Property rights
1. Real rights, rights arising from obligations, also rights arising from the results of intellectual activities shall be objects of civil rights.
2. Property rights may be transferred and inherited.
Article 1.113. Actions and their results
Various actions and their results (transportation of goods, repairing of things, services, etc.) shall be objects of civil rights.
Article 1.114. Personal non-property rights and values
1. Personal non-property rights and values, i.e. name, life, health, inviolability of body, honour, dignity, the private life of an individual, the author’s name, professional reputation, business name, trade marks of goods (services) and other values with which the arising of certain legal effects is linked by the laws shall be objects protected by the Civil law.
2. Personal non-property rights may be transferred or inherited only in the cases established by laws or where this does not contradict the nature of these values and principles of good morals or is not restricted by laws.
Article 1.115. Personal non-property rights
1. Objects protected by the Civil law are personal non-property rights, i.e. the rights that have no economic content and are inseparably related with their holder.
2. Personal non-property rights may be related with property rights, or they may not be related with the aforesaid rights.
Article 1.116. Commercial (industrial) and professional secret
1. Information shall be considered to be a commercial (industrial) secret if a real or potential commercial value thereof manifests itself in what is not known to third persons and cannot be freely accessible because of the reasonable efforts of the owner of such information, or of any other person entrusted with that information by the owner, to preserve its confidentiality. The information that cannot be considered commercial (industrial) secret shall be determined by laws.
2. Forms of protecting the information containing a commercial (industrial) secret are established by this Code.
3. Persons who unlawfully acquire information considered to be a commercial (industrial) secret shall be bound to compensate for the damages caused. Workers who in breach of the labour contract disclose a commercial (industrial) secret, as well as a party of any other contract who in breach of that contract discloses a commercial secret shall also be bound to compensate damages resulting from the disclosure of the commercial (industrial) secret. In this event, the damages suffered by the holder of the secret include the investment expenses incurred for its creation, development and use, as well as the incomes of which he (the holder) has been deprived. Incomes received from unlawful use of a commercial (industrial) secret shall be considered unjust enrichment.
4. A person who discloses a commercial (industrial) secret may be released from liability if he proves that the disclosure of that secret is justified by the interests of public safety.
5. Information shall be considered to be a professional secret if, according to the laws or upon an agreement, it must be safeguarded by persons of certain professions (advocators, doctors, auditors, etc.). This information is received by the indicated persons in performance of their duties provided for by laws or contracts. The cases when the information received in exercise of professional rights and in performance of professional duties shall not be considered professional secret are established by laws. Damage resulting from unlawful disclosure of a professional secret shall be compensated upon general grounds established by this Code.
PART IV
TIME-LIMITS
CHAPTER VI
GENERAL PROVISIONS
Article 1.117. Definition of a time-limit
1. A time-limit is a period of time determined by laws or a transaction or established by a judicial authority and fixed by a calendar date or by the termination of a period expressed in years, months, weeks, days or hours.
2. A time-limit may also be defined by indicating an event that must inevitably occur.
3. Time-limits may be restoratory, acquisitionary or resolutory.
4. A restoratory time-limit is a period which may be restored by the court after its expiration, providing it was exceeded due to substantial reasons.
5. An acquisitionary time-limit is a period after the expiration of which a certain civil right or duty is acquired.
6. A resolutory time-limit is a period after the expiration of which a certain civil right or duty expires. The resolutory time-limits may not be restored by a court or arbitration.
Article 1.118. Commencement of a time-limit
1. The moment from which a time-limit begins shall be 0 hours 00 minutes of the next day that follows the calendar date or the event by which its beginning is defined, unless law provide for otherwise.
2. A fixed time-limit that is expressed in hours shall begin from the moment defined by laws or one or both parties.
Article 1.119. Expiration of a time-limit expressed in years and months
1. A time-limit expressed in years shall expire at midnight on the corresponding day and month of the last year of the time-limit indicated as the dies ad quem (the day on which the time-limit expires).
2. A time-limit expressed in months shall expire at midnight on the corresponding day of the last month of the time-limit indicated as the dies ad quem.
3. In the event where in the time-limit expressed in years or months there is no corresponding day in the last month, the day of maturity shall be the last day of the relevant month.
Article 1.120. Expiration of a time-limit expressed in weeks
A time-limit expressed in weeks shall expire at midnight on the corresponding day of the week indicated as the dies ad quem.
Article 1.121. Inclusion of official holidays and weekends
1. Official holidays and weekends shall be included when calculating a time limit.
2. In the event where the day on which a time-limit expires is a day of an official holiday or a weekend, the time-limit shall be extended to include the first working day thereafter.
Article 1.122. Performance of actions on the dies ad quem
1. An action for the performance of which a time-limit is fixed shall have to be performed before midnight of the dies ad quem. Where an act has to be performed in an institution, it must be performed before the end of the normal office or business hours of that organisation on the dies ad quem.
2. Any applications and information in writing delivered to the post office or telegraph, or transmitted by other means of communication before midnight of the dies ad quem shall be considered to have been performed on time.
Article 1.123. Legal significance of a time-limit
1. If arising of a duty is made dependent upon the expiration of a certain time-limit, the performance of the duty may not be demanded before the expiry of that time-limit.
2. If certain legal effects of a transaction are made dependent upon the maturity of a time-limit, a transaction or obligation shall terminate with the expiry of the time-limit.
3. It shall be presumed that a time-limit takes effect in favour of a debtor except in the cases where:
- 1)
-
the debtor is put on bankruptcy proceedings;
- 2)
-
the debtor destroys the security provided for the performance of an obligation;
- 3)
-
the debtor fails to provide a security of performance of an obligation he was bound to provide.
CHAPTER VII
PRESCRIPTION
Article 1.124. Concept of prescription
Prescription is a time period established by laws during which a person can defend his violated right by bringing an action.
Article 1.125. Time limits of prescription
1. General prescription comprises a period of ten years.
2. In respect of concrete kinds of claims, abridged prescription shall be established by this Code and other laws of the Republic of Lithuania.
3. Abridged one-month prescription shall apply to claims arising from the results of tender.
4. Abridged three-month prescription shall apply in respect of claims for declaring voidable the decisions of the bodies of a legal person.
5. Abridged six-month prescription shall apply in respect of:
1) claims arising from the exaction of penalties;
2) claims arising from shortage in the goods sold.
6. Abridged six-month prescription shall apply with respect to claims arising from the relationships between communication enterprises and their clients regarding dispatches sent within the territory of Lithuania, or abridged one-month prescription when the dispatches were sent abroad.
7. Abridged one-year prescription shall be applied with respect to claims arising from the legal relationships of insurance.
8. Abridged three-year prescription shall be applied with respect to claims for the compensation of damage, including claims for the compensation of damage caused by defective production.
9. Abridged five-year prescription shall be applied with respect to claims for the recovery of interest and any other periodical payments.
10. Claims arising from defects of the work performed shall be prescribed in the abridged prescription established in Book Six of this Code.
11. Claims, arising from contracts for transportation of goods, passengers or baggage shall be prescribed in the abridged prescription established by the codes (laws) regulating separate types of transport.
12. Any agreement of the parties with an intention to modify legal regulation of prescription, i.e. to modify the time-limit and the calculation thereof, shall be prohibited.
Article 1.126. Application of prescription
1. A claim to protect a violated right shall be accepted by the court irrespective of the expiry of prescription.
2. The expiration of prescription shall be effected by the court exclusively if invoked by a party to the dispute.
3. Prescription may not be renounced in advance.
Article 1.127. Commencement of prescription
1. Prescription shall start its run from the day on which the right to bring an action may be enforced. The right to bring an action arises from the day on which a person becomes aware or should have become aware of the violation of his right. Exceptions to this rule shall be established by this Code and other laws of the Republic of Lithuania.
2. Where there is a time-limit established for the performance of an obligation, prescription of a claim arising from such obligation shall start its run upon the expiry of the time-limit allotted for the performance of that obligation.
3. Where a time-limit for the performance of an obligation is not established, prescription shall run from the moment when a claim to perform the obligation is brought.
4. Prescription of claims arising from regressive obligation shall start its run from the moment when the principal obligation is performed.
5. In the event of a continuous infringement, i.e. it happens every day (a person fails to perform the actions he is bound to perform, or performs the actions he has no right to perform, or does not discontinue another violation), prescription for actions brought upon activity or inactivity that occurred on a concrete day shall start its run from that every day.
Article 1.128. Prescription of claims arising from an obligation upon subrogation
Substitution of persons in an obligation shall not affect the course of prescription – the time-limit and the procedure of its calculation, unless laws provide for otherwise.
Article 1.129. Suspension of prescription
1. Prescription shall be suspended if:
1) an extraordinary event that cannot be prevented in certain circumstances (force majeure) hinders to bring an action;
2) the Government of the Republic of Lithuania establishes a postponement of the performance of obligations (moratorium);
3) the plaintiff or defendant serves in a unit of the armed forces of the Republic of Lithuania where martial law is imposed;
4) no guardian or curator is appointed to a legally incapable person or to a person whose legal active capacity is limited;
5) the parties to an obligation are spouses;
6) the parties to an obligation are a guardian and the person under guardianship, or a curator and the person under curatorship;
7) the parties to an obligation are parents and their minor children;
8) the effect of the law or any other legal act regulating relationships of the dispute is suspended;
2. The run of prescription shall be suspended only in the event when the circumstances indicated in paragraph 1 of this Article occured or continued to exist during the last six months of the prescription; where the time-limit of the prescription does not exceed six months, the run of the prescription shall be suspended if the circumstances indicated in paragraph 1 of this Article occured or continued to exist during the whole period of the time-limit of the prescription.
3. Suspended prescription resumes its run from the day when the circumstance which conditioned such suspension ceases to exist. In that event, the remaining part of the time-limit shall be prolonged by six months; if the time-limit of prescription is shorter than six months, it shall be prolonged by the whole duration of the time-limit.
Article 1.130. Interruption of prescription
1. Prescription shall be interrupted by bringing an action within the procedure established by laws.
2. Prescription shall also be interrupted by actions of a debtor by which the debtor acknowledges his obligation to the creditor.
3. An interrupted time-limit of prescription shall be resumed from the moment when the cause of such interruption ceases to exist. An interruption of prescription resulting from bringing an action shall be resumed from the time when the judgement thereon acquires the authority of the final judgement (res judicata), provided that an identical claim can be forwarded from the disputed legal relationship. The period that expired before the interruption shall not be included into the new time-limit of prescription.
4. No interruption in the time-limit of prescription shall occur where the suit is discontinued by the court due to the fault of the plaintiff. Refusal to accept the complaint or its withdrawal by the plaintiff shall likewise have no effect of interrupting prescription.
5. If an action brought in criminal proceedings is discontinued, prescription commenced before this action was brought shall continue its run from the day when the verdict by which the action was discontinued becomes finally binding.
Article 1.131. Legal effects of the expiration of a time-limit of prescription
1. The expiration of a time-limit of prescription prior to the date of bringing an action shall serve as valid grounds for dismissal of the claim.
2. If the court acknowledges the time-limit of prescription as expired due to important reasons, the violated right must be protected and the expired time-limit restored.
3. Questions of the ownership of property, for revindication of which prescription has expired, shall be regulated by the provisions of Book Four of this Code.
Article 1.132. Suspension, interruption and restoration of abridged prescription
The provisions regulating suspension, interruption and restoration of prescription (Articles 1.129 to 1.131 of this Code) shall likewise be applied in respect of abridged prescription except in cases where laws provide for otherwise.
Article 1.133. Consequences arising when a debtor performs an obligation after the expiration of a time-limit of prescription
Where a debtor performs his obligation after the expiration of the time-limit of prescription, he shall have not right to claim restitution even if at the time of the performance of his obligation he did not know that the time-limit of prescription had expired.
Article 1.134. Claims not subject to prescription
1. The following claims shall not be prescribed:
1) claims arising from the violation of personal non-property rights, except in cases established by laws;
2) claims of depositors for repayment of their accounts deposited in a bank or any other credit institution;
3) other claims in cases established by other laws.
Article 1.135. Application of prescription with respect to accessory claims
Expiration of prescription with respect to the principal claim shall have the same effect likewise on the accessory claims (penalty, pledge, suretyship, etc.), even though the prescription of the latter may not have expired.
PART V
EXERCISE AND PROTECTION OF CIVIL RIGHTS
CHAPTER VIII
PRINCIPLES OF EXERCISE OF CIVIL RIGHTS AND THE WAYS OF THEIR PROTECTION
Article 1.136. Grounds for the arisal of civil rights and duties
1. Civil rights and duties shall arise on the grounds established by this Code and other laws, also from actions performed by natural persons and organizations which, though not determined by laws, create civil rights and duties within the general principles and the meaning of the civil laws.
2. Pursuant to paragraph 1 of this Article, civil rights and duties shall arise:
1) from contracts and other transactions provided for by this Code and other laws, likewise from such transactions which might not be stipulated by the laws but not at variance with these laws;
2) from court judgements;
3) from administrative acts that cause civil legal effects;
4) as a result of creating intellectual property;
5) on the grounds damage, as well as on the grounds of the reception of property not due or of unjust enrichment;
6) on the grounds of events or actions (active or passive) to which the arising of civil legal effects is linked by laws.
Article 1.137. Enjoyment and exercise of civil rights and performance of civil duties
1. Persons shall freely enjoy their civil rights at their own discretion, including the right to protection.
2. Persons, while exercising their rights and performing their duties, must obey laws, respect rules of public welfare and principles of good morals, good faith, reasonableness and justice.
3. A person shall be forbidden to abuse his own right, i.e. there being no legal ground, no civil rights may be exercised in a manner or by means intended to violate other persons’ rights and interests protected by laws; or to restrict other persons in their rights and interests protected by laws; or with the intent of doing damage to other persons; or where this would be contrary to the purpose of the subjective right. Abuse of a right that causes injury to other persons shall be the grounds for the implementation of civil liability. A court may refuse to protect the subjective right of which the person abuses.
4. The exercise of civil rights may not be used in bad faith and with the intent of unlawfully limiting competition or in abuse of the dominating position in the market.
5. Civil rights shall be protected by the laws, except in cases when the exercise of these rights is inconsistent with their purpose, public order, good usages (bonus mores) or the principles of public morals.
6. A renouncement of exercise of a subjective civil right shall not abolish the civil subjective right, except in cases established by laws.
Article 1.138. Protection of civil rights
1. Civil rights shall be protected by the court acting within its competence and according to the procedure established by laws. The ways of protecting civil rights are the following:
1) acknowledgement of rights;
2) restoration of the situation that existed before the right was violated;
3) prevention of unlawful actions or prohibition to perform actions that pose reasonable threat of the occurrence of damage (preventive action);
4) ad judgement to perform an obligation in kind;
5) interruption or modification of a legal relationship;
6) recovery of pecuniary or non-pecuniary damage from the person who infringes the law and, in cases established by the law or contract, recovery of a penalty (fine, interest);
7) declaration as voidable of unlawful acts of the state or those of the institutions of local governments or the officials thereof in the cases established in paragraph 4 Article 1.3 of this Code;
8) other ways provided by laws.
Article 1.139. Self-defense
1. Self-defense may be exercised for the purposes of protecting one’s civil rights only in the events established by this Code.
2. Methods and means of self-defense must correspond to the nature of the unlawful act and cannot exceed the limits of self-defense that exist in every concrete event.
3. In exercising self-defense, the rights and freedoms of individuals must be respected, as well as the requirements of laws must be observed.
BOOK TWO
PERSONS
PART I
NATURAL PERSONS
CHAPTER I
PASSIVE AND ACTIVE CIVIL CAPACITY OF NATURAL PERSONS
SECTION ONE
PASSIVE CAPACITY
Article 2.1. The concept of passive civil capacity of natural persons
Every natural person shall have the full enjoyment of civil rights (passive civil capacity)
Article 2.2. Beginning and end of passive civil capacity of natural persons
- 1.
-
Passive civil capacity of a natural person shall begin at the moment of his birth and end at the moment of his death.
- 2.
-
The beginning of rights prescribed by law to a conceived but yet unborn baby shall depend on the act of its birth.
- 3.
-
In the event of the impossibility to establish whether a baby was born alive or dead it shall be presumed that it was born alive.
- 4.
-
Where certain ensuing legal consequences depend on the fact which of natural persons died at an earlier date and where it is impossible to establish the moment of the act of death of them each, it shall be presumed that the said natural persons died at the same time.
Article 2.3. Acts of birth and death of natural persons
- 1.
-
The first independent breath shall be considered to be the act of birth of a natural person.
- 2.
-
Full and irreversible stoppage of blood circulation or stoppage of all brain functions shall be considered to be the act of death of a natural person.
- 3.
-
Criteria for stating the acts of birth or death shall be prescribed by law.
Article 2.4 Content of the passive civil capacity of natural persons
- 1.
-
According to law, natural persons shall be entitled to property as the object of private ownership and shall enjoy the right to engage in commercial activities, establish enterprises or other legal entities, inherit property and bequeath it, choose a sphere of activities and residence, to have invention or industrial sample rights as well as other property and individual non-property rights, which are protected by the civil law.
- 2.
-
Natural persons who, in accordance with the procedure established by the law, are engaged in commercial activities shall be deemed to be entrepreneurs.
- 3.
-
Every person engaged in business or practising of his profession shall have to administer his property and everything related to his undertaking or practising of his profession as well as to safeguard documents and other information about his property, undertaking or practising of his profession in the manner, which would enable every person, having a legal interest, at any time, to receive comprehensive information about the property rights and obligations of the person in question.
SECTION TWO
ACTIVE CAPACITY
Article 2.5. Active civil capacity of natural persons
- 1.
-
On attaining full age, i.e. when a natural person is eighteen years of age, he, by his acts, shall have full exercise of all his civil rights and shall assume civil obligations.
- 2.
-
Where the law provides for the possibility of a natural person to enter into marriage before he is eighteen, the person, who has not yet come of the given age, shall acquire full active civil capacity at the moment of entering into marriage. If at a later date this marriage is dissolved or nullity of marriage is declared for reasons not related to the age of the parties to marriage a minor shall not loose his full active civil capacity.
Article 2.6. Prohibition to impose restrictions on the passive or active civil capacity of Natural Persons on the Grounds which are not Prescribed by Law.
- 1.
-
Restrictions on the passive or active civil capacity may not be imposed on anyone in any other manner except by express provision of law.
- 2.
-
Transactions, acts of public or municipality institutions or officials, which impose restrictions on the passive or active civil capacity, are deemed to be null and void except in cases where the said transactions and acts are prescribed by law.
Article 2.7. Active civil capacity of minors under fourteen years of age
- 1.
-
Contracts on behalf and in the name of minor’s under fourteen years of age name shall be concluded by their parents or guardians.
- 2.
-
Upon entering into contracts and enforcing them parents and guardians shall have to act exceptionally in the interest of minors. Rights and obligations of parents and guardians in administering the property of minors are laid down in the provisions of Book three of the given Code.
- 3.
-
Minors under fourteen years of age shall enjoy the right to enter alone into contracts to meet their ordinary and usual needs, conclude contracts aiming at gratuitous personal gain, as well as conclude contracts related to the use of their own earnings or money provided by their legal representatives or other persons if the said contracts fail to have a prescribed notarial or any other specific form.
- 4.
-
Liability of legal representatives for contractual obligations of minors, who are under fourteen years of age, shall be prescribed by law if they fail to prove that they are not at fault for the breach of the said obligations.
- 5.
-
Where a contract concluded by a minor under fourteen years of age is not recognised to be null and void and where the said person becomes legally capable, the other party to the contract may apply in writing to the party to the contract, who has become legally capable, and request the approval of the contract within the time limits, which may not be shorter than one month, determined in the application. Where the person fails to notify about his refusal to approve the contract within the proposed time limits, he shall be deemed to have approved the contract.
Article 2.8. Active civil capacity of minors over fourteen and under eighteen years of age
- 1.
-
Minors over fourteen and under eighteen years of age shall enter into contracts with the consent of parents or guardians. The form of consent shall have to correspond to the form of the contract concluded. Contracts concluded without the consent of legal representatives shall be deemed valid if the consent of the legal representative is given after the contract has been concluded.
- 2.
-
Minors over fourteen but under eighteen years of age, apart from the rights laid down in paragraph 3 of Article 2.7, shall have the right to dispose of their income and property acquired for that income, implement copyright to their works, inventions, industrial design as well as the right to enter into contracts alone to meet their ordinary and usual needs.
- 3.
-
Where there are sufficient grounds, the court may be called upon to rule on an application filed by child care institutions or other interested persons to impose restrictions on or divest minors, who are over fourteen but under eighteen years of age, of the right to dispose independently of their income and property.
- 4.
-
The right of minors over fourteen but under eighteen years of age to make deposits in credit institutions and dispose of them shall be prescribed by law.
- 5.
-
Minors over fourteen but under eighteen years of age shall alone be liable for their contractual obligations.
Article 2.9. Emancipation of minors
- 1.
-
Where a minor is sixteen years of age the court may emancipate him after he or his guardian , parents, institutions of guardianship or he himself has filed a declaration to that effect with the court if there are sufficient grounds to believe that he may exercise all civil rights and discharge his obligations alone. In all cases a minor has to give his consent to be emancipated.
- 2.
-
The court may annul minor’s emancipation on the request of parents or child care institutions in the event that exercising his rights and discharging his obligations a minor causes damage to his own or other persons’ rights or lawful interests.
SECTION THREE
DECLARATION OF INCAPACITY OR LIMITATION OF CAPACITY OF A NATURAL PERSON
Article 2.10. Declaration of incapacity of a natural person
- 1.
-
Natural person who as a result of mental illness or imbecility is not able to understand the meaning of his actions or control them may be declared incapable. The incapable person shall be placed under guardianship.
- 2.
-
Contracts on behalf and in the name of the person, who was declared incapable, shall be concluded by his guardian. Rights and obligations of a guardian are laid down in the provisions of Book Three of the given Code.
- 3.
-
Where a person who was declared incapable gets over his illness or the state of his health improves considerably the court shall recognise his capacity. After the court judgement becomes res judicta, guardianship to the said person shall be revoked.
- 4.
-
The spouse of the person, parents, adult children, care institution or a public prosecutor shall have the right to request the declaration of person’s incapacity by filing a declaration to the given effect. They shall also have the right to apply to the court requesting the declaration of person’s capacity.
Article 2.11. Limitation of active civil capacity of natural persons
- 1.
-
Where natural persons abuse alcoholic beverages, drugs, narcotic or toxic substances the court may impose restrictions on their civil capacity. After person’s capacity has been imposed limitations , he shall be placed under guardianship. Rights and obligations of a guardian are laid down in the provisions of Book three of the given Code.
- 2.
-
Upon imposition of a limitation on a person’s capacity he may enter into contracts related to the disposition of his property, receive his salary, pension or any other income and dispose of it only with the consent of his guardian , with the exception of contracts, which he concludes to meet his ordinary and usual needs. Person whose capacity has been imposed limitations may not without the consent of his guardian curator:
- 1)
-
borrow and lend money, when the sum exceeds two average monthly wages (without deductions);
- 2)
-
extend a guarantee or offer a surety to other person;
- 3)
-
conclude contracts of alienation or encumbrance of rights to his property ;
- 4)
-
conclude an arbitration agreement;
- 5)
-
file a statement of claim related to that part of his active civil capacity where his active capacity is limited;
- 6)
-
come into inheritance or disclaim an inheritance;
- 7)
-
conclude a contract for the construction of a construction works (apartment) or major repairs;
- 8)
-
conclude a contract of tenancy or a loan-for-use contract;
- 3.
-
The court may request the consent of the guardian curator to conclude other contracts, which are not laid down in paragraph 2 of the given Article.
- 4.
-
Where the reasons for which person’s capacity was imposed limitations are no more valid the court shall lift the limitations on person’s capacity. After the court judgement has come into force, guardianship to a person under which he has been placed shall be annulled.
- 5.
-
A person of full age who has limited capacity shall be alone liable for his contractual and non-contractual obligations.
- 6.
-
A request to impose limitations on person’s civil capacity may be filed by the spouse of the said person, his parents, adult children, institution of guardianship or the public prosecutor. The person whose capacity was imposed limitations shall also have the right to apply to the court requesting to lift the limitations on his capacity.
- 7.
-
Provisions of the articles of Part VII of Book Three of the given Code are applied mutatis mutandis to relations, arising in the exercise and protection of the property and non-property rights of an incapable natural person or a natural person of limited capacity.
Article 2.111. The Register of Legally Incapacitated Persons and Persons of Limited Capacity
1. The Register of Legally Incapacitated Persons and Persons of Limited Capacity shall record persons who are declared in accordance with the procedure laid down by the court to be legally incapacitated or whose civil capacity is limited, minors from 14 years of age to 18 years of age in the cases provided for in paragraph 3 of Article 2.8 of this Code, guardians and curators of such persons; the data of the court decisions, adopted in respect of them, concerning the establishment and revocation of legal capacity or limitation of legal capacity. The Register of Legally Incapacitated Persons and Persons of Limited Capacity shall be a non-public state register.
2. The leading Register management body shall be the Ministry of Justice of the Republic of Lithuania, the Register management body shall be the Central Mortgage Office. The data of the Register of Legally Incapacitated Persons and Persons of Limited Capacity shall be managed in accordance with the procedure laid down by the regulations of the Register of Legally Incapacitated Persons and Persons of Limited Capacity.
3. The data of the Register of Legally Incapacitated Persons and Persons of Limited Capacity shall be provided in accordance with the procedure laid down by the regulations of the Register of Legally Incapacitated Persons and Persons of Limited Capacity to the data recipients who have the statutory right to receive such data for the direct performance of their functions.
SECTION FOUR
DOMICILE AND RESIDENCE OF A NATURAL PERSON
Article 2.12. Domicile of a Natural Person
Being an expression of person’s relationship with the state or part of its territory, domicile of a natural person shall be that state or its part, in which he permanently or ordinarily resides, regarding that state or its part to be the seat of his personal, social and economic interests.
- 1.
-
A natural person is deemed to be domiciled in the Republic of Lithuania when of his own will he establishes and maintains the only or principal residence with the intention to make it a seat of his personal, social and economic interests. This intention, inter alia, may manifest itself by person’s actual presence on the territory of the Republic of Lithuania as well as the establishment of personal or business relations between him and the persons of the Republic of Lithuania or by some other criteria.
- 2.
-
A natural person may have only one domicile. A person called to a temporary or revocable public office shall retain his domicile.
- 3.
-
Domicile of a natural person shall be deemed unchanged until he changes it to another domicile.
- 4.
-
Domicile of a married person shall not depend on the domicile of his spouse, although the domicile of one of the spouses is the fact, which has to be taken into consideration in establishing the domicile of the other spouse.
Article 2.13. Domicile of Legally Incapable Natural Persons
- 1.
-
Domicile of legally incapable natural person shall be deemed to be the domicile of his guardian if the guardian and his ward reside in the same state.
- 2.
-
Where a legally incapable person resides in a different from his guardian state and the said state is the seat of personal, social and economic interests of the legally incapable person he shall be deemed to be domiciled in that state.
Article 2.14. Domicile of Juvenile Natural Persons
1.Domicile of minor natural persons shall be deemed to be the domicile of their parents or guardians (foster parents).
2.Where parents of a minor natural person fail to have a common domicile, the domicile of a minor shall be deemed to be the domicile of one of his parents with whom the minor resides most of the time, unless the court has established the domicile of a minor with one of his parents.
Article 2.15. Right of the Parties to the Contract to Choose Domicile
The parties to a contract shall enjoy the right to choose, in writing, domicile with the view to the performance of the contract and the exercise of the rights arising from the said contract.
Article 2.16. Place of Residence of a Natural Person
1.The residence of a person shall be the place where he ordinarily resides.
2.Where a person has more than one residence, the seat of his principal establishment (where the person has property or a major part of property, where he has his job or where he lives the longest) shall be deemed to be his principal residence. In such case person’s principal residence shall be taken into consideration in establishing his domicile.
3.A person, whose domicile cannot be determined with certainty in accordance with the criteria laid down in Article 2.12 of the given Code, shall be deemed to be domiciled at the place of his residence. This rule shall, too, be applied to refugees from the state, which was their domicile unless they were domiciled in the Republic of Lithuania in accordance with the provisions of Article 2.12 of the given Code.
Article 2.17. Criteria for the Establishment of Residence
- 1.
-
Length and continuity of actual residence at the place, data on person’s residence in public registers as well as his own public statements about his residence shall be taken into account in determining residence of a natural person.
- 2.
-
A person whose residence is unknown or cannot be determined with certainty shall be deemed to live at the place of his last known residence.
- 3.
-
A natural person must notify, in writing, the other party to the contract as well as his creditors or debtors about the change of residence. Where a person fails to perform this obligation the other party to the contract and creditors shall have the right to send notifications and perform other acts at the place of his last known residence.
SECTION FIVE
ACTS OF CIVIL STATUS
Article 2.18. State Registration of Acts of Civil Status
The state conducts mandatory registration of the following acts of civil status:
- 1)
-
birth of a person;
- 2)
-
death of a person;
- 3)
-
entering into marriage;
- 4)
-
dissolution of marriage
- 5)
-
adoption;
- 6)
-
recognition and establishment of parenthood;
- 7)
-
change of the first name and surname;
- 8)
-
change of designation of sex of a person;
- 9)
-
partnership.
Article 2.19. The Order of Registration of Acts of Civil Status
- 1.
-
Acts of civil status, except partnership, shall be registered in the registry offices by making respective entries into the register of civil status and issuing to the person the certificate of a respective entry of the act.
- 2.
-
The procedure of registration of acts of civil status, alterations of the acts of civil status, rectification and reconstitution of acts is established in Book Three of the given Code.
PART TWO
ENJOYMENT AND EXERCISE OF SPECIFIC CIVIL RIGHTS OF NATURAL PERSONS
Article 2.20. Right to a Name
- 1.
-
Every natural person shall enjoy the right to a name. Right to a name includes a right to a surname, name (names) and pseudonym. It shall be prohibited to gain rights and assume obligations under the cover of other person’s name.
- 2.
-
A natural person shall have the right to use his full or abbreviated name (names) and request other persons not to use and not to act in his name without his authorisation.
- 3.
-
The basis and the procedure for the change of name and surname shall be provided by law.
- 4.
-
Having changed his surname or name a natural person must inform his debtors and creditors thereof. Where the person fails to perform this obligation he shall run the risk of negative consequences ensuing after his failure to notify about the change of his name or surname.
Article 2.21. Protection of the Right to a Name
- 1.
-
A natural person whose right to a name has been infringed as a result of other person’s unlawful acts in his name or some other mode of unlawful appropriation of his name or he is prevented from using it, shall have the right to apply to court and request to oblige the guilty person to discontinue the said acts and redress the property and non-pecuniary damage incurred on him by such unlawful acts.
- 2.
-
After the death of a natural person such claim may be presented by his spouse, parents or children.
Article 2.22. Right to an Image
- 1.
-
Photograph (or its part) or some other image of a natural person may be reproduced, sold, demonstrated, published and the person may be photographed only with his consent. Such consent after natural person’s death may be given by his spouse, parents or children.
- 2.
-
Where such acts are related to person’s public activities, his official post, request of law enforcement agencies or where a person is photographed in public places, consent of a person shall not be required. Person’s photograph (or its part) produced under the said circumstances, however, may not be demonstrated, reproduced or sold if those acts were to abase person’s honour, dignity or damage his professional reputation.
- 3.
-
Natural person whose right to image has been infringed enjoys the right to request the court to oblige the discontinuance of the said acts and redressing of the property and non-pecuniary damage. After person’s death, such claim may be presented by his spouse, children and parents.
Article 2.23. Right to Privacy and Secrecy
- 1.
-
Privacy of natural person shall be inviolable. Information on person’s private life may be made public only with his consent. After person’s death the said consent may be given by person’s spouse, children and parents.
- 2.
-
Unlawful invasion of person’s dwelling or other private premises as well as fenced private territory, keeping his private life under observation, unlawful search of the person or his property, intentional interception of person’s telephone, post or other private communications as well as violation of the confidentiality of his personal notes and information, publication of the data on the state of his health in violation of the procedure prescribed by laws and other unlawful acts shall be deemed to violate person’s private life.
- 3.
-
Establishment of a file on another person’s private life in violation of law shall be prohibited. A person may not be denied access to the information contained in the file except as otherwise provided by the law. Dissemination of the collected information on the person’s private life shall be prohibited unless, taking into consideration person’s official post and his status in the society, dissemination of the said information is in line with the lawful and well-grounded public interest to be aware of the said information.
- 4.
-
Public announcement of facts of private life, however truthful they may be, as well as making private correspondence public in violation of the procedure prescribed in paragraphs 1 and 3 of the given Article as well as invasion of person’s dwelling without his consent except as otherwise provided by the law, keeping his private life under observation or gathering of information about him in violation of law as well as other unlawful acts, infringing the right to privacy shall form the basis for bringing an action for repairing the property and non-pecuniary damage incurred by the said acts.
- 5.
-
Where the said acts are committed on the basis of reasoned judgement of the court, restrictions imposed on the publication and collecting of information about the person which are laid down in the provisions of paragraphs 1 and 3 of the given Article shall not be applied.
Article 2.24. Protection of Honour and Dignity
- 1.
-
A person shall have the right to demand refutation in judicial proceedings of the publicised data, which abase his honour and dignity and which are erroneous as well as redress of the property and non-pecuniary damage incurred by the public announcement of the said data. After person’s death this right shall pass on to his spouse, parents and children if the public announcement of erroneous data about the deceased person abases their honour and dignity as well. The data, which was made public, shall be presumed to be erroneous as long as the person who publicised them proves the opposite.
- 2.
-
Where erroneous data were publicised by a mass medium (press, television, radio etc.) the person about whom the data was publicised shall have the right to file a refutation and demand the given mass medium to publish the said refutation free of charge or make it public in some other way. The mass medium shall have to publish the refutation or make it public in some other way in the course of two weeks from its receipt. Mass medium shall have the right to refuse to publish the refutation or make it public only in such cases where the content of the refutation contradicts good morals.
- 3.
-
The request to redress the property or non-property non-pecuniary damage shall be investigated by the court irrespective of the fact whether the person who has disseminated such data refuted them or not.
- 4.
-
Where a mass medium refuses to publish the refutation or make it public in some other way or fails to do it in the term provided in paragraph 2 of the given Article, the person gains the right to apply to court in accordance with the procedure established in paragraph 1 of the given Article. The court shall establish the procedure and the term for the refutation of the data, which were erroneous or abased other person’s reputation.
- 5.
-
The mass medium, which publicised erroneous data abasing person’s reputation shall have to redress property and non-pecuniary damage incurred on the person only in those cases, when it knew or had to know that the data were erroneous as well as in those cases when the data were made public by its employees or the data was made public anonymously and the mass medium refuses to name the person who supplied the said data.
- 6.
-
The person who made a public announcement of erroneous data shall be exempted from civil liability in cases when the publicised data is related to a public person and his state or public activities and the person who made them public proves that his actions were in good faith and meant to introduce the person and his activities to the public.
- 7.
-
Where the court judgement, which obliges the refutation of erroneous data abasing person’s honour and dignity, is not executed , the court may issue an order to recover a fine from the defendant for each day of default. The amount of the fine shall be established by the court. It shall be recovered for the benefit of the defendant irrespective of the redress for the inflicted damage.
- 8.
-
Provisions of the given article shall, too, be applied to protect the tarnished professional reputation of a legal person.
- 9.
-
Provisions of the given article shall not be applied to those participants of judicial proceedings who are not held responsible for the speeches delivered at court hearings or data made public in judicial documents.
Article 2.25. Right to the Inviolability and Integrity of the Person
- 1.
-
A natural person shall be inviolable. No natural person may be made to undergo scientific or medical test or examination against his will and without his free consent (in cases of person’s incapability – without consent of his legal representative). Such consent shall be given in writing.
- 2.
-
Intervention into a human body, removal of parts of his body or organs shall be possible only with his consent. Consent to a surgical operation shall be given in writing. Where a person is incapable his guardian shall give his consent, in the event of castration, sterilisation, abortion, operation, removal of organs of an incapable person, however, authorisation of the court shall be necessary. Such consent shall not be necessary in emergency cases when person’s life is endangered and has to be saved while the person himself is unable to express his will.
- 3.
-
A natural person may determine, in writing, the nature of his funeral and the disposal of his body after his death.
- 4.
-
The procedure for the donation and transplantation of human tissues and organs is established in a separate law.
- 5.
-
Human body, its parts or organs and tissues may not become subjects of commercial contracts. Such contracts shall be deemed null and void.
- 6.
-
The person whose right to the inviolability of and integrity of his person has been infringed shall enjoy the right to request the guilty persons to redress property and non-pecuniary damage incurred on him.
Article 2.26. Prohibition to Restrict the Freedom of a Natural Person
- 1.
-
Freedom of a natural person shall be inviolable. A capable person may be placed under any supervision or imposed any restrictions only after his consent has been given as well as in other cases prescribed by law.
- 2.
-
Where a person’s life is endangered or he has to be hospitalised to protect the public interests person’s consent to the medical care shall not be required.
- 3.
-
Psychiatric examination of a person may be conducted only with his consent or after the authorisation of the court has been granted. Consent to conduct psychiatric examination of an incapable person may be given by his guardian or by the court. Where a person’s life is seriously endangered urgent psychiatric care may be taken without person’s consent.
- 4.
-
A person may be confined in a psychiatric institution only with his consent and after the authorisation of the court has been granted. Where a person is seriously ill with a mental disease and where there is a real danger that his actions may cause considerable damage to his or other people’s health or life and property, the person may be hospitalised in a compulsory manner for the period not exceeding two days. Compulsory hospitalisation may be extended only after the authorisation of the court in accordance with the procedure prescribed by law has been granted. Where a person is incapable, his guardian may give his consent to the said person’s compulsory hospitalisation for the period not exceeding two days. Compulsory hospitalisation of an incapable person may be extended only after the authorisation of the court following the procedure prescribed by law has been granted.
- 5.
-
Persons who unlawfully imposed restrictions on the freedom of a natural person shall have to redress property and non-pecuniary damage incurred on the said person.
Article 2.27. Right to the Change of the Designation of Sex
- 1.
-
An unmarried natural person of full age enjoys the right to the change of designation of sex in cases when it is feasible from the medical point of view. The application to the given effect shall have to be made in writing.
- 2.
-
The conditions and the procedure for the change of designation of sex shall be prescribed by law.
CHAPTER THREE
RECOGNITION OF PERSON’S ABSENCE OR DECLARATORY JUDGEMENT OF DEATH
Article 2.28 Recognition of person’s absence
- 1.
-
Where for the period of one year in person’s domicile there is no information about his whereabouts the court may recognise the person to be an absentee.
- 2.
-
Where there is no possibility to establish the day when the last data about an absentee have been received, the first of January of the following year shall be deemed to be the beginning of person’s absence.
Article 2.29. Protection of the Property of an Absentee
- 1.
-
After application of the interested persons or the public prosecutor has been filed, the court shall appoint a temporary administrator of absentee’s property. Absentee’s spouse, close relatives or person’s who are motivated to preserve his property may be appointed temporary administrators. The temporary administrator must take the inventory of the property and take measures to safeguard it. The court shall establish the amount of remuneration for the administrator’s services with the exception of cases where the temporary administrator is person’s spouse or a close relative. They shall fulfil the said functions free of charge.
- 2.
-
Temporary administrator shall administer the property, shall maintain the persons whom the absentee is obliged to maintain and shall pay the absentee’s debts. Temporary administrator shall have to obtain the authorisation of the court to dispose of the property, mortgage it or restrict the right to property in some other manner.
- 3.
-
Where the absentee’s property is an enterprise the court shall appoint its administrator. The administrator shall act in his owner’s name.
- 4.
-
Where the court gives a judgement that the person is recognised an absentee, a permanent administrator to his property shall be appointed by the court judgement.
- 5.
-
A person may be appointed an administrator to the property only with his consent.
Article 2.30. Revocation of the Judgement to Recognise the Person an Absentee
- 1.
-
In the event that an absentee returns or his whereabouts become known the court shall revoke its judgement to recognise the person an absentee and the administration to his property.
- 2.
-
Revenues received by the administrator from the property of the absentee shall be recovered by the owner of the property who has returned and who has to reimburse the property administrator for all expenses related to the administration thereof.
Article 2.31. Declaratory Judgement of Death
- 1.
-
In the event that no information on person’s whereabouts is obtained in his domicile for a period of three years and where he disappeared under such circumstances, which posed a mortal threat or give the grounds to suspect that he was killed in an accident, and no information about the person has been obtained for a period of six months, a declaratory judgement of natural person’s death may be pronounced. The beginning of the said term is established in accordance with the rules laid down in paragraph 2 of Article 2.28 of the given Code.
- 2.
-
A soldier or other person who disappeared as a result of military actions may in judicial proceedings be declared dead but not earlier than two years as of the day of the end of military actions.
- 3.
-
A declaratory judgement of death may be pronounced for a person irrespective of the fact whether he was or was not recognised an absentee.
- 4.
-
The date of death for a person for whom a declaratory judgement of death was pronounced shall be deemed the day when the court judgement becomes res judicata . Where a declaratory judgement of death is pronounced for a person who disappeared under such circumstances, which posed mortal threat or give grounds to suspect that he was killed in an accident the court may consider the alleged day of the accident to be the date of his death.
- 5.
-
Specific location pointed out in the court judgement shall be considered to be the location of such person’s death. Where it is impossible to establish a specific location of person’s death the last known location of his whereabouts is deemed to be the location of his death.
- 6.
-
From the point of view of person’s civil rights and obligations, pronouncement of a declaratory judgement of his death shall equal the act of person’s death.
Article 2.32. Consequences of the Return of a Person who was Declared Dead
- 1.
-
Where a person who was declared dead returns or his whereabouts become known the court revokes its judgement to declare the person dead.
- 2.
-
The person who has returned shall not have the right to request the recovery of his property, which has been inherited after a declaratory judgement of death was pronounced. However, in cases where a person was absent for serious reasons he shall enjoy the right, irrespective of the time of his return, to request the recovery of his property which is in possession of his heirs.
- 3.
-
A person who has returned shall also enjoy the right to request either the recovery of his property, which was gratuitously received by the third persons, or its value. He shall have, however, to compensate the person, who, in good faith, was in possession of his property, for all losses related to the recovery of the said property or its value.
PART II
LEGAL PERSONS
CHAPTER IV
GENERAL PROVISIONS
Article 2.33. Concept of a Legal Person
- 1.
-
A legal person shall be an enterprise or an organisation which has its business name, which may in its name gain and enjoy rights and assume obligations as well as act as a defendant and as a plaintiff in courts.
- 2.
-
Provisions of the PART II of the given book shall be applied to individual juridical forms of legal persons except as otherwise provided by the provisions of the given Code.
- 3.
-
Incorporation, management, reorganization, restructuring, and liquidation of legal persons specified in the Law on Enterprises and Facilities of Strategic Importance to National Security and Other Enterprises Important to Ensuring National Security shall be regulated by this Code to the extent the Law on Enterprises and Facilities of Strategic Importance to National Security and Other Enterprises Important to Ensuring National Security does not provide otherwise.
Article 2.34. Public and Private Persons
- 1.
-
Legal persons shall be divided into public and private persons.
- 2.
-
Public legal persons shall be legal persons established by the state or municipalities, their institutions or other non-profit-seeking persons whose goal is to meet public interests (state and municipality enterprises, state or municipality institutions, public institutions, religious communities, etc.).
- 3.
-
Private legal persons shall be legal persons, which aim at meeting private interests.
- 4.
-
Chapter VII of the given book shall be applied to the public legal persons in a subsidiary manner.
- 5.
-
Chapter IX of the given book shall not be applied to the public legal persons.
Article 2.35. State and Municipalities
- 1.
-
The state and municipalities shall be legal persons.
- 2.
-
State and municipality institutions the existence whereof is prescribed by the Constitution of the Republic of Lithuania shall be legal persons in the cases prescribed by law.
- 3.
-
With the exception of Articles 2.36, 2.74, 2.76, 2.80, 2.84, 2.85 Provisions of the Part II of the given book shall not be applied to the state and municipalities.
- 4.
-
State and municipality institutions specified in paragraph 2 of the given Article shall file with the register of legal persons documents and data, laid down in Articles 2.46 and 2.66 of the given Code.
Article 2.36. Participation of the State and Municipalities in Civil Relations.
- 1.
-
State, municipalities and their institutions shall be subjects of civil relations subject to the same grounds as other participants thereof.
- 2.
-
The state and municipalities shall gain civil rights, assume civil duties and implement them through respective public and municipality administration institutions.
Article 2.37. Religious Communities and Associations
- 1.
-
Traditional religious communities and associations shall be legal persons. Other religious communities and associations gain the rights of a legal person in accordance with the procedure established in Chapter V of the given book as well as in other laws.
- 2.
-
Structural units of religious communities and associations, which pursuant to the regulations of communities and associations, statutes or other norms fulfil the requirements provided in Article 2.33 of the given Code, shall be legal persons. These structural units shall file documents, testifying to their compliance with the requirements specified in the given paragraph, with the register of legal persons.
- 3.
-
Religious communities and associations and their structural units, which enjoy the rights of a legal person, shall act pursuant to their regulations, statutes and other norms inasmuch as they do not infringe the laws, and only Chapters IV and VI , Articles 2.84, 2.85 shall be applied to the said legal persons as well as Chapter V but only inasmuch as it fails to contradict the provisions of paragraph I of the given Article.
Article 2.38. Trade Unions
- 1.
-
Where the requirements of paragraph 2 of the given Article are fulfilled trade unions shall be considered to be legal persons.
- 2.
-
A trade union shall be formed when it has no less than 20 founders or when the founders would account for no less than one tenth of all employees in an enterprise, an institution or an organisation (while one tenth of all employees would account for no less than three employees) and if the general meeting of the trade union approves its statute and elects its managing bodies.
- 3.
-
Citizens of the Republic of Lithuania or natural persons domiciled in the Republic of Lithuania who are not younger than fourteen years of age and are employed on the basis of labour contracts or some other basis may be founders of a trade union.
- 4.
-
Provisions of Chapter V of the given book shall be applied to trade unions inasmuch as they fail to contradict the provisions of paragraph 1 of the given Article. Trade unions shall file documents testifying to their compliance with the requirements laid down in paragraph 2 of the given Article with the register of legal persons.
Article 2.39. Business Name of a Legal Person
- 1.
-
A legal person shall possess its business name enabling to distinguish it from other legal persons.
- 2.
-
Business name of a legal person shall be its property, which, however, may not be sold or conveyed in any other manner to become the property of the other person separately from the legal person.
- 3.
-
Business name of a legal person may not contradict the public order or good morals or mislead the society as to its incorporator, co-owner, registered office, purpose of activities, juridical form, identity of the legal person or similarity to business names of other legal persons, business names of foreign enterprises, institutions and organisations, as well as trademarks and service marks which are familiar to the Lithuanian society. Business name of a legal person may not mislead by its identity or similarity to the recognised well-known trademarks and service marks which were submitted for registration, and were registered prior to the said legal person.
- 4.
-
Where provisions of paragraph 3 of Article 2.46 of the given Code must be applied, business name of a legal person shall not be registered separately and shall be protected as of the day on which an application for the registration of a legal person is filed with the register of legal persons or a legal act has been adopted.
- 5.
-
Regulations of the register of legal persons may establish additional requirements for the business name of legal persons.
Article 2.40. Composition of the Business Name of Legal Person
- 1.
-
Business name of a legal person is composed of words or word-combinations used in their figurative or direct meaning.
- 2.
-
Business name of a legal person shall be composed by taking into consideration the norms of standard Lithuanian and shall not be composed of a generic word (or words) denoting directly the sort of objects or services of activity or a single toponym or of some other word which fails to possess a distinctive feature.
- 3.
-
Business name of a legal person may be composed only of letters, which may not be understood as words and numerals or their combinations only in cases when such business name is customary in the society. Where the consent has been given, business name of a legal person which is related to a foreign legal person or other organisation may be composed in such manner which would make the said name identical or similar to the business name of a foreign legal person or other organisation.
Article 2.41. Business Name of a Legal Person which is in the Process of Incorporation
- 1.
-
Incorporators of a legal person may apply to the register of natural persons and request to make a temporary entry of the business name of a legal person, which is in the process of incorporation, in the register of legal persons.
- 2.
-
Business name of a legal person, which is in the process of incorporation, shall be subject to the same rules as the business name of a legal person with the exception of paragraph 4 of Article 2.39 and Article 2.42 of the given Code.
- 3.
-
Entry of a business name of a legal person, which is in the process of incorporation shall be made in the register of legal persons for the period of six months and upon its expiry shall be deleted without prior notification thereof to the founders of the legal person.
Article 2.42. Right to the Business Name of a Legal Person
- 1.
-
It shall be prohibited to gain rights and assume obligations by using other legal person’s business name as a cover or to use other legal person’s business name without the latter’s consent.
- 2.
-
Where legal person’s right to a business name has been infringed by other person’s unlawful use of the said person’s business name or where the other person has or uses a business name, which fails to meet the requirements laid down in Article 2.39 of the given Code, the legal person shall have the right to apply to the court and request the court to oblige the legal person to discontinue the said unlawful acts or alter the business name and to redress the property and non-pecuniary damage incurred by the said acts, while in the event that provisions of paragraph 1 of the given Article have been infringed – to request the person to return everything he has acquired by using other person’s name as a cover or using the said name without the latter’s consent.
Article 2.43. Alteration of the Business Name of a Legal Person
- 1.
-
Prior to the alteration of the business name a legal person shall have, one time, to make a public announcement thereof or notify, in writing, all creditors of the legal person.
- 2.
-
Where a legal person fails to discharge its obligation stipulated in paragraph 1 of the given Article he shall have to suffer the ensuing negative consequences related to its failure to notify about the alteration of its business name.
- 3.
-
The business name of a legal person shall be altered alongside with the alteration of incorporation documents, which are filed with the Register of legal persons only after the requirements of paragraph 1 of the given Article have been fulfilled.
- 4.
-
A legal person shall have the right to apply to the Register of legal persons and request to make a temporary entry in the Register of legal persons of the planned new business name. In such cases the provisions of Article 2.41 of the given Code shall be applied mutatis mutandis
Article 2.44. Information Supplied in the Documents of a Legal Person
- 1.
-
Documents of a legal person used in his business relations with other subjects (business letters, invoices, trade documents etc.) shall have to supply the following information:
- 1)
-
business name of a legal person;
- 2)
-
juridical form of a legal person;
- 3)
-
head office of a legal person;
- 4)
-
code of a legal person;
- 5)
-
Register which stores and safeguards the data on the given legal person.
- 2.
-
Where a legal person has declared bankruptcy or is liquidated the information thereof must be indicated in the documents specified in paragraph 1 of the given Article.
- 3.
-
Where a legal person has to pay value-added tax, the payer’s code shall have to be indicated in the documents specified in paragraph 1 of the given Article.
- 4.
-
Where the assets of a legal person are mentioned in the documents specified in paragraph 1 of the given Article, authorised capital and the amount of paid-in authorised capital shall have to be indicated as well.
Article 2.45. Member of the Legal Person
- 1.
-
A member of a legal person (shareholder, member, part-owner etc.) shall be the person, which enjoys the right of ownership to the property of a legal person, or the person, who, irrespective of his failure to maintain the right of ownership to the property of a legal person, acquires the obligatory rights and duties related to the legal person.
Article 2.46. Documents of Incorporation of a Legal Person
- 1.
-
Legal persons shall act in accordance with the documents of their incorporation: articles of incorporation, incorporation contract or in cases provided by law – general regulations. According to the provisions of the given Code articles of incorporation shall have equal status with the regulations, statutes and other incorporation documents of legal persons.
- 2.
-
Provisions of incorporation documents shall be valid inasmuch as they do not contravene the mandatory provisions of laws.
- 3.
-
Public legal persons may act in accordance with the law or, where the law provides for it, in accordance with the legal act on the incorporation of a public legal person adopted by the state or municipalities if the said act does not provide for the obligation of a public legal person to act in accordance with the statutes approved by the state or municipality institutions.
- 4.
-
Where incorporation documents of a legal person are not filed with the Register of legal persons within six months after they have been drafted and where other laws fail to provide for a different time limit, they shall be deemed void.
- 5.
-
Identity of signatures of natural persons who have signed the incorporation documents of a legal person shall have to be approved by a notary with the exception of derogations provided by the law.
Article 2.47. Articles of Incorporation of a Legal Person
- 1.
-
Articles of incorporation and in the event that a legal person fails to have articles of incorporation – incorporation contract or general regulations, where a legal person acts in accordance with the general regulations, or a legal act, where a legal person acts in accordance with the legal act, shall have to supply the following information:
- 1)
-
business name of a legal person;
- 2)
-
juridical form of a legal person;
- 3)
-
repealed;
- 4)
-
goals of activities of a legal person;
- 5)
-
competence of the general meeting of members of a legal person and the procedure for its convening;
- 6)
-
bodies of a legal person and the procedure for their formation and dissolution or, where the bodies are not formed and the legal person exercises its rights through a member of a legal person – member of a legal person;
- 7)
-
the procedure for the alteration of the incorporation documents of a legal person;
- 8)
-
where the term of activities of a legal person is restricted, the term of its activities;
- 9)
-
other provisions laid down in the laws, the incorporator or a member of a legal person.
- 2.
-
Goals of the activities of public legal persons shall have to be defined in a clear and comprehensive manner including the field and form thereof.
- 3.
-
It shall not be necessary to indicate the procedure for convening a general meeting of the members of a legal person and the competence of a general meeting, the procedure for setting up and dissolving other bodies of a legal person and their competence, the procedure for making changes in the documents of incorporation, if such procedure is identical to the procedure provided for by the law and where the given fact is indicated in the articles of incorporation.
Article 2.48. Property of legal persons
- 1.
-
Property of legal persons shall be administered, used and disposed of on the basis of the ownership right or the right of trust.
- 2.
-
Property, which is administered, used and disposed of on the basis of the right of trust shall be owned by the incorporator of a legal person or its member on the basis of the ownership right.
Article 2.49. Registered Office of a Legal Person
- 1.
-
Registered office of a legal person shall be the seat of its principal managing body. Registered office of a legal person shall be defined by indicating the address of the premises in which the head office is located.
- 2.
-
Where the registered office of a legal person indicated in the register of legal persons or the contract and the seat of its principal managing body fail to coincide, the third parties shall enjoy the right to consider the seat of its principal managing body to be the registered office of a legal person.
- 3.
-
All correspondence with a legal person shall be deemed appropriate where the address of the registered office is used as well as where due regard of paragraph 2 of the given article is taken except as otherwise provided by a legal person.
- 4.
-
A decision regarding the registered office of a legal person shall be taken by incorporators. A decision to change the registered office a legal person shall be taken in accordance with the procedure laid down by the incorporation documents of a legal person, unless laws regulating activities of individual legal persons provide otherwise.
Article 2.50. Contractual Liability of Legal Persons
- 1.
-
A legal person shall be liable for his obligations by his property, which it owns on the basis of the ownership right or right of trust
- 2.
-
A legal person shall not be liable for the obligations of its member and the latter shall not be liable for the obligations of the legal person with the exception of cases provided by the law and incorporation documents of a legal person.
- 3.
-
Where a legal person fails to perform his obligations due to acts in bad faith of a member of the legal person, the member of a legal person shall, in a subsidiary manner, be liable for the obligations of a legal person by his property.
- 4.
-
Legal persons shall be divided into persons of limited and unlimited civil liability. Where the property of a legal person of unlimited civil liability is not sufficient to discharge its obligations, a member of a legal person shall be liable for the said obligations. Personal (individual) enterprise and commercial partnership shall be legal persons of unlimited civil liability.
Article 2.51. Term of the Activities of a Legal Person
- 1.
-
A legal person may be incorporated for a fixed or open-ended term. Date as well as presence or absence of certain conditions may be considered to be the term.
- 2.
-
Where documents of incorporation of a legal person fail to indicate that the legal person has been incorporated for a fixed period of time such legal person shall be considered incorporated for an open-ended term.
Article 2.52. Financial Year of a Legal Person
- 1.
-
Financial year of a legal person shall be the calendar year.
- 2.
-
Any other period of twelve months may be considered to be the financial year of a legal person.
- 3.
-
Where the financial year is changed, the end of the financial year shall be considered to be the end of the new financial year if the period from the beginning of the financial year to the end of the new financial year is not longer than eighteen months. Where such period is longer than eighteen months, transitional financial year shall be set and its beginning shall be the end of the previous financial year whereas the end of it – the beginning of the new financial year.
- 4.
-
Upon the incorporation of a legal person, the first financial year of a legal person shall be the period from the day of its incorporation to the end of the financial year. With the expiry of the term of a legal person the period from the beginning of the financial year to the day of the expiry of the term of a natural person shall be considered to be the last financial year.
- 5.
-
Financial year of a legal person may not be altered more frequently than one time in five years. Where a legal person changes its financial year for a financial year coinciding with the calendar year, the given provision shall not be applied.
Article 2.53. Branch Office of a Legal Person
- 1.
-
Branch office of a legal person shall be its structural unit, which has its registered office and performs all or part of legal person’s the functions.
- 2.
-
Branch office of a legal person shall not be a legal person. The legal person shall be liable for the obligations of the branch office and the branch office shall be liable for the obligations of the legal person.
Article 2.54. Regulations of the Branch Office of a Legal Person
- 1.
-
Branch office of a legal person shall act in accordance with the regulations approved by a legal person. They must contain the following information:
- 1)
-
business name of the branch office;
- 2)
-
repealed
- 3)
-
goals of activities of the branch office;
- 4)
-
managing body of the branch office and its competence;
- 5)
-
term of the activities of the branch office (where it is fixed
- 6)
-
other provisions established by the law or a legal person.
- 2.
-
Regulations of the branch office of a legal person shall also provide information specified in subparagraphs 1, 2, 4 and 5 of paragraph 1 of Article 2.44 of the given Code on the founder of the branch office and on the managing body of a legal person, which enjoys the right to form or dissolve managing bodies of the branch office and make decisions on the legal status of the branch office.
Article 2.55. Regulation of Branch Offices
- 1.
-
Provisions of PART II of the given book shall be applied to the branch offices and their activities inasmuch as they do not contradict the essence of a branch office and by taking due regard of peculiar provisions laid down in the given Article.
- 2.
-
Documents of the branch office listed in Article 2.44 of the given Code shall also contain analogous information about the legal person, with the exception of information specified in paragraph 3 of Article 2.44 of the given Code in cases, where a foreign legal person or other organisation is the founder of the branch office.
- 3.
-
Upon the registration of a branch office a foreign legal person or other organisation must to notify the Register of legal persons about the alterations in the legal person’s documents and data which were filed with the Register, and the legal status of a legal person or other organisation, must present a set of annual financial statements of a legal person, other organisation or branch office, if a set of annual financial statements of a foreign legal person or other organisation is compiled in accordance with the requirements other than those applied in the European Union, and financial reporting is mandatory under laws of the Republic of Lithuania which are applied to a foreign legal person or other organisation.
Article 2.56. Representative Office of a Legal Person
- 1.
-
Representative office of a legal person shall be a unit of a legal person, which shall have its registered office enjoy the right to perform all operations specified in paragraph 2 of the given Article.
- 2.
-
Representative office of a legal person shall have the right to represent the interests of a legal person and safeguard them, to enter into contracts as well as perform other operations in legal person’s name, to conduct import and export operations exclusively between foreign legal persons and other organisations, which have established the branch office or related enterprises, institutions or organisations and the branch office.
- 3.
-
Representative office of a legal person shall not be a legal person.
Article 2.57. Regulations of a Representative Office of a Legal Person
1.Representative office of a legal person shall act pursuant to the regulations approved by a legal person which have to indicate:
- 1)
-
business name of a representative office;
- 2)
-
registered office of a representative office;
- 3)
-
goals of activities of a representative office;
- 4)
-
managing body of a representative office and its competence;
- 5)
-
period of activities of a representative office where it is limited;
- 6)
-
other provisions established by the law or a legal person.
2.Regulations of the representative office of a legal person shall also include information specified in Article 2.24 of the given Code about its founder and about the managing body which has the right to form and dissolve managing bodies and make decisions on the legal status of a representative office.
Article 2.58. Regulation of the Representative Office of a Legal Person
- 1.
-
Provisions of Part II of the given book shall be applied to representative offices inasmuch as they do not contradict the essence of a representative office and by taking due regard of peculiar provisions laid down in the given Article.
- 2.
-
Documents of a representative office listed in Article 2.44 of the given Code must also contain similar information about a legal person, with the exception of information specified in paragraph 3 of Article 2.44 of the given Code in cases, where the founder of a representative office is a foreign legal person or other organisation.
- 3.
-
Upon registration of a representative office a foreign legal person or other organisation must notify the Register of legal persons about the alterations of legal person's documents and data filed with the Register as well as about the legal status of a legal person.
CHAPTER V
INCORPORATION OF A LEGAL PERSON
Article 2.59. Procedure for the Incorporation of a Legal Person
Legal persons shall be incorporated pursuant to the procedure established by the law and the given Code.
Article 2.60. Incorporators of a Legal Person
- 1.
-
Incorporator of a legal person shall be a person who has concluded a contract for the incorporation of a legal person. Upon passing a respective law or, where it is provided for by the law, other legal act, the state, or, where it is provided by the law, a municipality, public or local self-government institutions upon passing a respective legal act, which forms the basis for the
- 2.
-
Natural and legal persons may be incorporators of a legal person.
- 3.
-
The law may provide for cases, where for the purpose of protection of public order or where retaliatory action is taken, a foreign legal person, other organisation or a foreigner may not be an incorporator or a member of legal persons.
Article 2.61. Contracts Concluded Prior to the Incorporation of a Legal Person
- 1.
-
A special managing body of a legal person or some other body defined in the incorporation document shall have the right to approve contracts, which in a legal person’s name were concluded by other persons prior to the incorporation of a legal person. When such contract is concluded it should be indicated that it is concluded in a legal person’s name and in its interests. Where such reference fails to be included the person who has concluded the contract and the legal person, whose managing body or some other body defined in the incorporation document approved the contract concluded in its interest, shall have solidarity obligation to discharge their contractual obligations.
- 2.
-
Where such contract fails to be approved by the body of the legal person which was incorporated at a later date all obligations arising from the contract shall have to be discharged by the person who has concluded the said contract. Where such contract has been entered into by some persons and where a legal persons fails to approve it all persons shall have the solidarity obligation to discharge obligations arising from the said contract.
Article 2.62. Register of Legal Persons
- 1.
-
Legal person shall have to be registered with the Register of legal persons.
- 2.
-
Register of legal persons shall file legal persons and store data thereof. Register of legal persons shall be the principal register of the state.
- 3.
-
Register of legal persons must be supplied with all data prescribed by the law on legal persons themselves and their activities (principle of disclosure).
- 4.
-
A head institution for the administration of the Register of legal persons and an institution for the administration of the Register (registrar of the Register) shall be defined by the law .
Article 2.63. Moment of Incorporation of a Legal Person
- 1.
-
A legal person shall be deemed incorporated as of the moment of its registration with the Register of legal persons.
- 2.
-
In cases prescribed by the law or laws, other legal act which formed the basis for the incorporation of public legal person may establish that a legal person is deemed incorporated after the act forming the basis for the incorporation has entered into force. In such cases the said legal act must contain the data laid down in Article 2.66 of the given Code and the said legal act has to be published and produced to the Register of legal persons.
Article 2.64. Registration of Legal Persons
- 1.
-
A legal person shall be registered with the Register of legal persons after documents listed in paragraph 2 of the given Article have been produced except as otherwise provided by other laws in relation to cases established by the provisions of the given Code.
- 2.
-
The following documents shall have to be produced to the Register of legal persons for the registration of a legal person:
- 1)
-
application of the established form for the registration of a legal person;
- 2)
-
incorporation documents of a legal person;
- 3)
-
licence, where issuance of a licence prior to the incorporation of a legal person is provided for by the law;
- 4)
-
documents verifying the authenticity of documents which are produced to the Register and the compliance of incorporation documents with the provisions of laws as well as documents verifying the fact that a legal person may be registered because contractual obligations assumed in the incorporation contract have been fulfilled and the circumstances prescribed by the law and incorporation documents have emerged;
- 5)
-
repealed
- 6)
-
other documents prescribed by the law.
- 3.
-
A legal person must be registered within 3 working days from the day on which all documents listed in Paragraph 2 of the given Article are produced and a registration fee is paid.
- 4.
-
Regulations of the Register of legal persons shall establish the procedure for the registration of legal persons.
- 5.
-
A fee shall be paid for registration of legal persons, their representative offices and branch offices, registration of alterations of their data, information and incorporation documents. A rate of the fee shall be fixed by the Government.
- 6.
-
A legal person may be removed from the Register only on the expiry of the term of a legal person.
Article 2.65. Code of a Legal Person
Upon registration of a legal person, the registrar of the Register shall give a legal person a code of a legal person and shall issue an extract from the Register of legal persons.
Article 2.66. Data of the Register of Legal Persons
- 1.
-
Register of legal persons shall have to include:
- 1)
-
business name of a legal person;
- 2)
-
juridical form of a legal person;
- 3)
-
code of a legal person;
- 4)
-
registered office of a legal person;
- 5)
-
bodies of a legal person;
- 6)
-
members of managing bodies of a legal person (name, surname, personal code, place of residence);
- 7)
-
members of managing bodies of a legal person and members of a legal person having the right to conclude contracts in the legal person’s name, limits of authority;
- 8)
-
branch offices and representative offices of a legal person (names, codes, registered offices, members of managing bodies of branch offices and representative offices);
- 9)
-
restrictions on the activities of a legal person;
- 10)
-
legal status of a legal person;
- 11)
-
expiry of the term of a legal person;
- 12)
-
dates of alterations in the data filed with the register and dates of the alteration of documents;
- 13)
-
a financial year of a legal person;
- 14)
-
other data prescribed by the law.
- 2.
-
Where legal persons the members whereof are liable for contractual obligations of a legal person are registered, additional information on a member, a natural person, of a legal person shall be furnished: name, surname, personal code, residence or business name of a legal person, juridical form, code and registered office.
- 3.
-
Where the data, listed in paragraphs 1 and 2 of the given Article has been altered and where incorporation documents or other data listed in paragraphs 1 and 2 of the given Article has been altered, a legal person must file an application of the established form requesting the registration of the alterations with the Register of legal persons within thirty days as of the day the alterations have been made. Documents listed in point 4 paragraph 2 of Article 2.64 of the given Code and full text of the altered document, where the document has been altered, must be produced together with the application requesting the registration of the alterations.
- 4.
-
A set of annual financial statements (a set of consolidated financial statements) and an annual report (a consolidated annual report) of an enterprise shall be produced to the Register of legal persons every year within thirty days from the day of their approval, except as otherwise provided for by the law.
- 5.
-
Alterations in the data listed in points 5-7 and 11 of paragraph 1 of the given Article as well as alterations of documents shall enter into force only upon their registration with the Register of legal persons with the exception of derogations provided by the law.
Article 2.67. Persons Responsible for the Production of Documents of a Legal Person and the Data of the Register to the Registrar of the Register
- 1.
-
Managing body of a legal person shall be responsible for the timely production of documents of a natural person, data and other requested information to the Register of legal persons except as otherwise provided by the law or incorporation documents.
Article 2.68. Refusal to Register
1. The registrar may refuse to register a legal person or the alterations in the data and documents of a legal person only in cases where:
- 1)
-
the application to register a legal person (alterations of data and documents to be registered with the register, removal of data) fails to conform to the established form or not all documents specified in Articles 2.63 and 2.64 are produced;
- 2)
-
the term specified in paragraph 4 of Article 2.46 of the given Code has expired;
- 3)
-
data and documents produced to the Register are not in conformity with one another, are vague or misleading;
- 4)
-
form or content of the documents fail to conform to the requirements provided for by law.
2. Where obstacles for the registration of the produced documents and data arise, the registrar shall set a time limit for the elimination of defects. Where the defects are not eliminated within the established time limit and corrected documents are not produced to the registrar, the registrar makes a motivated decision to refuse the registration of a legal person (alterations in data or documents).
3. Decision to refuse registration of a legal person (data to be registered in the register or alterations in documents) shall be appealed to the court in accordance with the procedure established by the law.
Article 2.69. Rectification of the Register of Legal Persons
- 1.
-
Errors in the Register of legal persons shall be rectified on the application of a legal person or a person whose data has been inserted in the Register or on the initiative of the registrar.
- 2.
-
Upon the detection of an error in the Register, the registrar shall have, without delay, to notify, in writing, a legal person. Where a legal person fails to raise objections within the time limit set by the registrar for the rectification of the error, the registrar shall rectify the data in the register.
- 3.
-
In the event that a legal person, the data whereof has been registered with the Register, requests the rectification of an error in the Register, the registrar shall have to rectify the data in the Register within three business days as of the day, on which the application and the documents verifying the facts have been received.
- 4.
-
The registrar shall have to notify, where applicable, the persons who were given erroneous data about the rectification of the mistake in the Register.
Article 2.70. Liquidation of a Legal Person on the Initiative of the Registrar of Legal Persons.
- 1.
-
Where a legal person registered with the Register fails to renew its data in the Register of legal persons within five years and where there are grounds to presume that the said legal person has stopped its activities or where an enterprise failed to produce documents of financial accountability, which were specified in paragraph 4 of Article 2.66 of the given Code for a period exceeding twenty four months and failed to inform the administrator of the Register of legal persons about the reasons thereof or where management bodies failed to make decisions due to the lack of quorum after the resignation of the members of managing bodies of a legal person and the situation persists for more than six months or where members of managing bodies of a legal person may not be contacted at the registered office of a legal person or locations, the addresses of which have been produced to the Register of legal persons, the registrar of the Register shall have the right to initiate liquidation of a legal person.
- 2.
-
The registrar of legal persons shall send a notification about the pending liquidation of the legal person to the registered office of a legal person or to the addresses of the members of managing bodies of a legal person which were produced to the register of legal persons as well as make the public announcement of the said notification in the source provided for in the regulations of the register of legal persons.
- 3.
-
Where within three months following the public announcement of the pending liquidation of a legal person the registrar of legal person fails to receive objections to the pending liquidation of a legal person he applies to the court requesting to put the legal person into liquidation.
- 4.
-
Requests of the registrar of the Register regarding liquidation of a legal person shall be considered in accordance with the procedure laid down in Chapter XXXIX of the Code of Civil Procedure.
Article 2.71. Publication of the Register of Legal Persons
- 1.
-
Data of the Register of legal persons, documents stored in the register as well as any information supplied to the Register shall be made public.
- 2.
-
A separate file shall be made up for each legal person. Documents, their copies produced to the Register, data and other information related to the given legal person shall be stored and safeguarded in the said file.
- 3.
-
When the Register produces in a written form extracts of the data and information stored in the Register, a mark “attested extract” must be applied, and when it produces copies of the documents – a mark “attested copy” must be applied, except in cases where an applicant does not request the said mark. When the Register produces in an electronic form extracts of the data and information stored in the Register and copies of the documents a mark “attested extract” (“attested copy”) shall not be applied, except in cases where an applicant requests the said mark. When the registrar of the Register of Legal Persons produces extracts of the data and information, copies of the documents stored in the Register, the said extracts and copies shall have prima facie authority.
- 4.
-
Every person shall have the right to receive, free of charge, oral information on the legal status of a legal person and restrictions imposed of his activities in accordance with the procedure established by the Register of legal persons.
Article 2.72. Procedure and Mode of Publication of the Data of the Register of Legal Persons
- 1.
-
The registrar shall have to make a public announcement of the registration of a legal person, alteration of the data stored in the Register in accordance with the procedure established by the provisions of the Register of legal persons and in the source designated by the said provisions.
- 2.
-
Copies of the data and documents stored in the Register of legal persons shall be issued pursuant to the procedure established by the regulations of the Register of legal persons.
- 3.
-
Every person shall enjoy the right to be issued copies of any data, documents and information stored in the Register after a fee not exceeding the costs of the said work has been paid.
- 4.
-
Data of the Register of legal person shall be issued free of charge:
- 1)
-
to natural persons whose data are inserted in the Register – the Register stores the data about the said persons;
- 2)
-
to law enforcement institutions, courts and tax administration institutions – inasmuch as they need such data for discharging their direct functions;
- 3)
-
to other State registers and information systems – under data provision contracts.
- 5.
-
a fee for the issuance of copies of the data and documents of legal persons shall not exceed the costs of the administration of the Register.
Article 2.73. Liability for Unlawful Refusal to Register a Legal Person and for Errors in the Register of Legal Persons
- 1.
-
Where a legal person and the data produced to the Register or documents to be registered with the Register, are unlawfully refused registration a legal person shall have the right to seek a legal redress for the damage inflicted on him by the said actions.
- 2.
-
Damage incurred by the actions specified in paragraph 1 of the given Article on a legal person as well as damage incurred on other persons in the administration of the Register of legal persons shall be redressed by the State. The said damage is recovered in judicial proceedings. Institution authorised by the State shall represent the State in civil cases for the award of damage.
CHAPTER VI
LEGAL CAPACITY OF LEGAL PERSONS
Article 2.74. Legal Capacity of Legal Persons
- 1.
-
Private legal persons may be in possession of or achieve any civil rights and assume duties except those, which may emerge only when such characteristics of a natural person as gender, age and consanguinity are in place.
- 2.
-
Public legal persons shall have a special legal capacity, i. e they may be in possession of or achieve only such civil rights and assume such duties, which are not at variance with their incorporation documents or goals of activities.
- 3.
-
Provisions of paragraph 3 of Article 2.4 of the given Code shall be applied to legal persons mutatis mutandis.
Article 2.75. Restrictions on the Legal Capacity of Legal Persons
- 1.
-
Legal Capacity of legal persons may not be imposed limitations in any other manner except as by express provision and procedure of law.
- 2.
-
Legal Capacity of an individual legal person may be imposed limitations only by the court judgement.
Article 2.76. Prohibition of Discrimination
- 1.
-
It shall be prohibited to establish in legal acts, for discrimination purposes, different rights, obligations or privileges for separate legal persons.
Article 2.77. Licensing of the Activities of Legal Persons
- 1.
-
In cases provided by law legal persons may be engaged in a certain type of activities only after a licence has been granted in accordance with the procedure established by the law.
- 2.
-
A legal person must be in possession of all licences (permits) which are defined in the law as a necessary prerequisite for its activities.
Article 2.78. Licensing Requirements
- 1.
-
The Government approves licensing requirements for every licenced sphere of activities provided by law except as otherwise provided by other laws.
- 2.
-
Licensing requirements shall indicate the following:
- 1)
-
licenced activities;
- 2)
-
licensing institution and its authority;
- 3)
-
documents for the issuance of a licence;
- 4)
-
procedure and term for the investigation of documents;
- 5)
-
types of licences, conditions of their issuance, re-issuance of a licence;
- 6)
-
forms of licences;
- 7)
-
procedure for the registration of issued licences;
- 8)
-
cases of refusal to issue a licence;
- 9)
-
conditions of licenced activities;
- 10)
-
procedure for the supervision of the observance of the conditions of a licence;
- 11)
-
procedure and cases for the revocation and withdrawal of a licence.
- 3.
-
Regulations of licensing may provide for other requirements and a different procedure.
Article 2.79. Issuance of a Licence
- 1.
-
Where the requirements specified in the regulations of licensing are fulfilled an open-ended licence shall be issued.
- 2.
-
Except as otherwise provided by law, licence for the engagement in a certain activity or a written motivated refusal to issue a licence shall be submitted to an applicant within thirty days as of the day on which the documents for the issuance of a licence were produced.
- 3.
-
Refusal to issue a licence may not be based on the inexpediency of activities and has to be motivated.
- 4.
-
Information on the issuance of a licence, its revocation and withdrawal shall be stored in the register of legal persons. The licensing authority must notify the register of legal persons about the issuance, revocation and withdrawal of licences in accordance with the procedure established by the regulations of the register of legal persons.
- 5.
-
Upon the issuance of a licence a legal person must supply information specified in the licensing requirements and related to the licenced activities or conditions predetermining the issuance thereof and allow the institution for the supervision of licenced activities to verify it.
- 6.
-
A state fee for the issuance of a licence shall not exceed the costs of the issuance of a licence and supervision thereof.
Article 2.80. Prohibition to Use Administrative Methods
- 1.
-
Public or municipality institutions shall be prohibited, in cases not prescribed by law, to use methods of administrative regulation of the activities of legal persons.
- 2.
-
Where, in accordance with the procedure prescribed by law, an emergency or martial law is declared or a certain territory is declared the region of disaster, legal persons must carry out the instructions of the Government or local self-government institution.
CHAPTER VII
BODIES OF A LEGAL PERSON
Article 2.81. Bodies of a Legal Person
- 1.
-
Legal persons achieve civil rights, assume civil duties and implement them through their bodies which are formed and act in accordance with laws and documents of incorporation of legal persons
- 2.
-
In cases prescribed by laws and incorporation documents legal persons may achieve civil rights and assume duties through their members.
- 3.
-
Members of legal persons enjoy the right to institute an action at law requesting to prohibit the managing bodies of a legal person to enter into contracts which contravene the goals of the activities of a legal person or overstep the authority of a managing body of a legal person.
- 4.
-
Only natural persons may be members of managing bodies of a legal person whereas both natural and legal persons may be members of other bodies.
Article 2.82. Authority and Functions of the Bodies of Legal Persons
- 1.
-
Authority and functions of the natural persons’ bodies shall be established by the law and incorporation documents of a legal person, which regulate legal persons of a respective juridical form.
- 2.
-
Where incorporation documents and laws regulating the activities of a legal person fail to provide a different structure of managing bodies, each legal person must have a single-person or a collegial managing body and the general meeting of members. Laws regulating individual juridical forms of legal persons may establish that an managing body and the general meeting of members may be considered to be the same body of a legal person.
- 3.
-
A managing body shall be responsible for convocation of the general meeting of members of a legal person, notification of the members of a legal person about the essential events which are important for activities of a legal person, organisation of legal person’s activities, accounting of the members of a legal person and actions specified in paragraph 3 of Article 2.4 of the given Code, except as otherwise provided in laws regulating activities of individual legal persons.
- 4.
-
Decisions of the bodies of a legal person may, in judicial proceedings, be declared void where they contravene the imperative provisions of the law, incorporation documents of a legal person or principles of reasonableness and good faith. Where the decision infringes their rights or interests, action can be taken by the creditors of a legal person, a respective managing body of a legal person, member of a legal person or other persons prescribed by the law. Three-month limitation of actions period shall be set for the said actions. It shall be counted as of the day on which the defendant found out or had to find out about the contested decision where the given Code and other laws fail to set another term of limitation of actions or a different procedure for the challenging of the decision.
Article 2.83. Contracts Concluded in Overstepping the Authority of Managing Bodies of a Private Legal Person
- 1.
-
Contracts concluded by the managing bodies of a private legal person in overstepping their authority shall impose obligations on a legal person except in cases where it is proved that concluding the contract the third person was aware or due to certain circumstances may not have failed to be aware of the fact that the contract has been entered into by a managing body of a legal person who was not authorised to conclude it.
- 2.
-
Paragraph 1 of the given Article shall not be applied where quantitative representation has been established, i.e. only some members of a managing body together or a member of a managing body and a representative together are authorised to act in the name of a legal person. Quantitative representation shall have to be provided in the incorporation documents of a legal person, specified in the register of legal persons and publicised in accordance with the procedure established by the regulations of the register of legal persons.
- 3.
-
Where a legal person fails to satisfy fully the claim of a third person, the person who has concluded the contract under circumstances laid down in paragraph 1 of the given Article shall take on subsidiary liability.
Article 2.84. Contracts Concluded in Overstepping the Authority of Managing Bodies of a Public Legal Person
- 1.
-
Contracts concluded by administrative bodies of a public legal person in overstepping their authority shall not impose obligations on a legal person.
- 2.
-
Where, at a later date, the person approves the contract, the contract shall become valid as of the day of its conclusion.
- 3.
-
A person who, under the circumstances laid down in paragraph 1 of the given Article, has concluded a contract, which is not approved by a legal person, must redress the damage incurred on the third person, if he fails to prove that concluding the contract the third person was aware or due to certain circumstances may not have failed to be aware of the fact that the contract has been concluded in overstepping the authority of the managing body of a legal person.
Article 2.85. Public Announcement of the Authority
Publication and indication in the Register of legal persons of the authority of managing bodies of legal persons which was stipulated in incorporation documents shall not affect the application of the provisions of Articles 2.83 and 2.84.
Article 2.86. Equality of Members of Legal Person’s Managing Bodies
Members of legal person’s managing body shall enjoy equal rights and obligations with the exception of the case specified in paragraph 2 of Article 2.93 of the given Code.
Article 2.87. Duties of Members of Legal Person’s Managing Bodies
- 1.
-
Member of a legal person’s body shall have to act in good faith and reasonable manner in respect of the legal person and members of other legal person’s bodies.
- 2.
-
Member of a managing body of a legal person shall have to be loyal to the legal person and maintain confidentiality.
- 3.
-
Member of legal person’s managing body shall have to avoid a situation where his personal interests are contrary or may be contrary to the interests of a legal person.
- 4.
-
Member of a managing body of a legal person may not confuse the property of a legal person with his own property and, without consent of members of a legal person, use the property or the information, which he obtains in the capacity of a member of legal person’s body, for his personal gain or third person’s gain.
- 5.
-
A member of a managing body of a legal person must notify other members of the managing body of a legal person about the circumstances laid down in paragraph 3 of the given Article and define their nature and, where applicable, their value. Such information shall have to be supplied in writing or included into the minutes of the meeting of legal person’s bodies.
- 6.
-
A member of a managing body of a legal person may enter into a contract with a legal person being in the capacity of a member of the said person’s body. He shall have, without delay, to notify other bodies of a legal person about the said contract in accordance with the procedure established in paragraph 5 of the given Article or members of a legal person where incorporation documents of a legal person fail to provide explicitly for a different procedure of notification.
- 7.
-
A member of a managing body of a legal person who fails to perform or performs improperly his duties specified in the given Article or incorporation documents must redress all damage incurred on a legal person except as otherwise provided by law, incorporation documents, or an agreement.
Article 2.88. Agreements on the Voting of the Members of a Legal Person
- 1.
-
Members of a legal person may conclude an agreement on general voting at the meeting of the members of a legal person. Agreements on voting are null and void where an obligation is assumed:
- 1)
-
to vote according to instructions received from the managing bodies of a legal person;
- 2)
-
to vote for all proposals made by the managing bodies of a legal person;
- 3)
-
to vote according to instructions or abstain from voting for certain remuneration.
- 2.
-
An agreement on voting may establish that parties to the said agreement may grant an authorisation to a third person to vote at the general meetings of the members of a legal person in the name of the parties to the agreement on voting, and such authorisation may be revoked only in cases provided for in the said agreement.
- 3.
-
Upon the issuance of the authorisation in accordance with the provisions of paragraph 2 of the given Article, the parties to the agreement are deprived of the right to vote or to grant authorisation to other persons to vote at the meetings of members of legal person for issues specified in the authorisation.
- 4.
-
Where provisions of an agreement on voting have been infringed by one party to the agreement the court is authorised to oblige re-counting of the results of voting at the meeting of members of a legal person in accordance with the agreement on voting and reverse the decision taken at the meeting of members of a legal person in cases where voting in violation of the agreement was decisive in arriving or not arriving at a certain decision.
Article 2.89. Transfer of a Voting Right
- 1.
-
A member of a legal person may transfer his right to vote at the general meeting of members of a legal person to other persons and establish the procedure and modes of exercising the voting right.
- 2.
-
An agreement on the transfer of the voting right enters into force as of disclosure to a legal person of the data on the number of transferred votes, time limit of transfer, grounds for the entitlement to the voting right, member of a legal person who transfers the right and the person who achieves the right (inasmuch as is provided in incorporation documents of a legal person, laws or the established practice of a legal person).
- 3.
-
A legal person must notify the member of a legal person who transfers his voting right and the person who achieves it as well as, at the nearest meeting of members of a legal person, announce that he has received documents and information specified in paragraph 2 of the given Article. Obligations of a legal person related to the convening of the general meeting of members of a legal person are fulfilled in respect of the person who has achieved a voting right.
- 4.
-
Term for an agreement on the transfer of a voting right may not exceed a period of ten years.
- 5.
-
Other non-property rights enjoyed by a member of a legal person may, too, be transferred by an agreement on the transfer of voting rights.
Article 2.90. Minutes
- 1.
-
Meetings of a legal person’s collegiate body shall keep the minutes.
- 2.
-
The minutes shall include the time and place of a meeting, number of participants, the fact of having a quorum, results of voting, and decisions. The minutes shall have to be annexed by the list of participants and information on the convening of the meeting. On the request of participants of the meeting information specified by them shall have to be included into the minutes. All alterations and supplements shall have to be deliberated.
- 3.
-
Minutes shall have to be stored no less than ten years and on the request of each participant or other member of a managing body who participated or was entitled to participate in the meeting a copy of the minutes shall have to be issued. A legal person shall have the right to demand from a member of a legal persona a fee, not exceeding the costs of its issuance, for the copy of minutes.
- 4.
-
Where a decision is signed by all members of a managing body of a legal person or where only one person constitutes a body of an legal person and in this case a decision made by that member of a legal person equals a decision made by a managing body of a legal person, minutes shall not be taken.
- 5.
-
Laws may provide for different or supplementary requirements for minutes compared to those, which are laid down in paragraph 2 of the given Article.
Article 2.91. Keeping and Signing of Minutes
- 1.
-
Minutes shall be taken by a secretary of a meeting, a chairman of a meeting, where a secretary is not elected, or by a chairman of a collegiate managing body of a legal person where a chairman and secretary of a meeting are not elected.
- 2.
-
Minutes are signed by the person who has taken it and by the chairman of a meeting and in cases where he is not elected – chairman of a collegiate managing body of a legal person.
- 3.
-
Minutes shall be taken and signed within a time limit established in incorporation documents or laws and in all cases, however, must not exceed thirty days as of the day on which a meeting was convened.
Article 2.92. Remarks on the Minutes
- 1.
-
Participants of a meeting shall enjoy the right to make remarks on the minutes within three days as of the moment they have read them but neither the period of three days nor the maximum time limit for taking minutes established in incorporation documents may be exceeded.
- 2.
-
Remarks on the minutes shall be attached to the minutes together with the information whether persons who signed the minutes agree or disagree with them.
- 3.
-
Failure to make remarks shall not preclude the right to contest decisions of the managing body of a legal person.
Article 2.93. Voting
1. Resolutions of collegiate bodies of a legal person shall be adopted by voting.
2. Equality of votes shall mean that the same number of votes “for” and the same number of votes “against” have been received. In cases of equality of votes, vote of the chairman of a collegiate body shall be decisive. Where the chairman of a collegiate body has not been designated or fails to participate in the resolution adopting process, the resolution, in the case of equality of votes, shall be deemed not adopted.
3. Where members of a collegiate body fail to raise objections voting could be done, in writing, in the form of an interview.
4. In urgent cases the court may designate members of a body of a legal person.
5. Member of a body of a legal person may vote himself or may authorise other persons to vote for him as his proxy except as otherwise provided in incorporation documents of a legal person.
6. Decision of a chairman of the sitting (meeting) of a legal person’s collegiate body on the results of voting shall be decisive except in the cases where the voting is held in writing or a commission for counting of votes is established. In such cases the decision of the commission shall be final. Where upon the announcement of the results of voting by the chairman of the sitting or the commission for counting of votes, doubts are expressed on the lawfulness of voting, repeated voting, upon the request by the majority of members of a collegiate body, must be done.
7. Laws and incorporation documents of a legal person may provide for a different procedure of voting.
8. Provisions of the given Article shall not be applied to the general meeting of shareholders.
Article 2.94. Verification of a Decision
Where, for purposes of validity of a resolution, approval of the body of other legal person may be requested, the said approval may be effected at a later date within a reasonable period of time.
CHAPTER VIII
TERMINATION AND RESTRUCTURING OF LEGAL PERSONS
Article 2.95. Termination of Legal Persons
- 1.
-
Legal persons shall be terminated by way of liquidation or reorganisation.
- 2.
-
Reorganisation shall be termination of a legal person without the liquidation procedure.
- 3.
-
A legal person shall be terminated as of the day of its removal from the Register of legal persons.
Article 2.96. Reorganisation of Legal Persons
- 1.
-
Resolution to reorganise a legal person shall be passed by members of a legal person or the court in cases provided by law.
- 2.
-
Resolution to reorganise, by way of merger, a legal person, which is joined by other legal person, may, too, be passed by the managing body of a legal person where the given circumstances emerge.
- 1)
-
Public announcement about the terms of reorganisation of legal persons laid down in paragraph 2 of Article 2.99 of the given Code shall be made no later than thirty days prior to the general meeting of members of a legal person, which is going to be merged.
- 2)
-
Every member of a legal person shall have the right to acquaint himself with the documents specified in paragraph 4 of the given Article.
- 3)
-
One or some members of a legal person with no less than 1/20 of votes at the general meeting of members of a legal person shall enjoy the right to request the convening of the general meeting of legal person’s members on the reorganisation, by way of merger, of a legal person.
- 3.
-
Resolution to reorganise a legal person shall be passed by the qualified majority vote. It shall be set in the incorporation documents and may be no less than 2/3 of the votes given by the persons present at the general meeting. Subject to paragraph 1 of Article 2.101 of the given Code, resolution to reorganise a legal person may be passed only upon the expiry of a thirty days period following the public announcement that terms for the reorganisation have been set. Terms of reorganisation shall have to be approved by a resolution to reorganise a legal person and documents of incorporation shall have to be altered or new documents shall have to be drawn up.
- 4.
-
Members of a legal person shall have the right to acquaint themselves with the terms of reorganisation, incorporation documents of legal persons who will continue the activities after the reorganisation or documents of newly incorporated legal persons or with their projects and reports drawn up by all managing bodies of legal persons participating in the reorganisation, assessments of experts as well as financial statement for the last three financial years. Where terms of the reorganisation were set six months following the end of the financial year of at least one legal person participating in the reorganisation, interim financial statement has to be issued in accordance with the same rules applied to the earlier financial statement and has to be presented to the members of a legal person. It shall be issued no earlier than three months prior to the setting of terms for the reorganisation. All members of a legal person shall have the right to receive copies of the said documents.
- 5.
-
Managing bodies of legal persons shall have to notify members of legal persons about all essential changes after terms of reorganisation have been set and prior to taking decision on the reorganisation and attach this written notification to documents specified in paragraph 4 of the given Article as well as inform, orally, about essential changes in the general meeting of members of legal persons.
Article 2.97. Modes of Reorganisation of Legal Persons
- 1.
-
Legal persons may be reorganised by way of merger and division.
- 2.
-
Joining and consolidation shall be the possible modes of merger of a legal person.
- 3.
-
Joining shall be merger of one or more legal persons to the other legal person, which become successors to all rights and obligations of the reorganised legal person.
- 4.
-
Consolidation is a merger of two or more legal persons into a new legal person, which becomes a successor to all rights and obligations of reorganised legal persons.
- 5.
-
Possible modes of splitting up of legal persons shall be division and parcelling out.
- 6.
-
Parcelling out shall be parcelling out of legal person’s rights and obligations to other functioning legal persons.
- 7.
-
Division shall be incorporation of two or more legal persons on the basis of the legal person under reorganisation, which become successors to certain parts of legal person’s rights and obligations.
- 8.
-
Where the resolution to liquidate a legal person was not passed by the general meeting of the members of a legal person or where at least one member of a legal person became a successor to a part of property of a legal person under liquidation it shall be prohibited to reorganise such legal person under liquidation.
- 9.
-
Specific character of reorganisation of individual legal persons may be prescribed by the laws, which regulate individual legal forms of legal persons.
Article 2.98. Reorganisation of Legal Persons of Different Legal Forms
- 1.
-
Only legal persons of the same legal form may participate in the reorganisation procedures with the exception of derogations provided by laws regulating individual legal forms of legal persons.
- 2.
-
Upon termination of a reorganised legal person whose members are liable for obligations of a legal person, members of the terminated and reorganised legal person shall, irrespective of the terms of reorganisation, accept subsidiary liability for the obligations of the dissolved legal person, which emerge prior to the legal person’s, who will continue activities of the dissolved legal person, becoming a successor to the rights and obligations of the terminated legal person. Where a member of a legal person fails to become a member of a legal person who, upon reorganisation, will continue the activities of the dissolved legal person throughout the reorganisation procedure as well as later, he shall not be exempted from the liability specified in the given paragraph.
Article 2.99. Terms of Reorganisation and Report on the Reorganisation
- 1.
-
Managing bodies of legal persons participating in the reorganisation shall have to prepare the terms of reorganisation which have to indicate:
- 1)
-
information, specified in Article 2.44. of the given Code, on all legal persons participating in the reorganisation;
- 2)
-
mode of reorganisation, terminated legal persons and legal persons continuing the activities after reorganisation;
- 3)
-
procedure for becoming a member of a legal person who continues activities after reorganisation, terms and time limit as well as payments to the members of a legal person;
- 4)
-
moment from which a legal person continuing the activities becomes a successor to rights and obligations of a terminated legal person;
- 5)
-
ancillary rights conferred to managing and other bodies of a legal person, employees of administration or experts specified in Article 2.100 if the given Code.
- 2.
-
Public announcement of the terms of reorganisation shall be made subject to the provisions of paragraph 1 of Article 2.101 of the given Code and filed with the Register of legal persons no later than on the first day of publication by applying the provisions of paragraph 3 of Article 2.66 of the given Code mutatis mutandis.
- 3.
-
Managing bodies of each legal person participating in the reorganisation shall have to draw up written reports, which have to indicate the goals of reorganisation, explain the terms of reorganisation, continuity of legal person’s activities, time limit for reorganisation and economic grounds.
- 4.
-
Paragraph 3 of the given Article shall be applied only in those cases where a joint-stock company, participating in the reorganisation, or other persons whose members have no less than 1/20 of all votes request it.
Article 2.100. Assessment of the Terms of Reorganisation
- 1.
-
Terms of the reorganisation of legal persons shall be assessed by independent experts who have the necessary qualifications, provided that this is set out in laws regulating activities of individual legal persons.
- 2.
-
Independent experts shall be designated by each legal person participating in the reorganisation. Where there is a wish to designate a single expert for all legal persons under reorganisation such designation must be approved by the registrar of legal persons
Article 2.101. Protection of the Rights of Creditors of the Legal Persons under Reorganisation
- 1.
-
Public announcement of the terms of reorganisation shall be made three times with at least three-month intervals between the announcements or public announcement shall be made once and all creditors of a legal person shall be given a written notice thereof. The notice shall indicate data specified in points 1, 2 and 4 of paragraph 1 of Article 2.99 of the given Code as well as information where and when documents listed in paragraph 4 of Article 2.96 are available.
- 2.
-
A creditor of a legal person under reorganisation shall enjoy the right to request termination of the contract or performance of obligations before the expiry of the time limit as well as redress of damages, where this has been provided in the contract, and where there are grounds to presume that the performance of obligations may become more difficult due to reorganisation and where, on creditor’s request, a legal person failed to extend an additional guarantee for the performance of obligations.
- 3.
-
Creditors of the person under reorganisation shall have the right to acquaint themselves with the documents specified in paragraph 4 of Article 2.96 of the given Code and receive their copies.
Article 2.102. Invalidity of Reorganisation
- 1.
-
Only the court may declare reorganisation invalid and only in cases where the following circumstances emerge:
- 1)
-
no public announcement of the respective documents of the reorganisation procedure has been made or they were not filed with the Register of legal persons;
- 2)
-
resolutions on the reorganisation passed by the body of members of a legal person or other managing body are declared invalid;
- 3)
-
not all requirements for reorganisation established by the imperative provisions of law have been fulfilled.
- 2.
-
Where the period following the termination of a legal person to its applying to the court exceeds six months reorganisation may not be declared invalid.
- 3.
-
Where applicable, the court must grant a reasonable time limit to correct mistakes which gave grounds for declaring reorganisation invalid.
- 4.
-
Judgement of the court to declare reorganisation of a legal person invalid shall not invalidate the activities of a legal person after reorganisation or of a newly incorporated legal person prior to the alteration of respective data in the Register of legal persons. All legal persons who participated in the reorganisation shall accept solidary liability for obligations arising from such contracts of legal persons.
Article 2.103. Simplified Reorganisation of Legal Persons
Where a legal person under reorganisation is joined to a legal person which is the only member of the legal person under reorganisation or where public legal persons participate in the reorganisation, paragraph 3 of Article 2.99 and Article 2.100 of the given Code shall not be applied.
Article 2.104. Restructuring of Legal Persons
- 1.
-
Restructuring shall be an alteration of the juridical form of a legal person whereby a legal person of a new juridical form becomes the successor to all rights and liabilities duties of the restructured legal person.
- 2.
-
Where a legal person, members of which are liable for obligations of a legal person, is restructured, members of a restructured legal person, irrespective of a new legal form of a legal person, shall accept subsidiary liability, for three years, for the obligations of the restructured legal person which emerge prior to the registration of a legal person of a new legal form with the Register of legal persons. Where a member of a restructured legal person fails to become a member of a legal person of as new juridical legal form he will not be exempted liability specified in the given paragraph either during restructuring or later.
- 3.
-
Public legal person, except public and municipality enterprises, may not be restructured into a private legal person.
- 4.
-
Restructuring of legal persons shall be applied, mutatis mutandis, provisions of paragraph 2 of Article 2.101, Article 2.102, paragraph 1 of Article 2.107 and paragraphs 1 and 2 of Article 2.112.
- 5.
-
Laws regulating individual legal forms of legal persons may establish a specific mode for the restructuring of legal persons.
Article 2.105. Mandatory Restructuring of Legal Persons
- 1.
-
Laws may provide for circumstances under which a legal person must alter its legal form.
- 2.
-
Where within the time limit established by the law, which may not be shorter than nine months, members of a legal person fail to pass a resolution on the alteration of legal person’s legal form, it shall be considered that the legal form of a legal person has been altered and the legal person acts according to the documents of incorporation inasmuch as they do not infringe laws regulating activities of legal persons having the legal form into which the said legal person had to be altered.
- 3.
-
Where a legal person passes a resolution to liquidate a legal person within the time limit for the restructuring established by the law, paragraph 2 of the given Article shall not be applied.
Article 2.106. Grounds for Liquidation of a Legal Person
Grounds for the liquidation of a legal person may only be the following:
- 1)
-
resolution of members of a legal person to terminate the activities of a legal person has been passed;
- 2)
-
the court or the creditor’s meeting has passed a decision to liquidate a bankrupt legal person;
- 3)
-
the court has passed a judgement to liquidate a legal person subject to the provisions of Article 2.131 of the given Code;
- 4)
-
the court has passed a ruling to liquidate a legal person in cases prescribed by Article 2.70 of the given Code;
- 5)
-
the term of the legal person has expired;
- 6)
-
the number of members of a legal person has decreased more than the permitted the minimum prescribed by law where member of a legal person fails to pass a decision within six months following the decrease, to reorganise or restructure a legal person;
- 7)
-
incorporation of a legal person has been declared invalid subject to the provisions of Article 2.114 of the given Code.
Article 2.107. Resolution of Members of a Legal Person on Liquidation
- 1)
-
Resolution to liquidate a legal person shall be passed by a qualified majority vote of members of a legal person. It shall be established in incorporation documents of a legal person and it may not be lower than 2/3 of all votes of the participants of the general meeting.
- 2)
-
Resolution to liquidate a legal person may not be reversed where at least one member of a legal person received part of the property of a legal person under liquidation.
Article 2.108. Appointment of a Liquidator
- 1)
-
After the resolution to liquidate a legal person has been passed, members of legal persons, general meeting of creditors, registrar of legal persons or the court must appoint a liquidator.
- 2)
-
Incorporation documents of a legal person or laws may provide for different rules for the appointment of a liquidator or establish a concrete liquidator. These rules shall not be binding on the court, general meeting of creditors or the registrar of legal persons.
- 3)
-
A liquidator shall be a person having the necessary qualifications. Some liquidators may be appointed. Where some liquidators are appointed liquidation commission shall be formed and one of the liquidators shall be appointed a chairman of the liquidation commission.
- 4)
-
Where the grounds for liquidation are points 5 and 6 of Article 2.106 of the given Code and where a member of a legal person fails to appoint a liquidator, managing bodies of a legal person or members of a legal person with no less than 1/20 of all votes and registrar of legal persons shall have to apply to court requesting the appointment of a liquidator.
- 5)
-
Where the grounds for liquidation are points 3 or 7 of Article 2.106 of the given Code, institution authorised by the Government shall discharge the duties of a liquidator before a liquidator has been appointed by a member of a legal person.. This institution, on the approval of the court, shall have the right to assign other person to discharge the duties of a liquidator.
Article 2.109. Revocation of a Liquidator of a Legal Person
- 1)
-
Liquidator of a legal person may be revoked by a simple majority of vote of legal person’s members present at the meeting.
- 2)
-
Members of a legal person with no less than 1/10 of all votes, a creditor with no less than fifty thousand Litas right of requisition or no less than 1/5 of the legal person’s employees shall have the right to apply to court to change the liquidator where he fails to act in a proper manner, is dishonest in effecting settlements with creditors and members of a legal person, is dishonest in discharging other duties or infringes the rights of legal person’s members, creditors or legal person’s employees.
Article 2.110. Authority of a Liquidator
- 1)
-
Managing bodies of a legal person shall be divested of their authority and the authority of legal person’s members shall be delegated to a liquidator as of the day of his appointment while in cases specified in paragraph 5 of Article 2.108 of the given Code – as of the moment when the resolution on the liquidation of a legal person enters into force.
- 2)
-
A liquidator shall enjoy the rights of a legal person’s managing body and provisions of Chapter VII of the given book shall be applied to him mutatis mutandis.
Article 2.111. Contracts of a Legal Person in Liquidation
Legal person in liquidation may conclude only such contracts, which are related to the termination of legal person’s activities as well as those contracts, which are provided for in the liquidation resolution.
Article 2.112. Notification about Liquidation
- 1)
-
The person, which passed a resolution to liquidate a legal person in accordance with the procedure established in the incorporation documents of legal persons, shall make a public announcement thereof three times with at least 3-month interval between the announcements or make a public announcement once and shall give all creditors written notices thereof. The notices shall include all data listed in paragraph 1 of Article 2.44 of the given Code.
- 2)
-
Register of legal persons shall, too, be notified about the liquidation no later than on the first day of the public announcement thereof in accordance with the procedure established in paragraph 3 of Article 2.66 of the given Code.
- 3)
-
A different procedure for the notification about the liquidation may be established by the given Code or other laws of the Republic of Lithuania.
Article 2.113. Sequence of and Procedure for the Satisfaction of Claims of a Legal Person’s Creditors
- 1.
-
In the event of legal person’s liquidation the following sequence of and procedure for the satisfaction of creditors’ claims shall be established:
- 1)
-
priority in satisfying creditors’ claims shall be given to claims secured by the mortgage of property of a legal person in liquidation - from the value of the mortgaged property;
- 2)
-
first in sequence for the satisfaction of claims shall be employees’ claims connected with labour relations; claims of compensation for maiming or other physical injuries, occupational disease or deprivation of life resulting from an accident in the place of work as well as claims of natural persons to settle accounts for agricultural produce supplied for processing.
- 3)
-
second in sequence for the satisfaction of claims shall be the claims related to taxes and other payments to the budget as well as compulsory state social insurance and health insurance contributions and foreign loans granted the State guarantee;
- 4)
-
third in sequence for the satisfaction of claims shall be all other claims of creditors.
- 2.
-
The claims of creditors of each successive sequence shall be fulfilled upon fully satisfying the claims of creditors of the preceding sequence. If assets are insufficient to fulfil all the claims of one sequence in full, said claims shall be satisfied in proportion to the amount of claims due to each creditor.
Article 2.114. Unlawful Incorporation of a Legal Person
- 1.
-
Unlawful incorporation of a legal person may be recognised only by the court and only in cases where:
- 1)
-
all incorporators were incapable or the provision establishing the minimum number of incorporators has been violated;
- 2)
-
documents of incorporation prescribed by law have not been drawn up or mandatory provisions of the regulations for the incorporation of a legal person have been violated;
- 3)
-
true goals of legal person’s incorporation were unlawful or contradict public order;
- 4)
-
minimum authorised capital has not been formed in accordance with the procedure established by law and within the established time limit;
- 5)
-
incorporation documents of a legal person fail to indicate its business name, goals, amounts of authorised capital and personal contributions of the members of a legal person where such requirements are laid down in the mandatory provisions of the laws regulating individual juridical forms of legal persons.
- 2.
-
Where the court passes a judgement that the incorporation of a legal person was unlawful the said legal person must be liquidated in accordance with the procedure established by law.
- 3.
-
Where applicable, the court must grant a reasonable period of time to correct mistakes due to which the incorporation of a legal person was recognised to be unlawful.
- 4.
-
Passing a judgement that a legal person has been incorporated unlawfully the court shall have to take into consideration the interests of employees and members of a legal person who participated in the incorporation of a legal person.
- 5.
-
The claim for the recognition of unlawful incorporation of a legal person may be filed by a member or managing bodies of a legal person as well as by a public prosecutor to protect public interests.
CHAPTER IX
FORCED SALE OF SHARES (INTEREST, CONTRIBUTIONS)
Article 2.115. Content of Forced Sale of Shares (Interest, Contributions)
- 1.
-
Members of a legal person listed in Article 2.116 of the given Code shall have the right to file an application to the court with the request that shares (interest, contributions) of a legal person which are in possession of a legal person’s member whose actions contradict the goals of legal person’s activities and where there are no grounds to expect any changes in the said actions, be sold to the applying member of a legal person.
- 2.
-
The claim for the forced sale of shares (interest, contributions) shall be filed with the district court according to the location of the registered office of a legal person. The court must inform the legal person, whose shares (interest, contributions) have to be sold in the forced manner, about the claim and the decisions.
- 3.
-
Participation of a lawyer in the process of litigation of the parties to the given cases shall be compulsory.
- 4.
-
Member of a legal person who has filed a claim for forced sale must apply to other members of a legal person to become co-claimants.
Article 2.116. Persons Entitled to File an Application for Forced Sale of Shares (Interest, Contributions).
- 1.
-
The following members of a private legal person shall have the right to file an application for forced sale of shares (interest, contributions):
- 1)
-
one or some shareholders of a private company whose face value of shares accounts for no less than 1/3 of the authorised capital;
- 2)
-
one or some members of a partnership whose interest accounts for no less than 1/3 of all interest of jointly owned assets;
- 3)
-
one or some members of an agricultural partnership or co-operative society whose contribution accounts for no less than 1/3 of all contributions.
- 2.
-
A member of a legal person shall have no right to file an application for the forced sale of shares (interest, contributions) under the circumstances laid down in Article 2.115 if incorporation documents of a legal person or contracts concluded by its members provide for different rules of forced sale of shares (interest, contributions) and the said rules may be applied.
- 3.
-
Member of a legal person shall have no right to file an application for forced sale of shares (interest, contributions) if he is controlled by a legal person the shares whereof (interest, contributions) have to be sold in a forced manner.
- 4.
-
Member of a legal person shall have no right to file an application for forced sale of shares (interest, contributions) if he himself is the legal person the shares whereof (interest, contributions) have to be sold in a forced manner
Article 2.117. Restrictions on the Transfer of Title to Shares (Interest, Contributions)
- 1.
-
A defendant shall have no right, without claimant’s consent, to sell or otherwise transfer the title to shares (interest, contributions), to mortgage them or otherwise encumber the rights to them as well as transfer or otherwise encumber the rights granted by the shares (interest, contributions) as of the day on which the court judgement becomes res judicata, except as otherwise decided by the court. The court shall enjoy the right to authorise the acts specified in the given paragraph if a defendant fails to give his consent thereof.
- 2.
-
A defendant shall have no right to sell, except according to the provisions of the given section, or otherwise transfer the title to shares (interest, contributions), to mortgage them or otherwise encumber the rights to them, as well as transfer or otherwise encumber the rights granted by the shares (interest, contributions) as of the day on which the court judgement becomes res judicata, except as otherwise decided by the court.
- 3.
-
The court may, upon plaintiff’s request, prohibit a defendant to exercise his right to vote without the consent of the court or a plaintiff.
- 4.
-
Prohibitions established in paragraphs 1 and 3 of the given Article shall be valid irrespective of the appeal against the court judgement.
Article 2.118. Appointment of Experts
- 1.
-
Upon satisfaction of a claim the court shall have to appoint experts to set the price of shares (interest, contributions).
- 2.
-
Experts shall start their activities only after the court judgement becomes res judicata . Experts shall have to present a written report on the price of shares (interest, contributions) to the court and the parties to the case.
- 3.
-
Articles 2.127 – 2.130 of the given Code shall be applied mutatis mutandis.
Article 2.119. Setting of a Price
- 1.
-
After the experts’ report on the price of shares (interest, contributions) has been submitted, the court shall have to pass a judgement on the setting of a price and establish the person who will have to reimburse experts’ work and other expenses borne. The court may decide that a legal person shall have to reimburse the given expenses.
- 2.
-
A separate appeal against the court judgement whereby a price is set may be lodged.
Article 2.120. Procedure for Forced Sale
- 1.
-
After the court judgement on setting a price has become res judicata the defendant shall have, in two weeks time, to transfer title to his shares (interest, contributions) to the plaintiff and the plaintiff shall have the right to accept the shares (interest, contributions) and pay the established price. The price shall have to be paid upon the transfer of title to the shares to the plaintiff. Transfer shall take place in the registered office of a legal person whose shares (interest, contributions) are sold or in some other place agreed upon by the plaintiff and the defendant.
- 2.
-
Where a defendant fails to discharge his duty to transfer the title to his shares (interest, contributions), a legal person shall have to transfer the title to the shares (interest, contributions) in the defendant’s name and issue documents confirming the owner’s rights to the shares (interest, contributions) sold in the forced manner and declare respective defendant’s documents invalid as well as make a public announcement thereof in the source prescribed by the legal acts. Upon the receipt of documents confirming the title to the shares (interest, contributions), the plaintiff shall pay the price into the deposit account of a notary, bank or other credit institution.
- 3.
-
In the event that there are some plaintiffs, shares (interest, contributions) sold in forced manner shall be allotted as proportionally as possible to the legal person’s shares (interest, contributions) held by the plaintiffs.
Article 2.121. The Procedure for Forced Selling of Shares in the Presence of a Prior Right
- 1.
-
Where other members or persons of a legal person have a prior right to acquire the shares (interest, contributions) sold in forced manner, a legal person, upon the receipt of a res judicata court order on the setting of a price, must make a proposal to the said persons to purchase shares (interest, contributions) for the price fixed by the court. After the court judgement on the forced sale of shares (interest, contributions) has become res judicata , the defendant shall have to notify a legal person about the persons who enjoy the prior right to acquire shares (interest, contributions) sold in forced manner in accordance with the contracts concluded by the plaintiff.
- 2.
-
Upon the receipt of legal person’s proposal to exercise the prior right, the persons shall have, within thirty days, in writing, to accept or reject the proposal. Where a person fails to reply to the said proposal, the proposal shall be deemed unaccepted.
- 3.
-
Upon the expiry of a thirty-day time limit, a legal person shall have to notify the plaintiff and the defendant of how many shares (interest, contributions) have been accepted. Upon the receipt of the said notification, the defendant shall have to transfer title to the shares to persons specified in the notification and the remainder of them, in accordance with the provisions of Article 2.120 of the given Code, to the plaintiff. Shareholders who purchase shares (interest, contributions) shall have to make payments for them in accordance with the provisions of Article 2.120 of the given Code. Where the persons enjoying the prior right fail to make timely payments for shares (interest, contributions), shares (interest, contributions) shall be transferred to the plaintiff.
Article 2.122. Transfer of the Right to Vote
- 1.
-
Persons listed in Article 2.116 of the given Code shall enjoy the right to apply to the court with a request to reinstate the owner of shares (interest, contributions) in his right to vote in cases where the right to vote has been assigned to other person whose actions contradict the goals of a legal person and there no grounds to expect positive changes in the future.
- 2.
-
The owner of shares (interest, contributions) shall be granted the right to vote as of the day on which the court judgement has become res judicata.
- 3.
-
In this case paragraphs 2 and 3 of Article 2.115, Article 2.116, paragraph 3 of Article 2.117 of the given Code shall be applied mutatis mutandis.
Article 2.123. Forced Sale of Shares (Interest, Contributions) Due to the Failure to xercise the Rights Properly
- 1.
-
Where members of a legal person listed in Article 2.116 fail to exercise their rights of members of a legal person properly due to the actions of the other member of a legal person and where there no grounds to expect any positive changes in the future, the said members may file an action to the court requesting the member of a legal person, whose actions obstruct proper exercise of their rights, to purchase their shares (interest, contributions). In this case paragraphs 2 and 3 of Article 2.115 and Articles 2.116 – 2.121 of the given Code shall be applied mutatis mutandis.
- 2.
-
Member of a legal person who is requested to purchase plaintiff’s shares (interest, contributions) must apply to other members of a legal person with the proposal to become co-defendants.
CHAPTER X
INVESTIGATION OF LEGAL PERSON’S ACTIVITIES
Article 2.124. Content of the Investigation of Legal Person’s Activities
Persons listed in Article 2.125 of the given Code shall enjoy the right to request the court to appoint experts who have to investigate whether a legal person or legal person’s managing bodies or their members acted in a proper way, and in the event that improper actions are established to apply measures specified in Article 2.131 of the given Code.
Article 2.125. Persons Enjoying the Right to Apply for Investigation of the Activities
- 1.
-
The following persons shall enjoy the right to apply for investigation of the activities:
- 1)
-
one or some shareholders who hold or manage shares the par value of which accounts for no less than 1/10 of the authorised capital;
- 2)
-
one or some members of an economic partnership whose interest accounts for no less than 1/10 of all interest;
- 3)
-
one or some members of a farming partnership or a co-operative society (co-operative) whose contributions account for no less than 1/10 of all contributions;
- 4)
-
members of a legal person who have no less than 1/5 of all votes, with the exception of legal persons’ members listed in Articles 2.35 and 2.37 and in points 1,2 and 3 of the given paragraph, who have no less than 1/5 of all votes;
- 5)
-
persons as well as members of a legal person who, according to incorporation documents or contracts concluded with legal persons, have been granted said right.
- 2.
-
The public prosecutor shall also have the right to apply for the investigation of legal person’s activities in an attempt to safeguard public interests including the cases where the activities of a legal person, its managing bodies or its members are at variance with the public interests.
Article 2.126. Filing of an Application
- 1.
-
An application for the investigation of activities shall be filed with the district court according to the location of the legal person’s registered office.
- 2.
-
An application may be filed only after a plaintiff has applied to a legal person (legal person’s managing body or its member) with the request to terminate inappropriate activities and has granted a reasonable time limit to adjust the situation. A request, which either fails to specify inappropriate activities or bad faith in discharging the duties or give reasons why the activities are considered to be inappropriate, shall not be deemed to be an application.
- 3.
-
Participation of a lawyer shall be obligatory in drawing up an application for the investigation of activities. Where a public prosecutor, acting in the public interest, files an application, provisions of the given paragraph shall not be applied.
- 4.
-
Upon the receipt of an application and listening to the reasoning of the parties the court shall pass a judgement on the investigation of legal person’s activities if there are grounds to presume the feasibility of circumstances specified in Article 2. 124, paragraphs 2 and 3 of Article 2.125, or shall reject the application.
Article 2.127. Appointment of Experts
- 1.
-
The court may appoint as experts any independent persons, who have the necessary qualifications to investigate legal person’s activities and make a report, in writing, on inappropriate activities, as well as draw up guidelines for the application of measures specified in Article 2.131 of the given Code.
- 2.
-
Prior to the appointment of experts the court must make a proposal to the parties to reach a consensus on the appointment of specific experts. Where a consensus has been reached, the court shall appoint jointly chosen experts if they meet the requirements set in paragraph 1 of the given Article. Where a consensus on the appointment of experts has not been reached, the court shall appoint experts, at its discretion, from the list, compiled by the parties, of proposed experts. Each party must compile a list of no less than ten experts and shall enjoy the right to delete, for any reasons, five experts from the list of the other party, as well as to give an opinion on the remaining five experts regarding their compliance with the requirements set in paragraph 1 of the given Article.
- 3.
-
The number of experts shall be established by the court with due regard to the scope of investigation of legal person’s activities.
Article 2.128. Rights of Experts
- 1.
-
Experts shall have the right to examine legal person’s documents and interrogate members of a legal person, members and employees of managing bodies as well as persons who were legal person’s members, members of managing bodies or employees in the period under investigation.
- 2.
-
On experts’ instruction a legal person shall have to grant a possibility to examine legal person’s property. The judge may, without prior notification to the parties, pass a judgement, which shall grant the right to the experts to take the actions laid down in paragraph 1 of the given Article with respect to other legal persons as well as receive documents and information from respective public institutions.
- 3.
-
Where experts are prevented from exercise of their rights the court may give instructions to the police to facilitate the experts’ activities.
Article 2.129. Payment for Experts’ Work
- 1.
-
The experts, who were appointed by the court, must notify the court about the terms as well as the amount of payment for their services and reimbursement of expenses incurred on them. In the event that the court approves the terms as well as the amount of payment and reimbursement of expenses incurred, it shall fix the sum, which may not be less than seventy per cent of the amount indicated by the experts, without prior notification to the parties. The plaintiff must pay the said sum into the separate account of the court.
- 2.
-
Where the plaintiff fails to pay the sum indicated by the court into the separate account of the court, the court shall not proceed with the application. In such cases other parties to the case shall have the right to the reimbursement of court expenses incurred on them.
- 3.
-
In the event that the court fails to approve the terms of payment and reimbursement of expenses proposed by experts it shall appoint new experts after listening to the opinions of the parties.
Article 2.130. Experts’ Reports and Dissemination of Guidelines
- 1.
-
Upon the receipt of experts’ report and guidelines the court must notify the parties and their representatives thereof and send the copies of experts’ report and guidelines to each party and their representatives as well as convene a court sitting to discuss the said report and the guidelines.
- 2.
-
Experts’ report and the guidelines must be sent to respective public institutions, which exercise the supervision, prescribed by the law, of legal person’s activities.
- 3.
-
Persons, who were not specified in the given Article, may examine the experts’ report and guidelines only after permission of the court has been granted.
Article 2.131. Measures Applied by the Court
- 1.
-
In the event that the experts’ report points out that legal person’s (legal person’s managing bodies or their members) activities are inappropriate and the court approves the said conclusion, the court may, upon receipt of opinions of the parties and public institutions mentioned in Article 2.130 of the given Code, apply one of the following measures:
- 1)
-
revoke the decisions taken by the legal person’s managing bodies;
- 2)
-
suspend temporarily the powers of the members of legal person’s managing bodies or exclude a person from legal person’s managing body;
- 3)
-
appoint provisional members of legal person’s managing bodies;
- 4)
-
authorise non-implementation of certain provisions of incorporation documents;
- 5)
-
to oblige making of amendments to certain provisions of incorporation documents;
- 6)
-
to transfer the legal person’s right to vote to other person;
- 7)
-
to oblige a legal person to take or not to take certain actions;
- 8)
-
to liquidate a legal person and appoint a liquidator.
- 2.
-
Upon the appointment of a member of managing body the court may fix his salary.
- 3.
-
A decision to liquidate a legal person may not be taken where such decision would contravene the interests of other legal person’s members or employees or public interest. A decision to revoke decisions of legal person’s managing bodies may not be taken where the period of limitation of actions prescribed by the given Code or other laws has expired.
- 4.
-
The court shall have to notify, without delay, the Register of legal persons about the judgement and its becoming res judicata.
PART III
AGENCY
CHAPTER XI
GENERAL PROVISIONS
Article 2.132. Conclusion of Contracts by Agents
- 1.
-
Persons shall enjoy the right to conclude contracts through agents with the exception of those contracts which, due to their character, may be concluded only personally as well as other contracts prescribed by the law.
- 2.
-
Agency shall be possible on the basis of contract, law statute, court judgement or an administrative act.
- 3.
-
Legally capable natural persons as well as legal persons shall act as agents.
- 4.
-
Persons who act in their own name although in the interest of other person shall not be deemed to be agents (sales intermediaries, etc.).
Article 2.133. Legal Effects of a Contract Concluded by an Agent
- 1.
-
the event that a contract was concluded without due authorisation, a person who has concluded the contract shall be liable for his contractual obligations to the other party to the contract, except in cases, where the said party to the contract was aware or had to be aware of the fact that the latter was not entitled to conclude the contract.
- 2.
-
A contract concluded by one person (agent) in other person’s (principal’s) name by disclosing thereby the fact of agency and without exceeding the rights conferred, shall assign, alter and destruct directly the civil rights and obligations of a principal.
- 3.
-
Rights of an agent may also arise from the circumstances under which an agent acts (salesperson in retail trade, cashier, etc.). In the event that behaviour of a person gives reasonable grounds for the third persons to think that he has appointed the other person to be his agent , contracts concluded by the said person in principal’s name shall be binding for the principal.
- 4.
-
In the event that concluding a contract an agent fails to inform that he acts in principal’s name and in his interests, the principal shall acquire the rights and assume the duties arising from the contract only where the other party to the contract was in a position to understand from the circumstances of conclusion thereof that the said contract was concluded with an agent, or where the identity of the person with whom the contract was concluded was of no importance to the said party.
- 5.
-
Where the validity of a contract concluded by an agent is questioned due to a mistake, deceit, duress or threat, the existence or non-existence of the said circumstances shall be established with due regard to agent’s will.
- 6.
-
Where a contract has been concluded as per principal’s instructions the principal may not question its validity by stating that concluding the contract the agent ignored certain circumstances if the principal was aware of the said circumstances or ignored them due to his carelessness.
- 7.
-
Where a contract has been concluded by a person, who has not been authorised to do so, the principal must bear the consequences thereof only when the principal approves the said contract. The other party to the contract may, in this case, request to approve or not to approve the contract within its established time limit, which may not be shorter than fourteen days. Where no reply has been received within the established time limit the contract shall be deemed not approved. The approval of a contract shall have a retroactive effect, i.e. it shall be deemed valid as of the day of its conclusion.
- 8.
-
The other party to the contract, which concluded a contract with a person, who was not authorised to do so, may terminate the contract prior to the approval of the contract by the principal, except in cases, where at the moment of its conclusion the said party was aware or had to be aware of the fact that it has concluded a contract with a person who has not been granted the requisite authority.
- 9.
-
In Where an agent acted in excess of his powers but in the manner which gave to a third person serious grounds to think that he was concluding a contract with a duly authorised agent, the contract shall be obligatory to the principal, except in cases where the other party to the contract was aware or had to be aware that an agent was exceeding his powers.
Article 2.134. Restriction Imposed on Agent’s Rights to Conclude a Contract
- 1.
-
An agent may not conclude contracts in principal’s name either with himself or with a person, whom he represents at the given time, as well as his spouse, parents, children or other close relatives. Such contracts, upon principal’s request, may be deemed null and void.
- 2.
-
Restrictions laid down in paragraph 1 of the given Article shall not be imposed in the cases where other laws provide otherwise and where an agent acts as a statutory agent .
- 3.
-
An agent may not conclude a contract which a principal himself is not authorised to conclude.
Article 2.135. Conflict of Interests
- 1.
-
Where, in violation of the rights conferred, an agent enters into a contract, which contravenes the interests of a principal, such contract, upon principal’s request, may be deemed void in the cases where a third person was aware or had to be aware of the conflict of interests.
- 2.
-
A person may not act as an agent of both parties to the contract. This provision, however, shall not be applied in the cases where contractual obligations are performed as well as in the cases where both parties to the contract express their will explicitly that the agent has to act in the interests of both parties.
Article 2.136. Legal Effects of a Contract Concluded in Other Person’s Name Without Express Authorisation or in Excess of Authority
- 1.
-
A contract, which was concluded by a person in other person’s name without express authorisation or in excess of his authority, shall impose, alter and revoke obligations and rights of a principal only in the cases where, at a later date, the principal approves all the contract or that part of it, which is in excess of his authority (paragraph 6 of Article 2.133 of the given Code).
- 2.
-
Principal’s approval of a contract at a later date shall make the contract valid as of the date of its conclusion.
- 3.
-
Upon conclusion of a contract, which is not approved by the principal , under circumstances laid down in paragraph 1 of the given Article, an agent shall have to redress the damage incurred on a third person in the cases where the said third person was not aware and was under no obligation to be aware of the said circumstances.
Article 2.137. Power of Attorney
- 1.
-
Power of attorney shall be a written document granted by a person (principal) to other person (authorised agent) to represent a principal in establishing and maintaining relations with the third persons.
- 2.
-
An authorised agent whose rights in the power of attorney are not clearly defined shall enjoy the right to perform only those actions, which are necessary for the protection of principal’s property and property interests as well as supervision of principal’s property.
Article 2.138. Verification of the Power of Attorney by a Notary
- 1.
-
The following powers of attorney must be verified by a notary:
- 1)
-
power of attorney to conclude contracts whereby a notarial form is obligatory;
- 2)
-
power of attorney to perform, in natural person’s name, the actions related to legal persons, with the exception of the cases where the authorisation of a different form is permitted;
- 3)
-
power of attorney to administer, use or dispose of his immovable property granted by a natural person.
- 2.
-
Powers of attorney verified by a notary shall be equalled to:
- 1)
-
powers of attorney of servicemen verified by the commanders (heads)of military units, formations, military institutions and military schools;
- 2)
-
powers of attorney of people in imprisonment institutions verified by the heads of imprisonment institutions;
- 3)
-
powers of attorney of long voyage seamen on the ships, navigating under the colours of Lithuania, verified by the captains of the said ships.
Article 2.1381. Register of Powers of Attorney Verified by a Notary
1. Powers of attorney verified by a notary and powers of attorney equalled to those equalled by a notary, as specified in paragraph 2 of Article 2.138 of this Code must be entered in a public Register of Powers of Attorney Verified by a Notary. Data for the Register of Powers of Attorney Verified by a Notary shall be submitted by notaries who have verified the powers of attorney, consular officers of the Republic of Lithuania and the persons referred to in paragraph 2 of Article 2.138 of this Code.
2. When recording powers of attorney verified by a notary as well as powers of attorney equalled to those verified by a notary, as specified in paragraph 2 of Article 2.138 of this Code, the Register of Powers of Attorney Verified by a Notary shall be supplied with the data about a person who has granted power of attorney, an agent, a person who has verified power of attorney, the dates of verification and expiry of the term of power of attorney, the content of power of attorney as well as other data specified by the regulations of the Register of Powers of Attorney Verified by a Notary.
3 The leading Register management body shall be the Ministry of Justice of the Republic of Lithuania; the Register management body shall be the Central Mortgage Office.
4. The data of the Register of Powers of Attorney Verified by a Notary shall be managed in accordance with the procedure laid down by the regulations of the Register of Powers of Attorney Verified by a Notary.
Article 2.139. Simplified Verification of Power of Attorney
Power of Attorney, which is granted by a natural person to receive mail (specifically – posted money and parcels) as well as to receive salaries and other payments related to labour relations, pensions, benefits, stipends, may be verified by an organisation, in which a natural person works or studies, chairman of a partnership of multi-storey dwelling houses, in which a person resides, or a captain of a long voyage sea-fearing ship.
Article 2.140. Power of Attorney Granted by a Legal Person
- 1)
-
Power of attorney granted by a legal person shall be signed and, in the event that the legal person must have a stamp, be stamped by the head thereof.
- 2)
-
Additional requirements for a power of attorney granted by a legal person may be prescribed by the law.
- 3)
-
Provisions of Articles 2.176-2.185 of the given Code shall be applied to the power of attorney granted by profit-seeking (commercial) legal persons.
Article 2.141. Rights and Obligations of a Legal Person Vested with the Power of Attorney
A legal person may be vested with the power of attorney to conclude only such contracts the right of conclusion whereof has been provided in his incorporation documents.
Article 2.142. Term of the Power of Attorney
- 1)
-
The term of the power of attorney may be fixed or open-ended. Where the term of the power of attorney fails to be indicated, the power of attorney shall be valid for one year as of the day on which it was granted..
- 2)
-
The power of attorney, verified by a notary, to perform certain actions abroad, which fails to specify its term, shall be valid until the person who granted the power of attorney revokes it.
- 3)
-
Power of attorney, which fails to indicate the date when it was granted, shall be deemed invalid.
Article 2.143. The Right to Request Power of Attorney and its Copy
- 1)
-
The third person who concludes a contract with a principal shall have the right to request an agent to produce his power of attorney and its copy.
Article 2.144. Obligation to Return the Power of Attorney
Upon the expiry of the term of the power of attorney or revocation thereof prior to the expiry of the term, an agent shall have to return the power of attorney to a principal or successors to his rights.
Article 2.145. Re-authorisation
- 1.
-
An authorised agent shall have to perform the acts, which he has been authorised to perform. He may re-authorise the other person to perform the said acts only in the cases where such right has been conferred upon him by the authority he was vested with or where under certain circumstances he is forced to do so to protect the principal’s interests. A re-authorised person shall enjoy the same rights and assume the same obligations as an agent in respect of a principal and the third persons.
- 2.
-
The form of power of attorney, which is given by re-authorisation shall have to conform to the form of the power of attorney, which has been granted.
- 3.
-
The term of power of attorney granted by re-authorisation may not exceed the term of power of attorney, which formed the basis for granting it.
- 4.
-
A person, who delegates his authority to the other person, shall have to notify a principal thereof and supply the necessary data about the person who was delegated the authority. Where the authorised agent fails to discharge the given obligation he shall be liable for the actions of the person, to whom he delegated his authority, as for his own actions. Where an authorised agent has been appointed as per principal’s instructions, an agent shall not be liable for the authorised agent’s actions, except in the cases where the agent was aware of the fact that the person who was appointed as authorised agent was dishonest and unreliable but failed to notify the principal thereof.
Article 2.146. The Right to Revoke Power of Attorney and Re-authorisation and the Right to Waive Them
- 1.
-
A principle shall enjoy the right to divest, at any time, of the power of attorney whereas an authorised agent – to waive it. Both a principal and an authorised agent may, at any time, revoke re-authorisation. The person who has been vested with the power of attorney by way of re-authorisation may, in his turn, waive it.
- 2.
-
Laws or an agreement of the parties may provide for the cases whereby an irrevocable power of attorney may be granted.
Article 2.147. Expiry of the Power of Attorney
- 1.
-
Power of attorney expires:
- 1)
-
upon the expiry of the term of power of attorney;
- 2)
-
upon the divestment of power of attorney by a principal;
- 3)
-
upon the waiver of power of attorney by an authorised agent;
- 4)
-
upon termination of a legal person, which was vested with power of attorney
- 5)
-
upon termination of a legal person which was vested with power of attorney or where the said person was instituted a bankruptcy;
- 6)
-
upon the death, recognition of legal incapacity, partial capacity or absence of a natural person who vested with power of attorney;
- 7)
-
upon the death, recognition of legal incapacity, partial capacity or absence of a natural person who was vested with the power of attorney.
- 2.
-
The data about the expiry of the term of power of attorney must be submitted to the body managing the Register of Powers of Attorney Verified by a Notary.
- 3.
-
Upon the expiry of power of attorney, power of re-authorisation, too, shall be terminated.
- 4.
-
Expiry of representation may not be used against third persons acting in good faith, except in cases where the said persons were aware or had to be aware of the expiry of representation but were not aware of it due to their negligence.
Article 2.148. Obligation of an Authorised Agent to Notify About the Expiry of the Power of Attorney
- 1.
-
A principle shall have to notify an authorised agent and the third persons known to the principle and for the establishment and maintenance of relations with whom the power of attorney has been granted, about the divestment of power of attorney, laid down in point 2 of paragraph 1 of Article 2.147. Where the power of attorney expires on the basis of provisions laid down in points 4 and 6 of paragraph 1 of Article 2.147 of the given Code, successors to the rights of the authorised agent shall have the same obligations.
- 2.
-
Rights and obligations of an authorised agent and successors to his rights, arising as a result of the authorised agent’s actions prior to the date on which the said agent learned or had to learn about the expiry of the power of attorney, shall be valid for the third persons. In the event that the third person was aware or had to be aware of the expiry of the power of attorney, the given provision shall not be applied.
- 3.
-
Upon the expiry of the power of attorney an authorised person and successors to his rights shall have to return the power of attorney to the principal or successors to his rights.
Article 2.149. Subsidiary Application of Provisions Regulating Agency
Provisions, which regulate agency, shall, too, be applied in the cases where a person whose business was managed by the other person without due authority approves the actions of the said person at a later date.
Article 2.150. Obligation of an Agent to Report
An Agent must present a report to a principal about his activities and give an account of everything he received in his mission to the principal.
Article 2.151. Obligation of a Principal to Refund the Expenses and Offer Remuneration
- 1.
-
A principal shall have to refund all agent’s expenses related to his mission except as otherwise provided by the law or the contract.
- 2.
-
A principal shall have to offer remuneration to the agent with the exception of the cases where the law or the contract provide for a free of charge representation.
CHAPTER XII
COMMERCIAL AGENCY
SECTION ONE
COMMERCIAL AGENT
Article 2.152. Concept of a Commercial Agent
- 1.
-
A commercial agent shall be an independent person whose basic business activity is to continually act for payment as intermediary for a principal in conclusion of contracts or conclusion of contracts in the principal’s name and at the principal’s expense. Bodies of a legal person and persons possessing the rights and duties of a body of the legal person, as well as partners acting in compliance with the contract on joint activities (partnership) shall not be regarded as commercial agents.
- 2.
-
A principal and an agent may, in a mutual contract, establish such competition restricting conditions, which are not prohibited by the provisions of the law on competition.
- 3.
-
The contract may provide for an exemption, which grants a commercial agent an exclusive right to conclude contracts in principal’s name on a certain territory or with a certain group of consumers where such exemption fails to violate the provisions of paragraph 2 of the given Article.
Article 2.153. Prerequisites for the Activities of a Commercial Agent
Prior to commencing his activities a commercial agent shall have to insure his civil liability against possible damage which, as a result of his activities, may be incurred on the principal or the third persons.
Article 2.154. Establishment of Commercial Agent’s Rights and Obligations
- 1.
-
Commercial agent’s rights and obligations may be established in writing or orally.
- 2.
-
Upon a commercial agent’s or a principal’s request their contract must be concluded in writing. Waiver of the right to conclude the contract in writing shall be null and void.
- 3.
-
Only upon conclusion of a contract in writing shall the following conditions be valid and shall establish:
- 1)
-
restrictions on the civil liability of an agent or a principal or a complete exemption from civil liability ;
- 2)
-
prohibition of competition after the contract has been terminated;
- 3)
-
conditions for the termination of a contract;
- 4)
-
exclusive rights of a commercial agent;
- 5)
-
ratio of the commercial agent’s right to remuneration to the performance of a contract.
Article 2.155. Term of Validity of a Contract
- 1.
-
A contract between a commercial agent and a principal may be for a fixed period or for an indefinite period.
- 2.
-
Where a contract has been concluded for a fixed period and where upon the expiry of the given period the parties continue to exercise their rights and discharge their duties, the contract shall be considered renewed for an indefinite period on the same conditions.
Article 2.156. Obligations of a Commercial Agent
A commercial agent must:
- 1)
-
carry out in good faith and carefully comply with all principal’s reasonable instructions, be loyal to the principal and act exclusively in the principal’s interest;
- 2)
-
notify the principal, on a regular basis, about contracts, which are being or have been concluded, as well as supply other important information related to his own and principal’s business;
- 3)
-
keep principal’s commercial secrets during the term of validity of a contract and upon its expiry;
- 4)
-
where such condition has been set in the contract, avoid competition with the principal;
- 5)
-
compensate the losses damages incurred on the principal ;
- 6)
-
upon the expiry of a contract, return to the principal all documents, property and other things which were handed over by the principal.
Article 2.157. Obligations of a Principal
A principal must:
- 1)
-
supply the commercial agent with requisite documents and information (price lists, samples of commodities, advertising materials, standard conditions of contracts, etc.);
- 2)
-
notify the commercial agent , without delay, about his consent or refusal to enter into a specific contract or enforce perform it, as well as about alterations of or supplements to the conditions of the contract;
- 3)
-
notify, without delay, the commercial agent about the approval or a refusal to approve a contract, which the commercial agent concluded without due authority;
- 4)
-
pay a salary as provided in the contract;
- 5)
-
supply the commercial agent with information requested for the performance of the agency contract and especially notify about the existence of a lesser number of trade contracts than the commercial agent might expect.
Article 2.158. Remuneration to a Commercial Agent
- 1.
-
A principal shall remunerate a commercial agent for every successfully concluded contract as provided in the agency contract. The commercial agent shall also have the right to remuneration in the case where the contract has been concluded by the principal himself but owing to the activities of the commercial agent and even in the event that the contract has been concluded after the expiry of agency relations.
- 2.
-
A contract may provide that commercial agent’s remuneration shall depend on how successfully the principal’s instructions have been carried out or that the commercial agent is offered remuneration only in the cases where the third person has performed the contract. A commercial agent shall also be offered remuneration for the sums of money recovered for the principal from the third persons.
- 3.
-
Where a commercial agent gives a guarantee to a principal that the other party to the contract will perform the contract in the proper way, the commercial agent shall be entitled to an additional remuneration (del credere). Agreement of the parties to preclude the given right shall be null and void. The right to additional remuneration (del credere) shall be achieved upon successful performance of a contract.
- 4.
-
In the event that remuneration for a commercial agent fails to be set in the contract, he shall be offered the remuneration, which is paid to the commercial agents, employed in the sphere of the said commercial agent’s activities, and for the goods, which are provided in the agency contract, whereas in the absence of such practice the commercial agent shall be entitled to a reasonable remuneration set by taking into consideration all peculiarities of the contract.
Article 2.159. Setting of the Amount of Commercial Agent’s Remuneration
- 1.
-
The amount of commercial agent’s remuneration set in the agency contract shall be presented in the form of a specific sum of money or the ratio of the contract value to the recovered sum.
- 2.
-
All expenses borne by a commercial agent shall be refunded if the other party to the contract failed to reimburse them (transportation of goods, storage, protection, packaging expenses, customs duties paid, as well as other dues and fees) and they shall not be included into the expenses of commercial agent’s independent activities.
- 3.
-
Where the salary of a commercial agent is presented in a concrete sum the Article 2.160 is applied inasmuch as it fails to contradict the essence of the agreement on the commercial agent’s salary expressed in concrete terms.
Article 2.160. The Procedure for the Remuneration to a Commercial Agent
- 1.
-
A commercial agent acquires the right to remuneration as of the moment of the conclusion of a contract on condition that the principal has performed a contract or had to perform a contract according to an agreement reached with the third party , or the third party performed a contract, and in all cases, however, the latest date is when the third party has performed its part of the contract or could have done it if the principal had performed his part of the contract
- 2.
-
Where a contract provides that remuneration for a commercial agent is paid only after a third person has performed a contract, a commercial agent shall be entitled to advance payment An advance payment may not be less than forty per cent of the salary and has to be paid no later than on the last day of the next month following the month on which a contract has been concluded, except as otherwise provided in the contract
- 3.
-
Where it becomes evident that the third person will fail to perform a contract a commercial agent shall be denied the right to request remuneration. In the event that the money has already been paid or an advance payment has been made, a principal shall have the right to recover the money from the commercial agent. The given provision shall not be applied in the cases where the principal is at fault for the failure to enforce the contract.
- 4.
-
A principal shall have to remunerate a commercial agent on a monthly basis and no later than on the last day of the month following the accounting period. The parties may, in a written contract, extend the term of payment but no longer than for three months from the last day of the accounting period.
- 5.
-
Every month, and upon reaching a written agreement at least every three months, a principal shall have to submit to a commercial agent documents of accounting, the data of which shall allow to calculate and offer remuneration, as well as to inform about all circumstances against which payments to the commercial agent are stopped or cut.
- 6.
-
In the event of disputes related to remuneration a commercial agent shall enjoy the right to request an audit to establish the exact amounts of remuneration and payments. Waiver of the right to audit shall not be valid. Where a principal refuses to carry out an audit or in the event of disagreement about the auditor the commercial agent shall have the right to file a request with the court for the mandatory appointment of an auditor.
- 7.
-
Three-year period of limitation shall be applied to requests to recover a commercial agent’s remuneration.
- 8.
-
Where a commercial agent has been granted an exclusive right to conclude contracts on a certain territory or with certain consumers, a commercial agent shall be entitled to payment by commission, which shall be calculated by taking into account the contracts concluded within the period of validity of the agency contract with the persons from the said territory or the said consumers.
- 9.
-
A commercial agent shall, too, be entitled to payment by commission in the cases where the order of the third party has reached the principal prior to the expiry of the agency contract or within a reasonable period of time after the expiry of the agency contract and the contract is related to the agency contract.
- 10.
-
Where a commercial agent is paid by commission after the expiry of the contract, the new agent shall not be entitled to payment by commission except in the cases where division of payment by commission under certain circumstances may be considered to be fair.
Article 2. 161. The right to Retention
- 1.
-
A dealer commercial agent shall have the right to retain principal’s things , which are in his possession and the documents confirming the rights to them until the principal offers remuneration to the commercial agent .
- 2.
-
Waiver of the right to retention shall be null and void..
Article 2.162. Rights of a Commercial Agent
- 1.
-
A commercial agent shall enjoy the right to perform any requested actions to carry out principal’s instruction properly in the principal’s name without special authority . A commercial agent shall have the right to alter provisions of contracts and accept the performance of the contract only in the cases where the given right has been provided separately in the agency contract or a separate power of attorney.
- 2.
-
Even though a commercial agent fails to be vested with authority to enter into contracts he shall be vested with authority to receive claims related to the quantity and the quality of goods as well as other claims related to the enforcement performance of a contract, and exercise, in the principal’s name, the latter’s right to secure the proof.
Article 2.163. Liability for Obligations Arising Under Contracts Concluded by a Commercial Agent
- 1.
-
Where a commercial agent, in the principal’s name, concludes a contract without authority to do so and where the other party was not aware and was not able to be aware thereof, it shall be recognised that the principal has approved the contract in the case, where he, upon notification about the said contract by the commercial agent or the third person, failed to inform, without delay, the third person of his disapproval thereof.
- 2.
-
Provision of paragraph 1 of the given Article shall also be applied in the cases where a commercial agent acted outside his authority.
Article 2.164. Prohibition of Competition
- 1.
-
A commercial agent and a principal may provide in the contract that upon expiry of the contract the commercial agent shall not compete with the principal for no more than two years. The given provision may be agreed upon in writing.
- 2.
-
Restriction of competition may be related only to a certain territory or certain kinds of goods and services or a group of customers and a territory, which were entrusted to the commercial agent.
- 3.
-
A principal shall enjoy the right to waive, in writing, in a unilateral manner, the prohibition of competition until the end of a contract.
- 4.
-
Where a contract provides for the prohibition of competition a commercial agent shall enjoy the right to compensation for all the period of the prohibition thereof. The amount of compensation shall be fixed by the agreement of both parties. The amount of compensation may be expressed by the sum of annual payment to the commercial agent.
- 5.
-
Where the contract has been terminated through the commercial agent’s fault, the commercial agent shall be divested of the right to compensation provided in paragraph 4 of the given Article.
- 6.
-
A principal shall be divested of the right to refer to the provision of the contract on the prohibition of competition where:
- 1)
-
a principal terminates the contract without commercial agent’s consent violating thereby the term of prior notification about the termination of a contract and fails to notify, without delay, the commercial agent about the important reasons for the termination thereof.
- 2)
-
A commercial agent terminates the contract for important reasons for which the principal is held liable and notifies the principal, without delay, thereof.
- 3)
-
Contract of a commercial agent and a principal has been terminated by a court judgement for reasons for which the principal is held liable;
- 7.
-
The court shall have authority, upon commercial agent’s request, to declare full or partial invalidity of the provision on the prohibition of competition where, taking into consideration the commercial agent’s lawful interests, the said provision causes him serious damage.
- 8.
-
Agreements, which contravene the provisions of the given Article and aggravate the situation of the commercial agent, shall be null and void.
Article 2.165. Termination of a Contract Concluded for an Indefinite Period
- 1.
-
An agency contract for indefinite period may be terminated on each party’s initiative subject to the condition that the other party has been notified about the termination thereof within the following term:
- 1)
-
a month before – where the contract was valid for one year;
- 2)
-
two months before – where the contract was valid for no more than two years;
- 3)
-
three months before – where the contract was valid for no more than three years;
- 4)
-
four months before – where the contract was valid for more than three years.
- 2.
-
The parties may not establish a shorter term of notification by an agreement but may establish a longer term of notification but in all cases the same term of notification shall be established for both parties.
- 3.
-
The party, which has terminated a contract without the other party’s consent and has violated the term of prior notification, must compensate the other party for the losses incurred by its actions, except in the cases, where the contract has been terminated for compelling reasons, which have to be notified, without delay, to the other party.
- 4.
-
Except as otherwise agreed upon by the parties, the last day of notification and the day of the termination of a contract shall have to coincide with the end of the calendar month.
- 5.
-
Where the term of an agency contract has expired and the fixed period contract became a contract for an indefinite period, the term of notification laid down in paragraph 1 of the given Article, which includes the time limit of validity of a fixed period contract, shall be applied to its termination.
Article 2.166. Termination of a Contract for a Fixed Period
- 1.
-
Each party shall have the right to terminate a fixed period contract before the expiry of its term where there are compelling reasons to do so. Waiver of the given right shall be null and void.
- 2.
-
Where the contract is terminated for reasons, for which the other party is liable, the latter shall have to compensate for the losses damages inflicted by the termination of the contract.
Article 2.167. Right to Compensation and Damages
- 1.
-
When a contract between a commercial agent and a principal expires, the commercial agent shall be entitled to compensation under paragraph 2 of this Article, if the parties to the contract have not agreed upon that after the expiration of the contract the commercial agent shall be entitled to damages under paragraph 6 of this Article. Waiver of the right to compensation or damages shall be null and void.
- 2.
-
A commercial agent shall be entitled to compensation where:
- 1)
-
upon the termination of the contract the principal has considerable profit from the business relations with clients who were found by the commercial agent or with who, because of the commercial agent, the amount of principal’s business has increased significantly;
- 2)
-
taking into consideration all circumstances, payment of the compensation would be in line with the principle of justice.
- 3.
-
Maximum amount for compensation shall be the average annual payment to the commercial agent calculated for all the term of contract validity where the contract was valid for no more than five years. Where the contract was valid more than five years, the average annual payment of the last five years shall be calculated. Payment of compensation shall not abolish the right of the commercial agent to make a claim for damages due for the breach of the contract.
- 4.
-
A commercial agent shall be divested of the right to compensation when during the period of one year after the expiration of the contract he fails to inform the principal about his intention to make use of such right.
- 5.
-
A commercial agent shall not be entitled to compensation where:
- 1)
-
the contract has been terminated on the commercial agent’s initiative, except in the cases where the commercial agent terminates the contract due to the unlawful actions of the principal or due to his illness, age or disability which prevent him from discharging his obligations properly;
- 2)
-
the contract has been terminated on the principal’s initiative where the commercial agent was at fault;
- 3)
-
the commercial agent, with principal’s consent, transfers his rights and obligations stipulated in the agency contract to another person.
- 6.
-
A commercial agent shall have the right to damages due for the termination of the contract with the principal, especially if he fails to receive a commission he is entitled to after a successful performance of an agency contract and the principal profits substantially from the commercial agent’s activities, and (or) where he fails to reimburse the expenses the commercial agent had to bear in the execution of the principal’s instructions. In the event of damages being awarded, paragraphs 4 and 5 of this Article shall apply.
Article 2.168. Exemptions
- 1.
-
The laws may provide for exemptions to the provisions of the given Section where they are deemed necessary due to the specific character of commercial agent’s activities in the different fields of business.
SECTION TWO
PECULIARITIES OF COMMERCIAL AGENCY IN CONCLUSION AND PERFORMANCE OF INTERNATIONAL CONTRACTS OF PURCHASE AND SALE OF GOODS
Article 2.169. The Field of Application
1. Provisions of the given Section shall be applied only in the cases where the following requirements are fulfilled:
- 1)
-
an international contract of purchase and sale of goods has been concluded and is performed;
- 2)
-
a principal and the third person reside in different states.
2. Provisions of the given Section shall be applied only to the relations between a principal and a commercial agent, on the one hand, and the third person, on the other.
3. Provisions of the given Section shall not be applied:
- 1)
-
to shares or other securities traded in the stock exchange;
- 2)
-
to commodities sold by auction;
- 3)
-
to the activities of statutory representatives as well as activities of representatives appointed by the decision of the court or an administrative institution.
4. Where a legal person’s managing bodies or employees act without overstepping the authority prescribed by law or legal person’s incorporation documents they, in the given Section, shall not be deemed to be agents.
Article 2.170. Rights and Obligations of an Agent
- 1.
-
Rights and obligations of an agent may be express or implied in specific circumstances.
- 2.
-
An agent shall be vested with authority to perform any acts, which under specific circumstances are necessary to carry out principal’s instruction properly.
- 3.
-
Rights and obligations of an agent may be presented in any form and any mode of proof may be used to prove their content.
Article 2.171. Validity of Contracts Concluded by an Agent
- 1.
-
Where an agent acts in principal’s name and in his interests without overstepping his authority and where the third person was aware or had to be aware that he was concluding the contract with an agent, the principal shall achieve the rights and assume obligations arising under the contract.
- 2.
-
Rights and obligations arising under a contract concluded by the agent shall be imposed on a agent and not a principal where:
- 1)
-
the third person failed to know and was not obliged to know that the contract was concluded with an agent (undisclosed agency );
- 2)
-
specific circumstances (e.g. provision of the contract) confirm that the agent, not the principal, intended to achieve rights and assume obligations arising under the contract.
- 3.
-
Where an agent fails to discharge his obligations to the principal, the principal, notwithstanding the circumstances laid down in paragraph 2 of the given Article, may exercise the rights, achieved by the agent, and related to the third person, by taking into consideration the right of the third person to use protective measures against the agent. Where the agent fails to discharge his obligations to the third person, the said person shall be vested with authority to exercise his rights, achieved against the agent, and related to the principal, by taking into account the right of the agent to use protective measures against the third person as well as the principal’s right to use protective measures against the agent.
- 4.
-
Rights provided in paragraph 3 of the given Article may be exercised if the principal, the agent and the third person have been respectively notified thereof. Upon the receipt of the said notification, the third person or the principal may not waive the obligations linking them with the agent.
- 5.
-
Where an agent fails to discharge his obligations to the third person through a principal’s fault, the agent must reveal principal’s name to the third person.
- 6.
-
Where the third person fails to discharge his obligations to the agent, the agent must reveal the third person’s name to the principal.
- 7.
-
A principal may not exercise the rights achieved by the agent and related to the third person, where the third person proves, that he would not have concluded the contract if he had known who the principal was.
Article 2.172. Conclusion and Enforcement of a Contract Without Due Authority or Outside One’s Authority
- 1.
-
Where a person acts without due authority or outside his authority his actions shall have no legal consequences for the principal. In such cases rights and obligations of the said person and the third person shall be achieved.
- 2.
-
Provisions of paragraph 1 of the given Article shall not be applied in cases where principal’s behaviour gave reasonable grounds for the third person to think that the agent had due authority and has not exceeded his powers.
Article 2.173. Approval of Agent’s Actions
- 1.
-
A principal shall have the right to approve the actions taken by the person who was not authorised to do so or was outside his authority. Approval may be done in different ways. Besides, approval may be implied in principal’s behaviour. Approval enters into force as of the moment of its receipt by the third person. Approval, which entered into force, shall be irrevocable.
- 2.
-
Where at the moment of entering into the contract the third person is unaware and is not able to know that the agent is not vested with authority or acts outside it, the third person shall not be liable to the principal if prior to the approval of his actions he notifies the principal, that the contract is not binding on him even after it has been approved.
- 3.
-
Where on entering into a contract the third person knew or had to know that the agent was not vested with authority or acts outside it the third person may not terminate the contract prior to the approval of agent’s actions or thereafter.
- 4.
-
The third person shall in all cases enjoy the right to waive only a partial approval of the agent’s actions.
- 5.
-
Where a person performs certain actions in the future legal person’s interests prior to the incorporation of a legal person, such actions may be approved only in the cases prescribed by the law.
Article 2.174. Legal Consequences of a Failure to Approve Agent’s Actions
- 1.
-
Where a person acts without due authority or outside his authority and where the principal refuses to approve his actions, the person must compensate to the third person those losses which would enable the third person to be in the situation in which he might have been if the agent had possessed the requested authority or acted without overstepping his authority.
- 2.
-
A person shall not be liable to the third person where the third person knew or had to know, that the person was not vested with authority or acted outside it.
Article 2.175. Termination of Agent’s Authority
- 1.
-
Authority of an agent shall be terminated:
- 1)
-
upon the agreement between a principal and an agent ;
- 2)
-
upon conclusion of the contract or performance of some other action for which the authority was granted;
- 3)
-
where a principal divests the agent of the authority he was granted;
- 4)
-
where an agent waives the rights he was granted;
- 5)
-
in other cases provided for by the given Code.
- 2.
-
Termination of agent’s authority shall not exercise influence on the authority of the third person except in the cases where the third person knew or had to know about the termination of agent’s authority or the circumstances, which formed the basis for the termination thereof.
- 3.
-
Notwithstanding the termination of agent’s authority, an agent shall enjoy the right to perform, in principal’s or his successors’ interests, certain actions which are necessary to avoid damage, which may be incurred on his or his successors’ interests.
SECTION THREE
PROCURACY
Article 2.176. Concept of Procuracy
- 1.
-
Procuracy shall be a power of attorney, which a legal person (entrepreneur) grants to his employee or other person to perform, in principal’s name and in his interests, all legal acts related to legal person’s (entrepreneur’s) undertaking.
- 2.
-
Besides, procuracy shall grant the right to perform, in principal’s name and in his interests, legal acts in the court or other non-judicial institutions.
- 3.
-
A person who is issued a procuracy shall be a procurator.
Article 2.177. Issuance of a Procuracy
- 1.
-
Procuracy shall be issued by a respective managing body of a legal person or the owner of a legal person or his authorised person in accordance with the procedure established in incorporation documents.
- 2.
-
Procuracy may be issued to some persons (joint procuracy). In such case all procurators shall have to act together.
Article 2.178. Form of a Procuracy
- 1.
-
Procuracy shall be issued in writing and signed by a person vested with authority to issue a procuracy.
- 2.
-
Procuracy shall be registered in accordance with the procedure prescribed by the law.
Article 2.179. Rights of a Procurator
- 1.
-
A procurator shall not have the right to perform and he may not be authorised to perform the following acts:
- 1)
-
to transfer an immovable object thing of the principal (enterprise) or encumber the rights to it;
- 2)
-
to sign the balance sheet and tax return of the principal;
- 3)
-
to institute bankruptcy proceedings of the principal;
- 4)
-
to issue a procuracy;
- 5)
-
to accept interest holders into an enterprise;
- 2.
-
A procurator shall not have the right to delegate his authority to the other person.
Article 2.180. Restrictions on a Procuracy
- 1.
-
Procuracy may be restricted. Procuracy may be restricted to a branch office of a legal person, respective spheres and types of legal person’s activities, certain circumstances, time or territory.
- 2.
-
Restrictions on procuracy specified in paragraph 1 of this Article shall have no effect on the third persons.
Article 2.181. Entering Into Force of a Procuracy
- 1.
-
A procuracy establishing the relations between a principal and a procurator shall enter into force as of the moment of its issuance.
- 2.
-
A procuracy, which is establishing relations between a procurator and the third persons shall enter into force as of the moment of its registration in accordance with the procedure prescribed by the law.
Article 2.182. Signature of a Procurator
Signing documents in a principal’s name a procurator shall have to indicate that he acts as a procurator, i.e. to include the word “procurator” or its abbreviation “pp”.
Article 2.183. Procurator’s Liability
A procurator shall be liable to a principal and the third persons in the same manner as a commercial agent.
Article 2.184. Termination of Procuracy
- 1.
-
Procuracy shall be terminated when:
- 1)
-
a principal revokes it;
- 2)
-
a procurator waives it;
- 3)
-
a principal has been instituted bankruptcy proceedings;
- 4)
-
a legal person which issued the procuracy is liquidated or reorganised;
- 5)
-
a procurator is dead.
- 2.
-
Procuracy shall be terminated as of the date of a respective entry in a respective register with the exception of the cases laid down in points 4 and 5 of paragraph 1 of the given Article.
Article 2.185. Acts Performed Without Procuracy
- 1.
-
A principal may instruct his employees to perform acts, which in a certain field of undertaking are usual and commonplace, without issuance of the procuracy. In such cases provisions of the given Code regulating a procuracy shall be applied by analogy.
- 2.
-
It is presumed that employees working in a shop or a warehouse shall have the right to sell, deliver or receive goods as well as receive claims concerning the quantity and quality of goods.
- 3.
-
On signing documents in the principal’s name employees specified in the given Article shall have to indicate their capacity, name, family name and authority.
BOOK THREE
FAMILY LAW
PART I
GENERAL PROVISIONS
CHAPTER I
FAMILY LAWS
Article 3.1. Relationships governed by Book Three of the Civil Code of the Republic of Lithuania
1. The provisions of Book Three of the Civil Code of the Republic of Lithuania define the general principles of the legal regulation of family relations and govern the grounds and procedures of entering into marriage, validity and dissolution of marriage, property and non-property personal rights of spouses, filiation, mutual rights and responsibilities between children, parents as well as other family members, the basic provisions on adoption, guardianship, curatorship and on the procedures of registering Acts of Civil Status.
2. The provisions of the other Books of the Civil Code, as well as the provisions of other civil laws, shall apply to family relationships to the extent that they are not regulated by the provisions of this Book.
Article 3.2. Sources of family law
1. Family relations shall be governed by the Constitution, the Civil Code and other laws of the Republic of Lithuania as well as by the international treaties of the Republic of Lithuania.
2. The Government and other public authorities of the Republic of Lithuania may adopt regulations on family law matters only in the cases and to the extent provided for in this Code and other legislation.
3. Customs shall apply to family relations only in cases provided for by legislation. In case there is a contradiction between the law and the custom, the law shall prevail.
Article 3.3. Principles of the legal regulation of family relationships
1. In the Republic of Lithuania the legal regulation of family relationships shall be based on the principles of monogamy, voluntary marriage, equality of spouses, priority of protecting and safeguarding the rights and interests of children, up-bringing of children in the family, comprehensive protection of motherhood and other principles of the legal regulation of civil relationships.
2. Family laws and their application must ensure the strengthening of the family and its significance in the society, the mutual responsibility of family members for the preservation of the family and the education of the children, the possibility for each member of the family to exercise his or her rights in an appropriate manner and to protect the children of minor age from the undue influence of the other members of the family or other persons or any other such factor.
Article 3.4. Analogy of statute or law
1. Where family relationships are not governed by this or the other Books of the Civil Code, they shall be governed by the provisions of other civil laws applicable to similar legal relations. The application by analogy of special legal norms stipulating derogation from the general provisions shall be prohibited.
2. Where it is not possible to apply statute by analogy and also where the resolution of the matter is left to judicial discretion, the rights and duties of the subjects of family relations shall be determined on the basis of justice, good faith, reasonableness and other general legal principles.
3. Where there are no mandatory rules, also in cases provided for in this Code and other laws, the subjects of family relations may determine their rights and duties by mutual agreement in accordance with the principles enshrined in paragraph 2 and Article 3.3 hereof.
Article 3.5. Implementation and protection of family rights
1. Persons are free to implement and exercise their family rights at their own discretion including the right to the protection of family rights. A waiver from a family right or its implementation shall not abolish the right except in cases provided for by law.
2. In exercising their family rights and performing their duties, persons must comply with the laws, respect the rules of their community life as well as the principles of good morality and act in good faith.
3. It is prohibited to abuse family rights, i. e. it is prohibited to exercise them in such a way and by such means as would violate or restrict other persons’ rights or interests protected by law, or would inflict harm on other persons. If a person abuses a family right, the court may refuse to protect it.
4. Family rights shall be protected by courts, institutions of guardianship and curatorship, governmental or non-governmental organisations in the ways provided for herein. Courts and other institutions shall seek that the parties to a dispute resolve their dispute peacefully by mutual agreement, and shall help the parties in every possible way to reach such an agreement.
Article 3.6. Limitation period for action
1. Claims arising from legal family relations shall be subject to statutory limitations except for the exemptions provided for in this Book hereof.
2. The procedures for the calculation, suspension, termination or restoration of limitation periods shall be stipulated in the rules of Book One hereof unless this Book provides for different rules.
PART II
MARRIAGE
CHAPTER II
CREATION OF MARRIAGE
SECTION ONE
AGREEMENT TO MARRY AND ITS LEGAL CONSEQUENCES
Article 3.7. Concept of marriage
1. Marriage is a voluntary agreement between a man and a woman to create legal family relations executed in the procedure provided for by law.
2. A man and a woman who have registered their marriage in the procedure provided for in law shall be deemed to be spouses.
Article 3.8. Agreement to marry (engagement)
1. Agreement to marry is not binding and may not be enforced by force although it may give rise to legal consequences described in Articles 3.9 to 3.11 hereof.
2. An agreement to marry may be expressed orally or in writing.
3. An application to register a marriage submitted to the Register Office in the prescribed format shall be deemed to be a public agreement to marry.
Article 3.9. Return of gifts
1. If the engagement is terminated, both parties to the public agreement to marry shall have a right to demand that the other party return everything he or she has received from the other party as a gift in consideration of the intended marriage except where the value of the gift is under one thousand Litas or where the party who had received a gift died before the registration of the marriage and the marriage has not been contracted due to the death of one of the parties.
2. Requests for the return of gifts shall be governed by the rules of Book Six hereof regulating relations pertaining to unjust enrichment or acquisition of assets not due.
3. An action for the return of a gift may be brought within a year of the date of the refusal to marry.
Article 3.10. Compensation of damages
1. The party to the agreement to marry that has refused to contract the marriage without a reasonable cause must compensate the damages incurred by the other party due to the refusal to marry.
2. The damages include the actual expenses of the party in preparation to marry and the actual expenses made in performing the obligations related to the intended marriage.
3. Where a party refuses to marry for a weighty reason that has emerged through the fault of the other party, the party at fault shall pay damages under paragraphs and 2 hereof.
4. The time limit to present claims for damages shall be one year after the date of the refusal to marry.
Article 3.11. Compensation for non-pecuniary damage
1. Where the parties had made a public agreement to marry, the party entitled to damages under Article 3.10 hereof, may also claim compensation for non-pecuniary damage.
2. An action for compensation of non-pecuniary damage may be brought within a year of the date of the refusal to marry.
SECTION TWO
CONDITIONS FOR CONTRACTING A MARRIAGE
Article 3.12. Prohibiting marriage of persons of the same gender
Marriage may be contracted only with a person of the opposite gender.
Article 3.13. Voluntary nature of marriage
1. Marriage shall be contracted by a man and a woman of their own free will.
2. Any threat, coercion, deceit or any other lack of free will shall provide the grounds on which the marriage declared null and void.
Article 3.14. Legal age of consent to marriage
1. Marriage may be contracted by persons who by or on the date of contracting a marriage have attained the age of 18.
2. At the request of a person who intends to marry before the age of 18, the court may, in a summary procedure, reduce for him or her the legal age of consent to marriage, but by no more than two years.
3. In the case of a pregnancy, the court may allow the person to marry before the age of 16.
4. While deciding on the reduction of a person’s legal age of consent to marriage, the court must hear the opinion of the minor person’s parents or guardians or curators and take into account his or her mental or psychological condition, financial situation and other important reasons why the person’s legal age of consent to marriage should be reduced. Pregnancy shall provide an important ground for the reduction of the person’s legal age of consent to marriage.
5. In the process of deciding on the reduction of the legal age of consent to marriage, the state institution for the protection of the child’s rights must present its opinion on the advisability of the reduction of the person’s legal age of consent to marriage and whether such a reduction is in the true interests of the person concerned.
Article 3.15. Active capacity
1. A person who has been declared by a res judicata court judgement) to be legally incapacitated may not contract a marriage.
2. If there is knowledge of a case pending before a court for the declaration of one of the parties to an intended marriage to be legally incapacitated, the registration of the marriage must be postponed until the judgement of the court becomes res judicata.
Article 3.16. Prohibition to violate the principle of monogamy
A married person who has not terminated his or her marital bond in accordance with the procedures laid down by the law may not enter into a second marriage.
Article 3.17. Prohibition to contract marriage between close relatives
Marriage between parents and children, adopters and adoptees grandparents and grandchildren, real or foster-brothers and real or foster-sisters, cousins, uncles and nieces, aunts and nephews shall be prohibited.
SECTION THREE
FORMATION OF MARRIAGE
Article 3.18. Application to register a marriage
Persons intending to marry must file an application to register the marriage in the procedure specified in Article 3.299 hereof.
Article 3.19. Making public the application to register a marriage
The fact of the submission of the application to register a marriage shall be made public in the procedure specified in Article 3.302 hereof.
Article 3.20. Confirmation of the compliance with the requirements for the formation of a marriage
1. While filing an application to register a marriage, the intended spouses must confirm in writing that they have met all the requirements laid down for the formation of marriage in Articles 3.12 to 3.17 hereof.
2. Before registering a marriage, the officials of the Register Office must check if all the requirements laid down in Articles 3.12 to 3.17 for the formation of marriage have been complied with.
Article 3.21. Premarital medical examination
1. At the time of filing an application to register a marriage, the officials of the Register Office shall suggest to the intended spouses that they undergo a premarital medical examination and prior to the date of the registration of their marriage submit a doctor’s certificate drawn up in the form specified by the institution authorised by the Government.
2. Failure to submit a doctor’s certificate shall not be an impediment for the registration of the marriage.
3. Failure of one of the parties to an intended marriage to inform the other party that he or she is suffering from a venereal disease or AIDS shall provide a cause for rendering the marriage null and void.
Article 3.22. Declaration on impediments to marriage
1. Any interested person shall have a right to make a written declaration to the Register Office that has made the application to register a marriage public to the effect that, subject to this Book, there are impediments to the marriage.
2. Having received a declaration on impediments to a marriage, the official of the Register Office shall postpone the registration of the marriage and request that the declarant submit written evidence of the facts alleged in the declaration within three days. If the declarant fails to submit such evidence within three days, the marriage shall be registered in accordance with the general procedures.
3. If the written evidence on the existing impediment to a marriage is presented, the official of the Register Office shall suspend the registration of the marriage and, in the event of a dispute, advise the intended spouses on their right to apply for the court to refute the declaration. In such a case the marriage shall be registered only after the intended spouses submit to the Register Office the res judicata court judgement on the refutation of the declaration on the impediments to the marriage as ill-founded.
4. Where the court decides to refute the declaration on the impediments to the marriage as unfounded, after the formation of the marriage the intended spouses shall have a right, within a year of the day on which the court’s judgement became res judicata, to claim damages from the person who submitted the declaration on impediments to the marriage, except in cases where the declaration was presented by the parents of one of the spouses or a public prosecutor.
Article 3.23. Proof of marriage
1. The Register Office that has registered a marriage shall issue a Certificate of Marriage.
2. The proof of marriage shall be the record of the marriage and the Certificate of Marriage issued on the basis of the record.
Article 3.24. Formation of religious marriages in the procedure established by the Church (confessions)
1. A religious marriage is formed in accordance with the procedures established by the internal law (canons) of the respective religion.
2. The formation of a marriage in accordance with the procedures established by the Church (confessions) shall entail the same legal consequences as those entailed by the formation of a marriage in the Register Office provided that:
1) the conditions laid down in Articles 3.12 to 3.17 hereof have been satisfied;
2) the marriage has been formed according to the procedures established by the canons of a religious organisation registered in and recognised by the Republic of Lithuania;
3) the formation of a marriage in the procedure established by the Church (confessions) has been recorded at the Register Office in the procedure provided for herein.
Article 3.25. Official records of marriages formed in the procedure established by the Church (confessions)
Marriages formed according to the procedure established by the Church (confessions) shall be entered in the official records in accordance with Article 3.304 hereof.
SECTION FOUR
LEGAL EFFECTS OF MARRIAGE
Article 3.26. Equality of spouses
1. Having contracted a marriage, the spouses acquire the rights and duties defined in this Book.
2. Spouses shall have equal rights and equal civil liability in respect of each other and their children in matters related to the formation, duration and termination of their marriage.
3. Spouses may not waive, by mutual agreement, their rights or extinguish their duties that arise from a marriage.
Article 3.27. The duty of spouses to support each other
1. Spouses must be loyal to and respect each other; they must support each other morally and financially and contribute toward the common needs of the family or the needs of the other spouse in proportion to their respective capabilities.
2. Where due to objective reasons one of the spouses is unable to make a sufficient contribution toward the common needs of the family, the other spouse must do that in accordance with his or her abilities.
Article 3.28. Creation of family relations
By contracting a marriage the spouses create family relations as a basis for their life together.
Article 3.29. Passive and active capacity of spouses
Marriage shall not restrict the passive and active capacity of spouses, nevertheless the possibility of the spouses to exercise certain rights may be restricted by the contract of marriage or the mandatory rules hereof.
Article 3.30. Duties of the spouses in respect to their children
Spouses must maintain and bring up their children of minor age, care for their education and health, ensure the child’s right to personal life, inviolability of his or her personality and freedom, the child’s property, social and other rights laid down in the domestic and international law.
Article 3.31. The surnames of the spouses
Both spouses shall have the right to retain their respective surnames or to choose the surname of the other spouse as their common surname or to have a double surname by adjoining the surname of the other spouse to one’s own surname.
Article 3.32. Representation
1. Any of the spouses may authorise the other to represent him and act on his behalf.
2. Where certain acts require the consent of the other spouse, but for any objective reason the other spouse is unable to give such a consent, the court may, upon the interested spouse’s request, give the interested spouse permission to perform the act. Before giving the permission, the court must satisfy itself that the consent of the other spouse is really unobtainable, while the permission will serve the interests of the family. The court’s permission is valid only for the act specified in the court’s order to be performed in the specified period of time. If the court finds that the spouse’s actions are contrary to the interests of the family or of the children of minor age, it may amend or revoke its permission on the request of the state institution for the protection of the child’s rights or the public prosecutor. The amendments or revocation of the permission shall be effective only from the date of the court’s order to that effect. On the day of its adoption, such an order of the court must be sent to the Chamber of Notaries Public or, if the permission is related to the disposition of immovable property, to the public register.
3. If a spouse has acted on behalf of the other spouse without his or her permission or the permission of the court, such acts and their consequences shall be subject to the rules of Book Six regulating the management of the other spouse’s affairs.
Article 3.33. Disputes of spouses relating to the performance of their duties or exercise of their rights
1. Where the spouses are unable to agree as to the performance of their duties or the exercise of their rights, either of them shall have a right to apply to the court for the resolution of their dispute.
2. In its efforts to resolve the dispute the court shall take measures for the reconciliation of the spouses.
3. The court must decide on the dispute of the spouses by taking account of the interests of their children of minor age and the interests of the family as a whole.
Article 3.34. Temporary Restriction of the property rights of a spouse
1. Where one of the spouses is in serious breach of his or her marital duties provided for in this Book hereof and poses a threat to the property interests of the family by his or her acts, the other spouse shall have a right to apply to the court for an order prohibiting the other spouse from disposing of their community property without the consent of the other spouse. The prohibition may not be valid for more than two years.
2. Transactions entered into by a spouse without the consent of the other spouse, which should have been obtained, may be annulled under an action brought by the other spouse provided the third party involved in the transaction was in bad faith. An action may be brought within a year of the date on which the spouse acquired or should have acquired knowledge of the transaction.
Article 3.35. Rights and duties of the spouses in the household
1. Neither spouse may, without the consent of the other spouse, alienate, pledge or lease movable property used in the household or encumber the right to it in any other way.
2. The movable property serving for the use of the household shall include household utensils, furniture, except for works of art, collections or home libraries.
3. A spouse having neither consented to nor ratified such a transaction may apply to have it annulled except in cases where the transaction was by onerous title and the third party was in good faith.
Article 3.36. The rights and duties of spouses in respect of the dwelling considered to be Family Property
1. Where the spouses live in a rented dwelling under a lease agreement, the spouse in whose name the dwelling is rented may not, without a written consent of the other spouse, terminate the lease agreement before its term, sublease it or transfer the rights under the lease agreement. The spouse having neither consented nor ratified such an act may apply to have it annulled.
2. A spouse who is the sole owner of the family dwelling may not, without a written consent of the other spouse, alienate, pledge or lease this dwelling. The spouse having neither consented to nor ratified such an act may apply to have it annulled provided that the disputed premises have registered in the public register as a family asset.
3. The rules of paragraph 1 and 2 shall be applied also in cases of usufruct (i. e. the right of using and receiving the profits, products or fruits of property that belongs to another) and contract of use.
CHAPTER III
NULLITY OF MARRIAGE
Article 3.37. The grounds and procedures for declaring marriage null and void
1. A marriage may be declared null and void if the conditions for the formation of a valid marriage set out in Articles 3.12 to 3.17 hereof have been violated as well as on the grounds provided for in paragraph 3 Article 3.21, Articles 3.39 and 3.40 hereof.
2. A marriage may be annulled only by the court.
3. A marriage that the court declares to be null and void shall be void ab initio.
4. Having pronounced a marriage null and void, the court must send a copy of its judgement to the Register Office where the marriage was registered within three business days of its effective date.
Article 3.38. Persons entitled to petition for a decree of nullity on the grounds of violation of the requirements for the formation of marriage.
1. A marriage formed in violation of the conditions set for the formation of marriage in Articles 3.16 and 3.17 hereof may be declared null and void on the petition of spouse who was ignorant of the impediments to the marriage, a public prosecutor or any other person whose rights and lawful interests were violated by the marriage.
2. A marriage formed in violation of the requirement set in Article 3.14 hereof may be declared null and void on the petition of a minor spouse, his or her parents, guardians or curators, public institutions for the protection of the child’s rights or a public prosecutor. After the minor spouse attains the age of 18, he or she shall be the only person who may petition for a decree of nullity.
3. A marriage formed in violation of the requirement set in Article 3.15 hereof may be declared null and void on the petition of the guardian of the spouse lacking capacity to marry, a public prosecutor or any other person whose rights and lawful interests have been violated by the marriage.
4. A marriage formed in violation of the requirement set in Article 3.13 hereof may be declared null and void on the petition of the spouse who had failed to express his or her free will at the time of the marriage or a public prosecutor. Where the who failed to express his free will is a minor, the nullity of the marriage may be sought by his or her parents, guardians, curators or a State institution for the protection of the child’s rights.
5. A judgement for the nullity of marriage on the grounds referred to in paragraph 3 Article 3.21 hereof may be sought by the party to the marriage who by the time of marriage had not been informed of the other party’s illness.
Article 3.39. Nullity of a fictitious (‘sham’) marriage
A marriage formed fictitiously without the true intention of creating a legal family relationship may be declared null and void on the petition of either spouse or a public prosecutor.
Article 3.40. Declaring a marriage null and void due to the lack of free will
1. A marriage may be declared null and void if a spouse can prove that at the time of marriage he or she was incapable of understanding the true meaning of his or her actions or of being in charge of them of being in charge of them.
2. Nullity of marriage may be sought by a spouse if he or she entered into the marriage under threat, duress or fraud.
3. A spouse who gave consent to the marriage in consequence of an essential mistake may seek the nullity of the marriage. The mistake is presumed to be essential if it is a mistake about the circumstances related to the other party the knowledge of which would have been a sufficient reason for the party not to enter into the marriage. The mistake is presumed to be essential if it is about:
1) the health condition or the sexual abnormality of a party which makes the usual family life impossible;
2) the grave crime committed by the other party.
Article 3.41. Bars to the nullity of marriage
1. The court may refuse to declare a marriage null and void if the circumstances which had constituted an impediment to the marriage hereunder disappeared during the proceedings of the case.
2. The court may refuse to declare a marriage contracted by a minor person null and void if the nullity of the marriage were contrary to the interests of the minor children of the minor spouse or spouses.
3. A marriage may not be pronounced to be a fictitious marriage if prior to the petition for nullity the spouses had created family relations or had cohabited for over a year from the date of marriage or had given birth to or were expecting their own child.
4. A marriage may not be declared null and void after divorce, except where the marriage had been contracted in violation of the monogamy principle or within the prohibited degrees of relationship (Articles 3.16 and 3.13).
5. A marriage which was contracted without one of the spouses expressing his free will may not be pronounced null and void if, after the formation of the marriage or after the knowledge of the circumstances giving a sufficient ground for pronouncing it null and void, the spouses lived together for over a year or they have given birth to or are expecting their own baby.
Article 3.42. Statutes of limitation
1. A spouse who entered into a marriage under the age of 18 may petition for the nullity of the marriage within a year of the date of his or her attaining full age.
2. Petition for the nullity of a marriage contracted without a free and voluntary consent may be presented within a year of the date on which the circumstances constituting the grounds for pronouncing the marriage null and void disappeared or became known.
3. Petition for the nullity of a fictitious marriage may be presented within a year of the date on which the marriage was contracted. A public prosecutor may petition for the nullity of a marriage under Article 3.39 hereof within five years of the date on which the marriage was contracted.
4. Petition for the nullity of a marriage on other grounds shall be subject to no limitations.
Article 3.43. Separation of spouses and maintenance order
1. In an effort to protect the interests of one of the spouses, the court may, circumstances permitting, order the spouses to separate pending the proceedings on the nullity of their marriage.
2. In pronouncing a marriage null and void, the court must decide as to the maintenance of the children and the spouse in good faith as well as to make a residence order in respect of the children.
Article 3.44. Extinguishment of the right to petition
1. The right to petition for the nullity of a marriage may not be devolved by succession or any other way.
2. After the death of one of the parties to a marriage, a public prosecutor may no longer initiate proceedings for the nullity of the marriage.
Article 3.45. Legal effects of marriage declared null and void
1. Any children born of a marriage subsequently decreed void by the court shall be treated as born within marriage.
2. Where both the spouses were in good faith, i. e. did not and could not know about the impediments to their marriage, the legal consequences of their marriage, although it has been declared null and void, shall be the same as those of a valid marriage except for the right of succession. Evidence of the good faith of the spouses must be indicated in the judgement of the court.
Article 3.46. Legal consequences of nullity where one or both spouses were in bad faith
1. With a null and void marriage where only one of the parties was in good faith, the party in good faith shall be entitled to all the rights a spouse is entitled to by virtue of a valid marriage.
2. With a null and void marriage where both the parties were in bad faith, they lose all the rights and duties spouses have by virtue of a valid marriage. Each of them shall have a right to recover their own property including the gifts to the other party.
Article 3.47. Rights of the spouse in good faith
1. If in need of maintenance, the spouse in good faith shall have a right to petition for maintenance from the spouse in bad faith for a period not exceeding three years.
2. The amount of the maintenance shall be at the discretion of the court having regard to the financial position of both the parties. The court may make an order for periodical monthly payments or one payment of a lump sum. If the financial position of one of the parties changes, the interested party may start apply for the increase, decrease or termination of maintenance.
3. An order for maintenance to the spouse in good faith terminates on the remarriage of the payee or at the end of the three-year period during which maintenance was paid.
Article 3.48. Mandatory participation of guardianship and care institutions
Where one or both spouses are of minor age or have been declared by the court lacking legal capacity, guardianship and care institutions or the public institution for the protection of the child’s rights must attend the proceedings for the nullity of the marriage of such persons and give their opinion on whether the nullity of the marriage may prejudice the rights and interests of such persons or their children.
CHAPTER IV
DISSOLUTION OF MARRIAGE
SECTION ONE
FUNDAMENTALS OF DISSOLUTION OF MARRIAGE
Article 3.49. Cases of dissolution of marriage
1. A marriage is dissolved by the death of one of the spouses or by termination by the operation of law.
2. A marriage may be dissolved by the mutual consent of the spouses, on the application of one of the spouses or through the fault of a spouse (spouses).
Article 3.50. Dissolution of marriage by the death of one of the spouses
1. A marriage is dissolved by the death or a court judgement of presumption of death of one of the spouses.
2. Where one of the spouses is presumed dead, the marriage shall be considered dissolved from the date on which the court judgement becomes res judicata or from date specified therein.
3. If the spouse who has been presumed to be dead by a court judgement turns up, the marriage may be renewed by the mutual application of the spouses to be presented, after the annulment of the court judgement of presumption of death, to the Register Office that registered the dissolution of marriage.
4. A marriage may not be renewed if the other spouse had remarried or there are impediments under Articles 3.12 to 3.17 hereof.
SECTION TWO
DIVORCE BY THE MUTUAL CONSENT OF THE SPOUSES
Article 3.51. Conditions for divorce
1. A marriage may be dissolved by the mutual consent of the spouses provided all the following conditions have been satisfied:
1) over a year has elapsed from the commencement of the marriage;
2) the spouses have made a contract in respect of the consequences of their divorce (property adjustment, maintenance payments for the children, etc.);
3) both the spouses have full active legal capacity.
2. In cases provided for in this Article divorce shall be obtained under simplified procedures.
Article 3.52. Application for divorce
1. A mutual application of the spouses for divorce shall be presented to the court of the district where one of the spouses resides.
2. The application must be accompanied by the contract as to the consequences of the divorce.
3. The application must contain reasons why, in the opinion of the spouses, their marriage has broken down.
Article 3.53. Divorce proceedings
1. The court grants a judgement of divorce if it is satisfied that the marriage has broken down irretrievably. A marriage shall be considered to have broken down irretrievably if the spouses no longer live together and it is not likely they will live together again.
2. An irretrievable breakdown of a marriage is presumed if the spouses have been separated form board and bed for over a year.
3. While granting a divorce decree, the court shall approve the contract of the spouses as to the consequences of divorce providing for the maintenance payments for the children of minor age and each other, the residence of their minor children, their participation in the education of their children and their other property rights and duties. The content of the contract shall be incorporated in the judgement of divorce. In case there is an essential change in the circumstances (illness of one of the former spouses, incapacity for work, etc.), the former spouses or one of them may petition the court to reconsider the terms and conditions of their contract as to the consequences of divorce.
4. Where the contract as to the consequences of divorce is not consistent with the public order or is an essential violation of the rights and lawful interests of the minor children of the spouses or of one of the spouses, the court shall not approve the contract and shall suspend the divorce proceedings until the spouses have made a new contract. If the spouses fail to comply with the directions of the court within six months of the suspension of the proceedings, the court shall not resume the consideration of the application for divorce.
Article 3.54. Reconciliation of spouses
1. The court must take measures to encourage the reconciliation of the spouses.
2. At the request of one of the spouses or on its own initiative the court may provide for an up to a six-month-long reconciliation period. At the end of the reconciliation period the divorce proceedings shall be resumed at the request of one of the parties.
3. If neither of the spouses petitions for divorce within a year of the beginning of the reconciliation period, the court does not resume the divorce proceedings.
4. Where the spouses have lived apart for over a year or the reconciliation period is essentially contrary to the interests of one of the spouses or those of their children, or where both the spouses require a substantive consideration of their case, the court shall not set any reconciliation period.
SECTION THREE
DIVORCE ON THE APPLICATION OF ONE OF THE SPOUSES
Article 3.55. Conditions for obtaining divorce
1. A marriage may be dissolved on the application of one of the spouses filed with the court of the district where the applicant resides, if at least one of the following conditions are satisfied:
1) the spouses have been separated for over a year;
2) after the formation of the marriage one of the spouses has been declared legally incapacitated by the court;
3) one of the spouses has been declared missing by the court;
4) one of the spouses has been serving a term of imprisonment for over a year for the commission of a non-premeditated crime.
2. On behalf of the spouse lacking legal capacity the application for divorce may be filed by his or her guardian, a public prosecutor or a guardianship and care institution.
Article 3.56. The content of the application
1. The application must contain the indication of one of the grounds for divorce under paragraph 1 Article 3.55 hereof.
2. The application must also indicate how the applicant is going to perform his or her obligations toward the other spouse and their minor children.
3. The application must also contain the data provided for in the Code of Civil Procedure.
Article 3.57. Examination of the application
1. A spouse’s application for divorce shall be examined in a simplified procedure.
2. Where divorce proceedings are commenced on the application of one of the spouses, the reconciliation measures referred to in Article 3.54 shall not be applied.
3. The court having regard to the age of one of the spouses, the duration of marriage, the interests of the minor children of the family may refuse to grant a divorce decree if the divorce may cause significant harm to the property and non-property interests of one of the spouses or their children.
4. The other spouse or his or her guardian shall have a right to declare that the marriage has broken down through the applicant’s fault and demand that the court grant divorce on the basis of the applicant’s fault. If the court considers the declaration to be well grounded, divorce shall be granted on the basis of the fault of the spouse who initiated the divorce proceedings (Article 3.60 hereof).
Article 3.58. Mandatory participation of guardianship and care institutions
Where one of the spouses lacks legal capacity, a guardianship and care institution must present its opinion to the court concerning the guarantees of the interests of the spouse lacking legal capacity on divorce.
Article 3.59. Matters to be resolved by the court in granting divorce
In granting a divorce the court must resolve matters relating to the residence and maintenance of the minor children, the maintenance of one of the spouses, adjustment of the community property of the spouses, except in cases where the property has been adjusted by the mutual agreement of the spouses certified in the notarial procedure.
SECTION FOUR
DIVORCE ON THE BASIS OF THE FAULT OF ONE OR BOTH OF THE SPOUSES
Article 3.60. Conditions for obtaining divorce
1. A spouse may apply for divorce on the grounds provided for in this Section where the marriage has broken down through the fault of the other spouse.
2. The fault of a spouse for the breakdown of the marriage shall be established if he or she has seriously breached the duties under this Book hereof, which is the reason why their matrimonial life has become impossible.
3. A marriage shall be presumed to have broken down through the fault of the other spouse where he or she has been convicted of a pre-meditated crime or has committed adultery or is violent toward the other spouse or the other members of the family or has deserted the family and has not been caring for it for over a year.
Article 3.61. Both spouses at fault
1. The respondent in a divorce suit may argue against his or her fault and adduce facts to prove that the other spouse is at fault for the breakdown of the marriage.
2. The court having regard to the circumstances of the case may declare that both parties are at fault for the breakdown of the marriage.
3. A divorce based on the fault of both spouses shall have the same consequences as the dissolution of marriage by the mutual consent of the spouses (Articles 3.51 to 3.54).
Article 3.62. Divorce procedure
1. A divorce on the basis of the fault of one of the spouses shall be granted by the court under contentious procedure.
2. At the request of one of the spouses divorce proceedings shall be held in a closed hearing.
3. Divorce proceedings shall be subject, mutatis mutandis, to Article 3.59 hereof.
Article 3.63. Omission of the specific causes of a divorce from the court judgement
At the request of both spouses the court, in granting a divorce, shall omit the specific facts evidencing the fault of one or both the spouses for the dissolution of the marriage from the judgement and merely indicate that the marriage has broken down through the fault of one or both the spouses.
Article 3.64. Conciliation of spouses
1. The court must take measures to achieve a reconciliation of the spouses.
2. The court must suggest that the spouses reach an amicable settlement of their respective property interests, the maintenance and education of their children as well as other consequences of their divorce. If the spouses reach an agreement, paragraphs 3 and 4 of Article 3.53 hereof shall be applied.
3. The court shall apply measures provided for in paragraph 2 and 3 of Article 3.54 hereof, except in cases where the application of those provisions may be detrimental to the interests of the applicant or the minor children of the spouses.
Article 3.65. Provisional protection measures
1. The court having regard to the interests of the children of the spouses as well as the interests of one of the spouses may make orders for provisional protection measures pending the outcome of the divorce suit.
2. The court may make the following orders for provisional protection measures:
1) to order one of the spouses to live separately;
2) to determine the residence of the minor children with one of the parents;
3) to demand for one of the spouses not to interfere with the use of certain property by the other spouse;
4) to issue a maintenance order in favour of the minor children or the other spouse;
5) seize property until its ownership by one of the spouses is determined or in order to enforce maintenance payments;
6) seize the property of one of the spouses the value of which could be used to compensate for the litigation costs to the other spouse;
7) prohibit one of the spouses from having contact with his or her minor children or appearing in certain places.
SECTION FIVE
LEGAL EFFECTS OF DIVORCE
Article 3.66. The moment of the dissolution of marriage
1. A marriage shall be considered to be dissolved on the date when the divorce judgement becomes res judicata.
2. The court must send a copy of the divorce judgement to the local Register Office for the registration of the divorce within three business days of the date of res judicta of the judgement.
Article 3.67. Consequences of divorce to the property interests of the spouses
1. Legal consequences of divorce to the property interests of the spouses shall be produced from the moment of the commencement of divorce proceedings.
2. A spouse other than the one determined to be at fault for the breakdown of the marriage may ask the court to rule that the legal consequences of divorce to the interests of the spouses shall be produced from the day of their actual separation.
Article 3.68. Invalidation of transactions made after the commencement of the divorce proceedings
Transactions related to the joint property of the spouses made by one of the spouses after the commencement of the divorce proceedings may be invalidated by the court in an action brought by the other spouse provided the other spouse can prove that the transaction was made with the aim of prejudicing his or her interests while the third party was in bad faith.
Article 3.69. Surnames of the former spouses
1. On divorce, a spouse may retain his or her married surname or the surname he or she had before the marriage.
2. Where a marriage is dissolved on the basis of the fault of one of the spouses, the court may, at the request of the other spouse, prohibit the spouse at fault from retaining his or her married surname, except in cases where the spouses have children.
Article 3.70. Legal consequences of a divorce on the basis of the fault of one of the spouses
1. Where a divorce is granted on the basis of the fault of one of the spouses, the spouse at fault shall lose the rights of a divorcee under the law or under the marriage contract including the right to maintenance.
2. The other spouse may demand from the spouse responsible for the breakdown of the marriage damages related to the divorce as well as compensation for non-pecuniary damage done by the divorce. This provision shall not be applied where both spouses are responsible for the breakdown of the marriage.
3. At the request of the other spouse the spouse at fault for the breakdown of the marriage shall return the gifts received from him or her except for the wedding ring unless the marriage contract provides otherwise.
4. Where both spouses are responsible for the breakdown of the marriage, both of them shall have a right to demand the return of the immovable gifts given to each other unless more than ten years have elapsed from the gift contract and the immovable property has been transferred to third parties.
Article 3.71. Retention of the right to use the matrimonial dwelling
1. Where the matrimonial dwelling is owned by one of the spouses, the court may make a usufruct order and allow the other spouse to remain in the matrimonial dwelling if their minor children live with him or her.
2. The usufruct order shall be valid until the child (children) attain majority.
3. Where the matrimonial dwelling is rented, the court may award the rights of the lessee to the spouse that remains to live with their minor children or that lacks capacity for work and may evict the other spouse if he or she has been ordered to live separately.
Article 3.72. Mutual maintenance of the former spouses
1. The court when making a divorce judgement shall also make a maintenance order in favour of the spouse in need of maintenance unless the matters of maintenance are settled in the agreement of the spouses concerning the consequences of divorce. A spouse shall have no right to maintenance if his or her assets or income are sufficient to fully support him or her.
2. Maintenance shall be presumed to be necessary if he or she is bringing up a minor child of the marriage or is incapacitated for employment because of his or her age or state of health.
3. A spouse that was not able to obtain any qualifications for work (complete his or her studies) because of the marriage, common interests of the family or the need to care for the children, shall have a right to demand from the former spouse to cover the costs related to the completion of his or her studies or retraining.
4. The spouse responsible for the breakdown of the marriage shall have no right to maintenance.
5. While making a maintenance order and deciding on its amount, the court shall take into account the duration of the marriage, the need for maintenance, the assets owned by the former spouses, their state of health, age, capacity for employment, the possibility of the unemployed spouse of finding employment and other important circumstances.
6. The amount of maintenance shall be reduced, made temporary or refused if one of the following circumstances exist:
1) the marriage lasted for a period not exceeding a year;
2) the spouse entitled to maintenance has committed a crime against the other spouse or his or her next of kin;
3) the spouse entitled to maintenance has created his or her difficult financial situation through his or her own irresponsible acts;
4) the spouse requesting maintenance did not contribute to the growth of their community assets or wilfully prejudiced the interests of the other spouse or the family during the marriage.
7. The court may demand from the spouse obliged to provide maintenance to the other spouse to produce an adequate guarantee of fulfilment of this obligation.
8. The court may make maintenance orders for a lump sum or periodical (monthly) payments or property adjustment.
9. Where divorce is based on the application of one of the spouses because of the legal incompetence of the other spouse, the applicant spouse must cover the treatment and care expenses of the former incompetent spouse unless the expenses are covered from state social security funds.
10. The maintenance order shall be the basis for the forced pledge of the respondent’s assets. If the former spouse defaults on his or her obligation to pay maintenance, his or her assets may be used to make payments in the procedure laid down by the law.
11. Where the maintenance order is for periodical payments, a significant change in the circumstances referred to in paragraph 5 of this Article may warrant the application of either of the former spouses for an increase, reduction or termination of maintenance payments. Periodical payments shall be for the life of the creditor and shall be inflation-indexed annually in the procedure laid down by the Government.
12. After the death of the spouse obliged to pay maintenance, the obligation to pay maintenance is devolved on his or her successors to the extent of his or her estate irrespective of the way the estate is accepted.
13. Where the payee dies or remarries, the maintenance payment shall be terminated. On the payee’s death, the right to demand arrears of the maintenance payments shall pass to the payee’s successors. The dissolution of the new marriage shall create a right to apply for the renewal of maintenance payments provided the payee is bringing up a child by his or her former spouse or is caring for a disabled child by his or her former spouse. In all other cases the duty of the subsequent spouse to maintain the payee shall take precedence over that of the first former spouse.
CHAPTER V
SEPARATION
Article 3.73. Application for separation
1. One of the spouses may apply to the court for the approval of the separation if due to certain circumstances, which may not depend on the other spouse, their life together has become intolerable (impossible) or can seriously prejudice the interests of their minor children or the spouses are no longer interested in living together.
2. Both spouses may jointly apply to the court for the approval of their separation if they have made a contract concerning the consequences of their separation providing for the residence, maintenance and education of their minor children as well as for the adjustment of their property and mutual maintenance.
Article 3.74. Counter-applications
1. The defendant in a separation case shall have a right to lodge a counter-claim for divorce.
2. The defendant in a divorce case shall have a right to lodge a counter-claim for separation.
3. Where one of the spouses seeks a divorce while the other spouse applies for separation, the court may make a divorce order on the basis of the fault of one or both of the spouses or it may make a separation order.
Article 3.75. Separation procedure
1. The court shall examine applications for separation in the contentious procedure.
2. Having regard to the interests of the minor children of the spouses as well as to the interests of one of the spouses the court shall take measures to foster a reconciliation of the spouses (Article 3.54 hereof).
3. The court may order provisional protection measures referred to in Article 3.65 hereof.
Article 3.76. Matters to be resolved in making a separation judgement
1. When making a separation judgement, the court must designate the spouse with whom the children are to live, the maintenance of the children and the involvement of the separated father (mother) in the education of their children.
2. Having regard to important circumstances, the court may make an order for the residence of the children with other persons or in a guardianship or care institution.
3. In deciding which of the spouses should have a right to stay in their matrimonial dwelling, first consideration must be given to the spouse with whom the minor children are to live or to the spouse lacking capacity for work.
4. Where the spouses have made a contract as to the consequences of separation (paragraph 2 Article 3.73), the court shall approve the contract provided that it is consistent with public order, the rights and lawful interests of their minor children or one of the spouses. Having approved the contract, the court shall incorporate its content in the separation judgement.
5. If there is a serious change in the circumstances significant for the matters related to the separation of the spouses, either spouse may seek the reconsideration of the former judgement and a different resolution of matters referred to in paragraph 1 of this Article based on the change in the circumstances.
Article 3.77. Legal consequences of separation
1. When the court makes a separation judgement, it releases the spouses form the obligation to live together, but the other rights and duties of the spouses shall not be extinguished except in cases provided for herein.
2. Separation shall not produce any effects on the rights and duties of he spouses in respect of their minor children except in cases provided for herein.
3. When making a separation judgement, the court must always make a property adjustment order unless those matters are settled in the marriage contract of the spouses.
4. The legal consequences of separation for the property interests of the spouses shall be produced from the initiation of the separation suit. However, the spouse other than the one responsible, in the opinion of the court, for the separation may ask the court to make the legal consequences of separation retroactive to the date on which the spouses ceased to live together.
5. If one of the separated spouses dies, the survivor shall retain all the rights of a surviving spouse under the law, except where the surviving spouse has been declared by the court to be at fault for the separation. The same rule shall apply where the court makes a separation order on the basis of the joint application of the spouses unless the marriage contract of the spouses stipulates otherwise. The surviving spouse, however, shall lose the right of succession to the estate of the deceased spouse.
Article 3.78. Mutual maintenance of the spouses
1. When issuing a separation order, the court may order the spouse at fault for the separation to pay maintenance to the other spouse in need of it unless the maintenance matters are settled in the agreement of the spouses.
2. When making a maintenance order and determining the amount, the court must take into consideration the duration of the marriage, the need for maintenance, the financial position of both spouses, their state of health, age as well as their earning capacity, the unemployed spouse’s chances of finding employment and other important circumstances.
3. The court may rule that the spouse under the obligation to pay maintenance to other spouse must provide a security that the obligation will be fulfilled.
4. Maintenance may be ordered as a lump sum of a certain amount or periodical monthly payments or property transfer.
5. The maintenance order shall be the basis for the statutory pledge of the respondent’s assets. If a spouse defaults on his or her obligation to provide maintenance, his or her assets may be used to make payments in the procedure laid down by the law.
6. Where maintenance has been ordered in the form of periodical payments, a fundamental change in the circumstances referred to in paragraph 2 of this Article, either spouse may claim an increase, reduction or termination of the payments. Periodical payments shall be indexed annually in the procedure laid down by the Government.
Article 3.79. End of a separation
1. A separation shall end when the spouses start living together again and their life together proves their intention to live together permanently. A separation shall end when, on the joint application of the spouses, the court makes a judgement to end the separation, which revokes its former separation order.
2. On the resumption of their life together, the spouses shall remain separate as to property until they make a new marriage contract and set a new matrimonial regime.
3. The end of separation shall produce effects for third parties only if the spouses make a new marriage contract and register it in the procedure provided for in Article 3.103 hereof.
4. Where the spouses are separated for more than a year after the date when the court judgement became res judicata, either spouse may seek divorce on the basis provided for in point 1 paragraph 1 Article 3.55 hereof.
Article 3.80. Mandatory participation of the state institution for the protection of the child’s rights
Where the spouses have children of minor age, the state institution for the protection of the child’s rights must participate in the proceedings and present its conclusion on the possible violation of the children’s rights in taking decisions on separation matters.
PART III
RIGHTS AND DUTIES OF THE SPOUSES IN PROPERTY
CHAPTER VI
LEGAL REGIME OF PROPERTY OF SPOUSES
SECTION ONE
GENERAL PROVISIONS
Article 3.81. Kinds of legal regime of property of spouses
1. There shall be statutory and contractual legal regime of the property of spouses.
2. The statutory legal regime of the property of spouses shall be governed by Articles 3.87 to 3.100 hereof.
3. The contractual regime of the property of spouses shall be governed by Articles 3.101 to 3.108 hereof.
Article 3.82. Application of Statutory Legal Regime of Property
Where the spouses have not made a marriage contract, their property shall be subject to the statutory regime.
Article 3.83. The right of the spouses to fix their matrimonial regime in their marriage contract
1. When making a marriage contract, the spouses shall have a right to determine their matrimonial regime as they think fit.
2. Provisions of a marriage contract inconsistent with good morality or public order shall be null and void.
Article 3.84. Family assets
1. Any assets referred to in paragraph 2 of this Article owned by either spouse before or during the marriage shall be considered to be family assets. Family assets may be used only to meet the needs of the family.
2. The following assets owned by one or both spouses shall be family assets:
1) the family dwelling;
2) movables intended for the use in the household including furniture.
3. Family assets shall include the right to use the family dwelling.
4. Assets referred to in paragraphs 2 and 3 of this Article shall acquire the legal status of family assets on the date of the registration of marriage, but the spouses may use this fact in respect of third parties in good faith only if an immovable is registered in the public register as a family asset.
Article 3.85. Legal regime of family assets
1. Assets referred to in paragraph 2 Article 3.84 hereof, which are the personal property of one of the spouses, may be used, managed or disposed of only in accordance with this Article.
2. The spouse who is the owner of an immovable considered to be a family asset, may transfer ownership rights to it, charge it or encumber the rights to it in any other way only with the written consent of the other spouse. Where the spouses have children of minor age, transactions in respect of an immovable considered to be a family asset require a judicial authorisation.
3. Family assets may not be used against a creditor if the creditor knew or should have known that the transaction is not related to meeting the needs of the family and is contrary to the interests of the family.
4. The legal regime of family assets or the composition of the family assets may not be changed by an agreement of the spouses.
Article 3.86. End of the legal regime of family assets
1. The legal regime of family assets shall end on divorce, declaration of the nullity of marriage or separation of the spouses.
2. The court may award the right to use family assets or a certain part of them (usufruct) to the spouse with whom the minor children of the marriage will live. The usufruct shall be valid until the children attain majority.
3. Where the spouses rent a family dwelling, the court may transfer the lessee rights to the spouse with whom the children will live or the spouse who lacks earning capacity.
4. The court may award the chattels intended for the use in the household to the spouse who stays in the family dwelling together with the minor children.
SECTION TWO
STATUTORY LEGAL REGIME OF PROPERTY OF SPOUSES
Article 3.87. Definition of the fundamentals of the legal regime of property
1. Under the legal regime the property acquired by the spouses after the commencement of their marriage shall be their joint community property.
2. The property of spouses constitutes their joint community property until their separation as to property or until the extinguishment of the joint community property rights in some other way.
Article 3.88. Joint community property
1. Joint community property shall be:
1) property acquired after the formation of marriage in the name of one or both of the spouses;
2) the income and fruits collected from the individual property of a spouse;
3) income derived from the joint activities of the spouses, and income derived from the activities of one of the spouses except for the funds required for that spouse’s occupation;
4) an enterprise and the income derived from the operations of the enterprise or any other business provided that the spouses took up such business activities after the commencement of the marriage. Where the enterprise was owned by one of the spouses before the marriage, the joint community property shall include the income derived from the operations of the enterprise or any other business and the increase of the enterprise (business) after the formation of the marriage;
5) income from the work or intellectual activities, dividends, pensions, benefits or other payments collected by both spouses or one of them after the commencement of the marriage except for payments received for specific purposes (such as damages for moral or corporal injury, support, allowance or other benefits paid specifically to only one of the spouses, etc.).
2. All property shall be presumed to be joint community property unless it is established that it is the individual property of one of them.
3. Both spouses must be registered as the owners of the joint community property in the public register. Where the property is registered in the name of one of the spouses, it shall be considered to be joint community property provided it is registered as joint community property.
4. On divorce, a spouse shall have the right to claim one half of the funds accumulated in a private pension fund from the joint financial sources of the spouses.
Article 3.89. Individual property of the spouses
1. The individual property of each spouse shall consist of:
1) property acquired separately by each spouse before the commencement of the marriage;
2) property devolved to a spouse by succession or gift during the marriage unless the will or donation agreement indicates that the property is devolved as joint community property;
3) a spouse’s personas effects (footwear, clothing, instruments required for the spouse’s occupation);
4) the rights to intellectual or industrial property except for the income derived from those rights;
5) funds and chattels required for the personal business of one of the spouses other than the funds and chattels used in the business conducted jointly by both spouses;
6) damages and compensation payments received by one of the spouses for non-pecuniary damage or personal injury, payments as financial aid for specific purposes and other benefits related specifically to only one of the spouses, rights that may not be transferred;
7) property acquired with the separate funds or proceeds from the sale of a separate property with the express intention of the spouse at the time of the acquisition to acquire it as a separate property.
2. The fact of property being a separate individual property of one of the spouses may be proved only by written documents (evidence) except in cases where the law allows to accept the testimony of witnesses or the nature of the property is sufficient proof of it being a separate property of one of the spouses.
3. Individual property that one of the spouses transfers to the temporary possession of the other spouse to meet the latter’s personal needs shall remain a separate property of the transferor.
Article 3.90. Declaration of individual property to be joint community property
1. The court may declare an individual property of one of the spouses to be joint community property if it is established that during the marriage the property was fundamentally improved with the joint funds of the spouses or with the funds of or due to the work of the other spouse (capital investments, reconstruction, etc.).
2. Where a spouse used both his or her separate funds and the funds owned jointly with the other spouse to acquire a property for his or her own personal needs, the court may declare the property so acquired to be joint community property provided the value of the joint community funds used to acquire such property exceeded the value of the separate funds of the spouse so expended.
Article 3.91. Enterprise (farm, business)
Property required for the operation of an enterprise (farm, business) established by one of the spouses after the formation of the marriage as well as the income of the enterprise (farm, business) established by one of the spouses before the formation of the marriage other than the funds required for the operation of the spouse’s personal enterprise (farm, business) shall be joint community property provided that property exists at the moment of divorce.
Article 3.92. Management, use and disposal of joint community property
1. Joint community property shall be used, managed and disposed of by the mutual agreement of the spouses.
2. The consent of the other spouse shall not be required for:
1) the acceptance or rejection of succession to estate;
2) the refusal to enter a contract;
3) urgent measures to protect the community property;
4) bringing an action to protect the joint community property;
5) bringing an action to protect one’s rights related to community property or one’s personal rights unrelated to the interests of the family.
3. When making transactions a spouse shall be presumed to have the consent of the other spouse except in cases where entering into a transaction requires the written consent of the other spouse. In exceptional cases where delay would cause serious damage to the interests of the family while the other spouse is unable to express his or her will because of illness or some other objective reasons, a spouse may enter into a transaction without the consent of the other spouse in accordance with the procedure laid down in Paragraph 2 Article 3.32 hereof.
4. Transactions related to the disposal or encumbrance of a jointly co-owned immovable or the rights to it, also transactions on the alienation of a jointly co-owned enterprise or securities or the encumbrance of the rights to them may be made only by both spouses except where one of the spouses has been given the power of attorney by the other spouse to enter into such a transaction.
5. Each spouse shall have a right to open a bank account in his or her name without the consent of the other spouse and to dispose freely of the funds on the account unless those funds have been made joint community property.
6. Where a transaction has been made without the consent of the other spouse, that other spouse may ratify the transaction within a month of the date when he or she learnt about the transaction. Before its ratification the other party may withdraw from the transaction. If the other spouse does not ratify the transaction within a month, the transaction shall be declared as having been made without the consent of the other spouse. If the other party to the transaction knew that the person with whom it was entering into the transaction was married, it can withdraw from the transaction only if the spouse misrepresented the existence of the other spouse’s consent.
Article 3.93. Consent to enter into a transaction
1. Where a spouse does not give the other spouse consent required to enter into a transaction, the interested spouse may seek leave to enter into the transaction in court.
2. The court shall award leave to enter into a transaction only if the interested spouse can prove that the transaction is necessary to meet the needs of the family or the needs of their jointly co-owned business.
Article 3.94. Power of attorney to manage property
1. A spouse may give a power of attorney to the other spouse to manage, use and dispose of their joint community property.
2. Where one of the spouses is away or cannot participate in the management of the community property for important reasons, the other spouse may apply to the court to be authorised to manage such property alone.
3. If the spouse is negligent or unreasonable in managing joint community property alone, he or she shall be liable for the losses sustained through his or her fault and shall compensate for them against his or her separate property.
4. Management of property shall be governed mutatis mutandis by the rules of Book Four hereof regulating the management of property owned by another person.
Article 3.95. Challenging the competence of managing joint community property
1. Where a spouse is unable to manage community property or does that in a way that incurs losses, the other spouse may apply to have the court remove the spouse from managing the property. The court shall grant the requested removal if the applicant can prove that it is necessary to ensure the needs of the family or those of their joint business.
2. Once the grounds for removal disappear, the removed spouse may request the court to allow him or her to manage the community property again.
Article 3.96. Avoidance of transactions
1. Transactions made without the consent of the other spouse and not ratified by him or her later, may be avoided in an action brought by that spouse within a year of the date when he or she learnt about the transaction provided it is proved that the other party to the transaction was in good faith.
2. Transactions that should have been made with a written consent of the other spouse or could only have been made jointly by both the spouses (Paragraph 4 Article 3.92 hereof) may be declared void irrespective of the other party to the transaction being in good or bad faith except in cases where one or both of the spouses used fraud in making the transaction or made misrepresentations to institutions in charge of public registers or to any other institutions or officials. In such cases the transaction may be declared void only if the other party to the transaction was in bad faith.
Article 3.97. Management of the individual property of a spouse
1. A spouse shall use, manage or dispose of his or her individual property at his or her own discretion. Management, use or disposal of property defined herein as family assets shall be subject to the restrictions laid down in this Book.
2. Where a spouse manages his or her individual property in such a negligent or unreasonable way that it endangers the interests of the family because the property may be lost or substantially reduced, the other spouse shall have a right to seek in court the appointment of an administrator for the management of such property. The court may appoint the applicant to be the administrator.
3. After the circumstances which caused the appointment of an administrator disappear, either spouse may apply to the court to have the appointment of an administrator revoked.
4. A spouse may grant a power of attorney to the other spouse to manage his or her individual property. In such a case the mutual relations of the spouses in property shall be governed by the rules of Book Two hereof on the regulation of legal agency relations.
5. Where a spouse cannot manage alone his or her individual property and contribute to the needs of the household due an illness or any other objective reason, the other spouse shall have a right to use the individual funds and assets of the spouse incapable of managing alone his or her property for the needs of the household. The rule shall not be applied in cases where the spouses are separated or an administrator has been appointed for the individual property of the spouse unable to manage it alone and make a contribution towards meeting the needs of the household.
Article 3.98. Right to compensation
1. Where the value of the joint community property is increased by adding the individual property of one of the spouses, the spouse the addition of whose property has increased the value of the joint community property shall be entitled to compensation against the community property.
2. A spouse shall be entitled to compensation also in cases when his or her individual funds have been used for the acquisition of joint community property.
3. Each of the spouses must compensate for the reduction of the joint community property if he or she has used it for purposes unrelated to the duties referred to in Article 3.109 hereof, except in cases where he or she can prove that the property has been used to satisfy the needs of the family.
4. The compensations referred to in this Article shall be paid when the spouse’s joint co-ownership ends.
Article 3.99. Gifts of the spouses
1. Spouses shall have a right to make gifts of assets to each other in accordance with the rules of Book Six hereof, regulating gift agreements.
2. An agreement on a gift of an immovable shall give rise to legal consequences for the creditors of the donor only if the agreement has been recorded in a public register.
3. The beneficiary spouse shall be liable to the creditors of the donor for the obligations of the donor that existed at the time the gift agreement was made to the extent of the value of the gift. Where the gift is lost through no fault of the beneficiary, his or her liability for the obligations of the donor shall be extinguished.
Article 3.100. Grounds for termination of joint co-ownership of the spouses
Joint co-ownership rights of the spouses shall end on:
1) the death of one of the spouses;
2) presumption of the death of one of the spouses or the judicial declaration of one of the spouses as missing;
3) the declaration of the nullity of the marriage;
4) divorce;
5) separation;
6) the judicial partitioning of the community property;
7) the change of the legal regime of property in accordance with the mutual agreement of the spouses;
8) in other cases laid down by the law.
SECTION THREE
CONTRACTUAL LEGAL REGIME OF PROPERTY OF SPOUSES
Article 3.101. Marriage contract
A marriage contract shall mean an agreement of the spouses defining their property rights and duties during the marriage as well as on divorce or separation.
Article 3.102. Making a marriage contract
1. A marriage contract may be made before the registration of the marriage (pre-nuptial contract) or at any time after the registration of the marriage (post-nuptial contract).
2. A marriage contract made before the registration of the marriage shall come into effect on the day of the registration of the marriage. A post-nuptial contract shall come into force on the date on which it is made unless the agreement stipulates otherwise.
3. A minor may enter into a marriage settlement only after the registration of the marriage.
4. A spouse declared by the court as having limited active capacity may enter into a marriage contract only with a written consent of his or her custodian. If the custodian refuses to give consent, the spouse may apply to the court for leave to enter into a marriage contract.
Article 3.103. The form of a marriage contract
1. A marriage contract must be entered into before the notary public. .
2. A marriage contract as well as its subsequent amendments must be registered in the register of marriage contracts maintained by mortgage institutions in the procedure laid down by the rules of the register. A marriage contract may be amendment only with leave of the court. In no case may the amendments of a marriage contract be retroactive.
3. A marriage contract and its amendments may be used against third parties provided the settlement and its amendments have been registered in the register of marriage contracts. This rule shall not apply if at the time of the transaction the third parties knew of the marriage contract and its amendments.
Article 3.104. Content of a marriage contract
1. Spouses shall have a right to stipulate in the marriage contract that:
1) property acquired both before and during the marriage shall be the individual property of each spouse;
2) individual property acquired by a spouse before the marriage shall become joint community property after the registration of the marriage;
3) property acquired during the marriage shall be joint community property.
2. In their marriage contract the spouses may stipulate that one of the matrimonial legal regimes referred to in Paragraph 1 of his Article shall be applied to their entire property or only to its certain part or to specified chattels.
3. In their marriage contract the spouses may define a matrimonial legal regime both in respect of their existing and future property.
4. A marriage contract may contain the stipulation of rights and duties related to the management of property, mutual maintenance, participation in the provision for family needs and expenses as well as the procedure for partitioning property on divorce and other matters related to the spouse’s mutual relations in property.
5. The rights and duties of the spouses provided for in their marriage contract may be limited in time, or the emergence or termination of rights and duties may be related to the fulfilment or omission of a certain condition stipulated in the marriage contract.
Article 3.105. Nullity of conditions in a marriage contract
Conditions stipulated in a marriage contract shall be null and void if they:
1) contradict the mandatory legislative rules, good morality and public order;
2) change the legal regime in respect of the individual property of one of the spouses or in respect of their joint community property (Articles 3.88 and 3.89) where the matrimonial legal regime the spouses have chosen provides for joint community property;
3) prejudice the principle of equal parts in joint community property enshrined in Article 3.117 hereof;
4) restrict the passive or active legal capacity of the spouses;
5) regulate the personal relations of the spouses unrelated to property;
6) establish or change the personal rights and duties of the spouses towards their children;
7) limit or annul the right of one (or both) of the spouses to maintenance;
8) limit or annul the right of one (or both) of the spouses to bring legal proceedings in court;
9) change the procedure and conditions of succession in property.
Article 3.106. Amendments and termination of a marriage contract
1. A marriage contract may be amended or terminated by the mutual agreement of the spouses at any time in the same form as that laid down for its formation.
2. An amendment to a marriage contract or its termination may be used against third parties provided the amendment or termination of the marriage contract has been registered in the register of marriage contracts settlements. This rule shall not be applied if at the time of the transaction the third parties knew of the amendment or termination of the marriage contract.
3. At the request of one of the spouses a marriage contract may be amended or terminated by the judgement of the court on the grounds provided for in Book Six hereof for the amendment or termination of a marriage contract.
4. The creditors of one or both of the spouses whose rights have been prejudiced by the amendment or termination of the marriage contract may, within a year of becoming aware of the amendment or termination, challenge in court such an amendment or termination and require the restoration of their rights.
Article 3.107. Termination of a marriage contract
A marriage contract shall terminate on divorce or on separation except in respect of the duties which under the agreement remain in force on divorce or separation. The termination of a marriage contract shall be registered in the register of marriage contracts.
Article 3.108. Nullity of a marriage contract
1. In addition to the grounds provided for in Article 3.105 hereof, a marriage contract may be declared null and void, wholly or in part, on the grounds for the nullity of transactions provided for in Book One hereof.
2. The court may declare a marriage contract null and void at the request of one of the spouses if the agreement is in serious breach of the principle of equality or is especially unfavourable for one of the spouses.
3. The creditors of one or both of the spouses shall have a right to demand that the agreement be declared null and void because it is fictitious.
CHAPTER VII
CIVIL LIABILITY OF SPOUSES FOR OBLIGATIONS IN PROPERTY
Article 3.109. Obligations discharged from community property
1. The following obligations shall be discharged from the community property of spouses:
1) obligations related to the encumbrances of property acquired in co-ownership that existed at the time of acquisition or were created later;
2) obligations related to the costs of managing community property;
3) obligations related to the maintenance of the household;
4) obligations related to legal expenses where the action is related to community property or the interests of the family;
5) obligations arising from transactions made by one of the spouses with the consent of the other spouse or ratified by the latter subsequently as well as obligations arising from transactions for which no consent of the other spouse was required provided that the transactions were made in the interests of the family;
6) joint and several obligations of the spouses.
2. Either spouse shall have a right to enter into transactions necessary to maintain the family and to secure the upbringing and education of the children. Both spouses shall be jointly and severally liable for the obligations arising from such transactions whatever their matrimonial regime may be except in cases where the price of the transactions is clearly too high and unreasonable.
3. Joint and several liability of the spouses shall not be created where one of the spouses takes a loan or acquires goods under credit purchase, which is not necessary for the needs of the family, without the consent of the other spouse.
4. In creating and discharging obligations related to the needs of the family the spouses shall be as prudent and careful as in creating and discharging their own personal obligations.
Article 3.110. Liability of spouses for obligations created before the registration of marriage
1. Community property may not be used to discharge the obligations of spouses created before the registration of marriage except those charged against the relevant spouse’s share in community property.
2. The claims of the spouses’ common creditors to be discharged from community property shall take precedence over the claims of the separate creditors of each spouse. This rule shall not apply to mortgage creditors.
Article 3.111. Obligations arising from gift agreements or succession
Where one of the spouses receives a gift or comes into inheritance, the obligations arising therefrom may not be paid from community property unless the gift or the inheritance has been received as community property.
Article 3.112. Liability for the obligations of one of the spouses
1. Claims arising from the transactions made after the registration of marriage by one of the spouses without the consent of the other spouse may be discharged from community property if the individual property of the spouse is not sufficient to meet the claims of the creditors.
2. Legal expenses shall be discharged from the individual property of a spouse if the lawsuit is not related to community property or the interests of the family.
Article 3.113. Enforcement against the individual property of spouses
Where the community property is not sufficient to meet the joint and several claims of creditors, the claims shall be discharged met from the individual property of the spouses.
Article 3.114. Separation of the liability of spouses
1. If the marriage contract stipulates that property acquired both before and during marriage is to be treated as the individual property of one and the other spouse, the spouses shall be liable for their obligations only by their individual properties. In such cases the spouses shall be jointly and severally liable for their joint obligations and the obligations in the interests of the family.
2. Spouses shall not be held to be each other’s guarantors or surety in obligations arising in the management or disposal of property that is an individual property of one and the other spouse.
Article 3.115. Entitlement to compensation
1. The spouse whose fines for breaches of law or damages incurred through his or her actions have been paid from the joint community property shall be obliged to compensate for the reduction of the joint community property.
2. If a transaction was made to meet the personal needs of only one of the spouses by using joint community property, that spouse shall be obliged to compensate for the reduction of the joint community property.
CHAPTER VIII
DIVISION OF JOINT COMMUNITY PROPERTY
Article 3.116. Ways of division
1. On the application of one of the spouses or their creditors, joint community property may be divided by the mutual agreement of the spouses or by a court judgement during marriage and on divorce or separation.
2. The rules of this Chapter shall be applicable where the spouses have not made a marriage contract.
Article 3.117. Shares of the spouses in joint community property
1. The shares of the spouses in joint community property shall be presumed to be equal.
2. Departure from the principle of the equality of the shares of the spouses in joint community property shall be permitted only in cases provided for herein.
3. Where the value of the property awarded by the court to one of the spouses is greater than his or her share in the joint community property, that spouse shall be obliged to pay a compensation to the other spouse. Upon the presentation of an adequate security for this liability, the court may defer the payment of the compensation for no longer than two years.
4. On the death of one of the spouses, his or her share in the joint community property shall be inherited according to the rules of Book Five hereof.
Article 3.118. Balance of property
1. Before partitioning the joint community property of the spouses, first the community property and the respective individual property of the spouses shall be established.
2. The community property shall first be used to pay (award) the debts that have fallen due and are payable from this property. Where the time limit for meeting the liabilities from the community property has not expired or the liabilities are disputed, the value of the community property to be partitioned shall be reduced by the amount of these liabilities (debts).
3. After establishing the individual property of the spouses and deducing their personal debts from it, a balance sheet of compensations shall be drawn up indicating the amounts one or the other spouse must pay by way of compensating for the community property or receive from the community property.
4. Where the balance of community property is positive it is divided equally between the spouses, except in cases provided for herein.
Article 3.119. Assessment of the value of property
The value of the community property to be partitioned shall be established at its market value on the date of the termination of the joint community property of the spouses.
Article 3.120. Property not to be partitioned
1. Property to be partitioned shall not include chattels intended for the needs of the minor children of the marriage or the spouses’ clothing, personal effects, personal property interests and non-property rights related only to that particular spouse.
2. Property intended to meet the needs of the minor children referred to in Paragraph 1 shall go, without deducing any compensations, to the spouse with whom the minor children are to live, while the remaining part of the property of personal nature goes to one and the other spouse.
Article 3.121. Attribution of individual property to joint community property
1. By the mutual consent of the spouses, property defined as the individual property of the spouses in the marriage contract may be attributed to the joint community property subject to partitioning.
2. Arrangements referred to in Paragraph 1 shall be prohibited if they can cause damage to the creditors of the spouse. Where due to such arrangements the claims of the creditor cannot be fully covered from the individual property of a spouse, the debt shall be charged against the spouse’s share in the community property.
Article 3.122. Security for the claims to a share in the community property
At the request of one of the spouses or a spouse’s creditors, the court may seize the joint community property of the spouses or to appoint an administrator for the property if that is necessary to protect the interests of the spouses in the community property or the rights of their creditors. These measures shall not be applicable where the other spouse submits an adequate security for the claims of the spouse requesting the seizure of the property or the appointment of an administrator or for the claims of the creditors.
Article 3.123. Departure from the principle of the equality of the shares of the spouses in the community property
1. Having regard to the interests of the minor children, the health state or the financial position of one of the spouses or other important circumstances, the court may depart from the principle of the equality of the spouse’s shares in the community property and award one of the spouses a greater portion of the property. These criteria must also be taken into consideration by the court in deciding on the way of partitioning community property.
2. The share of the spouse obliged to make maintenance payments to the other spouse may be reduced by the amount of the maintenance if it is to be paid by a lump sum or certain property given in payment.
3. Where, less than a year before the institution of the action for the partitioning of the property, one of the spouses reduced the value of the community property without the consent of the other spouse by donating some of it or by using it to increase his or her own individual property, the portion of this spouse in the community property may be reduced while establishing the respective portions of the spouses in the community property by the value of the lost community property.
4. The share of one of the spouses in the community property may also be reduced by the amount of income unrealised due to the spouse’s negligence or because he or she concealed the income from the family and used it for his or her personal needs. The period for which such unrealised income is calculated should not exceed five years before the institution of the lawsuit for the division of property.
Article 3.124. Division of property by the court judgement without divorce
Where one of the spouses has been declared incapable or of limited active capacity or where one of the spouses manages community property in a loss-making way or by his or her actions jeopardises the joint community property of the spouses or the interests of the family or without any justified reason fails to contribute to the needs of the family, the other spouse shall have a right to bring an action seeking a division of the property.
Article 3.125. Registration of division of property
The agreement of the parties or the judgement of the court under which the joint community property of the spouses is divided must be registered with the mortgage office that has registered the marriage contract or the division of property by making a relevant entry in the register of marriage contracts.
Article 3.126. Guarantees of the rights of the creditors
1. The creditors of one or both of the spouses shall have a right to participate as third parties in the lawsuit for the division of joint community property and present their own individual claims.
2. In his or her application the spouse who institutes proceedings for the division of property must indicate the creditors of one or both of the spouses he or she is aware of and notify the creditors of the institution of proceedings by sending them a copy of the application.
Article 3.127. Property to be divided
1. The court shall divide the property the spouses acquired as joint community property before the institution of the proceedings or before the day the court hands down its judgement.
2. On the application of one of the spouses the court may decide to divide only the property acquired before the separation of the spouses.
3. If possible, the property is divided in kind having regard to its value and the share of each spouse in the community property. If the property cannot be divided in kind, it is awarded in kind to one of the spouses, who is ordered to compensate for the other spouse’s share in money. The decision on the way the property is to be divided and the actual division of property in kind is taken having regard to the interests of the minor children, the state of health and the financial situation of one of the spouses as well as to other important circumstances.
Article 3.128. Mutual obligations of spouses after the division of property without divorce
1. The spouse on whose application the property has been divided must, to the extent of his or her possibilities, contribute to the maintenance of the household and the upbringing and education of the children.
2. Where for objective reasons the other spouse cannot contribute to the maintenance of the household or the upbringing and education of the children, all such expenses must be covered by the spouse on whose application the property has been divided.
3. When dividing the property, the court may award an amount of money from one spouse to the other to be used for the repayment of the outstanding debts of the marriage to the third parties.
Article 3.129. Limitations
Claims for the division of joint community property, except for immovables, may be made within five years of the date of the separation of the spouses.
PART IV
MUTUAL RIGHTS AND DUTIES OF CHILDREN AND PARENTS
CHAPTER IX
CONSANGUINITY AND AFFINITY
Article 3.130. Concept of consanguinity
1. Consanguinity is relationship by blood of persons descended from the same stock or common ancestor.
2. Consanguinity shall give rise to legal consequences only in cases provided for by the law.
3. Relationship between adopted children (and their descendants) and their adoptive parents (and their kindred) shall be treated as consanguinity.
Article 3.131. Lines of consanguinity
Two lines of consanguinity – direct and collateral consanguinity – shall be distinguished.
Article 3.132. Direct consanguinity
1. Direct consanguinity is that which subsists between the ancestor and the descendants in the direct line from one of the other (great-grandparents, grandparents, parents, children, grandchildren, great-grandchildren, etc.)
2. Consanguinity upward from the descendant to the ancestor is the direct ascending line (grandchildren, children, parents, grandparents, etc.)
3. Consanguinity downward from the ancestor to the descendant is the direct descending line (grandparents, parents, children, grandchildren, etc.)
Article 3.133. Collateral consanguinity
Collateral consanguinity is that which subsists between persons who have the same ancestors, but who do not descend one from the other (siblings, cousins, uncles or aunts, nephews and nieces, etc.)
Article 3.134. Degree of consanguinity
1. A degree of relationship is measured by the number of related births other than the birth of the ancestor (ancestors).
2. Only the degrees of relationship laid down by the law shall give rise to legal consequences.
Article 3.135. Close relatives
Close relatives shall embrace persons related by direct consanguinity up to the second degree of consanguinity inclusively (parents and children, grandparents and grandchildren) and persons related in the second degree of kinship by collateral consanguinity (siblings).
Article 3.136. Affinity
1. Affinity is the connection, in consequence of a marriage, between one of the spouses and the kindred of the other spouse (stepson, stepdaughter, stepfather, stepmother, father-in-law, mother-in-law, daughter-in-law, etc.) as well as between the kindred of both spouses (the husband’s brother or sister and the wife’s brother or sister, the husband’s father and mother and the wife’s father or mother, etc.)
2. Affinity shall give rise to legal consequences only in cases provided for by the law.
CHAPTER X
FILIATION
SECTION ONE
GENERAL BASIS FOR FILIATION
Article 3.137. Legitimate filiation of a Child
1. Legitimate filiation of a child shall be confirmed in the procedure laid down in Articles 3.138 to 3.140 hereof.
2. The mutual rights and duties of the child and his or her parents shall be based on the legitimate filiation of the child.
3. A child’s legitimate filiation from the parents shall be confirmed from the date of birth and shall create the respective rights and duties laid down by the law from that date.
Article 3.138. Proof of legitimate filiation
The parents of a child shall be proved by the record of birth in the Registrar’s Office and by the certificate of birth issued on the basis thereof.
Article 3.139. Maternal affiliation
1. A woman shall be entered as a child’s mother in the records of a Registrar’s Office on the basis of the certificate of the child’s birth issued by a hospital.
2. Where the child is born not in a hospital, the certificate of the child’s birth shall be issued by a medical centre that makes a postnatal examination of the mother’s and the baby’s health.
3. If the child is born not in a hospital and no postnatal examination of the mother’s and the baby’s health is made, the certificate of the child’s birth shall be issued by a consulting commission of doctors in the procedure laid down by the Government. According to such a certificate the mother of the baby is the woman in respect of whom the consulting commission of doctors have no doubt that it was she who gave birth to the baby.
4. If the record of the child’s birth contains no data on the child’s mother or if the maternity of the child has been successfully contested, the child’s mother may be established by the court in an action filed by the woman who considers herself to be the child’s mother, by the adult child, by the child’s father or guardian (curator) or by the state institution for the protection of the child’s rights.
Article 3.140. Paternal affiliation
1. Where a married woman gives birth to a baby, although the baby may have been conceived before the marriage, the man identified as the spouse of the baby’s mother in the marriage record or the marriage certificate issued on the basis thereof shall be identified as the baby’s father in the record of the baby’s birth.
2. Where a child is born within three hundred days of the date of separation or the annulment of the marriage or divorce or the death of the husband, the ex-spouse of the mother shall be recognised as the child’s father.
3. Where a mother who contracted a new marriage within less than three hundred days of the dissolution of her previous marriage gives birth to a baby, the new spouse of the mother shall be considered to be the baby’s father.
4. Where an unmarried woman gives birth to a baby after more than three hundred days have elapsed from the dissolution of her previous marriage, the man who has acknowledged his paternity in the procedure established in this Book or whose paternity has been established by a judicial judgement may be identified as the baby’s father in the record of the baby’s birth.
5. Where a divorced mother gives birth to a baby within less than three hundred days of the divorce, the baby’s mother, her ex-husband and the man who acknowledges his paternity of the child shall have a right to file a joint application seeking that the man who acknowledges his paternity of the child be identified as the baby’s father. After the court approves such a joint application, the man who acknowledges his paternity of the child rather than the ex-husband of the baby’s mother shall be entered in the record as the baby’s father.
SECTION TWO
ACKNOWLEDGEMENT OF PATERNITY
Article 3.141. Conditions for the acknowledgement of paternity
1. Where the record of the baby’s birth contains no data on the baby’s father, the paternity of the baby may be determined on the basis of the application of the man who considers himself father of the baby.
2. Where a baby is born to a married mother or the baby is born within less than three hundred days of the dissolution of the marriage, the paternity of the baby may be determined on the basis of an application provided the paternity of the present or former spouse of the mother has been successfully contested.
3. If the adjudication of paternity on the basis of an application acknowledging paternity has been contested, determination of paternity on another application acknowledging paternity is inadmissible.
4. There shall be no period of limitation applicable to acknowledgement of paternity.
Article 3.142. Procedure for acknowledging paternity
1. The man considering himself the father of a child shall have a right to file an application of a standard form certified by a notary public with the Registrar’s Office seeking to be recognised as the father of the child.
2. Where the child has attained the age of 10, the Registrar’s Office may accept an application for the recognition of the child’s paternity only with a written consent of the child.
3. Where the man acknowledging his paternity of a child is a minor, the filing of an application for the recognition of paternity with the Registrar’s Office requires the written consent of the minor’s parents, guardians or curators or care institutions. If the parents, guardians or curators or care institutions refuse to give their consent, such a leave may be handed down by the court at the minor’s request.
Article 3.143. Acknowledging paternity before the child’s birth
1. If there are circumstances that will bar the filing of an application acknowledging the paternity of a child after the birth of the baby, the man considering himself the father of the child conceived but not yet born may file a joint application with the child’s mother for the recognition of his paternity for the period of pregnancy with the Registrar’s Office of the district where the child’s mother resides.
2. The application acknowledging the paternity of a child before the child’s birth shall be accompanied with the certificate of pregnancy issued by a medical centre.
3. Where before the child’s birth the child’s mother marries the man who has filed an application acknowledging his paternity of the child, or another man, the paternity of the child may not be confirmed after the birth of the child on the basis of that application.
4. Where the child’s mother or the man who has filed an application acknowledging the paternity of the child before the birth of the child withdraws the application before the birth of the child has been recorded with the Registrar’s Office, the child’s paternity on the basis of that application shall not be registered.
Article 3.144. Acknowledging paternity without the consent of the child’s mother
1. Where the child’s mother is dead, incompetent or cannot, for other reasons, file a joint application with the child’s father for the recognition of his paternity, or the parents or guardian (curator) of the man who considers himself the father of the child, but who is a minor or of limited legal competence, refuse to recognise his paternity or the child of 10 or over does not give his or her written consent, the application acknowledging paternity may be considered a valid basis for the registration of paternity if the court approves the application.
2. In examining an application acknowledging paternity where the child’s mother is dead, incompetent or cannot, for other reasons, file a joint application with the man acknowledging to be the child’s father, the court must require that the child’s father adduce evidence corroborating his paternity of the child.
3. The application acknowledging the paternity of a child may not be registered without the consent of the child who is of full age.
Article 3.145. Examination of the application for the approval of the acknowledgement of paternity
1. The court shall examine applications for the approval of the acknowledgement of paternity in a simplified procedure.
2. The res judicata judgement on the approval of the application acknowledging a child’s paternity shall be sent to the Registrar’s Office that has registered the birth of the child within three business days.
3. Where the application for the approval of the acknowledgement of a child’s paternity is contested by the parents or guardians (curators) of the minor or the person of limited legal capacity who considers himself the father of the child, the application shall be submitted to the court to be examined by contentious proceedings
SECTION THREE
PATERNITY AFFILIATION
Article 3.146. Conditions for paternity affiliation
1. Where the child is born out of wedlock, and in the absence of paternal acknowledgement, paternity affiliation may be determined by the court.
2. Where a child is born to a married woman or the child’s paternity has been ascertained on the basis of an application acknowledging the child’s paternity, paternity affiliation is possible only after a successful contesting of the data concerning the child’s father contained in the record of the child’s birth.
3. The paternity of a dead person may be ascertained only if the person had offspring.
Article 3.147. Persons entitled to petition for Paternity Affiliation
1. Where a child is born out of wedlock or the data on the father contained in the record of the child’s birth have been successfully contested, an action for the paternity affiliation may be filed by the man considering himself the father of the child. The child and the child’s mother shall act as defendants in such an action.
2. If a child’s father refuses to acknowledge his paternity by an application for the approval of his acknowledgement of the child’s paternity or if a child’s father is dead, the action for paternity affiliation may be filed by the child’s mother or the child after having attained full active capacity or the child’s guardian or curator or the state institution for the protection of the child’s rights or the descendants of a child who is dead.
3. Having determined a child’s paternity, the court shall send its res judicata judgement to the Registrar’s Office that has registered the child’s birth within three business days.
Article 3.148. Grounds for paternity affiliation
1. Grounds for paternity affiliation shall be scientific evidence (conclusions of expert examinations on consanguinity determination) and other means of proof provided for in the Code of Civil Procedure. If the parties refuse to undergo expert examination, the child’s paternity may be adjudicated on the basis of facts that have a sufficient evidential value, such as the child’s mother’s and the putative father’s life together, their joint participation in the upbringing and maintenance of the child and other evidence.
2. If the defendant refuses expert examination, the court having regard to the circumstances of the case may treat such a refusal as proof of the defendant’s paternity of the child.
SECTION FOUR
CONTESTING PATERNITY (MATERNITY)
Article 3.149. Conditions for contesting paternity (maternity)
1. Data on the mother or father of a child contained in the record of the child’s birth may be contested only in court.
2. Data on the mother or father of a child entered in the record of the child’s birth on the basis of a res judicata judicial decision may not be contested.
Article 3.150. Grounds for contesting paternity (maternity)
1. The paternity of a child born to a married couple or within three hundred days of the dissolution of marriage may be contested only by proving that the person cannot be the father of the child.
2. The maternity or paternity of a child adjudicated on the basis of an application acknowledging parentage may be contested by proving that the child’s mother or father not the biological parent of the child.
Article 3.151. Persons entitled to file an action for contesting paternity (maternity)
1. Actions for contesting paternity or maternity may be filed by the person entered in the record of the child’s birth as the child’s mother or father, or the person who, although not recorded as the child’s mother or father in the record of the child’s birth, considers himself the mother or the father of the child, or the parents or guardians (curators) of the minor entered in the record of the child’s birth as the child’s father, or the child on attaining majority, or a minor on attaining full active capacity.
2. Where the child’s mother or father is legally incapable or of limited active capacity, an action for contesting maternity or paternity may be filed by his or her guardians or curators.
3. An action for contesting the paternity of a man who is dead may be filed by his descendants if the person recorded as the child’s father died within the limitation period provided for in Article 3.152 hereof.
Article 3.152. Limitation period for proceedings
1. The limitation period for filing a suit for contesting paternity (maternity) shall be one year as from the day when the plaintiff became aware of the disputed data in the record of the child’s birth or of certain circumstances giving reason to believe that the data are not truthful.
2. Where the persons recorded in the record of the child’s birth as a child’s mother or father became aware of such a record at the time when they were minors or legally incapable, the one-year limit shall be calculated from the day they attained majority or full active capacity..
3. The res judicata court judgement on the annulment of paternity (maternity) shall be sent to the Registrar’s Office that registered the child’s birth within three business days of its effective date.
Article 3.153. Mandatory participation of the agency for the protection of the child’s rights
In adjudicating paternity or disputes over paternity the participation of the agency for the protection of the child’s rights shall be mandatory.
SECTION FIVE
ARTIFICIAL INSEMINATION
Article 3.154. Legal regulation of artificial insemination
The conditions, mode, procedures of artificial insemination as well as matters related to the paternity (maternity) of a child born from artificial insemination shall be regulated by other laws.
CHAPTER XI
PARENTAL RIGHTS AND DUTIES IN RESPECT OF THEIR CHILDREN
SECTION ONE
PARENTAL AUTHORITY
Article 3.155. Substance of paternal authority
1. Until they attain majority or emancipation, children shall be cared for by their parents.
2. Parents shall have a right and a duty to properly educate and bring up their children, care for their health and, having regard to their physical and mental state, to create favourable conditions for their full and harmonious development so that the child should be ready for an independent life in society.
Article 3.156. Equality of paternal authority
1. The father and the mother shall have equal rights and duties in respect of their children.
2. Parents shall have equal rights and duties by their children irrespective of whether the child was born to a married or unmarried couple, after divorce or judicial nullity of the marriage or separation.
Article 3.157. Representation of children
1. Legally incapable children shall be represented by their parents under the law, except where the parents have been declared legally incapable by a court judgement.
2. Parents shall represent their children on the presentation of the child’s birth certificate.
Article 3.158. Authority of minor-aged parents
1. Minor parents with full active capacity shall have all personal rights and duties in respect of their children.
2. Minor parents who are legally incapable or of limited active capacity shall have a right to live to together with their child and participate in the child’s education. In such cases a guardian (curator) shall be appointed to the child in the procedure provided for in this Book hereof.
3. On attaining majority or full active capacity, the parents shall acquire all the rights and duties in respect of their children.
Article 3.159. Mandatory exercise of parental authority
1. A father’s or mother’s surrender of the rights and duties by his or her underage children shall be null and void.
2. Parents shall be jointly and severally responsible for the care and education of their children.
3. Parental authority may not be used contrary to the interests of the child.
4. Failure to exercise parental authority shall be subject to legal responsibility under the law.
Article 3.160. End of parental authority
1. Parental rights and duties shall end when the child attains majority or full active capacity.
2. In certain cases considered in the light of the child’s interests, parental authority may be limited on a temporary or permanent basis or the child may be separated from the parents in the procedure laid down in this Book hereof.
SECTION TWO
CHILDREN’S RIGHTS AND DUTIES
Article 3.161. Children’s rights
1. Every child shall have an inalienable right to life, healthy development and a name and surname from birth.
2. A child shall have a right to know his or her parents unless that prejudices his or her interests or the law provides for otherwise.
3. A child shall have a right to live with his or her parents, be brought up and cared for in his or her parents’ family, have contact with his or her parents no matter whether the parents live together or separately, have contact with his or her relatives, unless that is prejudicial to the child’s interests.
4. Children shall have no ownership rights to the property of their parents and the parents shall have no ownership rights to the property of their children. Children’s property rights are defined in this and the other Books hereof.
5. Children born within or outside marriage shall have equal rights.
6. Children’s rights shall not be affected by their parents’ divorce, separation or nullity of marriage.
Article 3.162. Children’s duties
Children shall owe respect to their parents and perform their duties by their parents diligently.
Article 3.163. Assurance of children’s rights
1. The rights of minor-aged children shall be assured by the parents.
2. The rights of children deprived of parental care shall be assured by the guardian (curator) according to the rules laid down in this Book.
3. After a minor attains full active capacity, the protection of his or her rights shall be his or her own responsibility.
4. If the parents or guardians (curators) abuse their children’s rights, measures to defend the children’s rights may be taken by the state institution for the protection of the child’s rights or a prosecutor.
Article 3.164. Involvement of a minor in the assurance of his or her rights
1. In considering any question related to a child, the child, if capable of formulating his or her views, must be heard directly or, where that is impossible, through a representative. Any decisions on such a question must be taken with regard to the child’s wishes unless they are contrary to the child’s interests. In making a decision on the appointment of a child’s guardian (curator) or on a child’s adoption, the child’s wishes shall be given paramount consideration.
2. If a child considers that his or her parents abuse his or her rights, the child shall have a right to apply to a state institution for the protection of the child’s rights or, on attaining the age of 14, to bring the matter before the court.
SECTION THREE
PERSONAL PARENTAL RIGHTS AND DUTIES
Article 3.165. Substance of personal parental rights and duties
1. Parents shall have a right and duty to bring up their children; they shall be responsible for their children’s education and development, their health and spiritual and moral guidance. In performing these duties, parents shall have a priority right over the rights of other persons.
2. Parents must create conditions for their children to learn during their compulsory school age.
3. All questions related to the education of their children parents shall decide by mutual agreement. In the event of the lack of agreement, the disputed matter shall be resolved by the court.
Article 3.166. Giving a child a name
1. Every child shall be given a name by his or her parents.
2. A child may be given two names.
3. A child shall be given a name by the mutual agreement of the parents. Where the child’s mother and father cannot agree on the name, the child shall be given a name by a judicial order.
4. While registering the birth of a child whose parents’ identity is not known, the child shall be given a name by the state institution for the protection of the child’s rights.
Article 3.167. Giving a child a surname
1. Every child shall be given his or her parents’ surname.
2. Where the surnames of the child’s parents are different, the child shall be given the mother’s or the father’s surname by the mutual agreement of the parents. If the parents cannot agree, the child shall be given the surname of one of the parents by a judicial order.
3. While registering the birth of a child whose parents’ identity is not known, the child shall be given a surname by the state institution for the protection of the child’s rights.
4. The grounds and procedures for changing a child’s name or surname shall be subject to the Rules of the Registration of Civil Status approved by the Minister of Justice.
Article 3.168. A child’s residence
1. An underage child’s residence shall be determined in accordance with the rules of Book Two hereof.
2. A child may not be separated from his or her parents against his or her will, except in cases provided for in this Book.
3. Parents shall have a right to demand the return of their children from any person who keeps them against the law or a court judgement.
Article 3.169. A child’s residence where the parents are separated
1. Where the parents are separated, the child’s residence shall be decided by the mutual agreement of the parents.
2. In the event of a dispute over the child’s residence, the child’s residence shall be determined by a residence order awarded by the court in favour of one of the parents.
3. If the circumstances change or if the parent with whom the child was to live lets the other parent live with and bring up the child, the other parent may file a second suit for the determination of the child’s residence.
Article 3.170. The right of the separated parent to have contact with the child and be involved in the child’s education
1. The father or the mother who lives separately from the child shall have a right to have contact with the child and be involved in the child’s education.
2. A child whose parents are separated shall have a right to have constant and direct contact with both the parents irrespective of their residence.
3. The father or the mother with whom the child resides may not interfere with the other parent’s contacts with the child or involvement in the child’s education.
4. Where the parents cannot agree as to the involvement of the separated father or mother in the education of and association with the child, the procedure of the separated parent’s association with the child and involvement in the child’s education shall be determined by the court.
5. The separated father or mother shall have a right to receive information about the child from all the institutions and authorities concerned with the child’s education, training, health care, protection of the child’s rights, etc. Such information may be denied only in cases where the child’s life or health is imperilled by the mother or the father and in cases provided for by the law.
6. The refusal of authorities, organisations, institutions or natural persons to provide information to the parents about their children may be brought before the court.
Article 3.171. Contact with the child and involvement in the child’s education in special circumstances
Parents shall maintain contact and be involved in the education of the child who is placed in a special situation (detention, arrest, imprisonment, in-patient clinic, etc.) in the procedure laid down by the law.
Article 3.172. Contact of other relatives with the child
Parents (or guardians (curators) if there are no parents) shall be obliged to create conditions for the children to associate with their next of kin provided that it is consistent with the children’s interests.
SECTION FOUR
DISPUTES OVER CHILDREN
Article 3.173. Disputes over the name or surname of the child
1. If a child’s parents cannot agree on a name or surname to be given to the child, the child’s father, mother or the parents (guardians, curators) of the child’s legally incapable minor-aged parents shall have a right to petition to the court for an order giving the child a name or a surname.
2. The court shall deal with a petition for an order giving a child a name or a surname in the simplified procedure and, having heard the parents or having received their written explanations, shall hand down such an order.
Article 3.174. Disputes over a child’s residence
1. Petitions for the determination of a child’s residence may be filed by the child’s father, mother, also by the parents or guardians (curators) of the child’s minor-aged parents of limited active capacity.
2. The court shall resolve the dispute having regard to the interests of the child and the child’s wishes. The child’s wishes may be disregarded only if they are contrary to the best interests of the child.
Article 3.175. Disputes of separated parents over contact with the child or involvement in the education of the child
1. Petitions for contact or involvement in the child’s education orders may be filed by the child’s father, mother or the parents (guardians, curators) of the child’s legally incapable minor-aged parents.
2. The court shall determine the procedure for the separated parent’s contact with the child by taking into consideration the child’s interests and by creating a possibility for the separated parent to be involved in the education of the child to the greatest extent possible. Minimal contact with the child may be ordered only in cases where constant maximal contact is prejudicial to the child’s interests.
Article 3.176. Disputes over the child’s contact with his or her close relatives
1. If the parents refuse to create conditions for their children to have contact with their close relatives, the state institution for the protection of the child’s rights shall obligate the parents to create such conditions.
2. The state institution for the protection of the child’s rights may refuse to obligate the parents to create conditions for their child’s contact with his or her next of kin if such contact is contrary to the child’s interests.
3. If the parents fail to comply with the obligation of the institution for the protection of the child’s rights or the child’s next of kin do not agree with the decision of the state institution for the protection of the child’s rights refusing to oblige the child’s parents to create conditions for their contact with the child, the child’s next of kin may bring the matter before the court.
4. The court having regard to the child’s interests may oblige the parents to create conditions for their child’s contact with the close relatives provided it is not contrary to the child’s interests.
Article 3.177. The child’s right to express his or her views
When adjudicating on disputes over children, the court must hear the child capable of expressing his or her views and ascertain the wishes of the child.
Article 3.178. Mandatory participation of the state institution for the protection of the child’s rights
1. The state institution for the protection of the child’s rights must participate in the examination of disputes over children.
2. Having investigated the conditions in the family environment, the state institution for the protection of the child’s rights shall present its opinion to the court. In adjudicating the dispute, the court shall take into consideration not only the opinion, but also the wishes of the child and the evidence adduced by the other parties.
SECTION FIVE
RESTRICTION OF PARENTAL AUTHORITY
Article 3.179. Separation of parents and children
1. Where the parents (the father or the mother) do not live together with the child for objective reasons (illness, etc.) and the court has to decide where the child is to live, the court may decide to separate the child from the parents (the father or the mother). Where only one of the parents is affected by unfavourable circumstances while the other parent can live and bring up the child, the child shall be separated only from that parent.
2. The child separated from the parents shall retain all the personal and property rights and duties based on consanguinity.
3. When a child is separated from the parents (the father or the mother), the parents lose their right to live together with the child or demand the return of the child from other persons. The parents may exercise their other rights in so far as that is possible without living together with the child.
Article 3.180. Conditions, methods and consequences of the restriction of parental authority
1. Where the parents (the father or the mother) fail in their duties to bring up their children or abuse their parental authority or treat their children cruelly or produce a harmful effect on their children by their immoral behaviour or do not care for their children, the court may make a judgement for a temporary or unlimited restriction of parental power (that of the father or the mother.)
2. The court shall make judgements for temporary or unlimited indefinite restriction of parental authority (that of the father or the mother) by having regard to the circumstances of the case that require a restriction of parental authority. Parental authority may be restricted unlimitedly only where the court makes the conclusion that the parents (the father or the mother) do very great harm to the development of the child or do not care for the child and no change in the situation is forthcoming.
3. Temporary or unlimited restriction of parental authority involves the suspension of the personal and property rights of the parents based on consanguinity and under the law. The parents, however, shall retain the right of visitation, except where that is contrary to the child’s interests. Where parental authority is restricted unlimitedly, the child may be adopted without the consent of the parents.
4. Restriction of parental authority shall extend only to the children and to the parent in respect of whom the court has made the judgement.
Article 3.181. Cancellation of the restriction of parental authority or the replacement of the kind of limitation with another kind of limitation
1. The separation of a child from the parents (the father or the mother) may be revoked after the disappearance of the circumstances that caused the order for separation.
2. A temporary or unlimited restriction of parental authority may be revoked on the proof that the parents (the father or the mother) have changed their conduct and can bring up their child and if the cancellation of the restriction is not contrary to the interests of the child.
3. Where the circumstances have changed, but the grounds for a complete cancellation of the unlimited restriction of parental authority are insufficient, the indefinite limitation of parental authority may be replaced with a temporary restriction of parental authority.
4. If it transpires that the circumstances why the child may not live together with the parents remain after the cancellation of the temporary or unlimited restriction of parental authority, the temporary or unlimited restriction of parental authority may be replaced with an order for the separation of the child from the parents.
5. Where the parents (the father or the mother) separated from their children exercise their parental authority contrary to the interests of the children, their parental authority may be subject to temporary or unlimited restriction.
6. Restriction of parental authority may be revoked only if the child has not been adopted.
Article 3.182. Persons entitled to seek restriction of parental authority or the cancellation of the limitation of parental authority
1. An application for the separation of a child from the parents (the father or the mother) may be filed by the child’s parents or close relatives or the state institution for the protection of the child’s rights or a public prosecutor.
2. An action for a temporary or unlimited restriction of parental authority may be brought by one of the parents or close relatives or the state institution for the protection of the child’s rights or a public prosecutor or the guardian (curator) of the child.
3. An action for the cancellation of the restriction of parental authority may be brought by the parents (the father or the mother) to whose parental authority the restriction has been applied.
4. An application for the cancellation of the order on the separation of the child from the parents (the father or the mother) may be filed by the parents or one of the parents, or the guardian (curator) or close relatives of the child or the state institution for the protection of the child’s rights or a public prosecutor.
Article 3.183. Examination of application for the restriction of parental authority
1. Applications for the separation of children from the parents shall be examined in a simplified procedure. If it transpires that there is a ground for temporary or unlimited restriction of parental authority, the application shall be referred to the court to be adjudicated in contentious proceedings.
2. In examining actions for the restriction of parental authority or applications for the separation of a child from the parents referred to it for adjudication in contentious proceedings, the court shall not be bound by the subject matter of the action and shall pass a judgement by taking account of the situation in hand and the interests of the child.
3. The court shall hear the child capable of expressing his or her views and take such views into account.
4. Having made a judgement to restrict parental authority, the court shall simultaneously place the child under guardianship (curatorship) and determine the residence of the child by the same judgement.
Article 3.184. Mandatory participation of the state institution for the protection of the child’s rights
1. The state institution for the protection of the child’s rights must participate in the examination of cases for the restriction of parental authority.
2. Having investigated the conditions of the family, the state institution for the protection of the child’s rights shall present its opinion to the court. The court shall take the opinion into consideration together with the evidence adduced in the case.
CHAPTER XII
MUTUAL PROPERTY RIGHTS AND DUTIES OF PARENTS AND CHILDREN
SECTION ONE
PARENTAL RIGHTS AND DUTIES RELATED TO THE PROPERTY OWNED BY THE CHILDREN
Article 3.185 Management of the property owned by underage children
1. Property owned by underage children shall be managed by the parents under right of usufruct. The parents’ right of usufruct may not be pledged or sold or assigned or encumbered in any way, no execution may be made against it.
2. Parents shall manage the property that belongs to their underage child by mutual agreement. In the event of a dispute over the management of the child’s property, either parent may petition for a judicial order establishing the procedure for the management of the property.
3. Where the parents, or one of the parents, cause harm to the child’s interests by mismanaging their underage child’s property, the state institution for the protection of the child’s rights or a public prosecutor may apply to the court for the removal of the parents from the management of the property that belongs to their underage child. Where warranted, the court shall remove the parents from the management of their underage child’s property, revoke their right of usufruct to the child’s property and appoint another person an administrator of the minor’s property. Where the grounds for the removal are no longer existent, the court may allow the parents to resume the management of their underage children’s property under right of usufruct.
Article 3.186. The duties of the parents in managing their underage children’s property
1. Parents must manage their underage children’s property by giving paramount consideration to the interests of the children.
2. The parents may use the fruits and income derived from their underage child’s property to meet the needs of the family by taking account of the child’s interests.
3. In managing the property of their underage child, the parents have no right to acquire, directly or through intermediaries, this property or any rights to it. This rule shall also be applicable to auctioning a minor’s property or interests in it. An action to have such transactions declared null and void may be brought by the child or the child’s successors.
4. The parents of an underage child may not enter into a contract of assignment of claim under which they would acquire the right of claim to their underage child’s property or the child’s rights to it.
Article 3.187. Property of minors not subject to the right of usufruct
Parents shall have no right to manage the property under right of usufruct if that property:
1) has been acquired for the money earned by the child;
2) is intended for the purposes of the child’s education, hobbies or leisure;
3) has been devolved to the child by donation or succession on condition that it will not be made subject to usufruct.
Article 3.188. Transactions relating to an underage child’s property
1. Without the prior leave of the court parents shall have no right to:
1) alienate or charge their underage children’s property or encumber the rights to it in any other way;
2) accept or decline to accept inheritance on behalf of their underage children;
3) enter into a lease agreement in respect of their underage children’s property for a longer than a five-year term;
4) enter into a an arbitration agreement on behalf of their underage children;
5) enter into a loan agreement on behalf of their underage children for an amount exceeding four minimal monthly wages;
6) invest the funds of their underage children in excess of ten minimal monthly wages.
2. If a transaction causes a conflict of interests between the underage children of the same parents or between an underage child and the child’s parents, the court, on the application of either of the parents, shall appoint an ad hoc guardian as to the transaction.
3. Where there is a conflict of interests between an underage child and one of the child’s parents, the child’s interests shall be represented and transactions shall be made by the parent whose interests do not conflict with those of the child.
4. A breach of the rules laid down in Paragraphs 1, 2 and 3 may cause the court to declare the transaction null and void in an action brought by the child, one of the child’s parents or their successors.
Article 3.189. Prohibition to assign or encumber the right of usufruct
1. Parents who manage their underage children’s property under right of usufruct may not assign or pledge or encumber the right of usufruct in any way.
2. The claims of the creditors of underage children’s parents may not be executed against the property of the underage children or against the right of usufruct of their parents.
Article 3.190. Right of usufruct where the property is managed by one of the parents
1. Where parental authority is exercised only by one of the parents of a minor, the minor’s property shall be managed only by that parent. Where the parents are divorced or separated, the right to manage the minor’s property shall belong to the parent with whom the child is to live.
2. If the father (mother) of an underage child enters into a new marriage, he or she shall retain the right of usufruct in respect of the underage child’s property, but shall be obliged to transfer all the fruits and income derived from the property to the minor’s bank account and to maintain separate accounts for the fruits in excess of the expenses for the child’s education (training, education, maintenance). If the new spouse of the child’s father (mother) adopts the child, he or she shall also acquire the right to manage the underage child’s property.
Article 3.191. End of the property management and right of usufruct
1. Parents shall lose the right to manage their underage children’s property under right of usufruct, when:
1) the minor is emancipated under the law;
2) the minor contracts a marriage in the procedure laid down by the law;
3) the minor reaches majority;
4) the court makes an order for the removal of the parents from the management of their underage child’s property;
5) the court separates the children from the parents or limits their parental authority.
2. Where the parents (or one of the parents with whom the child lives) continue to use the child’s property after the end of the right of usufruct, they shall be obliged to return the property and all the income and fruits derived from the child’s property to the child from the moment when the child or the child’s representative demands it.
SECTION TWO
MUTUAL MAINTENANCE DUTIES OF PARENTS AND CHILDREN
Article 3.192. Parents’ duty to maintain their children
1. Parents shall be obliged to maintain their underage children. The procedure and form of maintenance shall be determined by the mutual agreement of the parents.
2. The amount for maintenance must be commensurate with the needs of the children and the financial situation of their parents; it must ensure the existence of conditions necessary for the child’s development.
3. Both parents must provide maintenance to their underage children in accordance with their financial situation.
Article 3.193. Parental agreement on the maintenance of their underage children
1. On divorce by mutual agreement (Article 3.51 hereof) or on separation (Article 3.73 hereof) spouses shall make an agreement providing for their mutual duties in maintaining their underage children as well as the procedure, amount and form of such maintenance. The agreement shall be approved by the court (Article 3.53 hereof).
2. Parents of underage children may conclude an agreement on the maintenance of their children also when their divorce is based on other grounds.
3. If one of the parents does not comply with the agreement on the maintenance of their underage children approved by the court, the other parent shall have a right to apply to the court for the issuance of the writ of execution.
Article 3.194. Maintenance orders
1. If the parents (or one of the parents) fail in the duty to maintain their underage children, the court may issue a maintenance order in an action brought by one of the parents or the child’s guardian (curator) or the state institution for the protection of the child’s rights.
2. A maintenance order may also be issued if on divorce or on separation the parents did not agree on the maintenance of their underage children in the procedure provided for in this Book.
3. The court shall issue a maintenance order until the child attains majority, except in cases where the child lacks capacity for work due to a disability determined before the age of majority, or when the child is in need of support, he is a full-time student of institutions of secondary, vocational or higher education and is not older than 24 years of age.
4. The enforcement of the maintenance order shall be terminated when the child:
1) is emancipated;
2) attains majority;
3) is adopted;
4) dies.
5. If the person obliged to pay maintenance dies, the duty of maintenance shall pass to his or her successors within the limits of the inherited property irrespective of the way the estate is accepted under the rules of Book Five hereof.
Article 3.195. Maintenance duty when the children are separated from their parents
The parents’ duty to maintain their underage children shall be retained after the separation of the children from their parents or the limitation of parental authority except in cases where the child is adopted.
Article 3.196. The form and amount of maintenance
1. The court may issue a maintenance order obligating the parents (one of the parents) who fail in their duty to maintain their children to provide maintenance to their children in the following ways:
1) periodical monthly payments:
2) a certain lump sum;
3) award of certain property.
2. Pending the outcome of the case, the court may give a ruling on the provisional payment of maintenance.
Article 3.197. Judicial pledge (hypothec)
If necessary, in making a maintenance order the court may institute pledge (hypothec) against the property of the parents (one of the parents). If the court judgement on the enforcement of the maintenance order is not executed, the maintenance shall be paid against the property subject to the pledge (hypothec).
Article 3.198. Maintenance orders in respect of two or more children
1. In making a maintenance order in respect of two or more children, the court shall determine a payment amount sufficient to meet at least the minimal needs of all the children.
2. The maintenance amount shall be used equally for all the children except in cases where objective reasons (illness, etc.) demand a departure from the principle of equality.
Article 3.199. Kinds of income against which maintenance payments shall be made
Maintenance payments for children shall be made against the wages and all the other kinds of income of the parent obliged to pay maintenance.
Article 3.200. The date on which a maintenance order becomes operative
A maintenance order shall take effect from the date on which the right to maintenance becomes operative; the arrears in maintenance payments, however, may not be enforced for a period exceeding three years from the date of the petition for action.
Article 3.201. Changing the amount and form of maintenance
1. In an action brought by the child, the child’s parent, the state institution for the protection of the child’s rights or a public prosecutor the court may reduce or increase the amount of maintenance if, after the award of the maintenance order, the financial situation of the parties has undergone a fundamental change.
2. An increase in the amount of maintenance may be ordered if there are additional expenses related to the care for the child (illness, injury, need for nursing or permanent attendance). If necessary, the court may issue an order for covering the future expenses related to the treatment of the child.
3. At the request of the persons referred to in Paragraph 1 the court may change the previously established form in which maintenance must be provided.
Article 3.202. Enforcement of maintenance to a child placed under guardianship (curatorship)
1. If a child is placed under guardianship (curatorship), maintenance shall be paid to the guardian who shall use it exclusively for the interests of the child.
2. If a child receiving maintenance under a judicial order lives in an institution for the care of children, the maintenance shall be paid to the institution for the care of children. In such a case, the institution for the care of children opens a bank account for every child receiving maintenance with a credit institution controlled by the State. The funds on the bank account may be used, in the procedure established by the law, only by the child for its own needs or the child’s guardian (curator) in the child’s interests.
Article 3.203. Use of maintenance
1. The maintenance payments meant for the child shall be used only for the child’s needs.
2. Maintenance used by the child’s parents, guardians (curators) for other purposes shall be recovered against the assets of the person who has used the child’s maintenance not for the needs of the child under a judicial order issued in an action brought by the representatives of the child, the state institution for the protection of the child’s rights or a public prosecutor.
Article 3.204. Children maintained by the State
1. The State shall maintain underage children receiving no maintenance from their parents or adult close relatives who are in a position to maintain the child.
2. The amount, procedure and conditions of such maintenance shall be established by the Government.
3. After providing maintenance to an underage child under this Article, the State shall have the right of recourse to recover the maintenance provided to the child from the child’s parents or his other adult close relatives provided the court declared the reasons why they failed to provide maintenance to the child to be insufficient.
Article 3.205. The duty of adult children to maintain their parents
1. Adult children shall be obliged to maintain their parents who have lost earning capacity and are in need of support.
2. Maintenance shall be paid according to a mutual agreement between the children and parents or on the basis of the court order issued in an action brought by the parents.
3. Maintenance shall be provided in monthly payments of an established amount.
4. The amount of maintenance shall be determined by the court having regard to the financial situation of the children’s family and that of the parents as well as the other important circumstances of the case. In establishing the amount of the maintenance, the court shall have regard to the duty of all the adult children of the parent(s) to maintain their parent(s) irrespective of whether the action for maintenance has been brought against all the children or only one of them.
Article 3.206. Rejection of the parent’s claims to maintenance
1. The court may relieve adult children of their duty to maintain their parents who have lost earning capacity if it establishes that the parents had failed in their duties in respect of their minor children.
2. Where the children had been separated permanently from their parents through the fault of the parents, such parents shall have no right to maintenance.
Article 3.207. Compensation for additional expenses of parents who have lost earning capacity
1. If adult children do not care for their parents who have lost earning capacity, the court may issue an order, in an action brought by the parents, for the compensation of the additional expenses the parents sustained due to illness, injury or indispensable attendance performed by strangers for a consideration.
2. In adjudicating on the compensation for such additional expenses, the court shall have regard to the financial situation of the children’s family and of the parents as well as the other important circumstances of the case.
Article 3.208. Indexation of maintenance
Where the maintenance is to be made in periodical payments, the maintenance amount shall be indexed annually in accordance with the inflation rates in the procedure established by the Government.
PART V
ADOPTION
CHAPTER XIII
CONDITIONS AND PROCEDURES OF ADOPTION
Article 3.209. Children allowed to be adopted
1. Adoption should be possible exclusively for the interests of the child.
2. Only the children who have been included on the list of children offered for adoption may be adopted except in cases where a spouse adopts the other spouse’s child or the child lives in the family of the adopter.
3. Only children over the age of three months may be adopted.
4. Adoption of one’s own children, sisters or brother shall be prohibited.
5. An adopted child may be adopted only by the stepfather’s (stepmother’s) spouse.
6. Separation of siblings through adoption shall be allowed in exceptional cases where it is impossible to ensure their life together for health reasons or where the siblings have already been separated due to other circumstances and there are no possibilities to ensure their life together.
Article 3.210. Persons entitled to adopt a child
1. The adopter must be an adult woman or man under the age of 50 duly prepared for adopting a child. In exceptional cases the court may give leave for older persons to adopt a child.
2. The right to adopt a child may be exercised by married couples. In exceptional cases, an unmarried person or one of the spouses may be allowed to adopt a child.
3. Unmarried persons may not adopt the same child.
4. Persons declared legally incapable or of limited active capacity by the court, persons whose parental authority has been restricted the former guardians (curators) whose guardianship (curatorship) has been cancelled through their fault shall not be allowed to adopt a child.
5. Persons who wish to adopt a child (except a parent’s spouse or the relatives) must be listed in the list of prospective adopters managed by the State institution for adoption.
6. Where several adopters wish to adopt one and the same child, priority shall be given, having regard to the child’s interests, to:
1) relatives;
2) spouses;
3) persons who adopt all the siblings together;
4) citizens of the Republic of Lithuania;
5) persons who adopt the children or adopted children of their spouses;
6) persons in whose family the child to be adopted lives and is maintained.
Article 3.211. Adopter-child age differential
1. The difference in the age of the adopter and the child to be adopted must be no less than eighteen years.
2. Where a person adopts the children or adopted children of his or her spouse, the age differential referred to in Paragraph 1 may be reduced to fifteen years.
Article 3.212. Consent of the parents to adoption
1. Adoption may be effected only with the written consent of the parents confirmed by the court.
2. Where the child’s parents are minors or legally incapable, adoption may be effected only with the written consent of their parents or guardians (curators) confirmed by the court. If the child to be adopted has a legal guardian (curator) (except for a State care institution), his adoption may be effected with the written consent of the guardian (curator) confirmed by the court.
3. The child’s parents may give their consent for the adoption of the child by a specific person only if that person is a relative.
4. Having confirmed the parents’ (guardians’, curators’ ) written consent to adoption, the court shall give a ruling in which it shall explicate to the parents (guardians, curators ) the consequences of adoption referred to in Article 3.227 hereof and their right to revoke their consent to adoption.
5. Within three business days the court shall send a copy of the res judicata order confirming the consent to adoption to the State institution for adoption.
Article 3.213. Revocation of the parents’ consent to adoption
1. The parents may revoke their consent to adoption before a court judgement is made on the adoption of the child.
2. The application for the revocation of the consent to adoption must be filed with the State institution for adoption. If the child has already been adopted, the State institution for adoption shall notify the parents of the fact without disclosing the identity of the adopters. If the application is filed before the day scheduled for the court’s consideration of the application for adoption, the State institution for adoption shall notify the respective court of the revocation of the consent and refer the application for the revocation of the consent for the consideration of the court that confirmed the consent. The examination of the application for adoption shall be put on hold until the issue of the revocation of the consent is resolved.
3. The court shall not approve of the revocation of the consent to adoption if a year has elapsed since the limitation of the parental authority, which has not been lifted, or if the court ascertains that the parents try to revoke their consent to adoption only for material gain.
Article 3.214. Adoption without the consent of the parents
The consent of the parents of the child to be adopted shall not be required, if the identity of the parents is not known or if they are dead or if the parents’ authority has been restricted for an unlimited period or if the parents are legally incapable or declared dead.
Article 3.215. The consent of the child to be adopted
1. Where the child to be adopted has already reached the age of 10, the child’s consent to the adoption shall be required. The child shall file his or her consent with the court; adoption without such a consent shall not be permitted.
2. Where the child is under 10, he must be heard by the court if he or she is capable of expressing his or her views. In taking the decision, the court shall take account of the child’s wishes if those wishes are not contrary to the child’s interests.
Article 3.216. The consent of the adopter’s spouse
1. Where a child is adopted by one of the spouses, the written consent of the other spouse shall be required.
2. The consent of the other spouse shall not be required if the spouses are legally separated by a court judgement or if the other spouse has been declared by the court missing or legally incapable.
Article 3.217. Verification of the readiness for adoption
1. Certified social workers of the State institution for adoption shall ascertain if there are any bars referred to in Book Three hereof for the prospective adoptive parents to adopt the child, investigate their living conditions, collect information on the status of their health and submit a conclusion on the preparedness of the prospective adopters to adopt the child. The list of medical contraindications to adoption shall be approved by the Government or an institution authorised by the Government.
2. If the prospective adoptive parents do not agree with the conclusion of the social worker on their preparedness to adoption, they may appeal against it in court.
3. The final decision on the suitability of conditions and preparedness for adoption shall be taken by the court examining the application for adoption.
4. The conclusion on the legal bars and the suitability and preparedness of the prospective adoptive parents for the adoption of a child in another country shall be approved by a ruling of the Regional Court of Vilnius.
Article 3.218. Provision of data on the child to be adopted
1. The State institution for adoption shall submit to the court data on the origin, development, state of health and family of the child to be adopted.
2. Before an application for the child’s adoption is submitted to the court, the State institution for adoption shall provide the data on the child offered for adoption to all the persons included in the list of prospective adoptive parents.
Article 3.219. Registration of adoptions
1. The registration of prospective adoptive parents and children offered for adoption shall be administered by the State institution for adoption; the statutes of the institution for adoption shall be approved by the Government.
2. Having taken a decision on the unlimited restriction of parental authority or having confirmed a written consent of the parents to the adoption of their child, the court shall send its res judicata order to the State institution for adoption within three business days.
3. After a year since the temporary restriction of parental authority, the State institution for adoption shall ascertain if the limitation of parental authority has been lifted. If the limitation of parental authority has not been lifted, the child shall be entered in the list of children offered for adoption.
Article 3.220. Examination of applications for adoption
1. Applications for adoption submitted by citizens of the Republic of Lithuania shall be examined by the district courts of the applicant’s or the child’s domicile in the presence of the applicants and a representative of the public institution for adoption.
2. Applications for the adoption of a citizen of the Republic of Lithuania residing in the Republic of Lithuania or in another country shall be examined by the Regional Court of Vilnius.
3. Applications for adoption shall be examined under non-contentious procedure. Within three business days the court shall send the res judicata judgement to the Register Office which registered the birth of the child.
Article 3.221. Confidentiality of adoption
1. Adoption case shall be heard at the court in a closed hearing.
2. Until the child attains majority, data on the child’s adoption may not be disclosed without the consent of the adoptive parents.
3. Information on a child’s adoption may be provided to the child from the age of 14, the child’s former close relatives (according to blood relationship) or to other persons with the leave of the court which examined the suit for adoption provided that the information is required for the considerations of the child’s health or the health of the child’s close relatives or of other persons as well as for other important reasons.
Article 3.222. Transfer of the child to the adoptive family before adoption
1. At the request of the State institution for adoption or at its own discretion the court may order a probationary period of six to twelve months and transfer the child to be brought up and cared for in the family of the prospective adoptive parents. If the court order is taken to transfer the child to the family of the prospective adoptive parents, the hearing of the adoption case shall be postponed.
2. The probationary period may be ordered taking into consideration the psychological preparedness of the child and the prospective adoptive parents for adoption, the duration of contact between the child and the prospective adoptive parents before the application for adoption, and other circumstances which may give rise to doubts whether the child can become adapted to the family of the adoptive parents.
3. After the child is transferred to the family by a court order before adoption, the mutual rights and duties, except those of succession, of the child and the prospective adoptive parents shall be treated as the mutual rights and duties of children and natural parents.
4. After the adoption of the child, the adoptive parents shall be treated as the child’s parents under the law from the day on which the court order to transfer the child to their family became res judicata. The court shall specify this fact in its judgement.
Article 3.223. Priority for adoption
1. If there are several persons who wish to adopt one and the same child, the priority shall be determined in the following order:
1) persons adopting their spouse’s children and adopted children;
2) relatives;
3) persons adopting siblings together;
4) spouses.
2. If the persons who wish to adopt a child are attributable to one and the same category, priority shall be given to the person who was the first to be registered in the list of prospective adoptive parents.
Article 3.224. Adoption where the adopter is a citizen of a foreign country
1. Provisions of Articles 3.209-3.221 hereof shall be applicable to adopters who are citizens of a foreign country.
2. In addition to the provisions of Articles 3.209-3.221 hereof, a citizen of a foreign country may adopt a child if:
1) during six months from the registration of the child in the list of children offered for adoption no application has been received from citizens of the Republic of Lithuania to adopt the child or place the child under guardianship or in curatorship;
2) the parents of the family where the child is brought up and maintained present to the court their written consent for the adoption of the child;
3) the guardian (or curator) presents to the court a written consent for the adoption of the child.
3. The court, having regard to the interests of the child, shall have the right to decide on the adoption of the child without the consent of the parents of the family, guardian (curator).
4. Where the child is adopted in another country, all the necessary measures must be taken to prevent persons related to the settlement of the child in another country from gaining any unjustified material gain.
5. In adjudicating on the adoption of a child by a citizen of another country, consideration must be given to the hereditary continuity of the child’s education, the child’s ethnic origin, religious and cultural adherence and mother tongue, as well as the compliance of the legislation of the recipient country with the requirements of the 29 May 1993 Hague Convention on the Protection of Children and Co-operation in the Field of International Adoption.
Article 3.225. Recognition of adoption executed in another country
Adoption executed in another country shall be recognised in the procedure and in accordance with the terms and conditions laid down in international treaties and agreements and Book One hereof.
Article 3.226. Adoption of children who are citizens of a foreign country
1. Children who are citizens of a foreign country residing in the Republic of Lithuania shall be adopted in the procedure laid down in this Chapter unless provided for otherwise in an international treaty or agreement between the respective foreign country and the Republic of Lithuania.
2. Applications of foreign citizens for adoption shall be examined by the Regional Court of Vilnius.
CHAPTER XIV
LEGAL CONSEQUENCES OF ADOPTION
Article 3.227. Consequences of adoption
1. Adoption shall invalidated the mutual personal and property rights and duties of the natural parents and children and their relatives while creating mutual personal and property rights for the adoptive parents, their relatives kindred and the adopted children and their descendants as relatives by blood.
2. The adoptive parents shall be treated as the child’s parents under the law from the on which court judgement on the adoption became res judicata except for the exception provided for in paragraph 4 of Article 3.222 hereof.
Article 3.228. The name and surname of the adopted child
1. The adopted child is given the surname of the adoptive parents by a court judgement; the child’s name may be changed with the consent of the child capable of expressing his or her views.
2. At the request of the adoptive parents and the adopted child capable of expressing his or her views, the child may be allowed to retain the surname of his or her natural parents.
3. When there is a dispute between the adoptive parents or the adoptive parents and the adopted child over the change of the child’s surname or name, the dispute shall be resolved by the court taking account of the child’s interests.
PART VI
RIGHTS AND DUTIES OF OTHER MEMBERS OF THE FAMILY
CHAPTER XV
LIVING TOGETHER OF PERSONS
NOT LEGALLY MARRIED (COHABITATION)
Article 3.229. Scope
The provisions of this Chapter shall regulate the relations in property of a man and a woman who, after registering their partnership in the procedure laid down by the law, have been cohabiting at least for a year with the aim of creating family relations without having registered their union as a marriage (cohabitees).
Article 3.230. Assets subject to the legal regime set in this Chapter
1. The provisions of this Chapter shall regulate the legal regime of the assets referred to in this Chapter provided the assets have been acquired and used jointly by the cohabitees.
2. The community property of cohabitees shall include:
1) a dwelling house or a flat acquired and used together by cohabitees for their life together;
2) the rental, usufruct or any other right of one of the cohabitees to use the dwelling house or the flat which the cohabitees use for their life together;
3) immovable property related to the dwelling house or flat used and acquired together provided the immovable is used by the cohabitees together;
4) furniture and other household utensils acquired and used together by the cohabitees except for the chattels which the cohabitees use separately.
3. The provisions of this Chapter shall not be applicable to assets which the cohabitees use for recreation (garden, summer cottage, etc.).
Article 3.231. Legal regime of assets used by the cohabitees together
1. Where the immovables or the rights to the immovables referred to in Article 3.230 hereof are registered in the name of one of the cohabitees, both cohabitees may require, by submitting a joint application to the public register, the addition of a record to the effect that the cohabitees use these immovables or the rights to these immovable together. The signatures of the cohabitees adduced to such an application must be certified by a notary public.
2. Cohabitees shall have a right to make an agreement by a notarial deed on how the assets acquired and used together should be divided after their life together ends. Provisions of Articles 3.101-3.108 hereof shall be applicable to such agreements mutatis mutandis.
Article 3.232. Division of assets acquired and used together
At the request of one of the cohabitees the court may divide all the assets, acquired and used by the cohabitees together, after the death of one of the cohabitees or at the end of their life together provided the cohabitees had not made an agreement on the division of assets certified by a notary public.
Article 3.233. Limitations of the right to dispose of the assets used together
1. Without the written consent of the other cohabitee, a cohabitee shall have no right to sell, donate or alienate in any other way, lease or charge the assets acquired and used together or to encumber the rights to such assets in any other way.
2. Paragraph 1 of this Article shall not be applicable if a cohabitee is incapable of giving such a consent due to incompetence or the consent of the other cohabitee is unavailable due to other important reasons. In such a case the permission to make a transaction may be granted by the court at the request of the other cohabitee.
3. Transaction made in violation of the rules set in paragraphs 1 and 2 may be declared null and void in an action brought by the cohabitee who has not given his or her consent to the transaction except in cases where a third party recipient of the assets sold, charged or leased was in good faith. The time limit for bringing an action for the avoidance of such a transaction shall be one year from the day when the cohabitee knew or should have known about the transaction.
Article 3.234. Division of assets used together
1. To divide assets acquired and used by cohabitees together in cases referred to in Article 3.232 the court shall first establish the assets acquired and used together and the separate assets of each cohabitee. Debts contracted by the cohabitees together and outstanding at the end of their life together shall be deducted from the assets acquired and used together by the cohabitees.
2. The assets acquired and used together remaining after the deduction of the joint outstanding debts of the cohabitees shall be divided into two equal shares except in cases provided for in this Article.
3. The court shall have a right to depart from the principle of equal shares if it is just and reasonable to award one of the cohabitees a bigger share of the assets taking account of the interests of their minor children, the duration of their life together, their age, health, financial situation, personal contribution to the community property and other important circumstances.
4. A dwelling house or a flat may be awarded to the cohabitee who is in greater need of a residence place taking into consideration his or her age, health, financial situation, the interests of his or her minor children and other important circumstances. In such cases the share of this cohabitee in other community assets shall be reduced. Where the value of the dwelling house or the flat exceeds the value of the cohabitee’s share in the assets, he or she must compensate in money to the other cohabitee for the difference in the value.
5. The dwelling house or the flat which belonged to one of the cohabitees before their life together can be left to the other cohabitee under right of usufruct if he or she has underage children born to the cohabitation or due to health, age or other important reasons does not have his or her own dwelling place.
6. Assets other than those referred to Article 3.230 hereof acquired and maintained by using the funds of both cohabitees, shall be divided in accordance with the rules of shared community property.
Article 3.235. Right to use a dwelling place
1. Having regard to the duration of cohabitation, the interests of the minor children of the cohabitees, the age, health, financial situation of the cohabitees and other important circumstances, the court shall have a right to award the use of the rented dwelling place to the cohabitee who is in greater need of the dwelling place.
2. Having regard to the circumstances of the case, the court may obligate the cohabitee who has been awarded the right to use the rented dwelling place to pay compensation to the other cohabitee for the expenses related to the search for and movement to another dwelling place.
CHAPTER XVI
DUTIES OF OTHER FAMILY MEMBERS RELATED
TO MUTUAL MAINTENANCE
Article 3.236. The duty of an adult brother (sister) to maintain his (her) minor brother (sister)
1. Circumstances permitting, an adult brother (sister) must maintain his (her) minor sibling who is in need of support and deprived of parents or their maintenance.
2. Provisions of Section Two Chapter XII of this Book shall be applicable mutatis mutandis to the procedures of maintenance.
Article 3.37. Mutual maintenance of grandchildren and grandparents
1. Circumstances permitting, adult grandchildren shall maintain their grandparents not fit for work and in need of support.
2. Circumstances permitting, grandparents shall maintain their minor grandchildren deprived of parents or of their maintenance.
3. Provisions of Section Two Chapter XII of this Book shall be applicable mutatis mutandis to the procedures of maintenance.
PART VII
GUARDIANSHIP AND CURATORSHIP
CHAPTER XVII
GENERAL PROVISIONS
Article 3.238. Guardianship
1. Guardianship shall be established with the aim of exercising, protecting and defending the rights and interests of a legally incapable person.
2. Guardianship of a person subsumes guardianship of the person’s property, but if necessary, an administrator may be designated to manage the person’s property.
Article 3.239. Curatorship
1. Curatorship shall be established with the aim of protecting and defending the rights and interests of a person of limited active capacity.
2. Curatorship of a person subsumes curatorship of the person’s property, but if necessary, an administrator may be designated to manage the person’s property.
Article 3.240. Legal position of the guardian or curator
1. The guardian and the curator shall represent their wards under law and shall defend the rights and interests of legally incapable persons or persons of limited active capacity without any special authorisation.
2. The guardian shall be entitled to enter into all the necessary transactions in the interests and in behalf of the represented legally incapable ward.
3. The curator shall give consent for the ward of limited active capacity to enter into a transaction the ward would not be permitted to enter into independently and shall also help the ward of limited competence to exercise his or her other rights and duties as well as protect his or her interests against third parties.
Article 3.241. Institutions of guardianship and curatorship
1. Institutions of guardianship and curatorship are municipal or regional institutions concerned with the supervision and control of the actions of guardians and curators.
2. The functions of guardianship and curatorship in respect of the inmates of medical, educational or guardianship (curator) institutions who have been declared legally incapable or of limited active capacity by the court shall be performed by the respective medical educational or guardianship (curator) institution until a permanent guardian or curator is appointed.
3. Institutions for the guardianship and curatorship of minors shall include the State institution for the protection of the child’s rights and other institutions referred to as such in this Book.
Article 3.242. Designation of a guardian or a curator
1. Having declared a person legally incapable or of limited active capacity the court shall designate the person’s guardian or curator without delay.
2. The guardian or curator of a minor shall be designated in the procedure established by the rules of Chapter XVIII of this Book.
3. Only a legally capable natural person may be designated a guardian or a curator provided he or she gives a written consent to that effect. While designating a guardian or curator account must be taken of the person’s moral and other qualities, his or her capability of performing the functions of a guardian or curator, relations with the ward, the guardian’s or curator’s preferences and other relevant circumstances.
4. The provisions of this Article shall not be applicable to cases where the guardian or curator of a legally incapable person or a person of limited active capacity is the medical, educational or guardianship (curatorship) institution in which the ward is placed.
Article 3.243. Performance of the duties of a guardian or a curator
1. A guardian who is the ward’s parent or any other close relative shall perform his or her functions as a guardian without any remuneration. In other cases the guardian shall be entitled to recover necessary expenses related to his or her duties as a guardian against the assets of the incompetent person. The amount to be recovered and the procedure of recovery shall be established by the court on the application of the guardian.
2. A curator who is the parent or any other close relative of the person of limited active capacity shall perform these duties without any remuneration. In other cases the curator shall be entitled to recover necessary expenses related to his or her duties as a curator from the assets of the person of limited active capacity. The amount to be recovered and the procedure of recovery shall be established by the court on the application of the curator.
3. This Article shall not be applicable to cases where the functions of guardianship or curatorship are performed by a medical, educational or guardianship (curatorship) institution.
4. The guardians and curators s of a minor must live together with the minor. After the ward attains the age of 16, the curator may live separately provided the State institution for the protection of the child’s rights gives its consent.
5. Guardians and curators shall be obliged to notify the institution of guardianship (curatorship) of a change in their residence place.
6. After the circumstances responsible for the declaration of the ward’s legal incapability or limited active capacity disappear, the guardian or curator shall apply to the court for the cancellation of guardianship or curatorship. Institutions of guardianship and curatorship as well as prosecutors shall also have a right to apply to the court for the cancellation of guardianship or curatorship.
Article 3.244. Use of the assets and income of the legally incapable ward or the ward of limited active capacity
1. The guardian or the curator shall use the assets and the income generated by the assets of the legally incapable ward or the ward of limited active capacity exclusively in the interests of the legally incapable ward or the ward of limited active capacity.
2. Transactions exceeding five thousand Litas shall require a prior leave of the court.
3. A prior leave of the court shall be required in all cases where the guardian intends to sell, donate or alienate in any other way the immovable assets or property rights of the ward, to lease them, transfer for use without remuneration, charge or encumber in any way the rights to immovable property or property rights, or to make any other transaction which would cause a reduction in the ward’s assets or the property rights of the ward would be assigned transferred or encumbered. These rules shall be applicable also in cases where the curator intends to give his or her consent for the ward of limited active capacity to enter into a similar transaction.
4. A guardian, curator or their close relatives may not enter into a transaction with the ward, except in cases where assets are donated or transferred to the ward for use without remuneration, provided the transaction is consistent with the interests of the ward.
Article 3.245. Administration of the assets owned by a legally incapable person or person of limited active capacity
1. In cases where an legally incapable person or a person of limited active capacity has movable or immovable property in need of constant care (an enterprise, land, facility, etc.), the court shall issue an order for the appointment of an administrator of the property. The administrator may be the guardian (curator) or any other person. The administrator of the property shall be subject to the rules hereof on the limitation of the actions of the guardian or the curator.
2. The powers of the administrator shall come to an end with the end of the guardianship or curatorship, also on the issue of the court order relieving the administrator of the relevant functions.
Article 3.246. Relieving the guardian and curator of their duties
1. The court may relieve the guardian or curator of a minor of the duties of a guardian or curator if the minor is returned to his or her parents or adoptive parents.
2. The court may relieve the guardian or curator of a minor of his or her duties if he or she is unable to perform these duties due to his or her illness or the illness of his or her close relatives, his or her financial situation or other important reasons.
3. If the guardian or curator is negligent in his or her duties, fails to ensure the protection of the rights and interests of the ward, uses his or her rights for personal gain, the court may remove such a guardian or the curator. . If the actions of the guardian or curator cause damage to the legally incapable person or the person of limited active capacity , the guardian or curator shall be obliged to make good the damage. Institutions of guardianship (curatorship) shall have the right to apply to the court for the removal of the guardian or curator.
Article 3.247. End of guardianship curatorship
1. Guardianship and curatorship shall end when the court judgement declaring the person legally incapable or the end of the limitations of active capacity becomes res judicata.
2. When a minor attains the age of 14, his or her guardianship comes to an end, while the guardian of the minor becomes a curator without any additional judgement of the court.
3. Curatorship comes to an end when the minor attains the age of 18 or when the minor acquires full active capacity before the age of 18 in cases provided for by the law.
CHAPTER XVIII
GUARDIANSHIP AND CURATORSHIP OF MINORS
Article 3.248. The purpose and objectives of child guardianship (curatorship)
1. The purpose of child guardianship (curatorship) is to ensure the child’s upbringing and care in an environment which would facilitate the child’s growing up, development and progress.
2. Objectives of child guardianship (curatorship):
1) to appoint for the child a guardian whose duty it will be to take care of the child, bring him up, represent the child and protect his rights and legitimate interests;
2) to provide the child with living conditions which would be adequate for his age, state of health and development level;
3) to prepare the child for independent life in a family and in the society.
Article 3.249. Principles of establishing child guardianship (curatorship)
1. The establishment of child guardianship (curatorship) shall be governed by the following principles:
1) first consideration must be given to the interests of the child;
2) priority in becoming the child’s guardians (curators) must be accorded to his close relatives, provided this is in the child’s best interests;
3) the child’s guardianship (curatorship) in a family;
4) non-separation of siblings, except when this is contrary to the child’s interests.
2. When child guardianship (curatorship) is established or ended, or a guardian is appointed to a child capable of expressing his or her views, the child shall be provided an opportunity to be heard and to influence the decision making.
Article 3.250. Determination and registration of children in need of guardianship (curatorship)
1. Employees of educational, health care, police and other institutions as well as any person in possession of any knowledge of minors deprived of parental care or of the necessity to protect a minor’s rights and interests (cruel treatment of children by their parents, illness, death, departure or disappearance of the parents, failure of the parents to take back their children from educational or health care institutions, etc.) shall be obliged to notify immediately the State institution for the protection of the child’s rights of the child’s district of residence or their own district.
2. The State institution for the protection of the child’s rights shall be responsible for the determination of children in need of guardianship (curatorship) and their registration. The Institution shall place a child under temporary guardianship (curatorship) within three days of the receipt of information about the child’s need of guardianship (curatorship).
3. The heads and other officials of the institutions referred to in paragraph 1 of this Article shall be responsible under law for any misrepresentations, concealment of a child in need of guardianship (curatorship), creating obstacles for the establishment of guardianship (curatorship) or any other violations of the rights and interests of the child.
Article 3.251. Establishment of guardianship and curatorship
1. Guardianship shall be established for children under the age of 14.
2. Curatorship shall be established for children older than 14.
Article 3.252. Kinds and forms of child guardianship (curatorship)
1. Kinds of child guardianship (curatorship):
1) temporary guardianship (curatorship);
2) permanent guardianship (curatorship).
2. Forms of child guardianship (curatorship):
1) family guardianship (curatorship);
2) social family guardianship (curatorship);
3) institutional guardianship (curatorship).
Article 3.253. Temporary child guardianship (curatorship)
Temporary child guardianship (curatorship) means care for and upbringing of a child temporarily deprived of parental care, also representation and protection of the child’s legitimate interests in the family, social family or institution. The purpose of temporary child guardianship (curatorship) is to return the child into the child’s natural family.
Article 3.254. Fundamentals of placing a child under temporary child guardianship (curatorship)
A child shall be placed under temporary child guardianship (curatorship) if the child’s:
1) parents or single parent are missing and attempts are made to trace them (pending the court judgement declaring them missing or dead);
2) parents or single parent are temporarily incapable of taking care of the child because of the parents’ (the father’s or the mother’s) illness, arrest, imposed sentence, or due to other compelling reasons;
3) parents or single parent do not take care of the child, neglect him, do not look after him, do not bring him up properly, use physical or psychological violence thereby endangering the child’s physical, mental, spiritual or moral development and safety (pending the court order separating the child from the parents).
Article 3.255. End of temporary child guardianship (curatorship)
Temporary child guardianship (curatorship) shall end when the child:
1) is returned into his family;
2) attains majority or emancipation;
3) permanent guardianship (curatorship) is established for him;
4) is adopted;
5) enters into a marriage.
Article 3.256. Permanent child guardianship (curatorship)
Permanent child guardianship (curatorship) shall be established for children deprived of parental care who, under the existing conditions, are unable to return into their natural family, and their care, upbringing, representation and protection of their rights and legitimate interests are entrusted to another family, social family or guardianship (curatorship) institution.
Article 3.257. Placing a child under permanent guardianship (curatorship)
A child shall be placed under permanent guardianship (curatorship) when:
1) both parents or single parent of the child are dead;
2) both parents of the child or his single parent have been declared missing or dead by a court judgement;
3) the child has been separated from the parents in accordance with the procedure established by law;
4) the child’s parents or close relatives are not identified within a 3-month period after the child’s birth;
5) both parents or the single parent of the child are declared legally incapable in accordance with the procedure established by law.
Article 3.258. End of permanent child guardianship (curatorship)
Permanent child guardianship (curatorship) shall end when the child:
1) attains majority or emancipation;
2) is returned to his or her parents;
3) is adopted;
4) enters into a marriage.
Article 3.259. A child’s guardianship (curatorship) in a family
1. Child guardianship (curatorship) in a family shall involve no more than 5 children placed under guardianship in the environment of a natural family (the total number of children in the family including the parents’ natural children may not exceed 5).
2. The total number of children may exceed the number specified in paragraph 1 hereof where that is due to keeping siblings together.
3. When appointing a guardian of the child, priority shall be given to the child’s close relatives provided they have adequate living conditions and do not belong to the persons or the group of persons listed in Article 23 hereof.
Article 3.260. A child’s guardianship in a social family
1. A child’s guardianship (curatorship) in a social family is the form of guardianship where a legal person (social family) has under its guardianship or curatorship 6 or more children (the total number of children in a social family including the parents’ natural children may not exceed 12) in a family environment.
2. The total number of children may exceed the number specified in paragraph 1 hereof where that is due to keeping siblings together, or the total number of children may be less where one of the children under guardianship (curatorship) is disabled.
3. Child guardianship (curatorship) in a social family shall be established by the laws of the Republic of Lithuania, the Social Family Regulations approved by the Government or its authorised institution, and other legal acts.
4. The wage and other conditions of remuneration for work of the child’s guardian (curator) who has set up a social family shall be established based on the laws of the Republic of Lithuania, Government resolutions and other legal acts.
Article 3.261. Child guardianship (curatorship) in public and non-governmental guardianship institutions
1. A child deprived of parental care shall be placed in a public or non-government child guardianship institution where there is no possibility of placing the child under guardianship (curatorship) in a family or a social family.
2. Institutional child guardianship (curatorship) shall be established by the laws and other legal acts of the Republic of Lithuania.
Article 3.262. Placing a child under temporary guardianship (curatorship)
1. A child shall be placed under temporary guardianship (curatorship) on the decision (ordinance) of the municipal board (the mayor) at the recommendation of the institution for the protection of the child’s rights as of the day of the registration of the application with the regional (city) local government.
2. Temporary child guardianship (curatorship) shall be organised in accordance with the Regulations of Temporary Child Guardianship (Curatorship) approved by the Government of its authorised public institution.
Article 3.263. Placing a child under permanent guardianship (curatorship)
A child shall be placed under permanent guardianship (curatorship) on the basis of a court order taken at the application of the regional (city) institution for the protection of the child’s rights or a public prosecutor.
Article 3.264. Designation of a child’s guardian (curator)
1. Where a child is placed under temporary guardianship (curatorship), the child’s guardian (curator) shall be appointed by the decision of the regional (city) municipal board (the mayor) on the recommendation of the institution for the protection of the child’s rights of the respective region (city). Recommendations for the appointment of a guardian may be presented to the institution for the protection of the child’s rights by public or non-government organisations related to the protection of the child’s rights.
2. The decision (ordinance) of the regional (city) municipal board (the mayor) on the appointment of a guardian for the child’s shall specify: the name of the institution which adopted the decision, the date of the decision, the kind of guardianship the child is placed under, the guardian of the child, the child under guardianship, the place of guardianship, the institution responsible for the protection of assets owned by the child, other important circumstances which affect the guardianship of the child and the establishment thereof.
3. Where a child is placed under permanent guardianship (curatorship), the guardian (curator) of the child shall be appointed by the court order on the application of the institution for the protection of the child’s rights of the region (city).
4. The guardianship (curatorship) of the child shall be established taking into consideration the wish of the child’s dead parents (adoptive parents) expressed in their will regarding the appointment of the child’s guardian (curator) provided it is in conformity with Article 3.269 hereof.
Article 3.265. Place of guardianship (curatorship)
The place of guardianship (curatorship) of the child may be:
1) the guardian’s (curator’s) place of residence;
2) the child’s place of residence;
3) an institution of child guardianship.
Article 3.266. Organising child guardianship (curatorship)
1. The institution for the protection of the child’s rights of the region (city) shall be responsible for organising the placement of a child under guardianship (curatorship).
2. When organising the placement of a child under guardianship (curatorship), the regional (city) institution for the protection of the child’s rights of the district (city) municipality shall co-operate with other local authorities and non-government institutions and organisations related to the protection of the child’s rights.
3. The procedure for organising the guardianship (curatorship) of a child pursuant to this Book hereof shall be established by the Regulations for the Organisation of Child Guardianship approved by the Government.
Article 3.267. Supervision of child guardianship (curatorship)
1. The guardianship (curatorship) of a child in a family, social family or institution shall be supervised by the regional (city) Child’s Rights Protection Institution.
2. In supervising child guardianship (curatorship), the regional (city) Child’s Rights Protection Institution shall co-operate with other institutions related to the protection of the child’s rights.
Article 3.268. The procedure for the selection of the guardian (curator) for a child
1. A child’s guardian (curator) shall be selected by taking into consideration his or her personal qualities, state of health, abilities to function as a guardian (curator) , relations with the child deprived of parental care, and the interests of the child.
2. The prospective guardian (curator) of the child shall file the following documents with the regional (city) Child’s Rights Protection Institution:
1) an application specifying the number of children he or she wishes to assume the guardianship and upbringing of, their age and the kind of guardianship;
2) a health certificate in the format established by the institution authorised by the Government;
3) the written consent of persons over 16 living together with the applicant.
Article 3.269. Persons which may not be appointed guardians (curators) of a child
The following persons may not be appointed guardians (curators) of a child:
1) a person under 21 unless it is a close relative who wishes to assume the guardianship of the child;
2) a person declared legally incapable or of limited active capacity ;
3) a person from whom the child has been separated;
4) former adoptive father (adoptive mother) if his (her) parental authority has been restricted because of the adoptive father’s (adoptive mother’s) failure to duly fulfil his (her) duties or if he (she) has been separated from the child;
5) if the person’s authority as the child’s guardian (curator) has been terminated on the basis of paragraph 2 Article 3.246 hereof;
6) a person who has a record of convictions for wilful offences;
7) a person of 65 and over, except for a close relative if he or she wishes to assume temporary guardianship of a child under 10 years of age;
8) a person suffering from chronic alcoholism, drug addiction, mental or other diseases included in the list approved by the Government.
Article 3.270. Preparation for child guardianship (curatorship)
The child guardian’s (curator’s) preparation for guardianship (curatorship) shall be organised and co-ordinated by regional (city) Child’s Rights Protection Institutions, other organisations and agencies with relevant work experience.
Article 3.271. Duties of a child’s guardian (curator)
A child’s guardian (curator) shall be obliged to:
1) ensure the child’s physical and mental safety;
2) take care of the child’s health and schooling;
3) educate the child;
4) decide issues related to the child’s interests in co-operation with the interested central and local government institutions;
5) create no obstacles for the child’s contact with his or her biological parents provided this is not detrimental to the child’s interests;
6) maintain contact with the child’s parents, inform the child’s parents and close relatives, if they so request, about the child’s development, health, studies and other important issues;
7) organise the child’s leisure activities, taking into account the child’s age, development level and inclinations;
8) prepare the child for independent life and work in the family, civic society and the State.
Article 3.272. The rights of a child’s guardian (curator)
1. A child’s guardian (curator) shall be the child’s statutory representative and shall defend the child’s rights and legitimate interests.
2. A child’s guardian (curator) shall have the right to demand in court the return of the child from any person who keeps the child unlawfully.
Article 3.273. Liability of a child’s guardian (curator)
1. A child’s guardian (curator) shall be held liable under law for the damage inflicted by the child.
2. A child’s guardian (curator) shall be held liable under law for failure to fulfil his or her duties or their improper fulfilment
Article 3.274. Maintenance of a child ward
Maintenance of a child under guardianship in a family, social family or non-government guardianship institution shall be regulated by law.
Article 3.275. Management of the child ward’s income
Funds intended for the maintenance of the child under guardianship shall be managed by the child’s guardian (curator) exclusively in the interests of the child in accordance with the rules of Book Four hereof on the regulation of asset administration.
Article 3.276. Relations between the child and the child’s guardian (curator) in property
1. The child under guardianship shall acquire no property rights to the assets of his or her guardian (curator).
2. A child’s guardian (curator) shall acquire no property rights to the assets owned by the child under guardianship.
CHAPTER XIX
GUARDIANSHIP AND CURATORSHIP OF ADULT PERSONS
Article 3.277. Placing under guardianship or curatorship
1. An adult person declared legally incapable by the court shall be placed under guardianship by a court judgement.
2. An adult person declared by the court to be of limited active capacity shall be placed under curatorship.
Article 3.278. Monitoring of the guardian’s or the curator’s activities
1. Guardianship and curatorship institutions shall be obliged to monitor if the guardian (curator) fulfils his or her duties properly.
2. The duties of the guardian (curator) related to the administration of the ward’s assets shall be established by the rules of Book Four hereof on the regulation of asset administration.
Article 3.279. Curatorship of a person of Full Active Capacity
1. At the request of a natural person of full active capacity incapable of exercising his or her rights or of performing his or her duties due to health reasons may be placed under curatorship.
2. The curator of a person of full active capacity shall be appointed by a court order at the request of the person of full active capacity or on the application of a guardianship (curatorship) institution.
3. A curator may be appointed only with his or her written consent. The competent person and the curator shall conclude an agency agreement or an agreement on the management of assets in trust setting forth the rights and duties of the curator related to the management, use and disposal of the assets of the person of full active capacity.
4. Curatorship shall be cancelled by a court order at the request of the person of full active capacity.
5. In cases provided for in this Article, Article 3.244 hereof shall be applicable to the extent in which it is compatible with the agreement concluded between the curator and the person of full active capacity.
PART VIII
REGISTRATION OF CIVIL STATUS ACTS
CHAPTER XX
GENERAL PROVISIONS
Article 3.280. Agencies registering civil status acts and their competence
1. City and regional register offices shall register births, acknowledgements and determinations of paternity, divorces, adoptions, changes of names, surnames and nationality, and deaths.
2. In towns which do not have register offices the heads of local district councils (except for the local district of the municipality centre) shall have the right to register deaths.
3. Consular Offices of the Republic of Lithuania shall have the right to register the birth, marriage and death of the citizens of the Republic of Lithuania.
Article 3.281. Rules for the registration of civil status acts
Civil status acts shall be registered, restored, changed, supplemented and corrected subject to the Regulations on Civil Registration approved by the Minister of Justice.
Article 3.282. Language of the records of civil status acts
The records of civil status acts shall be made in Lithuanian. The name, surname and place names shall be spelled in accordance with the rules of the Lithuanian language.
Article 3.283. Prohibition to make records of civil status acts for oneself and for one’s relatives
It shall be prohibited to make records of civil status for oneself, one’s spouse, parents, children, and siblings.
Article 3.284. Documents filed for the record of civil status
Making a record of a civil status act requires the presentation of identity documents and the acts to be registered in the register office.
Article 3.285. Making records of civil status acts
Each record of a civil status act shall be legible to the applicants; it shall be signed by the official making the record and stamped with the stamp of the institution registering civil status acts. Applicants for the registration of births, marriages, divorces, changes of names, surnames and nationality and deaths shall be issued respective certificates.
Article 3.286. Challenging and cancelling records of civil status acts
1. Records of civil status acts may be challenged only in court.
2. After the primary records are discovered, the restored records of civil status acts shall be destroyed by the decision of the head of the register office.
Article 3.287. Supervision of the legitimacy of records of civil status acts
The legitimacy of records of civil status acts made by register offices and local district authorities shall be supervised by the Ministry of Justice following the procedure established in its regulations.
Article 3.288. State fee for registration of civil status acts
Registration of civil status acts in register offices as well as correction and modification of the records of such acts shall be subject to a state fee in the procedure established by law.
CHAPTER XXI
REGISTRATION OF BIRTHS
Article 3.289. Registration of births
1. The birth of a child shall be registered with the register office of the child’s residence place or one of the parents’ residence place.
2. At the request of the parents of the child, the register office shall make the registration of the child’s birth a solemn occasion.
Article 3.290. Notification of births
1. A birth shall be notified, orally or in writing, by the parents or one of the parents; if the parents are sick, dead or cannot do that for other reasons, the birth shall be notified by relatives, neighbours, the administration of the maternity home where the child was born or the state institution for the protection of the child’s rights.
2. The birth of a foundling shall be registered on the application of the person who found the child or the state institution for the protection of the child’s rights.
Article 3.291. Time limits for the registration of birth
1. The birth of a child shall be notified and registered within three months of the date of the child’s birth; in cases of a stillborn baby – within three days from the time of its birth.
2. An application for the registration of a foundling shall be filed within three days of the moment when the child was found.
Article 3.292. Record of birth
1. The record of birth shall include the name, surname and nationality of the child as well as data on the child’s parents in accordance with the rules set in Articles 3.139, 3.140, 3.166 and 3.167 hereof.
2. Where the paternity of the child has not been ascertained, data on the child’s father shall not be entered.
3. The name and surname of a child whose parents are not known shall be recorded on the instructions of the state institution for the protection of the child’s rights.
4. The registration of the child’s birth shall be followed by the issuance of the birth certificate.
CHAPTER XXII
REGISTRATION OF THE ACKNOWLEDGEMENT
AND DETERMINATION OF PATERNITY
Article 3.293. Registration of the acknowledgement of paternity
1. Acknowledgement of paternity shall be registered in the register office of the child’s mother’s residence on the basis of the applications of the child’s mother and father for the confirmation of the acknowledgement of paternity. Where the paternity is acknowledged after the registration of the child’s birth, the acknowledgement of paternity shall be registered in the register office where the child’s birth was registered.
2. In cases provided for in paragraph 5 Article 3.140 and Article 3.144, the acknowledgement of paternity shall be registered on the presentation of the application for the confirmation of the acknowledgement of paternity approved by the court.
Article 3.294. Registration of paternity affiliation
Paternity affiliation shall be registered in the register office where the child’s birth was registered on the basis of the court order on the determination of paternity.
Article 3.295. Data on the father in the record of the child’s birth
On the basis of the application on the acknowledgement of paternity or the court order on the determination of paternity, the register office shall record data on the child’s father in the record of the child’s birth and shall issue a new birth certificate.
CHAPTER XXIII
REGISTRATION OF ADOPTIONS
Article 3.296. Place of registration of an adoption
Adoption shall be registered in the register office where the child’s register was registered on the basis of the court order on adoption.
Article 3.297. Data in the birth record of an adopted child
1. Where on the basis of a court judgement the adopted child is given a new name or the surname of the adoptive parents, these data are changed accordingly in the child’s birth record.
2. In the birth record of the adopted child the data on the child’s parents shall be replaced by the data on the child’s adoptive parents.
3. Where a child has been adopted only by a man or a woman, the data on the other parent of the child shall be deleted from the record and shall not be replaced by new data.
4. The change of data in the child’s birth record shall be followed by the issuance of a new birth certificate.
CHAPTER XXIV
REGISTRATION OF MARRIAGES
Article 3.298. Place of registration of marriage
Marriages shall be registered in the register office of the residence of one of the spouses or their parents as well as in the consular posts of the Republic of Lithuania.
Article 3.299. Application for the registration of marriage
1. Future spouses shall file an application of a standard format with the registration office of the residence of one of them or, at their own discretion, of that of their parents.
2. In their application future spouses shall confirm that all the conditions for contracting a marriage set forth in Articles 3.12-3.17 have been complied with; each of them shall indicate the number of their previous marriages and the number of their children.
3. The application for the registration of marriage shall be cancelled if at least one of the applicants fail to appear to register the marriage at the set time or withdraws his or her application.
Article 3.300. Documents to be presented together with the application for the registration of marriage
1. Together with their application for the registration of marriage, the future spouses shall present their birth certificate and passport or any other identification document.
2. A divorcee shall also present his or her divorce certificate.
3. The application of foreign nationals for the registration of marriage shall be accompanied with a document issued by a competent authority of their State confirming that there are no obstacles for the marriage.
Article 3.301. Time of registration of marriage
1. The marriage shall be registered no sooner than after a month from the day of filing the application for the registration of marriage.
2. At the request of the future spouses and in the event of important reasons, the head of the register office shall have a right to permit the registration of the marriage earlier than a month after the day of filing the application.
Article 3.302. Public announcement of an application for the registration of marriage
1. The filing of an application for the registration of marriage shall be publicly announced in the register office no later than two weeks before the registration day.
2. The announcement shall indicate the names, surnames and birth dates of the future spouses and the date of the registration of the marriage.
Article 3.303. Registration of marriage
1. Marriages shall be registered in the presence of both the future spouses and two witnesses.
2. Before the registration of a marriage, the official of the register office shall be obliged to check once more if all the conditions set in Articles 3.12-3.17 for contracting a marriage have been fulfilled.
3. The making of the marriage record shall be followed by the issuance of a marriage certificate.
4. The fact of the registration of marriage shall be entered in the passports or any other identity documents of the spouses by indicating the name, surname and birth date of the other spouse, the place and date of the registration of the marriage.
Article 3.304. Registration of religious marriages
1. Within ten days of the religious marriage the person authorised by the respective religious organisation shall be obliged to present to the local register office a notification of the religious marriage solemnised in the procedure set by the Church (confession).
2. Having received a notification of a religious marriage, the register office shall make a record of the marriage and issue a marriage certificate in accordance with the rules of paragraphs 2, 3 and 4 Article 3.303 hereof provided the requirements of Articles 3.12-3.17 hereof have been complied with. In such a case the marriage shall be considered to be contracted on the day of its registration in the procedure set by the Church.
3. If the registration of a marriage in the procedure set by the Church is not notified within the time limit set in paragraph 1 hereof, the marriage shall be held to have been contracted on the day when it was registered in the register office.
CHAPTER XXV
REGISTRATION OF DIVORCE
Article 3.305. Registration place of divorce
Divorce shall be registered in the register office of the district of the court that has rendered the divorce decision.
Article 3.306. Procedure for the registration of divorce
1. On receiving a court judgement on divorce, the register office shall make a record of divorce, issue divorce certificates to both the former spouses and make a record of divorce in their passports or any other identity document.
2. Having registered a divorce, the register office shall send a standard notification of the divorce to the register office that registered the marriage, while the latter shall make respective changes in its record of marriage registration.
CHAPTER XXVI
REGISTRATION OF THE CHANGE OF
A NAME, SURNAME OR NATIONALITY
Article 3.307. Procedure for the registration of the change of a name, surname or nationality
The change of a name, surname or nationality shall be registered in the register office of the applicant’s residence with the permission of the Ministry of Justice.
Article 3.308. Making changes in the records of civil status in respect of the change of a name, surname or nationality
If there is a permission of the Ministry of Justice to change a name, surname or nationality, the register office shall make the respective changes in the records of birth, marriage and divorce and shall issue a certificate on the change of the name, surname or nationality and new birth, marriage and divorce certificates.
CHAPTER XXVII
REGISTRATION OF DEATH
Article 3.309. Procedure for the registration of death
1. Death shall be registered in the offices or one of the offices referred to in Article 3.280 of the residence of the deceased on the basis of the medical certificate of death.
2. On the basis of a court decision on the assumption of death or on the determination of the fact of death, death shall be registered in the register office of the location of the court which has taken the decision.
Article 3.310. Notification of death
Death shall be registered upon the application of the relatives or neighbours of the deceased or of the owner of the home where the deceased person lived, as well as on the notification by the administration of the medical centre where the person died or the police commissariat.
Article 3.311. Time limit for the registration of death
Death shall be notified and registered within three days of the death or the time when the dead body was discovered.
Article 3.312. Death record
While registering death, the register office referred to in Article 3.280 hereof shall make a death record and issue a death certificate.
CHAPTER XXVIII
RESTORATION, SUPPLEMENTATION OR CORRECTION OF
CIVIL STATUS RECORDS
Article 3.313. Procedure for the restoration, supplementation or correction of civil status records
1. Civil status records shall be restored, supplemented or corrected by a register office provided the restoration, supplementation or correction has a justified reason and is not disputed by interested parties.
2. In case of a dispute between the interested parties, civil status records shall be restored, supplemented or corrected by a court decision.
CHAPTER XXIX
KEEPING CIVIL STATUS RECORDS AND DOCUMENTS ON THEIR CHANGES
Article 3.314. The procedure of keeping of civil status records and documents on their changes
The procedure for filing and keeping civil status records and documents on their changes shall be established by the Ministry of Justice in conjunction with the Archives Department of Lithuania.
BOOK FOUR
MATERIAL LAW
PART I
THINGS
CHAPTER I
GENERAL PROVISIONS
Article 4.1 Definition of things
Things are objects of the material world obtained from nature or manufactured.
Article 4.2 Movable and immovable things
- 1.
-
Immovable things are things immovable by nature and things movable by nature but considered immovable by law.
- 2.
-
Immovable things are parcel of land and things related thereto, which cannot be moved from one place to another without altering their essence and without significantly reducing their value.
- 3.
-
Movable things are things that can be moved from one place to another without altering their essence and without significantly reducing their value.
- 4.
-
A movable thing incorporated with an immovable thing that has lost its individual characteristics, shall be deemed a part of an immovable thing.
- 5.
-
A movable thing that is physically fastened or else attached to an immovable thing, also making part thereof, but without losing its individual characteristics, shall not be considered an immovable thing.
- 6.
-
Consistent parts of an immovable thing separated therefrom temporarily maintain their properties of an immovable thing if these parts are to be restored thereto.
- 7.
-
Rules established for immovable things may be applied to movable things and vice versa, provided this is established by law or by agreement between parties on condition such agreement does not contradict the law.
Article 4.3 Fungible and non- fungible things
- 1.
-
Fungible things are those for which only the properties of the kind are taken into consideration, which do not possess individual characteristics.
- 2.
-
Non-fungible things are those that possess individual characteristics.
Article 4.4. Things with individual characteristics and things with properties of a kind
- 1.
-
Things shall be deemed to have individual characteristics when they are distinguishable from other things of the same kind by some characteristics or other.
- 2.
-
Things shall be considered to have properties of a kind when they have characteristics common to a kind of things.
Article 4.5. Consumable and non-consumable things
- 1.
-
Consumable things are such as once used according to their destination are immediately destroyed, lost or undergo an essential change.
- 2.
-
Non- consumable things are such as once used according to their destination remain without essential changes in terms of their value and purpose for a long time.
Article 4.6 Divisible and indivisible things
- 1.
-
Divisible things are such as may be divided physically without changing their essential properties and where each part thereof may be used as a self-contained unit.
- 2.
-
Indivisible things are such as once divided physically change their essence, as well as things divisible by nature that are recognised indivisible by law.
- 3.
-
Divisible things by nature may be recognised as indivisible if the parties so agree.
Article 4.7. Things taken out of circulation, things in limited circulation and things remaining in circulation
- 1.
-
Each person may own any things provided these are not taken out of circulation or are not in limited circulation.
- 2.
-
Things out of circulation shall be the exclusive property of the State.
- 3.
-
Things in limited circulation are things with certain properties whose circulation is limited due to safety, health concerns, or other public needs.
Article 4.8. Household things
Household things are all things used in household activities such as movable things, furniture, decorative items, with the exception of book collections (libraries), collections of art works and other valuable collections, as well as items of scientific or historic value.
Article 4.9. Encumbrances of Real Rights
- 1.
-
Encumbrances of real rights are obligations related to the thing.
- 2.
-
Encumbrances of real rights shall pass on to the new owner together with the thing. When the encumbrances of real rights have to be registered, only the registered encumbrances shall be passed on to the new owner with the thing. In cases established by law or by mutual consent of the persons involved, encumbrances of real rights together with the thing may be transferred on to another person.
- 3.
-
When immovable thing is partitioned or joined with another immovable thing, real rights and encumbrances registered in the public register shall remain unless otherwise stipulated by law.
Article 4.10. Thing expenses
- 1.
-
Thing expenses fall into common and extraordinary.
- 2.
-
Common thing expenses are those necessary for the security of the thing and in order to protect the thing from destruction or marked deterioration.
- 3.
-
Extraordinary expenses are such as used for thing melioration or in order to increase income from such thing.
Article 4.11. Things by value
- 1.
-
By their value things fall into those with common value, those with special value and those that have a value based on personal considerations.
- 2.
-
The common value of a thing shall depend on the usefulness of the thing.
- 3.
-
The special value of a thing shall depend on the use that a person obtains possessing, using or disposing of the thing.
- 4.
-
The value based on personal considerations shall depend on the qualities that a person attributes to the thing due to his exclusive relationship with the said thing, irrespective of the use that may be usually recovered from the said thing.
SECTION TWO
PRINCIPAL AND AUXILIARY THINGS
Article 4.12. Principal things
Principal things are such as may be an independent objects of legal relationships.
Article 4.13. Auxiliary things
- 1.
-
Auxiliary things are such as exist only in conjunction with principal things or belonging to principal things, or otherwise associated thereto.
- 2.
-
Auxiliary things fall into essential parts of principal things, fruit obtained from principal things, product and income, and appurtenances of principal things.
Article 4.14. Treatment of auxiliary things
- 1.
-
Auxiliary things shall be treated in the same way as principal things, unless otherwise provided by law.
- 2.
-
When during the process of transferring a principal thing to another owner a dispute arises regarding an auxiliary thing, the auxiliary thing shall be transferred to another owner together with the principal thing, unless proven that the opposite should apply.
Article 4.15. Essential parts of a principal thing
Essential parts of a principal thing are such as are inseparably connected to and incorporated into the principal thing, so that without these the principal thing could not be used according to its essence or would be recognised as incomplete.
Article 4.16. Fruit
Fruit are things which are bound to separate, separate or are separated from the principal thing as the latter matures organically, without damaging the integrity and purpose of the principal thing.
Article 4.17. Output
Output is work- created things that are produced as a result of a manufacturing process that uses principal things.
Article 4.18 Income
- 1.
-
Income obtained from a thing is money and other material goods which are obtained by using the principal thing in civilian turnover.
- 2.
-
Income may also be all things that may be obtained by using the principal thing in various modes. In this sense, income is not only things as described in paragraph 1 of this Article but also fruit and output.
Article 4.19. Appurtenances
- 1.
-
Appurtenances are independent secondary things meant for serving the principal thing, which are constantly linked to the principal thing by their qualities.
- 2.
-
The putting together of two or more things does not render one of these things an appurtenance if there are no characteristics described in paragraph 1 hereof.
PART TWO
REAL RIGHTS
CHAPTER III
GENERAL PROVISIONS
Article 4.20. Definition of real rights
Real right is an absolute right that manifests itself by the right of the owner to implement the right of possessing, using, disposing or by some of these rights.
Article 4.21. Legal regime of real rights
A legal regime established for immovable things shall be applied to real rights regarding immovable things, and legal regime established for movable things shall be applied to real rights to movable things, unless otherwise stipulated by law.
CHAPTER IV
POSSESSION
SECTION I
GENERAL PROVISIONS
Article 4.22. Possession
- 1.
-
Possession as an independent real right to things which is the basis for acquiring property right according to acquisitive prescription, is the actual holding of a thing with a purpose to have it as one’s own.
- 2.
-
Possession is not considered an independent real right to a thing when the actual holder of a thing recognises another person as the possessor or owner.
Article 4.23. Legal and illegal possession
- 1.
-
Possession of a thing may be legal and illegal.
- 2.
-
Possession of a thing shall be considered legal when the thing is acquired on the same basis as property right. Possession shall be considered legal unless the opposite is proven.
- 3.
-
Illegal possession is such as exercised by force, in a clandestine manner, or by violating other legal acts.
Article 4.24. Object of possession
Any thing that may be the subject-matter object of real right shall be a subject-matter object of possession.
SECTION TWO
ACQUISITION AND IMPLEMENTATION OF POSSESSION
Article 4.25. Acquisition of possession
- 1.
-
Possession may initiate by taking over a thing, or by transferring on or inheriting the right of possession.
- 2.
-
Possession shall initiate by taking over a thing physically, when the person who has taken over may affect the thing as he wishes. Also, by taking over a thing the person must express one’s will to have the thing as one’ own.
- 3.
-
A person may possess a thing without a direct or indirect physical contact between himself and the thing.
Article 4.26. Acquisition of possession in good faith and in bad faith
- 1.
-
Possession may be acquired in good faith and in bad faith.
- 2.
-
Possession shall be deemed in good faith until the opposite is proven.
- 3.
-
Possession shall be deemed to be in good faith when the person who takes possession is convinced that nobody has more rights to the thing that he is taking over than himself.
- 4.
-
Possession shall be deemed to be in bad faith when the possessor knew or had to know that he had no right to acquire possession of the thing or that another person had more rights to the said thing.
Article 4.27. Acquisition of possession of immovable thing
- 1.
-
Possession of immovable thing may initiate by taking over the thing physically and when the person relinquishing the immovable thing indicates that the thing has been relinquished, provided no impediments exist to accede to the thing or to possess it physically in some other way.
- 2.
-
Possession of immovable thing shall initiate as of the moment of the registration of possession in public register.
- 3.
-
Possession cannot be registered in public register if real right to this thing has already been registered.
Article 4.28. Acquisition of possession of movable thing
Acquisition of possession of movable thing shall start:
- 1)
-
when the person desiring to acquire the possession of movable thing takes the thing into his hands,
- 2)
-
when the person desiring to acquire possession of movable thing has started safekeeping the thing or safekeeping is being carried out upon his instruction;
- 3)
-
when upon the instruction of the person desiring to acquire possession of a thing the latter is given to a person nominated by him;
- 4)
-
when a thing is placed in a premise owned by the person desiring to acquire possession of the thing,
- 5)
-
when the person desiring to acquire possession of the thing is given the keys to a premise containing the thing,
- 6)
-
when a person desiring to acquire possession marks nobody’s thing accordingly;
- 7)
-
when a thing to be captured entered a trap, a net etc.,
- 8)
-
upon completion of other acts expressing a person’s will to acquire possession of a thing.
Article 4.29. Acquisition of possession through another person
If a person relinquishing the possession of a thing through another person had the intention to relinquish such thing to a concrete person, possession of a thing so relinquished starts also if the person through whom the thing is relinquished would like to acquire the thing for himself or for yet another person.
Article 4.30. Actual possession through another person
The possessor may possess a thing through another person who must obey the instructions of the possessor.
SECTION THREE
PROVISIONS REGARDING THE TERMINATION OF POSSESSION
Article 4.31. Termination of possession
- 1.
-
Possession shall be terminated when the possessor relinquishes his as possessor’s rights to the thing, i.e. when he relinquishes the actual possession of a thing or keeping it as his own, and in other cases provided by law.
- 2.
-
Relinquishing of possession shall be clearly expressed or implied.
- 3.
-
The possessor’s non-use of an immovable thing does not indicate that he relinquishes possession thereof if his wish to relinquish possession may not be implied from other circumstances.
Article 4.32. Termination of possession of movable thing
Possession of movable thing shall terminate upon the possessor’s losing the ability to affect the thing as he wishes, when:
- 1.
-
the thing’s possession is taken over by another person, even if in a clandestine manner or by force,
- 2.
-
the possessor has lost the thing and fails to find it,
- 3.
-
the possessor may not have the thing for other reasons.
Article 4.33. Termination of possession of immovable thing
- 1.
-
Possession of immovable thing shall be terminated when the possessor not only loses the ability to affect the thing as he wishes, but when he undertakes no means to restore such ability.
- 2.
-
Possession of immovable thing shall terminate when the efforts of the possessor to restore the effect upon the thing have been unsuccessful.
- 3.
-
Possession of immovable thing shall terminate as of the moment the registration of possession in the public register is cancelled.
SECTION FOUR
PROTECTION OF POSSESSION
Article 4.34. Protection of possession
- 1.
-
Each possessor is entitled to defend his current possession and to retake the possession that has been taken away forcefully.
- 2.
-
The possessor may demand remuneration by a court order not only of the protection of possession but also of the losses incurred due to breach of possession.
- 3.
-
A possessor in good faith may be remunerated for the expenses incurred due to the holding of possession, with the exception of cases when these are indemnified by the income received from the possession. A possessor in good faith shall also have the right to keep the parts that have been added to meliorate the possession, provided their removal does not cause damage to the possession. If these parts cannot be separated, a possessor in good faith shall have the right to demand compensation for the expenses incurred due to the melioration, but no higher than the increase in the value of the possession.
Article 4.35. Violation of possession
- 1.
-
Possession may be violated by taking or attempting at taking the possession or a part thereof, as well as the rights thereto or by impeding the possession. Violation of possession may be expressed by threats that cause real danger to the possession.
- 2.
-
Actions coinciding formally with the description given in paragraph 1 of this Article shall not be considered violations of possession provided the person indicated as the violator of possession proves that the possession by the plaintiff has originated from him illegally.
- 3.
-
The claim by the person indicated as the violator of the possession that the possession by the plaintiff originated illegally from a third person shall not be considered the reason to recognise that the person indicated as violator of possession has not violated the possession.
Article 4.36. Disputes regarding possession
- 1.
-
If a dispute regarding possession arises when two or more persons claim to be the possessors of the same thing and when they furnish facts proving that heir possession continues, the possession of the person that proves that he is the legitimate possessor of a thing shall be defended.
- 2.
-
If none of the persons involved in a dispute manage to prove this, the possession by the person that was the first to enter in possession shall be defended.
CHAPTER V
RIGHT OF OWNERSHIP
SECTION ONE
GENERAL PROVISIONS
Article 4.37. Definition of ownership right
- 1.
-
Ownership right is the right to manage, possess, use and dispose of a object of ownership right at one’s volition, without violating the laws and the rights and interests of other persons.
- 2.
-
The owner shall enjoy the right to pass the entire object of ownership rights or a part thereof to another person, or only specific rights stipulated in paragraph 1 of this Article.
Article 4.38. Object of ownership right
The subject-matter object of ownership right may be things and other property.
Article 4.39. Limitation of ownership right
- 1.
-
Right of ownership may be limited by the will of the owner, by law, or by court judgement .
- 2.
-
If doubts regarding the limitation of right of ownership arise, it shall be considered in all cases that the right of ownership is not limited.
Article 4.40. Content of the rights of owners of a land parcel
- 1.
-
The owner of a land parcel shall have as his ownership the upper layer of the soil of the parcel, the construction works and the appurtenances constructed on the parcel, as well as other immovable things, if the law does not provide otherwise.
- 2.
-
The owner of a land parcel shall enjoy such rights to the space above his parcel as do not contradict the law and as necessary for the intended use of the parcel.
- 3.
-
The owner of a land parcel shall have ownership right to the topsoil of the parcel and to the minerals in the soil in so far as this does not contradict the law and as is necessary for the intended use of the parcel.
Article 4.41. Content of ownership right of animals
The owner of animals, in realising the ownership right, must follow the laws governing the protection and keeping of animals, and other requirements stipulated by legal acts.
Article 4.42. Right to parts of trees, bushes, and other vegetation of neighbouring parcels and their fruit
- 1.
-
The owner of a land parcel shall have the right to cut off and take such roots and branches of trees, bushes, and other vegetation growing in a neighbouring parcel as grow on his parcel, when he has requested in advance the owner of the neighbouring parcel that such removal should be carried out, establishing the timeframe for their removal and seeing the failure to remove them in the timeframe established.
- 2.
-
This right shall not pertain to the owner of a land parcel if the roots and branches of trees, shrubs and other vegetation growing in a neighbouring parcel do not impede the cultivation of the land parcel.
- 3.
-
In all cases the owner of a land parcel acquires ownership right to fruit received from the branches of trees, shrubs and other vegetation growing on the neighbouring parcel that extend on to his parcel, and to fruit obtained from the stalks, twigs and roots of other plants growing on a neighbouring parcel that extend to his parcel.
Article 4.43. Temporary use of land parcel of another’s ownership for transport
- 1.
-
The owner of a land parcel that has lost access to a public road, necessary for the intended use of his land parcel, may demand from the owners or users of neighbouring parcels that these should allow him, for transport purpose, to use their parcels until the obstacle that has interrupted transport, shall be removed. Disputes regarding the direction of a temporary road and the right to use it, if necessary, shall be decided in court.
- 2.
-
The owners of neighbouring parcels over which a temporary road is made, shall be compensated for the losses incurred due to the making of the road in advance.
Article 4.44. Impossibility to use temporarily another’s land parcel for transport
The owner of a land parcel which has lost access to a public road, necessary for the intended use of the parcel, may not demand from his neighbours temporary access across their parcels if his own intentional acts have interrupted access from his parcel to the public road.
Article 4.45. Delimitation of land parcel
- 1.
-
When the owners of land parcels fail to agree on the disputed limits of their parcels and these are not clear from the existing documents, the parcels shall be delimited by the court on the basis of pertinent documents, the limits of the actual parcels, and other evidence. If the limits cannot be established, each parcel shall be given an equal part of the plot under dispute, but none of the parcel formed in such manner can differ in size from the existing legally established parcel.
- 2.
-
The expenses of parcel delimitation shall be borne by both parties in equal parts, unless otherwise provided by agreements governing their mutual relations or established by court.
Article 4.46. Right to immovable things marking the limits of a land parcel
- 1.
-
Owners whose parcels are separated by a fence, trees, shrubs, wall or other immovable things that serves both parcels and marks the limits of these parcels, shall have the right to jointly use the objects, if it cannot be established that these objects belong to one specific owner.
- 2.
-
The owner that jointly uses immovable things marking the limits of his land parcel, shall have the right to use it according to its purpose in so far as this use does not interfere with the owner of the neighbouring parcel. Expenses related to the maintenance and protection of such objects shall be paid in equal parts, unless decided otherwise.
- 3.
-
The owner of one parcel cannot remove or alter the jointly used immovable things marking the limits of the land parcel without the agreement of the other owner.
- 4.
-
Other legal relations between the owners of neighbouring land parcels regarding the immovable things marking the limits of the parcels shall be established by provisions of joint ownership.
SECTION TWO
PROVISIONS REGARDING ACQUISITION AND LOSS OF OWNERSHIP RIGHT
Article 4.47. Provisions regarding the acquisition of ownership right
Ownership right may be acquired in the following way:
- 1)
-
by contract,
- 2)
-
by inheritance,
- 3)
-
by appropriating fruit and income,
- 4)
-
by producing a new thing,
- 5)
-
by appropriating a owner-less thing,
- 6)
-
by appropriating wild animals, wild and domestic bees,
- 7)
-
by appropriating stray and guardian-less domestic animals,
- 8)
-
by appropriating a find or a treasure,
- 9)
-
by obtaining, upon compensation, inappropriately kept public cultural values and other items (property),
- 10)
-
by confiscation or else alienating things (property) as a retribution for violation of the laws,
- 11)
-
by acquisitive prescription,
- 12)
-
as else described by law.
Article 4.48. Acquisition of ownership right by transfer
- 1.
-
The right of ownership may be transferred to another person only by the owner of a thing or by a person given such powers by the owner.
- 2.
-
The new owner acquires such rights and obligations regarding the transferred thing (property) as had the former owner of the thing (property), if the laws and the contract do not stipulate otherwise.
Article 4.49. The moment from which the acquirer of the thing by contract acquires ownership right
1.The acquirer of a thing (property) acquires the ownership right to the thing (property) as of the moment these are transferred to him, provided the laws or the contract does not stipulate otherwise.
2.The right of ownership to an immovable thing by contract is acquired as of the moment established by law.
3.The contract may stipulate that the ownership right shall pass to the acquirer only after the latter shall have carried out a condition established in the contract.
4.Ownership right to a future thing, with the exception of a thing subject to registration, may be transferred by contract in advance.
Article 4.50. Transfer of property to the acquirer
- 1.
-
The transfer of a thing gives the acquirer the opportunity to use the thing transferred according to its purpose, with due regard to the condition of the thing and to its legal status.
- 2.
-
The transfer is the passing into ownership of a thing to the acquirer, as well as the passing over of a thing, given without the duty to deliver to the destination, to a transport company for delivery to the acquirer and delivery by post to the acquirer, if the laws and the contract do not provide for differently.
- 3.
-
Transfer of a bill of lading or another document testifying to the disposal thereof equals to the transfer of the thing.
Article 4.51. Acquisition of things having a special import
Things having a special import to the economy of the Republic of Lithuania, to the public or to national security, or for other reasons (weapons, heavily poisonous substances, etc.) may be acquired only upon special permission. Such things and the order of obtaining permits necessary to acquire them shall be established by law.
Article 4.52. The risk of accidental perish or damage of a transferred thing
- 1.
-
The risk of accidental perish or damage of a thing being transferred shall pass to the acquirer at the moment that he acquires the ownership rights, unless otherwise stipulated by law or by contract.
- 2.
-
If the transferor misses the deadline to transfer the thing or the acquirer misses the deadline to receive the thing, the risk of accidental perish or damage of the thing shall be upon the party that has missed the deadline, unless otherwise stipulated by law or by contract.
Article 4.53. Ownership right to fruit and income
- 1.
-
The fruit borne by a thing and increase in animal stock belong to their owner unless the law or the contract establish otherwise.
- 2.
-
The results of economic use of a thing- output or income- belong to the owner of the thing unless the law or the contract establish otherwise.
Article 4.54. Things arising from joining movable things
- 1.
-
When movable things which are property of several owners join to form a new thing and there is no possibility to return them to their original state by partitioning them, or if the partitioning is fraught with excessive costs, when the owners have not agreed specifically upon joining the things, the new movable property arising therefrom shall be considered joint property whose parts belong to each of the co-owners in proportion to the value of the property so joined.
- 2.
-
If movable things belonging to different owners were joined without the consent and knowledge of one of these (others) and if there is a possibility to partition them and return them to their original state, this shall be done at the expense of the person that joined them.
Article 4.55 Making of a thing from another’s material
- 1.
-
A person who has made a new thing from another’s material becomes its owner, if the value of the work is larger than the value of the material and if the person did not and could not know that the material is somebody else’ ownership. In such case the person who has used another’s material shall recompense its value to the owner.
- 2.
-
If the value of the material is greater than the value of producing the thing, the owner of the material shall be owner of the thing. He shall have the right to keep the thing and recompense the value of its making, or renounce the thing in favour of the maker and claim compensation from the latter.
Article 4.56. Making of a thing from own and another’s material
- 1.
-
A person who has produced a new thing from his own and another’s material shall become the owner of the thing if the value of the work and that of the own material is greater than the value of another’s material and if such person did not and could not know that the material was another’s ownership. In such case the person who made use of another’s material shall repay to the owner the value of the material used.
- 2.
-
If the value of another’s material is higher than that of the work and own material, the owner of such material shall be considered the owner of the thing. He shall have the right to keep the thing and to pay for the making and for the other share of the material to the maker or renounce the thing in favour of the maker and claim compensation from the latter.
Article 4.57. Thing without owner
- 1.
-
A thing that does not have an owner or whose owner is unknown shall be considered an ownerless thing.
- 2.
-
A thing acquired in good faith and legally possessed shall not be considered ownerless when the possessor has not yet acquired the right to such thing by prescription.
- 3.
-
Movable ownerless things includes animals and inanimate movable things which have not been anybody’s property or which have been renounced by the owner, or which have been lost or hidden (find), including a treasure trove.
Article 4.58. Acquisition of ownership right to an ownerless thing
- 1.
-
An ownerless thing may be given as ownership only to the State or to municipalities by a court judgement, adopted on the basis of an application by a financial, control or municipal institution. The application shall be submitted a year from the day the thing was included in the register, unless the law stipulates otherwise.
- 2.
-
The procedure of disclosure of and accounting for an ownerless thing shall be established by the Government.
- 3.
-
Ownership of an ownerless thing may not be acquired if this is prohibited by law or if the appropriation of such a thing violates another individual’s right to appropriate the thing (right to a treasure trove etc.).
- 4.
-
Movable things which had no owner or which have been relinquished by the owner by a direct statement to the effect or by discarding the thing, become ownership of a person that started possessing them.
Article 4.59. Wild animals
Wild animals in a state of freedom which have been caught or shot as provided by law, become property of the person that caught or shot them, unless the law provides otherwise.
Article 4.60. Wild and domestic bees
- 1.
-
A swarm of wild bees shall be considered ownership of a person on whose land parcel it was caught.
- 2.
-
The owner of bees shall enjoy the right to pursue a swarm of bees on another person’s territory provided he indemnifies the damage caused by such pursuit.
- 3.
-
The owner of a swarm of bees shall lose ownership right thereto if he has not pursued the bees within 24 hours as of the moment the bees were adopted by another person or when the bees have settled on another person’s land.
- 4.
-
If a swarm of bees joins the bee hive of another bee keeper, the owner of arriving bees loses ownership thereof.
Article 4.61. Untended and stray domestic animals
1.A person that catches an untended or stray domestic animal shall immediately inform thereof the owner of the animal and restitute such animal to him, or, if he does not know the owner of such animal or his address, shall inform the police or a municipal office within three days of the capture of the animal.
2.Police or municipal institution shall take measures to find the owner of the domestic animal and, in keeping with veterinary rules, during this period shall entrust the animal for keeping and using to its finder or shall entrust it for keeping and using to the nearest person engaged in agriculture and capable of duly tending to the animal, when the finder of the domestic animal does not engage in agriculture or does not have adequate conditions for keeping the animal.
3.If the owner of untended and stray working domestic animals (and their offspring) is found after one month, and that of domestic animals (and their offspring) within two weeks since the day they were given for keeping and using, such animal shall be returned to the owner. The owner shall repay the expenses of keeping the animal to the person that has tended the animal in the meantime, including the profit borne by it.
4.If the owner of the animal is not found in such time, he shall lose the right of ownership to such animal. In such case the animal shall remain, without recompense, to the person who has tended it.
Article 4.62. Finds
- 1.
-
A find is a lost thing whose owner is unknown.
- 2.
-
A person who has found a find shall restitute it to the owner if such is know. If such person is not known, the finder shall bring the find to the police within a week of the act of finding, and submit it to the police, if he cannot or shall not keep the thing himself.
- 3.
-
The finder or the police shall keep the find for six months. Using the find during this period is prohibited. If in this time the owner of the thing is found, the thing is restored to the owner, with prior compensation by the owner of the expenses of keeping the thing and other expenses related thereto. If during the given term the owner is not found, the thing gratuitously becomes ownership of the finder, on condition that the finder agrees to cover the expenses of keeping and other related expenses when the find was stored elsewhere. If the finder does not agree to cover the expenses, the find shall become ownership of the State, gratuitously, while the finder shall be recompensed the expenses related to the find.
- 4.
-
Legal acts may establish other legal provisions regarding finds.
Article 4.63. Perishable ownerless goods and finds
- 1.
-
When an ownerless find may perish due to long storage or lose a part of its inherent qualities, the police, financial, supervisory or municipal institution shall take measures to sell the thing, when that is possible, while keeping the money received from selling for the person who has lost the thing. When the thing cannot be sold, it shall be destroyed.
- 2.
-
If the owner of the thing is found after the thing was sold, the owner shall receive the amount of money recovered for the thing, less the amount for storing, selling and notifying about the find.
- 3.
-
When the owner of a perishable find is not found within the term established by paragraph 1 of Article 4.58, the money received from selling such thing shall be transferred to the State as established by law.
- 4.
-
If a person who had lost the thing which was sold as perishable, is not found in six months since the day of finding such thing, the money received from selling the thing shall be given to the finder, less the amount used for storage and selling of and notification about the find.
Article 4.64. Compensation for the find
- 1.
-
The person who has found a thing and restored it to the owner or submitted it to the police in the order established by law, shall have the right to compensation from the owner of the lost thing for expenses related to the storage of the find and to pass on the recompense and pay for the find. The owner who has lost a thing shall pay the finder a fee of five per cent from the value of the found, if the owner has not promised a higher recompense for the find or if he has not agreed upon a higher pay with the finder.
- 2.
-
A fee for finding a thing shall not be paid when the finder has not informed about the find in due time and due order or if he, when asked, concealed the fact of finding.
Article 4.65. Treasure trove
- 1.
-
A treasure is money or valuables dug in the ground or otherwise hidden, whose owner cannot be established, mostly because a considerable period of time has passed since the concealment.
- 2.
-
A person who has found a treasure trove in his own land or in another thing owned by the person, shall become owner of the finder.
- 3.
-
It is prohibited to search for treasure trove in another person’s land or property. A person who violates this rule shall not receive a part of the treasure trove, and the entire treasure trove shall become ownership of the person in whose land or other property the treasure trove was found.
- 4.
-
The person who found a treasure trove in another person’s land or other property by chance or with the permission of the owner to look for a treasure trove, shall receive one-fourth of the treasure trove, while three-fourths shall be given to the owner of the land or other property where the treasure trove was found, unless they have agreed otherwise. The agreement shall be made in writing.
- 5.
-
If the digging of or search for valuables is part of the job description of the person, such person shall not acquire right of ownership to the treasure trove or a part thereof.
- 6.
-
If a treasure trove has a historic, cultural, or archeological value and is appropriated, by law, for public benefit, the persons that have the right to recompense as stipulated in this article, shall be duly recompensed.
Article 4.66. Improper keeping of cultural heritage
- 1.
-
When a person keeps improperly a property that has public value due to its historic, artistic or other properties, the public institution whose role is to protect such heritage, shall warn the owner about the improper keeping of such items. If the owner fails to fulfill the requirements, such property may be taken from him following a claim by relevant institution. Such taken things shall become state property. The person shall be recompensed for the value of the things taken, upon establishing such value by agreement between the former owner and the relevant institution, or, in case of a dispute, by court.
- 2.
-
In case of urgency, a claim regarding the appropriation of indicated property may be submitted without warning.
Article 4.67. Expropriation of a thing
The State may expropriate a thing from an owner for the benefit of the public good, with due recompense, or without recompense, as a sanction for violation of the law, only in cases and in the order established by law.
SECTION THREE
ACQUISITIVE PRESCRIPTION
Article 4.68. Definition of acquisitive prescription
- 1.
-
A physical or juridical person who is not the owner of a thing but as acquired the thing in good faith and has possessed it in good faith, legitimately, openly, continuously as his own an immovable thing for at least ten years, and movable thing for at least three years, when during the entire such period the owner of the thing had the legal possibility to implement his rights to the thing but has not used them once, shall acquire ownership right to such thing.
- 2.
-
The fact of acquisition of ownership by acquisitive prescription shall be established by court.
Article 4.69. Things acquired by acquisitive prescription
- 1.
-
Such things may be acquired in ownership by acquisitive prescription that may be subject object of private ownership .
- 2.
-
Ownership by acquisitive prescription shall not apply to things obtained by force or in a clandestine manner, irrespectively of whether the person who has obtained the thing by force or in a clandestine manner way himself or somebody else seeks to acquire ownership right in this manner.
- 3.
-
Acquisitive prescription shall not apply to ownership right to things that are property of the State of a municipality, or things registered on another person’s (not the possessor’s) name.
Article 4.70. Property acquired and possessed in good faith
- 1.
-
A person acquiring property by acquisitive prescription must act not only in good faith, that is, by possessing the thing he must be convinced that nobody else has more rights to the thing he is, but he must also remain a possessor in good faith during the entire period of acquired prescription, and even upon acquiring the thing in ownership he must not know about impediments that hinder his acquiring the said ownership, if such impediments existed.
- 2.
-
A possession in bad faith of a part of a thing or several parts thereof does not prevent the possessor from acquiring by acquisitive prescription and in good faith other parts thereof.
- 3.
-
If the right to possession is acquired through a representative, good faith is required from both the agent and the principal.
Article 4.71. Continuous possession
1.Possession of a thing shall be deemed continuous when a person has possessed the thing uninterruptedly from the moment of acquiring the right of possession to the moment of acquiring the thing by acquisitive prescription.
2.If during the period of acquisitive prescription the possession of a thing passed on to several persons and the possession of each of these persons met the requirements indicated in Article 4.68 of this Code, then the time of possession of these persons shall be calculated together.
3.Acquisitive prescription shall not be interrupted by the loss of a thing without the volition of the possessor, provided the possession was restored within a year.
4.If the owner of the thing to which acquisitive prescription applies did not have a legal opportunity to implement his right to the thing, the counting of acquisitive prescription shall be suspended for the period that such impediment exists.
SECTION FOUR
CO-OWNERSHIP RIGHT
Article 4.72. Definition of common ownership and its subjects
- 1.
-
Co-ownership right is the right of two or several owners to possess, use, and dispose of the object of the right of ownership held by them as common.
- 2.
-
A co-owner may be any person that can be the subject of property relations.
Article 4.73. Kinds of co-ownership
- 1.
-
Common partial ownership is ownership when shares of each co-owner are established in the co-ownership, while common joint ownership right is ownership when such shares are not established.
- 2.
-
Common ownership right shall be deemed partial, unless the laws provide otherwise.
- 3.
-
When the size of specific shares of each co-owner is not established, it is assumed that these shares are equal.
Article 4.74. Object of common ownership right
Any thing or other property may be the object of co-ownership right, unless otherwise provided by law.
Article 4.75. Implementation of co-ownership rights
- 1.
-
The object subject to common partial ownership is possessed, used and disposed of by a common agreement of co-owners. In case of disputes, the order of possession, use or disposal is established by a judicial procedure on the basis of a claim by one of the co-owners.
- 2.
-
If a object of common partial ownership was directly possessed, used and disposed of not by all co-owners, then the other co-owners have the right to receive a respective report annually or immediately after they have ceased to directly possess, use and dispose of the property held in common partial ownership.
Article 4.76. Rights and duties of co- owners in possession and maintenance of common partial ownership
Each of the co-owners in proportion to their respective shares shall have the right to the profits obtained from thing (property), shall be accountable to third persons in relation to duties related to a thing (property), held in co-ownership and shall pay expenses related to its maintenance and preservation, taxes, dues and other payments. If one of the co-owners fails to fulfill the obligation to maintain and take care of thing (property), the other co-owners shall have the right to a compensation for losses thus incurred.
Article 4.77. Change of rights of co-owners due to increase of common partial ownership
- 1.
-
If a co-owner, in agreement with the other co-owners and in keeping with the rules established by relevant laws, increases the thing owned in common or the value thereof, the share of such co-owner in the common partial ownership and the order of the use of such thing owned in common shall be changed respectively, upon his demand.
- 2.
-
If a co-owner increases the thing owned in common or the value thereof without the consent of the other co-owners, he shall acquire the right to that increased part, provided it can be partitioned without causing damage to the entire thing. If the increased part of a thing or its value cannot be partitioned from the main body without causing damage to the thing, the shares of all the co-owners shall increase in proportion to their shares of property held in common.
Article 4.78. The right of a co-owner to transfer or encumbrance the right to his share of the thing held in common partial divided ownership
Each co-owner shall have the right to transfer in possession of, lease or otherwise alienate, mortgage or encumbrance in some other way all or a part of his share held in common partial ownership, with the exception where this Code stipulates otherwise.
Article 4.79. Priority right to buy shares held in co-ownership
- 1.
-
Co-owners shall enjoy the right to buy the share in sale of the commonly owned property at a price at which it is sold, and under the same conditions, with the exception of cases when the sale takes the form of a public auction.
- 2.
-
The seller of a share commonly owned shall inform the other co-owners in written form about the intention to sell his part to others than the co-owners, indicating the price and other conditions of sale. When a share of an immovable thing commonly owned is sold, such information shall be given through a notary. When the other co-owners renounce their priority right to buy the share or fail to use such right to the immovable thing within one month, and to other thing, within ten days from the day of receipt of such notification, provided the co-owners have not agreed otherwise, the seller shall have the right to sell his share to any person.
- 3.
-
If the share is sold in violation of priority right to buy it, the other co-owner shall have the right, within three months, to demand through court, the transfer of buyer’s rights and obligations to him.
- 4.
-
The seller and buyer of a share of common property are jointly responsible for the obligations pertaining to the share of the thing on sale, arising from the sale of the thing with regard to the other co-owners.
Article 4.80. Partitioning of common partial divided property
- 1.
-
Each co-owner shall have the right to demand that his share should be partitioned from the common partial ownership.
- 2.
-
Provided no agreement is reached regarding the mode of partitioning, the thing shall be divided in kind possibly without disproportionate damage to its destination; in other cases, one or several of the co-owners thus partitioned shall receive compensation in money.
- 3.
-
A creditor of a co-owner shall have the right to partition the debtor’s share, in order to claim it.
- 4.
-
If one of co-owners is incapable of action or under age, in partitioning his share of co-ownership, a tutor (care) institution shall be present.
Article 4.81. The order of use of houses, flats and other immovable things owned in common
- 1.
-
Co-owners of a house, flat or other immovable things shall have the right upon common agreement to establish the order for the use of specific parts of isolated spaces of that house, flat or other immovable things , with regard to their respective shares of common partial property.
- 2.
-
If the agreement as stipulated in this article is certified by a notary and registered in a public register, it shall be obligatory also to a person that acquires a part of the house, flat or other immovable thing held in common partial ownership at a later time.
Article 4.82. Right of common partial divided ownership to flats and other premises
- 1.
-
Owners of flats and other premises shall have common ownership right to commonly used premises of a house, to carrying constructions, mechanical, electrical, sanitary- technical and other equipment of common use.
- 2.
-
The owner of a house, flat or other premises shall have no right to transfer his share of the common partial property, as described in paragraph 1 of this Article, or perform other acts due to which that share would be transferred separately from ownership right to the flat or other spaces, with the exception of cases when a part of thing held in common partial ownership, which can be, or will be after restructuring, used as a separate thing, this use being no impediment to the use of flats or other premises according to their destination, is transferred.
- 3.
-
Owners of flats and other premises shall pay a proportionate share of expenses of the maintenance and protection of the house, as well as of taxes, dues, and other fees, and shall make regular contributions into the renovation fund of the house.
- 4.
-
The rules stipulated in Article 4.79 of this Code shall also apply when owners of flats and other premises of a house sell to other persons their entire share or a part of their proportionate share of the property held by them in common partial ownership (attic, cellar, etc.). If the share on sale of the thing held in common partial ownership is or can be used to meet the needs not of the entire building but of the owners located in a part thereof (separate stairwell/ entrance etc.), without violating the rights of the owners of premises present in that building, then notification shall be made regarding the sale of that part held in common partial ownership to the owners of premises located in that part of the building, and only these latter shall enjoy priority right to buy it.
- 5.
-
The share of common partial property owned by the owner of a flat or other premises shall be equal to the proportion between the useful space owned by him and the entire useful space of the building.
Article 4.83. Rights and duties of owners of flats and other premises to use common partial property
- 1.
-
Owners (users) of flats and other premises shall have the right to use parts of common use of a dwelling according to their function, on condition such use does not violate the rights and rightful interests of other space owners (users).
- 2.
-
Owner of flats and other premises shall also have the right:
- 1)
-
to take necessary measures without prior consent of other owners (users) in order to prevent damage and eliminate threats to parts of common use, and demand from the other owners of flats and premises compensation for expenses in proportion to the share of these owners in the common partial property.
- 2)
-
Demand from other owners (users) of flats and other premises that the possession and use of parts of common use of a dwelling should be in correspondence with the rights and rightful interests of other owners (users). The rightful interests of owners of flats and other premises shall include establishing internal rules of a dwelling, due maintenance and care of parts of common use, preparation of a financial and economic plan for the maintenance of a dwelling, accumulation of renovation funds for parts of common use.
- 3.
-
Owners (users) of flats and other premises shall possess, duly maintain, repair and otherwise tend to the parts of common use. For the possession of parts of common use of a multi-flat dwelling, owners of flats and other premises shall establish an association of owners of flats and other premises or shall make up an contract on joint activity.
- 4.
-
Owners (users) of flats and other premises do not have to pay expenses incurred without their consent and which are not related to compulsory requirements regarding the use and care of construction works established by laws and other legal acts, or when there is no decision by the administrator or by a meeting of owners of flats and other premises as established by Articles 4.84 and 4.85 of this Code.
- 5.
-
Owners (users) of flats and other premises shall allow appointed persons to repair and otherwise put in order the mechanical, electric, technical and other equipment of common use that is situated in their flat or other premises.
- 6.
-
Owners of flats and other premises shall have the right to income received from parts in common use, in proportion to their share in the common partial divided property.
Article 4.84. Administration of common partial ownership of owners of flats and other premises, when such owners have not formed a condominium or have not made a contract on joint activities (partnership)
- 1.
-
When owners of flats and other premises have not established an condominium of owners of flats and other spaces of a living house or have not made a contract on joint activities (partnership), also when an condominium has been liquidated or a contract has terminated, an administrator of parts in common use shall be appointed.
- 2.
-
Such administrator shall be appointed by the mayor (board) of a municipality or his (her) representative. The administrator shall administer the property in accordance with Article 4.240 hereof.
- 3.
-
The administrator shall act in accordance with regulations endorsed by the mayor (board) of the municipality. Standard regulations on the administration of co-ownership of flats and other spaces shall be approved by the Government or an institution delegated thereby.
- 4.
-
The expenses of administration shall be covered by owners of flats and other premises in proportion to their share of property in the common partial ownership.
- 5.
-
Administration shall be terminated as established by Article 4.250 hereof, as well as upon registration of the statutes of an condominium of owners of flats and other premises of a living house, or upon making of a contract on joint activities (partnership).
- 6.
-
Rules stipulated in Chapter XIV of this Book shall apply, mutatis mutandis, to the activities of the administrator.
Article 4.85. Implementation of right of common partial ownership of owners of flats and other premises
- 1.
-
Decisions regarding the possession and use of parts of common use shall be taken by the majority of votes of the owners of flats and other premises, provided the statutes of the association of owners of flats and other premises or the contract on joint activities does not establish otherwise. Each owner of a flat or other premises shall have one vote. If a flat and other premises are owned by several owners, they shall be on common accord represented by one person, which shall have that vote.
- 2.
-
Decisions of owners of flats and other premises shall be taken at the meeting of owners of flats and other premises. The agenda of the meeting shall be notified in public two weeks before the meeting takes place.
Meetings of owners of flats and other premises shall be called by the board (chairman) of the company or by a person delegated by parties to the joint activities contract by owners of flats and other premises, or by administrator of flats and other premises held in common partial property.
- 3.
-
Decisions by owners of flats and other premises shall be made public and shall be binding to all owners of flats and other premises, as well as to owners who have acquired ownership rights to flats and other premises after such decisions have been taken. Such decisions cannot limit the rights and legitimate interests of owners of flats and other premises and third persons, with the exception of cases established by this Code and other laws.
- 4.
-
Decisions of owners of flats and other premises may be taken without convening a meeting, upon written notification about their decision. The manner of voting in writing shall be established by the Government or an institution delegated thereby.
Article 4.86. Rights and duties of co-owners in using and maintaining common joint property
- 1.
-
Co-owners shall have equal rights to income obtained from common thing (property), shall respond to third persons according to the obligations related to the thing (property) co-owned, and shall jointly pay expenses arising from the use and maintenance of the thing, as well as taxes, dues and other fees, provided they have not agreed or the law does not establish otherwise.
- 2.
-
The right of common joint ownership may arise only in cases established by law.
Article 4.87. Change of rights of co-owners upon increasing common joint property
If a co-owner increases the common thing or its value in keeping with the rules established by law, all co-owners shall have equal rights to the increased thing or its value.
Article 4.88. Right of co-owner to transfer or limit the right to the part held in joint common ownership
- 1.
-
A thing (property) which is object of common joint ownership is possessed, used and disposed of only upon agreement by co-owners.
- 2.
-
Agreement of co-owners is necessary in order to transfer the immovable thing to the ownership of another person, to rent or to give for use in some other way, to mortgage or otherwise to encumbrance the right to the thing. If a co-owner is under age, permission may be given by his parents, guardians, or bread-winners.
- 3.
-
A co-owner shall have no right to transfer to the ownership of another person his share of common joint ownership until that share has not been established in the common thing (property), with the exception of cases where the thing (property) is being inherited, and in other cases established by law.
Article 4.89. Establishing the share of a co-owner in common joint ownership
- 1.
-
The share of a co-owner in common joint ownership shall be established upon demand of the co-owner or upon expiration of legal relations of common joint ownership, or when the share of the co-owner is claimed as liability in relation to his personal obligations, if the rest of the property owned by such person is not sufficient to reimburse the claims of the creditors.
- 2.
-
The size of the share of a co-owner in common joint ownership shall be established upon agreement among co-owners. In the event of failure to reach such agreement, the court shall decide.
Article 4.90. Partitioning of common joint ownership
- 1.
-
Each co-owner shall have the right to partition his share from the common joint ownership.
- 2.
-
If a dispute arises regarding the manner of partitioning, upon the claim by an alienating co-owner the thing may be divided in kind, without causing disproportionate damage to its function. In a contrary case, the partitioning co-owner shall receive compensation in money.
- 3.
-
The creditor of a co-owner shall have the right to submit a claim regarding the partitioning of the share of a co-owner and such share itself.
Article 4.91. Payment for common joint property
- 1.
-
On the basis of contracts made by one of the co-owners, claims can be indemnified from the entire common joint property, if circumstances do not indicate that the contract was made in the personal interest of the person making the contract, and when the law does not establish otherwise.
- 2.
-
Damage caused by a crime committed by a co-owner may be paid from the common joint ownership if a court decision rules that the thing making the subject-matter of common joint ownership has been acquired by funds received from criminal activity or that its value has increased due to such funds.
Article 4.92. Common joint ownership right of spouses
- 1.
-
The common joint ownership right of spouses shall be established by the rules stipulated in Book Three of this Code
- 2.
-
Provided no agreement has been reached on the matter and Book Three of this Code does not stipulate otherwise, common joint ownership of spouses shall also include agricultural implements acquired by the common funds of spouses.
SECTION FIVE
PROTECTION AND DEFENCE OF OWNER’S RIGHTS
Article 4.93. Protection of owner’s rights
- 1.
-
The Republic of Lithuania guarantees equal protection of rights of all owners.
- 2.
-
Nobody has the right to:
- 1)
-
take property by force, with the exception of cases established by law;
- 2)
-
demand that an owner against his own will should join property with that of another owner.
- 3.
-
Property may be taken from owner without recompense only by way of court judgment or verdict.
- 4.
-
Property may be taken for public needs only upon just recompense.
Article 4.94. Temporary use of a thing against the will of the owner
- 1.
-
In cases established by law, for public good it is allowed to make temporary use of a thing against the will of the owner.
- 2.
-
The owner shall be indemnified the expenses incurred as well as the damage caused by such temporary use of a thing arising from paragraph one of this Article.
Article 4.95. Owner’s right to vindicate a thing from another’s illegal possession
The owner shall have the right to vindicate his thing from another’s illegal possession.
Article 4.96. Vindication a thing from an acquirer in good faith
- 1.
-
If movable thing was acquired upon payment from a person who had no right to transfer this property, and the acquirer did not and could not know this (acquirer in good faith), the owner shall have the right to vindicate the thing from the acquirer only if the thing belongs to the owner or to a person to whom the owner had given it in possession, if the thing was lost or stolen from one of these, or if it stopped being in their possession against their volition. The owner may vindicate the thing within three years from the moment of the loss of the thing.
- 2.
-
Immovable thing may not be vindicated from an acquirer in good faith with the exception of cases when the owner had lost such thing due to a crime committed by other persons.
- 3.
-
If a thing was acquired without recompense from a person who had no right to transfer its ownership, the owner shall have the right to vindicate the thing in all cases. This rule shall apply to movable as well as immovable things.
- 4.
-
This article shall not apply when a thing was sold or otherwise transferred in compliance with a procedure for the enforcement of court judgments..
Article 4.97. Payments in returning a thing illegally possessed
- 1.
-
The owner in vindicating a thing as stipulated by Article 4.95 of this Code, shall have the right to demand: from the person who knew or had to know that his possession was illegal (possessor in bad faith), to restitute or recompense all income that such person received or had to receive during the entire period of possession; from an illegal possessor in good faith- all income which such possessor received or had to receive since the time when he found out or had to find out about the possession being illegal or found out about the starting of a civil case regarding the restitution of the thing.
- 2.
-
Illegal possessor in bad faith in his turn shall have the right to claim from the owner the necessary expenses related to the thing since the moment the owner receives income from such thing.
- 3.
-
Illegal possessor in good faith shall have the right to claim from the owner recompense for all his expenses caused by the thing that have not been covered by income received from the thing.
- 4.
-
Illegal possessor in good faith shall have the right to keep the parts that have been added to meliorate the thing, provided these can be partitioned without causing damage to the thing. If the parts added as melioration cannot be partitioned or when the thing was meliorated in a different mode, the illegitimate possessor in good faith shall have the right to claim recompense of expenses arising from such melioration, but not greater than the increase in value of the thing.
Article 4.98. Defence of ownership right from violations unrelated to loss of possession
Owner may claim elimination of all violations to his right, even if unrelated to loss of possession
Article 4.99. Defence of rights of owners of land parcels from possible violations, unrelated to loss of possession
Owner of a land parcel may claim that new construction works should not be built, rebuilt, reconstructed or even maintained unchanged on adjacent land parcels, if a plausible assumption may be made that such construction of new construction works or change of existing ones or even existence and use of unchanged ones will cause negative impermissible impact on his land parcel or if the buildings on his land parcel may lose stability.
Article 4.100. Expropriation of property for public needs
1. A thing or other property belonging to a person as private ownership may be expropriated for public needs only in exclusive cases and only in the order established by law.
2. In cases provided for by paragraph one of this Article the owner of a thing (property) shall be compensated for in money the value of such thing (property) at market prices, and by agreement between parties, by transfer of another thing (property).
3. All issues on the legality of expropriation of property as well as disputes concerning its value and on losses incurred due to such expropriation shall be decided by court in accordance with the procedure laid down by the law.
4. Ownership right to a movable thing (property) claimed for public needs shall pass to the State as of the moment of payment for such a thing (property) to the owner, except where the laws provide otherwise. Ownership right to an immovable thing claimed for public needs shall pass to the State since the moment of registering such an immovable thing in a public register, however, such thing may be registered in the public register as state property only after payment has been effectuated to the owner of such an immovable thing, except where the laws provide otherwise.
Article 4.101. Protection of rights of persons whose land parcels held in their ownership and carrying construction works thereon are claimed for public needs
- 1.
-
If a land parcel is claimed for public needs belongs to a person as his ownership and has construction works on it, such person shall be recompensed for the land parcel, as well as for construction works which are being built or already built thereon belonging to such person as his property, as well as plants thereon, in money at market prices.
- 2.
-
The value of a land parcel, construction works and plants thereon, the terms of their confiscation, and the losses incurred by the owner due to the expropriation thereof shall be established by a contract between the future user of land and the owner of land, construction works and plants, unless otherwise established by law.
- 3.
-
Disputes regarding the expropriation of land parcels, construction works and plants thereon, their value and losses incurred by the owner due to such confiscation, shall be decided by court.
Article 4.102. Protection of rights of persons who use land parcels for building purposes without owning them when such land parcels are claimed for public needs
- 1.
-
If a land parcel that is used for building purposed without owning such land is claimed for public needs, such persons shall be recompensed for the construction works being built or already erected on such land as their ownership as well as for plants thereon in money at market prices.
- 2.
-
The new land user shall pay for all losses incurred by the owner of construction works and plants due to the expropriation of that land parcel, with the exception of losses that arise due to illegal actions by the owner of such construction works and plants.
- 3.
-
The value of land, construction works, and plants, the terms of confiscation of land and the losses incurred due to such expropriation shall be established by a contract between the new land user and the owner of the construction works.
- 4.
-
Disputes on the value of construction works or plants, the terms of expropriation and the losses incurred due to such expropriation shall be decided by court.
Version of the Article valid until 1 January 2011
Article 4.103. Legal civil consequences of illegal construction
1. If a construction works (its part) has been built or is being built without authorisation or with authorisation, but in violation of the decisions of the design documentation of the construction works, or in violation of the requirements of legal acts, then the builder shall have no right to use or dispose of such a building (sell, give as gift, lease, etc.). Laws shall define which construction works (its part) has been built or is being built without authorisation.
2. Persons whose rights and interests are violated, as well as other persons authorised by laws shall have the right to appeal to the court regarding the violations referred to in paragraph 1 of this Article.
3. The court by its decision may:
1) obligate the builder to rightly remodel the construction works within a set time limit (pull down a part of the construction works, reconstruct, etc.);
2) obligate the builder to pull down the construction works within a set time limit.
4. If the builder fails to comply with the requirement laid down in paragraph 3.1 of this Article within the set time limit, the construction works (its part) shall be remodelled by a court decision at the expense of the builder.
5. If the builder fails to comply with the requirement laid down in paragraph 3.2 of this Article within the set time limit, the construction works shall be pulled down by a court judgment at the expense of the builder.
6. Construction materials remaining after the demolition of such construction works are the ownership of the builder.
7. Damage incurred due to violations of the normative construction technical specifications shall be indemnified in accordance with the procedure laid down in Section Three of Chapter XXII of Book Six of this Code.
Version of the Article valid after 1 January 2011
Article 4.103. Legal civil consequences of construction which violates requirements of legal acts
- 1.
-
If a construction works (its part) has been built or is being built without authorisation or with authorisation, but in violation of the decisions of the design documentation of the construction works or in violation of the requirements of legal acts, then it shall be prohibited to use such a construction works (its part) or dispose of it (sell, give as gift, lease, etc.). Laws shall define which construction works (its part) has been built or is being built without authorisation.
- 2.
-
Persons whose rights and interests are violated as well as other persons authorised by the law shall have the right to appeal to the court regarding the violations referred to in paragraph 1 of this Article.
- 3.
-
The matter relating to elimination of the consequences of construction which violates the requirements of legal acts shall be decided by the Court in the manner prescribed by the law.
Article 4.104. Consequence s of loss of right to use a land parcel
- 1.
-
When a contract that gave a person right for indefinite period to use or rent a land parcel is determined null and void by a court decisions due to intentional acts by a user or renter or is terminated due to volitional significant violations of the order of the use of land, a person may transfer construction works being built or existing on such land and held as ownership. If all or some of the construction works (their parts) cannot be transferred, such remaining items shall be demolished or by an agreement between the land owner and the owner of such construction works be transferred to the ownership of the land owner, or with the agreements of the owner of the land may be given to a third person.
- 2.
-
Disputes regarding demolition or translocation, or transfer of construction works in favour of the owner of land or a third person shall be decided by court.
Article 4.105. Consequences of loss of right to a land parcel
- 1.
-
A person who has lost the right to a land parcel by a court judgment shall be recompensed the value of construction works existing on this land and held in his ownership, provided he is not given the right to use such land parcel in another way (by establishing land servitude etc.)
- 2.
-
If a transaction whereby the land parcel was used is acknowledged null and void by a court without the fault of the owner of the construction works, such owner shall be recompensed in the order and on terms established by Article 4.102 of this Code and by funds of the land owner.
- 3.
-
If a transaction whereby the land parcel was used, is acknowledged null and void by a court judgment due to the fault of the owner of the construction works and without granting him the right to use in some other legal way the land parcel (by establishing servitude etc.), the owner of the construction works may relocate such construction works. When it is impossible to relocate all or some of these construction works (their parts), with the consent of the owner of the land the items failing translocation may be transferred to a third person or by agreement between the owner of the land parcel and the owner of the construction works be transferred to the owner of the land, or demolished.
- 4.
-
In cases established by paragraph 3 of this Article the construction works are relocated or demolished at the expense of their owner, construction materials remaining after the demolition are property of the owner of the construction works, and the owner of the construction works must compensate for all losses incurred due to illegal use and possession of land.
- 5.
-
Disputes regarding translocation, demolition or transfer of construction works in favour of the owner of the land parcel or a third person shall be decided by court.
CHAPTER VI
RIGHT OF TRUST
Article 4.106 Definition and purpose of right of trust
- 1.
-
The right of trust of property is the right of the trustee to possess, use and dispose of property in the order and under conditions defined by the trustor.
- 2.
-
The right of trust is established for personal purposes, for private or public good.
Article 4.107. Subjects of the right of trust
1.The subjects of the right of trust (trustees) in the Republic of Lithuania shall include state or municipal enterprises, offices and organizations, as well as other legal and natural persons.
2.The trustor or several trustors may appoint one or several trustees, as well as establish the procedure of their appointment and replacement.
Article 4.108. Basis for the right of trust
The right of trust may originate from the law, administrative act, contract, will, or court judgment.
Article 4.109. Content of the right of trust
- 1.
-
State or municipal enterprises, offices, and organizations possess and use property duly entrusted them by the State or municipality, and dispose of it upon terms and conditions established by their statutes (regulations), as well as legal acts governing the activities of state or municipal enterprises, offices, and organizations, without violating the law and other persons’ rights and interests.
- 2.
-
Other legal and natural persons possess and use the property entrusted them by the trustor and dispose of it to the extent and on terms and conditions established in the legislation on trust, contract, will, court judgment or the law.
Article 4.110. Protection of the right of trust
The subject of the right of trust in protecting the property in possession, shall enjoy the rights established by Articles 4.95- 4.99 of this Code.
CHAPTER VII
A SERVITUTE
SECTION ONE
GENERAL PROVISIONS
Article 4.111. Concept of a Servitude
- 1.
-
A servitude is a right in respect of an immovable thing of another that is granted for the use of that thing (the servient thing) or a restriction of the right of the owner of that thing in order to ensure a proper utilisation of the thing in favour of which the servitude is established (the dominant thing).
- 2.
-
When the subject of the right of ownership of the servient or dominant thing changes, the established servitude remains due.
Article 4.112. Contents of a Servitude
- 1.
-
A servitude grants the servitude holder definite rights of use of a definite thing of another or withdraws from the owner of the servient thing definite rights of use of the thing.
- 2.
-
If doubts arise regarding the contents of a servitude and when possibilities to determine it precisely are lacking, it shall be presumed to be the least.
- 3.
-
If, at the time of the establishment of a servitude or subsequently, the content of the servitude was not definitely determined, it is conditioned by the needs of use of the dominant thing in accordance to its destination.
- 4.
-
The establishment of a servitude shall not deny the owner of the servient thing rights of use of the thing constituting the contents of the servitude, provided the exercise of those rights does not interfere with the established servitude.
- 5.
-
The owner of the servient or dominant thing has the right to apply to the court and to request to modify the contents of the servitude or to cancel the servitude, provided that the circumstances change essentially or unforeseen circumstances arise whereby it is impossible to exercise the rights granted by a servitude or the exercise becomes very complicated.
Article 4.113. Exercise of Servitude Rights
- 1.
-
Rights granted by a servitude shall be exercised in accordance to their intended destination in order to cause the least inconvenience to the owner of the servient thing.
- 2.
-
While exercising the rights granted by a servitude, the servitude holder must not violate rights of other owners.
- 3.
-
In establishing a servitude, the obligation to build construction works, install plants or perform other works that are necessary for the exercise of servitude rights may be imposed.
Article 4.114. Duty of the Servitude Holder to Maintain the Servient Thing Properly
- 1.
-
If, in order to exercise the rights granted by a servitude in a normal way it is necessary to renovate or properly maintain the servient thing in any other way, the servitude holder must carry such tasks in a proper way and on time unless otherwise stipulated in the contract.
- 2.
-
In cases when the owner of the servient thing himself also exercises the rights constituting the contents of the servitude, the obligation to properly maintain the servient thing falls on both subjects in proportion for the use of the thing unless otherwise stipulated in the contract.
Article 4.115. Retaining of a Servitude when the Servient Thing is Divided
Where the servient thing is divided, the previously established servitude remains due for all parts of the servient thing except when, at the time of division, the servitude was valid or was established exclusively in respect of a definite part of the servient thing.
Article 4.116. Retaining of a Servitude when the Dominant Thing is Divided
- 1.
-
Where the dominant thing is divided, the previously established servitude remains due for all parts of the dominant thing except when, at the time of division, the servitude was valid or was established exclusively in respect of a definite part of the dominant thing.
- 2.
-
The division of the dominant thing may not further encumber the servient thing (in case of a servitude of right of way, all owners of the divided dominant thing use the same way in respect of which the servitude was established).
Article 4.117. Servitude of Right of Way
By a servitude of right of way the right to use a footpath, a road for land vehicles and a path to drive cattle may be established.
Article 4.118. Servitude of Right of Way Granting the Right to a Footpath
- 1.
-
When a right to use a footpath is granted by a servitude of right of way without determining any additional possibility to use the footpath for any other purposes and without determining any restrictions on its use, it shall be deemed that pedestrians, bicycles without engines and cattle led on a leash may use a footpath.
- 2.
-
If in establishing a servitude of right of way that grants the right to a footpath, the width of a path is not stated and it is not possible to define the width following the previous footpath, if such a footpath existed, a footpath of one meter shall be deemed to be used.
Article 4.119. Servitude of Right of Way Granting the Right to Drive Vehicles
- 1.
-
When a right to drive vehicles is granted by a servitude of right of way without determining any additional possibility to use the road for any other purposes and without determining any restrictions on its use, it shall be deemed that it is possible to drive various vehicles and to use it as a footpath.
- 2.
-
If, when establishing a servitude of right of way that grants the right to drive vehicles, the width of the road is not stated and it is not possible to determine it on following the former road, if such a road existed, it shall be considered that it is possible to use a four-meter road. In cases when it is likely that such a road may be used to drive specialised vehicles of big dimensions, the owner of the land plot in respect of which the servitude of right of way was established granting the right to drive vehicles has no right to plant trees closer than three meters from the sides of the road.
Article 4.120. Servitude of Right of Way Granting the Right to Drive Cattle
- 1.
-
When a servitude of right of way grants the right to drive cattle without determining any additional possibility to use it for other purposes and without determining any restrictions on its use, it shall be considered that such a road (path) may only be used to drive cattle and the servitude holder may use it as a footpath.
- 2.
-
The right to drive cattle granted by a servitude of right of way does not confer the right to graze cattle by the roadside or on the path and along it.
- 3.
-
If, in establishing a servitude of right of way that grants the right to drive cattle, the width of the road (path) is not stated and it is not possible to define the width following the former road (path), if such a road (path) existed, it shall be considered that a road (path) of one meter may be used.
Article 4.121. Determination of the Location and the Direction of the Road (Path)
When a servitude of right of way grants the right to use a footpath, a road for land vehicles or a path to drive cattle without stating the location and the direction of the road (path), it shall be considered that the right to use the existing road (path) is granted, and if such a road does not exist - the former road (path), and if such a road did not exist or it is not possible to determine its location and direction, the owner of the thing chooses the location and the direction of the road (path), if possible, by following the provision that the location to be chosen as far as possible meets the road (path) requirements.
Article 4.122. Servitude of Construction Works
A servitude of construction works may be established granting the right to provide support to the dominant construction works against the servient thing or to provide attachment to it, to infix hooks or other fastenings into the wall (structure) of the servient construction works and to use them, to construct and erect parts of construction works pending over the servient plot of land or a construction works, to forbid the owner of the servient plot of land to build construction works that obstruct the light or the existing view as well as to perform other acts that are not prohibited by laws or to request that the owner of the servient thing refrains from the execution of definite acts.
Article 4.123. Other Servitudes
Servitudes may be established that grant the right to lay down underground or aboveground communications, servitudes to maintain and use them thereof as well as other servitudes.
SECTION TWO
ESTABLISHMENT OF A SERVITUDE
Article 4.124. Grounds and Time for the Establishment of a Servitude
- 1.
-
A servitude may be established by laws, transactions and by a court judgement while in cases stipulated by laws – by an administrative act.
- 2.
-
Rights and obligations arising from a servitude in respect of subjects become effective only after the registration of the servitude except when the servitude is established by laws.
- 3.
-
In establishing servitudes in all cases the will of the owner of the thing to become the dominant thing must be present except when a servitude is established by laws or by a court judgement.
Article 4.125. Establishment of a Servitude by Transactions
Only the owner of the thing to become the dominant thing has the right to establish servitudes by transactions.
Article 4.126. Establishment of a Servitude by a Court Judgement
- 1.
-
A servitude is established by a court judgement when owners fail to come to a mutual agreement, whereas without the establishment of a servitude it would be not possible by reasonable expenses to use the thing in accordance to its destination.
- 2.
-
The owner or the possessor of the thing may apply to the court on the establishment of a servitude by a court judgement.
Article 4.127. Restrictions on the Establishment of a Servitude
- 1.
-
It is allowed to establish a new servitude provided that the formerly established servitude is not violated whereby.
- 2.
-
It is allowed to establish a servitude in respect of an immovable thing subject to mortgage only on the consent of all creditors or by a court judgement.
Article 4.128. Things in Respect of which a Servitude May be Established
- 1.
-
A servitude may be established in respect of an immovable thing that by its permanent characteristics may ensure a proper usage of the dominant thing for an indefinite period.
- 2.
-
Having established the servitude, things becoming servient and dominant need not necessarily have a common border. Above all, due to the established servitude the thing becoming servient by its permanent characteristics should provide the thing becoming dominant the targeted permanent benefit established by the servitude.
- 3.
-
If, at the time of the establishment a servitude, a definite part of the thing was not determined in respect of which the servitude is established, it shall be considered that the servitude was established in respect of an entire thing. However, when in accordance with the rights of use granted by the servitude in respect of the servient thing it is possible to use equally well both the entire thing and a part of it and whereby a proper usage of the dominant thing is ensured, the owner of the servient thing has the right to determine part of the thing where rights established by the servitude may be used.
Article 4.129. Compensation of Damages Incurred due to the Establishment of a Servitude
Damages incurred due to the establishment of the servitude are compensated in accordance with the procedure established by laws. The obligation of the owner of the dominant thing to pay a lump sum or instalments to the owner of the servient thing may be established by laws, contracts, a court judgement or an administrative act.
SECTION THREE
EXTINCTION OF A SERVITUDE
Article 4.130. Grounds and Time for the Extinction of a Servitude
- 1.
-
A servitude is extinguished:
- 1)
-
by renunciation;
- 2)
-
by the union of the qualities of the owner of the servient and the dominant thing in one person;
- 3)
-
by destruction of the servient and the dominant thing;
- 4)
-
by deterioration of the condition of the servient thing;
- 5)
-
through the end of necessity;
- 6)
-
through prescription.
- 2.
-
A servitude may be extinguished only on grounds laid down in paragraph 1 of this Article.
- 3.
-
The time of de-registration of the servitude shall be deemed to be the moment of the extinction of the servitude except for cases provided for in paragraphs 1(2) and (3) of this Article.
- 4.
-
The owner of the servient or the dominant thing may apply to the Public Register on the extinction of the servitude.
Article 4.131. Renunciation of a Servitude
- 1.
-
The owner of the dominant thing may only renounce the existing servitude for the benefit of the owner of the servient thing.
- 2.
-
When a servitude grants several rights of use in respect of one and the same thing it is possible to renounce only some of the rights.
- 3.
-
When the dominant thing belongs to several owners the renunciation of the servitude becomes effective only upon the joint consent of all persons.
- 4.
-
The renunciation of a servitude possessed shall be done in writing.
- 5.
-
The owner of the dominant thing must notify the owner of the servient thing about the renunciation of the servitude no later than six months in advance; the owner of the dominant thing must also compensate damages incurred due to the termination of the servitude to the owner of the servient thing.
Article 4.132. Extinction of a Servitude by the Union of the Qualities of the Owner of the Servient and the Dominant Thing in One Person
- 1.
-
A servitude extinguishes only when the same person becomes the owner of both the entire dominant and the entire servient thing.
- 2.
-
If the same person becomes the owner of only a part of the dominant and the servient thing, the servitude remains in effect for the rest of the thing.
- 3.
-
When the servient thing belongs to several persons, a servitude extinguishes only when all owners of the servient thing acquire the dominant thing by ownership rights.
Article 4.133. Extinction of a Servitude when the Dominant and the Servient Thing is Destroyed
A servitude extinguishes when the dominant or the servient thing is lost.
Article 4.134. Extinction of a Servitude when the Condition of the Servient Thing Deteriorates
- 1.
-
If the servient thing deteriorates to the extent that it cannot perform functions of the servient thing any longer, the servitude also extinguishes.
- 2.
-
The servitude that extinguished due to the deterioration of the servient thing is renewed if the thing regains properties whereby it may again perform functions of the servient thing. In that event, the fact that within the time period when the deteriorated thing could not perform functions of the servient thing the servitude would be extinguished through prescription is of no importance.
- 3.
-
The owner of the servient thing and the owner of the dominant thing shall mutually agree on the extinction or renewal of the servitude. In cases of a dispute, the court shall adopt a judgement.
Article 4.135. Extinction of a Servitude through the End of Necessity
- 1.
-
When circumstances change to such an extent that the dominant thing may be properly used without using the servient thing, rights of the owner of the servient thing to use this thing are not restricted and the servitude extinguishes upon the agreement of the owner of the servient thing and the owner of the dominant thing.
- 2.
-
Failing the agreement between the owner of the servient thing and the owner of the dominant thing, the court adopts a judgement on the extinction of the servitude.
Article 4.136. Extinction of a Servitude through Prescription
- 1.
-
A servitude extinguishes through prescription if the person entitled thereto has not voluntary, within a period of ten years, he or through other persons used the rights granted by the servitude.
- 2.
-
A time period during which rights granted by a servitude were not used due to force majeure or due to impediments created by the owner or the possessor of the servient thing is not included into the prescriptive period.
- 3.
-
If the servitude holder used the rights granted by the servitude within a period of ten years only in respect of a portion of the servient thing, the servitude in respect of the rest of the servient thing terminates.
- 4.
-
A servitude may not extinguish through prescription, if only part of rights granted by the servitude were used.
- 5.
-
When the time period of prescription elapses, the servitude of right of way granting the right to use a road or a path leading to a cemetery may not extinguish.
- 6.
-
A judgement on the extinction of the servitude through prescription is adopted by the court.
Article 4.137. Extinction of a Servitude of Construction Works through Prescription
A servitude of construction works extinguishes only when the owner of the dominant thing himself or through other persons failed to use rights granted by the servitude within a time period of ten years and did something to the servient thing that is incompatible with rights granted by the servitude.
Article 4.138. Right of the Servitude Holder to Claim Compensation for Damages
If the owner or the possessor of the servient thing prevents the servitude holder from the exercise of rights granted by the servitude, the servitude holder has the right to claim damages due to this impediment.
Article 4. 139. Protection of Rights of the Owner of the Servient Thing
- 1.
-
If the servitude holder fails to exercise the rights of use of the servient thing granted by the servitude properly and violates the rights of the owner of the servient thing thereby, the owner of the servient thing has the right to request the elimination of any violations even those not related to the loss of possession.
- 2.
-
In cases when the servitude restricts the right to a portion of the thing, the owner of the servient thing has the right to request the substitution of the portion of the thing in respect of which the right is restricted thereof by another portion of the thing, if such a substitution assists the owner of the servient thing in avoiding too big losses arising from the servitude.
- 3.
-
Following the extinction of the servitude, the servitude holder, provided the owner of the servient thing requests so, must restore the thing to its original state that existed before the establishment of the servitude. The servitude holder may not be requested to eliminate alterations of the thing that appeared irrespectively of the existence of the servitude unless the law or the contract provides otherwise.
Article 4.140. Liability in Accordance with Property Obligations arising from a Servitude
- 1.
-
If the servient or the dominant thing by rights of ownership belongs to several owners, they are solidarily liable in respect of property obligations arising from the servitude.
- 2.
-
If the servient or the dominant thing is transferred to another person, the transferor and the transferee of the thing shall be solidarily liable in respect of property obligations arising from the servitude before the transfer of the thing.
CHAPTER VIII
USUFRUCT
SECTION ONE
GENERAL PROVISIONS
Article 4.141. Concept of the Usufruct
- 1.
-
Usufruct is the right (the right of the usufructuary) of use and enjoyment, granted for a period of a person’s life or for a certain period that may not be longer than a lifetime of a person, of a thing of another and of its fruits, products and revenues.
- 2.
-
Usufruct may be established for the benefit of one or several persons (either jointly or severally).
Article 4.142. Object of the Usufruct
- 1.
-
Each not consumable movable and immovable thing that is the object of the right of ownership may be the object of the usufruct.
- 2.
-
By acquiring the usufruct in respect to a principal thing, the usufructuary also acquires the usufruct in respect of secondary things unless the contract or laws provide otherwise.
- 3.
-
The object of the usufruct is transferred to the usufructuary pursuant to the inventory.
- 4.
-
If the owner of the thing in respect of which the usufruct was established changes, the usufruct remains due.
Article 4.143. Contents of the Usufruct
- 1.
-
A usufructuary has the right to use the thing as prescribed, or in the absence of requirements, in accordance to its destination as though he was its diligent owner.
- 2.
-
Fruits, products and revenues produced by the thing while exercising the usufruct belong to the usufructuary unless the contract or laws provide otherwise.
- 3.
-
The content of the usufruct is established on a case-by-case basis at the establishment of the usufruct. The subject establishing the usufruct may establish only such rights granted by the usufruct that are in compliance with the usage of the thing in accordance to its destination.
- 4.
-
If the usufruct is established in respect of the thing that is the object of the right of common ownership, the usufructuary enjoys the same rights of possession and use of the thing as though he were its co-owner.
- 5.
-
The usufructuary has the right to request the performance of obligations arising from the object of the usufruct and to accept contributions.
- 6.
-
The usufructuary has no right to transfer the usufruct to another person; however, he can transfer the right of use to another person. In that event, both subjects are solidarily liable according to their obligations. The period of time for which the right of use of the usufruct was transferred to another person may be not longer than the time for which the usufruct was established.
- 7.
-
The usufructuary has no right to remake the object of the usufruct or to change it in essence in some other way without the permission of the owner of the object of the usufruct or in cases prescribed by the law – without a judgement of the court.
- 8.
-
The usufructuary has no rights in respect of the treasure found in the object of the usufruct or a part thereof that, pursuant to the law, belongs to the owner of the thing.
Article 4.144. Duties of the Usufructuary
- 1.
-
The usufructuary is bound to maintain and renovate the object of the usufruct so far as it is necessary to ensure its normal condition.
- 2.
-
In proportion to the possessed rights of use of the object of the usufruct and the revenues produced by it, the usufructuary is bound to pay taxes and other fees in respect of the object of the usufuct unless the contract and laws provide otherwise.
- 3.
-
If the object of the usufruct is damaged or broken or it is necessary to perform routine improvement and repair works, to protect it from unforeseen risks or when third persons raise claims in respect thereto, the usufructuary must without delay notify the owner.
- 4.
-
The usufructuary in cases specified in the contract, the will or the law is bound to insure the object of the usufruct. If the usufructuary fails to insure the object of the usufruct, the owner thereof may insure it at the expense of the usufructuary.
- 5.
-
The usufructuary annually at his own expense is bound to render to the owner of the object of the usufruct a report unless otherwise provided in the usufruct terms.
Article 4.145. Use of the Usufruct in Respect of Land
- 1.
-
The usufruactuary has no right to fell trees on the land subject to the usufruct except those which have fallen and died naturally. The usufructuary must replace the destroyed trees unless otherwise provided by the usufruct terms.
- 2.
-
The usufructuary may not extract minerals from the land except when the extraction of minerals constitutes the purpose for the land use.
Article 4.146. Liability of the Usufructuary
- 1.
-
The usufructuary is liable for the deterioration of the condition of the object of the usufruct due to improper use of the usufruct.
- 2.
-
If the usufructuary fails to perform principal duties arising from the usufruct, the court on the request of the owner of the object of the usufruct can appoint the administrator of the object of the usufruct.
SECTION TWO
ESTABLISHMENT OF THE USUFRUCT
Article 4. 147. Grounds and Time for the Establishment of the Usufruct
- 1.
-
Usufruct may be established by laws, court judgements - in the cases prescribed by laws, and by transactions.
- 2.
-
Rights arising from the usufruct in respect of the thing that must be legally registered and duties in respect of subjects arise only after the registration of the usufruct except when the usufruct is established by law.
- 3.
-
Usufruct is opened in respect of a movable thing that is not subject to obligatory legal registration from the time of a transfer of the thing unless otherwise provided by the law (when the usufruct is established by law), by a transaction (when the usufruct is established by a transaction), or by a court judgement (when the usufruct is established by a court judgement).
- 4.
-
At the establishment of the usufruct, the will of the person who will become the usufructuary shall be present except when the usufruct is established by law.
Article 4.148. Establishment of the Usufruct by Transactions
Only the owner of the thing himself has the right to establish the usufruct by transactions.
Article 4.149. Restrictions on the Establishment of the Usufruct
A new usufruct may be established upon things that have already had the usufruct established upon them provided the rights granted by a newly established usufruct do not coincide with the rights previously established by the usufruct and the implementation of rights granted by a new usufruct will not infringe the rights of the existing usufruct.
SECTION THREE
EXTINCTION OF USUFRUCT
Article 4.150. Grounds and Time for the Extinction of Usufruct
- 1.
-
Usufruct is extinguished:
- 1)
-
by renunciation;
- 2)
-
by the death of the usufructuary, by the dissolution of the legal person or by expiry of a term of thirty years from the establishment of the usufruct in respect of the legal person;
- 3)
-
by expiry of a time period or when a legal fact laid down in the resolutory condition becomes effective;
- 4)
-
when the usufructuary becomes the owner of the thing subject to usufruct;
- 5)
-
by destruction of the object of the usufruct;
- 6)
-
by deterioration of the condition of the thing subject to usufruct;
- 7)
-
through prescription;
- 8)
-
by extinguishing the usufruct by a court judgement.
- 2.
-
Usufruct may be extinguished only on the grounds laid down in paragraph 1 of this Article.
- 3.
-
Time of extinction of the usufruct is the moment of it’s de-registration except for cases laid down in subparagraphs 2, 3, 4 and 5 of paragraph 1 of this Article and when the usufruct need not be registered.
- 4.
-
The usufruct created for the benefit of several usufructuaries extinguishes by the extinction of the right of the last person unless provided otherwise.
- 5.
-
When the usufructuary on the grounds of serious reasons cannot perform his duties, the usufruct may be converted to an annuity upon a mutual agreement of the owner of the object of the usufruct and the usufructuary or by a court judgement.
Article 4.151. Renunciation of the Usufruct
- 1.
-
The usufructuary may renounce the possessed usufruct only in favour of the owner of the object of the usufruct.
- 2.
-
When the usufruct grants several rights of use in respect of the same thing, some of rights may be renounced.
- 3.
-
The renunciation of the possessed usufruct shall be done in writing.
Article 4.152. Extinction of the Usufruct by the Death of the Usufructuary, by the Dissolution of the Legal Person or by the Expiry of a Term of Thirty Years from the Establishment of the Usufruct in Respect of the Legal Person
- 1.
-
When the usufructuary dies, the usufruct extinguishes irrespective whether it was established for a fixed period or a lifetime of a definite person. When the usufruct extinguishes at the death of the usufructuary, assignees are bound to return the thing to the owner.
- 2.
-
The thing owned by the legal person in the capacity of the usufructuary must be returned to the owner following the decision to liquidate the legal person or after the expiry of thirty years from the establishment of the usufruct in respect of the legal person.
Article 4.153. Extinction of the Usufruct by the Expiry of a Time Period or when a Legal Fact Laid Down in the Resolutory Condition Becomes Effective
- 1.
-
If at the time of the establishment of the usufruct its extinction date was specified or the termination of the usufruct was related to the resolutory condition, then, at the time of the expiry of the fixed time period or when the resolutory condition becomes effective, the usufruct terminates.
- 2.
-
If the usufruct was granted until a third person reaches a certain age, it continues until the date he would have reached that age, even if he has died.
- 3.
-
If the usufruct was granted until conditions related to a third person appear, the usufructuary retains his rights till the end of his life, even if the third person dies before the appearance of the conditions and therefore the conditions foreseen can not appear.
Article 4.154. Extinction of the Usufruct when the Usufructuary Becomes the Owner of the Object of the Usufruct
- 1.
-
When the usufructuary becomes the owner of the object of the usufruct, the usufruct extinguishes.
- 2.
-
If the usufructuary becomes the owner of only a part of the object of the usufruct, the usufruct remains in respect of the rest of the thing.
Article 4.155. Extinction of the Usufruct by Destruction of the Object of the Usufruct
When the object of the usufruct is destroyed, the usufruct is extinguished.
Article 4.156. Termination Extinction of the Usufruct when the Condition of the Object of the Usufruct Deteriorates
- 1.
-
When the condition of the object of the usufruct deteriorates to such an extent that it cannot be used any longer in accordance to its destination, the usufruct extinguishes.
- 2.
-
The usufruct that extinguished due to the deteriorated condition of the thing is renewed if the object of the usufruct regains properties whereby it can again perform functions of the object of the usufruct. In that event, the fact that within the time period during which the deteriorated object of the usufruct could not be used in accordance to its destination, the usufruct could have been terminated through prescription, is of no importance.
- 3.
-
A decision on the extinction and the renewal of the usufruct is adopted upon a mutual agreement of the owner of the object of the usufruct and the usufructuary, and failing the agreement – by the court.
Article 4.157. Extinction of the Usufruct through Prescription
- 1.
-
The usufruct created in respect of an immovable thing extinguishes through prescription if the usufructuary continuously voluntary within ten years himself or through other persons did not use rights granted by the usufruct.
- 2.
-
The usufruct created in respect of a movable thing t extinguishes through prescription if the usufructuary continuously voluntary within three years himself or through other persons did not use rights granted by the usufruct.
- 3.
-
A time period during which the rights granted by the usufruct were not used due to force majeure or the impediment of the owner (possessor) of the object of the usufruct is not included into the prescriptive period.
- 4.
-
If the usufructuary used rights granted by the usufruct for 15 years only by using a part of an immovable thing, the usufruct extinguishes for the rest of the thing.
- 5.
-
The usufruct may not extinguish through prescription if only a part of rights granted by the usufruct were used.
Article 4.158. Return of the Object of the Usufruct following the Extinction of the Usufruct
- 1.
-
At the end of the usufruct, the usufructuary is bound to return to the owner of the object of the usufruct the thing in the same condition as he received it taking into account regular appreciation unless otherwise agreed at the time of the establishment of the usufruct.
- 2.
-
The usufructuary has the right to retain parts used for the improvement of the thing, if they can be separated, and if the object of the usufruct whereby is not damaged. If the improved parts cannot be separated or the thing was improved in any other way, the usufructuary has the right to claim the reimbursement of improvement costs but no more than the increase of the value of the thing only on condition that he improved the thing upon the consent of the owner of the thing.
Article 4.159. Protection of Rights of the Owner of the Object of the Usufruct
If the usufructuary fails to use rights granted by the usufruct properly and thus violates the rights of the owner of the thing, the owner of the thing subject to usufruct has the right to request the elimination of any violations even those not related to the loss of the possession.
CHAPTER IX
RIGHT OF SUPERFICIES
Article 4.160. Concept of the Right of Superficies
- 1.
-
The right of superficies is the right to use the land of another for building construction works or to acquire and possess the land by the ownership right or by the right to use the subsoil.
- 2.
-
The right of superficies may be granted regardless of other real rights of the would-be holder of the right of superficies or the granting of the right can depend on another real right or the lease of an immovable thing.
- 3.
-
When the owner of the land, construction works or plants changes, the right of superficies remains due.
Article 4.161. Retribution
The act establishing the right of superficies may stipulate that the superficiary is to pay to the owner of the land a lump sum or to pay by instalments.
Article 4.162. Contents of the Right of Superficies
- 1.
-
The superficiary is entitled to acquire or to own construction works and perennial plants on the land owned by another by right of ownership.
- 2.
-
In determining the right of superficies, the right of the superficiary to construct, use or demolish construction works or to plant plants or destroy them may be limited.
- 3.
-
The right of superficies may be established for a fixed period or for an indefinite period.
Article 4.163. Establishment of the Right of Superficies
The right of superficies is established by the agreement of the landowner and the person becoming the superficiary or by the will of the landowner.
Article 4.164. Extinction of Superficies
- 1.
-
Superficies is extinguished:
- 1)
-
by the union of qualities of the superficiary and the owner of the land in one person;
- 2)
-
by the expiry of the term;
- 3)
-
through prescription, if the superficiary fails to use the object of the right of superficies for ten years;
- 4)
-
when for more than two years the superficiary is in default of paying the fee specified in the act establishing the right of superficies.
- 2.
-
At the extinction of superficies, the ownership right to construction works or plants is transferred to the landowner. The landowner shall reimburse their value provided this has been specified in the act establishing superficies.
- 3.
-
The superficiary may remove construction works or plants, if he returns the land to its former condition and if the act establishing superficies does not provide otherwise.
- 4.
-
The destruction of construction works or plants is not the grounds for the extinction of superficies, unless the parties have agreed otherwise.
CHAPTER X
EMPHYTEUSIS
Article 4. 165. Concept of Emphyteusis
- 1.
-
Emphyteusis is a real right to use the plot of land or other immovable of another provided the emphyteutic lessee does not aggravate its quality, does not undertake to build construction works, to plant perennial plants and perform other works thereon that durably increase its value both of the land used or any other immovable thing except upon the permission of the owner of the land.
- 2.
-
Emphyteusis may be established for a fixed or an indefinite period. The term of emphyteusis may not be less than ten years.
- 3.
-
When the owner or the emphyteutic lessee changes, emphyteusis remains due, provided assignees use the leased thing properly and fulfil other obligations stipulated in the act constituting emphyteusis.
Article 4.166. Emphyteutic Canon
The act constituting emphyteusis may stipulate that the lessee is to pay the owner of an immovable thing a lump sum or to pay by instalments.
Article 4.167. Establishment of Emphyteusis
Emphyteusis is established by agreement between the owner of an immovable thing and the emphyteutic lessee or by will.
Article 4.168. Contents of Emphyteusis
- 1.
-
Unless the act constituting emphyteusis provides otherwise, the lessee shall use the leased immovable thing as its owner, however he shall not increase its value essentially, he also is not entitled to change its destination without the permission of the owner. If emphyteusis is established in respect of land, the act constituting emphyteusis may stipulate the right of the lessee to build construction works or plant plants necessary for the use of the land in accordance with its destination.
- 2.
-
The emhyteutic lessee is bound to preserve and repair the immovable at his own expense.
- 3.
-
Unless provided otherwise, the emhyteutic lessee enjoys the fruits produced by an immovable thing.
- 4.
-
The act constituting emphyteusis may stipulate that the emhyteutic lessee is not entitled to assign his rights to another person or divide emphyteusis without the consent of the owner.
- 5.
-
Unless the act constituting emphyteusis provides otherwise, the emhyteutic lessee has the right to sublease. The sublessee shall not have more rights than the emhyteutic lessee. The sublease terminates upon the end of emphyteusis.
Article 4.169. Extinction of Emphyteusis
- 1.
-
Emphyteusis is extinguished:
- 1)
-
by the expiry of the term;
- 2)
-
by the loss of the object of emphyteusis;
- 3)
-
by the extinction of emphyteusis by a court judgement;
- 4)
-
by the union of the qualities of owner and emphyteutic lessee in the same person;
- 5)
-
by non-user for ten years;
- 6)
-
by a mutual agreement of parties.
- 2.
-
On the initiative of the owner and the emhyteutic lessee grounds for premature extinction of the emphyteusis may be stipulated in the act constituting emphyteusis.
- 3.
-
Emphyteusis may be modified or cancelled by a court judgement on the request of either the owner or the emphyteutic lessee, provided that unforeseen circumstances appear whereby it is impossible to use the thing in conformity with to earlier conditions.
- 4.
-
Upon the extinction of emphyteusis, the emphyteutic lessee is bound to return to the owner the object of emphyteusis. The emphyteutic lessee is to be reimbursed for the value of the improvements of the object of emphyteusis, provided that the improvements have been made upon the consent of the owner. The emphyteutic lessee is entitled to suspend the transfer of the object of emphyteusis till the time when the owner repays the compensation. The owner can retain the thing belonging to the emphyteutic lessee till the time the lessee settles accounts with him.
- 5.
-
If the act constituting emphyteusis stipulated the right of the emphyteutic lessee to build construction works or plant plants necessary for the use of the land in accordance to its destination, at the extinction of emphyteusis, the emphyteutic lessee can remove construction works or plants, if he returns the land to its former condition and unless the act constituting emphyteusis provides otherwise.
CHAPTER XI
MORTGAGE
SECTION ONE
GENERAL PROVISIONS
Article 4.170. Concept of Mortgage
- 1.
-
Mortgage is the pledge of an immovable thing to secure the performance of a present or future debt obligation, when the mortgaged thing is not transferred to the creditor.
- 2.
-
An agreement on the conveyance of the mortgaged thing or the thing to be mortgaged to the creditor is not valid.
- 3.
-
The mortgage does not deprive the owner of a thing the right to possess, use and dispose of the mortgaged thing with due consideration of the rights of the mortgagee. A subsequent pledge of the mortgaged thing is allowed if the mortgage bond does not provide otherwise.
Article 4.171. Object of Mortgage
- 1.
-
The object of a mortgage may be individual immovable things, registered in the public register and not withdrawn from the civil turnover that may be submitted for a public forced auction. The mortgage of an immovable thing does not cover the proceedings received from this thing.
- 2.
-
When a principal thing is mortgaged, it shall be deemed that all present and future accessories added to the principle thing by the will of the owner or due to natural events are mortgaged.
- 3.
-
When an immovable thing is pledged for the use of which in accordance with its destination movable things are necessary, it shall be deemed that movable things necessary for the use of such a thing in accordance with its destination are the object of the mortgage, including those that will come into the ownership of the mortgagor in the future unless otherwise provided in the mortgage contract on the pledge (non-pledge) of movable things or in the unilateral mortgage declaration of the owner of an immovable thing.
- 4.
-
Only an insured thing may be mortgaged with the exception of land.
- 5.
-
The mortgage of an immovable thing covers the insurance indemnity of the thing.
- 6.
-
In order to mortgage a part of the thing owned by the same owner, the part thereof must be accurately defined and registered in the public register as a separate entity.
- 7.
-
For the mortgage of construction works, the plot of land on which construction works are standing is to be mortgaged or the mortgage shall include right of lease (right of use) in respect of the plot of land thereof.
- 8.
-
A thing belonging by the right of common ownership may be mortgaged only on the consent of all co-owners. When a part of common divided ownership is mortgaged, the consent of other co-owners is not necessary, however, the mortgaged part must be accurately defined in the contract on the manner of the use of the thing concluded among co-owners and certified by the notary.
- 9.
-
The mortgage of the thing does not prevent from the transfer of the thing to the ownership of another. With the transfer of the mortgaged thing for the ownership of another person, the mortgage follows the thing.
- 10.
-
The owner of the mortgaged thing has no right to destroy, damage or reduce the value of the thing, except for normal depreciation or the decrease of the value pertaining to its use for the purpose of essential necessity. When the requirements thereof are violated, the mortgagee may demand the commencement of the execution against the mortgaged thing before the expiration of the term.
- 11.
-
As the object of a legal mortgage such thing shall be selected that having sold it all creditor’s claims are satisfied and the debtor should be affected the least.
- 12.
-
The mortgage of land extends to construction works as appurtenances unless the mortgage contract provides otherwise. If the mortgage of land does not extend to construction works, after the foreclosure sale of the mortgaged land, the owner of construction works shall acquire the right of the servitude of land. When the mortgaged plot of land with construction works on it belonging to another person (not the owner of the land) by right of ownership is sold in a foreclosure sale, the rights and duties of the former owner of the land possessed by the owner of construction works are passed to the person who acquires the land in a foreclosure sale.
Article 4.172. Validity of the Mortgage after Dividing the Mortgaged Immovable Thing
- 1.
-
After the division of the mortgaged immovable thing, the mortgage claim is not divided and remains valid for all immovable things resulting after the division. An agreement on the division of the mortgage claim is not be valid.
- 2.
-
The priority in a forced auction sale of immovable things belonging to different owners by right of ownership resulting after the division of an immovable thing is established at the time of division by a written consent of the owners of the thing. In the absence of a written consent of the owners of the thing, the priority in a foreclosure sale of immovable things resulting after the division is established by the mortgage judge.
Article 4.173. Validity of the Mortgage after Joining Together Mortgaged Immovable Things
- 1.
-
Mortgaged immovable things may be joined only subject to a written consent of the creditors; the priority of the satisfaction of whose claims will change after the joining.
- 2.
-
After joining together several immovable things, the mortgage on each of them extends to the immovable thing resulting after the joining. The priority of satisfaction of claims of mortgage creditors is established in accordance with the date of filing an application for registration of the mortgage.
Article 4.174. Satisfactions and Recoveries Secured by the Mortgage
- 1.
-
The mortgage secures the satisfaction of the principal claim, the recovery of the interest arising from the claim and the forfeit and costs of the proceedings related to the implementation of the mortgage.
- 2.
-
The principal claim secured by the mortgage, the interest arising from this claim and the forfeit may be increased, and the term for the satisfaction of the debt obligation may be reduced or extended as compared to subsequent creditors only upon the receipt of a written consent of subsequent creditors.
Article 4.175. Types of Mortgage
- 1.
-
Legal and contractual mortgage may be registered. The procedure for the establishment of legal mortgage is defined by the Code of Civil Procedure.
- 2.
-
Legal mortgage shall arise on the basis of the law or a court judgement in the following cases:
- 1)
-
to secure state claims arising from taxing and state social insurance legal relations;
- 2)
-
to secure claims related to the construction of construction works or reconstruction;
- 3)
-
to secure property claims in accordance with a court judgement;
- 4)
-
in other cases provided for by this Code.
3. Legal mortgage may be ordinary, joint, the mortgage of the thing of another, maximum, common and conditional mortgage.
Article 4.176. Establishment of Mortgage to Secure State Claims Arising from Taxing Legal Relations
To secure state claims arising from taxing and state social insurance legal relations, the mortgage is established on the request of state tax inspectorate, customs or state social insurance authorities. The application shall indicate the thing in respect of which the mortgage is established, the owner of the thing who is a debtor, the grounds for the establishment of the mortgage, the term of mortgage and the amount of the claim. Documents certifying data provided in the application shall accompany the application.
Article 4. 177. Establishment of Mortgage to Secure Claims Related to the Construction of Construction Works or Reconstruction
- 1.
-
The mortgage to secure persons’ claims related to the construction of construction works or reconstruction may be established only in respect to a registered construction works.
- 2.
-
The mortgage is established on the request of the contractor, designer, the supplier of materials or the person who provides the funding not later than thirty days following the completion of construction or reconstruction works. The application shall indicate the construction works in respect of which the mortgage is established, the owner of the thing who is a debtor, the grounds for the establishment of the mortgage, the term of mortgage and the amount of the claim. Documents certifying data provided in the application shall accompany the application.
Article 4. 178. Establishment of Mortgage to Secure Claims to be Satisfied in Accordance with a Court Judgement
After the satisfaction of the claim on the recovery of the money in accordance with a court judgement, the mortgage in respect of the debtor’s thing may be registered. The court judgement shall indicate the amount of the claim secured by the mortgage, the term of the mortgage, the thing that is registered in the Register of Mortgages and the owner of the thing thereof.
Article 4. 179. Ordinary Mortgage
Ordinary mortgage is the mortgage of one definite immovable thing possessed by the right of ownership in order to secure the discharge of one definite obligation.
Article 4. 180. Joint Mortgage
Joint mortgage is a simultaneous mortgage of several immovable things belonging by the right of ownership in order to secure the discharge of one definite obligation.
Article 4.181. Mortgage of the Thing of Another
The mortgage of the thing of another is the mortgage of an immovable thing belonging by the right of ownership in order to secure the discharge of the debt obligation of the other person.
Article 4. 182. Maximum Mortgage
- 1.
-
The maximum mortgage is the mortgage of an immovable thing when an agreement is made only to secure the maximum sum of obligations on the basis of a mortgaged thing and on the area in which the loan will be used. The maximum mortgage is registered for a period not exceeding five years.
- 2.
-
Upon the expiration of a five-year period, the amount of debt is fixed in the Register of Mortgages and the mortgage commences as an ordinary mortgage. This mortgage shall not secure any other subsequent debt obligations. When the date of fixing the amount of
- 3.
-
The amount of debt is fixed when other creditors request a foreclosure sale of the mortgaged thing, upon the seizure of the mortgaged thing, upon declaring the debtor or the creditor insolvent or upon their liquidation, upon the death of the creditor or the debtor and if the inheritors of property fail to re-register the mortgage on their own name within six months as the day of the inheritance descends to them.
- 4.
-
The fixing of the amount of debt is cancelled if creditors withdraw the request for a foreclosure sale of the thing, if the seizure of an immovable thing is revoked or the liquidation of the debtor or the creditor is rescinded.
- 5.
-
The maximum amount of the obligation security may not be increased without the approval of other mortgage creditors of the same thing in rank.
Article 4.183. Common Mortgage
- 1.
-
Common mortgage is the mortgage of several immovable things belonging to different owners in order to secure one debt obligation.
- 2.
-
The owner of the thing mortgaged by the common mortgage wishing to mortgage the same thing once again has to get a written approval of all other owners of things that are mortgaged by the common mortgage.
- 3.
-
The contract on the common mortgage has to set forth the order of priority in the foreclosure sale of mortgaged things.
Article 4. 184. Conditional Mortgage
- 1.
-
Conditional mortgage is the mortgage of a thing in order to secure the discharge of the debt obligation provided that it has been agreed that the mortgage becomes effective from the moment of the fulfilment of the condition stipulated in the contract or the mortgage will be effective only till the moment when the condition stipulated in the contract is fulfilled. The condition may be imposed on both the creditor and the debtor.
- 2.
-
Before the fulfilment of the condition determining the coming into effect of the mortgage, the mortgage may be closed by the mortgage judge at any time on the request of the party concerned.
- 3.
-
If the condition determining the termination of the mortgage is no longer being fulfilled, the party concerned has the right to apply to the mortgage judge and to demand the termination of the mortgage.
SECTION TWO
REGISTRATION OF THE MORTGAGE
Article 4.185. Execution and Registration of the Mortgage
- 1.
-
The mortgage contract, a unilateral declaration of the owner of the mortgaged thing thereof as well as the application to register the compulsory mortgage shall be executed as a mortgage bond. When the mortgage is contractual, the mortgage bond shall be certified by the notary.
- 2.
-
The mortgage contract (bond) is signed by a debtor, creditor and the owner of the mortgaged thing (when the debtor and the owner of the thing is not the same person). When the thing is mortgaged upon a unilateral declaration of its owner, the mortgage bond is signed by the owner of the mortgaged thing only. If the mortgage is compulsory, the mortgage bond is signed by the creditor.
- 3.
-
The mortgage is registered in the Register of Mortgages upon the decision of the mortgage judge and upon the submission of the mortgage bond to the Mortgage Office of the locality wherein the mortgaged thing is located.
- 4.
-
Changes of the mortgage are entered into the mortgage bond and are registered in the Register of Mortgages subject to the same procedure as the mortgage.
- 5.
-
Data of the Register of Mortgages shall be public and shall be regarded as accurate and comprehensive until contested in the manner prescribed by laws.
Article 4.186. Contents of the Mortgage Bond
- 1.
-
The mortgage bond shall indicate the location and the date where it is drawn up, the debtor, the creditor and the owner of the mortgaged thing (when the debtor and the owner of the thing is not the same person), their place of residence (office), the mortgaged thing, its valuation and locality, the obligation secured by the mortgage, its definite or maximum amount (when the mortgage is contractual) and the date of the performance of the obligation. The amount of the obligation in the mortgage bond is indicated with the interest thereof. When the mortgage is compulsory, the grounds for the establishment of the mortgage are indicated wherein.
- 2.
-
Other data may also be indicated in the mortgage bond.
- 3.
-
If the mortgage bond is drawn up unilaterally by the owner of the mortgaged thing, the creditor may not be indicated. In that event, a bearer mortgage bond is drawn up and that may, upon the request of its holder and at any time, be executed as a registered mortgage bond.
Article 4.187. Time of the Mortgage Becoming Effective
The mortgage becomes effective from the moment of its registration in the Register of Mortgages when respective inscriptions are entered into the public register.
Article 4.188. Lack of Correspondence between the Mortgage Bond and the Data of the Register of Mortgages
Where the text of the mortgage bond does not correspond with the entry of the Register of Mortgages, the entry in the Register of Mortgages shall prevail. In that event, the damage sustained by the honest mortgage bond holder through the fault of the office of the Register of Mortgages is compensated for by the State in the manner prescribed by laws.
SECTION THREE
TRANSFER AND PLEDGE OF THE MORTGAGE
Article 4.189. Transfer of the Claim Secured by Mortgage
- 1.
-
The creditor may transfer the claim secured by mortgage or part of it to another person unless the mortgage contract provides otherwise. The claim secured by mortgage is transferred in accordance with rules stipulated by the requirements of Book Six of this Code regulating the assignment of claim.
- 2.
-
The claim secured by mortgage is assigned by transferring the mortgage bond by endorsement (the entry of the holder of the mortgage bond by which the mortgage bond is transferred to another person). When part of the claim secured by mortgage is transferred, the mortgage bond shall specify which of the creditors shall keep the mortgage bond.
- 3.
-
The endorsement shall be written on the mortgage bond by indicating the person to whom the claim secured by mortgage is transferred; the endorsement should be signed by the endorser (the holder of the mortgage bond) and registered in the Register of Mortgages.
- 4.
-
The transfer of the claim secured by mortgage (the endorsement of the mortgage bond) is registered in the Register of Mortgages in accordance with the same procedure as the mortgage.
Article 4. 190. Right of the Mortgagee to Transfer his Priority for the Satisfaction of his Claim from the Value of the Mortgaged Thing to Another Mortgagee
If the thing is subject to several mortgages, any mortgagee may transfer his priority for the satisfaction of his claim from the value of the mortgaged thing to another mortgagee of the same debtor. A corresponding entry is made upon both mortgage bonds. If the sum of the claim of the mortgagee who transfers his priority is smaller than the sum of the claim of the transferee, a notarised consent of the creditors succeeding the transferor and preceding the transferee is necessary.
Article 4.191. Pledge of the Claim Secured by Mortgage
- 1.
-
The mortgagee may pledge his mortgage claim to secure a loan to be granted or granted to him only when the date of maturity is not later than the date of maturity stipulated in the mortgage bond.
- 2.
-
The mortgage claim is pledged upon an agreement between the parties by making an entry in the mortgage bond and becomes effective from the date of registration of the agreement in the Register of Mortgages. The agreement is executed as a pledge bond of a movable thing.
SECTION FOUR
RECOVERY OF DEBT FOR THE BENEFIT OF THE MORTGAGEE
Article 4.192. Right of the Mortgagee to Apply for the Recovery of Debt
- 1.
-
If within the time period indicated in the mortgage bond the debtor fails to discharge the obligation, the mortgagee may exercise his rights by applying to the mortgage judge with the request to sell the mortgaged thing in a public forced auction sale and that he be fully paid the due sum from the proceeds that he is entitled to receive before other creditors or that he should be granted the right to administer the mortgaged thing.
- 2.
-
Upon the seizure of the mortgaged thing by the mortgage judge pursuant to the application of the mortgagee, the owner of the mortgaged thing shall forfeit his right to transfer the thing to other persons, to pledge, lease or encumber it or to decrease its value.
- 3.
-
When the mortgaged thing is transferred to the mortgagee for administration and it turns out while administrating that it is not possible to satisfy the claim secured by mortgage, the mortgagee may apply to the mortgage judge to sell the mortgaged thing at the foreclosure sale.
Article 4.193. Right of the Mortgagee to Satisfy the Claim from the Mortgaged Thing
- 1.
-
If the proceeds from the f public forced auction sale of the mortgaged thing are lower than the sum due to the creditor, the creditor has the right to claim recovery from the property of another debtor in accordance with the regular procedure prescribed by laws.
- 2.
-
In the event of multiple mortgages of the thing, claims of mortgagees are satisfied according to the time of their application for registration. The mortgagee who has submitted the application for registration earlier may be obliged to cover the damages of the mortgagee who has submitted the application later, if urged by the latter, the mortgagee who has submitted the application earlier unreasonably delayed the exercise of his rights.
- 3.
-
If the mortgaged thing was expropriated or confiscated, the claim of the mortgagee is satisfied respectively by a new possessor of the thing or by the State, however not in the excess of the value of the mortgaged thing.
- 4.
-
If the mortgaged thing passes into the ownership of the State or the Municipality by right of inheritance or the mortgaged ownerless thing is assigned by a court judgement into the ownership of the State or the Municipality, the claim of the mortgagee is satisfied by the State or the Municipality, however not in excess of the value of the mortgaged thing.
Article 4.194. Recovery of the Debt by Selling at the Forced Auction Sale the Thing Mortgaged by Joint Mortgage
- 1.
-
The priority of the sale of things mortgaged by joint mortgage is set by the owner of things.
- 2.
-
When things mortgaged by joint mortgage are sold at a public foreclosure sale the debt is recovered simultaneously from all things sold and only as many of the items may be sold as it is necessary for the satisfaction of the mortgagee’s claim.
Article 4.195. Recovery of the Debt by Selling the Thing Mortgaged by the Mortgage of the Thing of Another
- 1.
-
The owner of the mortgaged thing is liable for the discharge of the debtor’s obligation by his mortgaged thing only.
- 2.
-
When the owner of the mortgaged thing discharges the debtor’s obligation or if his thing was sold at a public forced auction sale, the owner of the mortgaged thing acquires the right of recourse for the amount paid or for the indemnification of damages due to the loss of the thing.
Article 4.196. Right to Acceleration of the Claim Secured by Mortgage
- 1.
-
The mortgagee has the right to demand the acceleration of the claim secured by mortgage in the same manner as at maturity provided:
- 1)
-
other creditors are demanding, in cases provided by laws, a foreclosure sale of the mortgaged thing;
- 2)
-
the debtor has died;
- 3)
-
bankruptcy proceedings of the debtor or the owner of the mortgaged thing (not a legal person) have been initiated or a decision on its liquidation has been adopted;
- 4)
-
the value of the thing has decreased, while the debtor has failed to discharge part of debt obligation whereby the value of the mortgaged thing has decreased when this part of obligation has not been covered by the insurance amount received;
- 5)
-
the contract of insurance of the mortgaged thing has been terminated before its expiration or, after the termination of the insurance contract, the thing is not insured.
- 2.
-
If the value of the mortgaged thing has decreased while the debtor has failed to discharge part of his obligation whereby the value of the thing decreased, or the thing was lost, creditors have the right to the insurance amount of the thing not in excess of the amount of their claims to be paid in the manner of priority of the satisfaction of their claims. Upon the receipt of a written agreement of all creditors, the insurance amount may be paid to the owner of the mortgaged thing.
SECTION FIVE
EXTINCTION OF THE MORTGAGE
Article 4.197 Grounds and Moment of Extinction of the Mortgage
- 1.
-
The forced sale of the mortgaged thing on the request of the mortgagee shall disencumber it from all mortgages.
- 2.
-
The owner of the mortgaged thing or the debtor may demand the termination of mortgage, if:
- 1)
-
the debt obligation has been performed;
- 2)
-
the mortgage in respect of the thing has been cancelled;
- 3)
-
the mortgagee or his whereabouts have been unknown for ten years at the maturity.
- 3.
-
The mortgage may extinguish upon the agreement of the mortgagee and the debtor or when the mortgagee relinquishes the mortgage.
- 4.
-
If at the maturity the mortgagee refuses to accept the thing secured by mortgage obligation, the debtor may pay the respective amount into the deposit account of the mortgage office. The mortgage extinguishes when the total amount has been paid into the deposit account.
- 5.
-
The time of the extinction of the mortgage is the moment of its de-registration from the Register of Mortgages.
CHAPTER XII
THE PLEDGE
Article 4.198. Concept of a Pledge
- 1.
-
A pledge shall mean pledging of a movable thing or real rights securing the discharge of an existing or future debt obligation when the object of the pledge is transferred to the creditor, a third person or remains with the pledgor. The object of a pledge remaining with the pledgor may be locked, sealed or marked by marks indicating that it has been pledged.
- 2.
-
Pursuant to the pledge, the creditor (the pledgee) has the right to satisfy his claim from the value of the collateral prior to other creditors, if the debtor fails to discharge the obligation secured by the pledge (in the event of default).
Article 4.199. Grounds for the Pledge
- 1.
-
A pledge is created by contract or by law. When a pledge is created by law, the law shall specify exactly the thing subject to a pledge.
- 2.
-
Provisions of this Book regulating legal mortgages are applied mutatis mutantis to a legal pledge (when a pledge is created by law or on the grounds of a court judgement).
Article 4.200. Claims Secured by the Pledge
- 1.
-
A pledge may secure a performance of any monetary obligation.
- 2.
-
A pledge is a derivative obligation from a principal obligation. Rights of the pledgee are derived from his rights as a creditor and the exercise of these rights depends on the fate of the obligation secured by a pledge.
- 3.
-
Unless otherwise provided in the contract or by the law, a pledge secures a claim to the extent it is at the time of its satisfaction including interest, punitive interest, losses incurred due to delay and necessary recovery expenses that are covered first of all.
Article 4.201. Object of the Pledge
- 1.
-
Movable things and real rights may be the object of the pledge.
- 2.
-
Things in respect of which under the existing laws enforcement may not be levied as well as movable things that have been pledged together with an immovable thing in accordance with the procedure established in Article 4.171(3) of this Code may not be the object of the pledge.
- 3.
-
Unless otherwise provided in the contract and by the law, a pledge of the thing covers accessories of the thing and non-separated fruits.
- 4.
-
The risk for an accidental destruction or a breakdown of the thing is borne by the pledgor, unless otherwise provided in the contract or by the law.
- 5.
-
In cases established by law, things that will come into the pledgor’s ownership in the future may also be the object of the pledge. Enforcement may be levied in respect of those things only when they come into the pledgor’s ownership.
- 6.
-
Jointly owned things may be pledged only upon a written consent of all co-owners.
Article 4.202. Pledge of Goods in Stock that are in Circulation
A pledgor, having pledged goods in stock that are in circulation (goods, raw materials, semi-finished goods, finished goods), has the right to change the composition and form of pledged goods in stock provided their total value is not reduced. When pledged goods are sold while the pledgor is engaged in business as set forth in its bylaws, the pledge of goods is released and new goods in stock acquired by the pledgor become the object of the pledge from the time of acquisition of the goods into ownership.
Article 4.203. Substitution of the Collateral
- 1.
-
Upon the consent of the pledgee(s), the pledgor may substitute the thing defined by individual characteristics, that is the object of the pledge, by another thing that has not been previously pledged.
- 2.
-
In the case specified in paragraph 1 of this Article, the pledge of the prior thing is revoked following the execution of the pledge of a new thing.
Article 4.204. Real Rights as the Object of the Pledge
- 1.
-
Rights towards the land, forest, other things, i.e. the right of use, the right of lease and other property rights, except for rights related to the personality of the owner of the thing pledged as well as rights that are not transferable by laws or by the contract may be the object of the pledge.
- 2.
-
In cases prescribed by laws, property rights that the pledgor will acquire in the future may also be the object of the pledge.
- 3.
-
When a property right subject to a pledge is evidenced by securities or special documents, they are transferred to the pledgee unless otherwise provided by laws or by an agreement of the parties.
Article 4.205. Insurance of the Object of the Pledge
- 1.
-
The law or the contract may stipulate the duty to insure the thing that has been pledged (the thing to be pledged).
- 2.
-
A contract may also provide for the duty of the pledgor (a legal person) to insure the object of the pledge in the event of liquidation or insolvency.
- 3.
-
In the event of insured accident, the creditor whose claims are secured by the pledge has a priority right (in accordance with the succession of pledges, if there have been multiple pledges) to satisfy his claims from the sum of the insurance indemnity.
Article 4.206. The Pledgor
- 1.
-
A debtor himself and a third person may also be the pledgor.
- 2.
-
The pledgor must be the owner of the collateral or a person having the property right that is the object of the pledge except when the law stipulates that the object of the pledge may be acquired into the pledgor’s ownership in the future.
- 3.
-
A property right that belongs to several persons may be pledged upon a written consent of all of them.
- 4.
-
The lessee (the recipient of the loan-for-use) may pledge rights related to the lease of the thing (loan-for-use) only upon a written approval of the lessor (delivering party).
Article 4.207. Remaining of the Right to Pledge when the Right of Ownership of the Collateral has been Transferred to Another Person
- 1.
-
When the right of ownership of the collateral is transferred to another person, the right to pledge remains due when the object of the pledge was transferred to the pledgee or when the pledge bond was registered in the Register of Mortgages unless the laws provide otherwise. This rule also applies when property rights constitute the object of the pledge.
- 2.
-
The right to pledge is valid in all its entirety and in the case when the debtor performs the obligation partially.
Article 4.208. Right to Inspect the Subject of Pledge
- 1.
-
A creditor has the right to inspect the number, condition, storage conditions, etc., of pledged things controlled by the pledgor unless otherwise provided in the contract.
- 2.
-
When the pledgor violates storage conditions of the collateral, refrains to submit a damaged thing or to supply the remains of the destroyed thing, the creditor is entitled to request the discharge of the obligation secured by the pledge before the expiration of its term.
Article 4.209. Form of a Pledge Contract and of a Unilateral Declaration of the Owner of the Object of the Pledge
- 1.
-
When the object of the pledge is transferred to the pledgee, a written pledge contract is concluded. A pledge contract may be concluded as an individual contract or as a pledge contract that could be included into the agreement from which the principal obligation arises.
- 2.
-
When the object of the pledge is transferred to a third person or remains with the pledgor, a pledge contract and a unilateral declaration of the owner of the object of the pledge to pledge things or property rights is drawn by perfecting a pledge bond certified by a notary and registered in the Register of Mortgages.
- 3.
-
Non-compliance with rules laid down in paragraphs 1 and 2 of this Article turns the contract null and void.
- 4.
-
A pledge contract (bond) is signed by a pledgor, a debtor, a creditor and a person to whom the object of the pledge is transferred. If the object of the pledge is pledged by a unilateral declaration of the owner, the pledge bond is signed only by a pledgor.
- 5.
-
The pledge of the thing may be executed by transferring to the creditor documents granting rights towards this thing (consignments, etc.).
Article 4.210. Contents of a Pledge Contract (Bond)
- 1.
-
A pledge contract (bond) shall indicate the following: the venue and the date of its conclusion, a pledgor, a debtor, a creditor and a person to whom the object of the pledge was transferred, their place of residence (office), the description of the collateral (property rights), the value and the location, an obligation secured by a pledge (interest included), the amount or a maximum amount of the obligation and the date of performance.
- 2.
-
A pledge contract (bond) may include other additional data.
Article 4.211. Subsequent Pledges
- 1.
-
When by a prior pledge the thing was not transferred to the pledgee and if the pledge bond does not provide otherwise, a subsequent pledge is allowed when the object of the pledge is not transferred to the pledgee. In such cases, the prior pledge remains valid.
- 2.
-
A pledgor must notify each creditor about all prior and subsequent pledges and obligations secured by the pledge and their amount. A pledgor must compensate the losses incurred by any of the creditors arising from the failure to discharge this duty.
Article 4.212. Pledge Priority
- 1.
-
If in respect to the same subject of the pledge several pledge bonds are registered, the priority is given to the claim that is secured by a registered pledge bond of the application filed earlier.
- 2.
-
The creditor’s claim in respect of which the pledge right was created later is satisfied only following the compensation of expenses related to the sale of the collateral and having fully satisfied the claims of a prior creditor.
Article 4.213. Creation of the Right to Pledge
The right to pledge is created as of the time of the conclusion of the pledge contract when the collateral is transferred to the creditor. When the collateral remains with the pledgor or is transferred to a third person, the right to pledge is created as of the time of the registration of the pledge in the Register of Mortgages.
Article 4.214. Duties of the Person to whom the Collateral is Transferred
The person to whom the collateral has been transferred must take proper care of it. He is liable for the preservation thereof if he fails to prove that the thing has been lost or damaged through no fault of his. This person has no right to use the collateral unless otherwise provided by law or the contract.
Article 4.115. Vindication of the Collateral
If the collateral ceases to be controlled by a pledgee, a pledgor or a third person, the pledgee or the third person can vindicate the thing in accordance with Articles 4.95-4.97 of this Code.
Article 4.216. Creation of the Right of Enforcement towards the Object of the Pledge
- 1.
-
A pledgor acquires the right of enforcement towards the object of the pledge, upon a failure to perform, but not earlier than 20 days after the expiry of the time period for the performance of the obligation. The beneficial term that is not shorter than ten days may be set up by a mutual agreement of the parties.
- 2.
-
A creditor is entitled to demand that the obligation secured by the pledge be perform before the expiration of the maturity date when the enforcement is directed towards the collateral by another person, if the pledgor dies or the liquidation procedure of the pledgor (the legal person) commences, the collateral has been lost or, due to circumstances beyond the control of the pledgor, its value decreased by more than 30 percent; the pledgor prevents the creditor from inspecting the condition of the collateral; terms of the pledge contract are breached in respect to a subsequent pledge or if the pledgor fails to comply with other contract terms and conditions or performs acts that may result in the decrease of value of the collateral or the enforcement may become impossible.
Article 4.217. Enforcement towards the Object of the Pledge that Consists of Two or More Things (Property Rights)
When the object of the pledge consists of two or more things (property rights), the enforcement may be directed towards all those things (property rights) or towards each of them individually. The right of choice belongs to the pledgee till a full satisfaction of the claim.
Article 4.218. Consequences Arising when the Claims of the Pledgee are Satisfied by a Third Person
When a claim of a pledgee is fully satisfied by a third person, the right to pledge together with a right to claim are transferred to him.
Article 4.219. Enforcement Procedure of Collaterals
- 1.
-
When a debtor fails to perform the obligation secured by a pledge, the claim of a creditor is satisfied from the value of the collateral, unless the law or the contract provides otherwise.
- 2.
-
A creditor must notify