The Supreme Court issued a verdict on unauthorized capital buildings on land in rent

Russia's Supreme Court has settled a dispute over ownership of a building built on leased land in Krasnodar. The city administration provided land for rent with the condition of building a temporary trading pavilion of lightweight structures. However, the tenant violated the contract, building a capital structure with reinforced concrete foundation and brick walls, writes Rg.ru.

When the businessman tried to recognize the building as his property, the district court refused him. The court ruled that the construction was unauthorized, since the land was leased for temporary use, and the tenant did not have a capital construction permit.

Nevertheless, the regional court overturned this decision and recognized the right of the entrepreneur to the property, arguing for the reconstruction of the pavilion, which gave him signs of real estate. The court referred to Articles 218 and 219 of the Civil Code, arguing that the entrepreneur became a new owner as a result of the sale.

The Krasnodar administration appealed this decision to the Supreme Court. The Supreme Court of Russia confirmed that the construction of capital buildings on leased land without the permission of the owner of the site is a violation of the law. According to Article 222 of the Civil Code, an unauthorized building cannot be recognized as the property of the person who erected it.

The Supreme Court overturned the decision of the regional court and upheld the original decision that the entrepreneur has no ownership of the built building. The Court stressed that the will of the landowner must be taken into account when considering such matters.