Encumbrances (Section C)
- LR information on mortgages
MORTGAGE
Original name: HIPOTEKA
Definition of this right: 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.
Type of right according to national classification: Legal fact
Observations: 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. In Lithuania mortgage is registered in the Mortgage Register, whereas the Real Property Register contains only a note on the registered mortgage (Legal fact).
PLEDGE
Original name: ĮKEITIMAS
Definition of this right: 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.
Type of right according to national classification: Legal fact
Observations: In Lithuania pledge is registered in the Mortgage Register, whereas the Real Property Register contains only a note on the registered pledge (Legal fact).
1.1. With respect to the mortgage liability, the Lithuanian mortgage system prepares in general one option:
a) Information about sums of money guaranteed by mortgage is provided by extracts of the Mortgage Register. [E.g. The loan is 100,000 € but LR extracts will not inform any figures, or at most will inform the fact that the property is encumbered by a mortgage].
1.2. Regular LR information in this system also comprises ordinarily:
1. Name of the mortgagee or creditor
2. Deed whereby mortgage was constituted or awarded
3. Name of property object which is mortgaged, including its unique number. - LR Information on property rights
In this LR system these are the following:
POSSESSION
Original name: VALDYMAS
Definition of this right: 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.
Type of right according to national classification: “Rights of use”
Observations: 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.
RIGHT OF OWNERSHIP
Original name: NUOSAVYBĖS TEISĖ
Definition of this right: Ownership right is the right to manage, possess, use and dispose of an object of ownership right at one’s volition, without violating the laws and the rights and interests of other persons.
Type of right according to national classification: “Rights of use”
Observations: In Lithuania there is also co-ownership right. It 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. 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. When the size of specific shares of each co-owner (in common partial ownership) is not established, it is assumed that these shares are equal.
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.
RIGHT OF TRUST
Original name: TURTO PATIKĖJIMO TEISĖ
Definition of this right: 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.
Type of right according to national classification: “Rights of use”
Observations: The right of trust is established for personal purposes, for private or public good.
SERVITUDE
Original name: SERVITUTAS
Definition of this right: 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).
Type of right according to national classification: “Rights of use”
Observations: The servitude is registered in the register entry of the dominant as well as of the servient thing. Registration of the servitude does not limit the possibilities of registering other rights.
USUFRUCT
Original name: UZUFRUKTAS
Definition of this right: 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.
Type of right according to national classification: “Rights of use”
Observations: Usufruct may be established for the benefit of one or several persons (either jointly or severally).
RIGHT OF SUPERFICIES
Original name: UŽSTATYMO TEISĖ
Definition of this right: 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.
Type of right according to national classification: “Rights of use”
Observations: 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. When the owner of the land, construction works or plants changes, the right of superficies remains due.
EMPHYTEUSIS
Original name: ILGALAIKĖ NUOMA (EMPHYTEUSIS)
Definition of this right: 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.
Type of right according to national classification: “Rights of use”
Observations: Emphyteusis may be established for a fixed or an indefinite period. The term of emphyteusis may not be less than ten years. 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.
- Information on judicial restrictions included in Section “C”
This information includes LR entries or notices related to restrictions decreed by judicial orders which mean either a claim on the property, or a challenge on the registered title, or an attachment of the property to debts as a result of judicial procedures, etc.
In this system:
a) Information on judicial restrictions or charges forms part of the regular land register extracts
b) Means of formal publicity ordinarily contains information about the judicial order that leads to the registration of notices or caveats. - Information about other restrictions
For purposes of the information, orders of attachment or seizure decreed by administrative authorities lead to notices and caveats. The decision on property seizure taken by a prosecutor, a bailiff (i.e. administrative authority) is registered as a note in the Land Registry information. However, decision on attachment is taken only by court.
LR information does not include tax liabilities (fiscal burdens).
