Why register?

The Romanian Land Registry Association

1. Is it compulsory to register all transactions relating to land/property in your system?
   a.          yes, but not explicitly. As a matter of fact, in case the owner intends to  dispose of his right, it is compulsory to prior register the transaction. On the other hand, after the notary public authenticates  a deed  he is obliged to send the deed to the territorial office in the day of authentication, or no later than the next day.
2. If not, are there any circumstances under which is it compulsory to do so?
   a.          see the answer above
3. If not, and registration is voluntary, what are the benefits of registration?
   a.          the principle of “prior tempore, potior iure” is applicable in Romanian legislation
   b.          the proof property right
   c.           legal protection of “bona fides”
4. What percentage of land/titles is/are registered in your system?
   a.          n/a
5. What types of legal rights in property are capable of being protected by registration?
   a.          property right, mortgages, easements
6. Are there other rights, legal situations, judicial decisions affecting property rights or owner’s powers capable of registration?
   a.          yes. According to Romanian legislation there are three types of “recordings”: full registration, provisory registration, annotation. The real rights are object of full or provisory registration, depending on the condition affecting the right (rights under suspensive or resolutory condition are object of provisory registration). The admissible annotations are regulated by art. 902, 903 from Civil Code as follows:Art.902 – (1) The rights, the facts or other legal relations provided by art. 876 par. (2) are binding on the third parties exclusively by notation, unless they are proved to be known on other way, excepting the case when the law provides that the plain awareness is not sufficient to replace the absence of information. In case of conflict of rights arisen from a common author, the provisions of art. 890-892,896 and 897 are accordingly enforced.(2) Besides the cases provided by law, the subject matte of the notation in the land book  are:1. placing under judicial ban and waiver of such measures;
   2. the application for declaration of death of an individual, court decision for declaration of death and the application for annulment or rectification of court’s decision for declaration of death;
   3. the quality of common good of an immovable;
   4. matrimonial convention as well as its modification or replacement;
   5. the use of an immovable as family household;
   6.leasehold and assignment of incomes;
   7.contribution of use at social capital of a company;
   8.conventional interdiction of assignment and encumbrance of a registered right;
   9.the sale under reserve of property right
   10.the right to revoke or repeal unilateral the contract;
   11.termination clause agreement and cancellation statement or unilateral cancellation of contract;
   12. promise to sell and option to purchase;
   13.preemption right arisen from conventions;
   14.intention to assign or mortgage;
   15.changing the mortgage rank, attachment, pledge or setting out other security interests over the mortgage debt;
   16.openning the insolvency procedure, discharge of the debtor’s administration right subject to this measure as well as the conclusion of this procedure;
   17.seizure, foreclosure of immovable, benefits or incomes;
   18.action for tabular performance, action for justification and action for rectification;
   19.actions for protection of real rights registered in the land book, action for partition, actions for annulment of the legal deed for nullity, cancellation or other causes of nullity, defeasible action as well as any other actions regarding other rights, facts, legal relations regarding the registered immovable;
   20.initiating penal action for a registration in land book perpetrated by an action stipulated by penal law;(3) In respect of the present article, the third means any person acquiring a real right or other right related to the immovable registered in the land book.Acts or facts that can be noted in the land book

   Art.903 – Subject to notation in the land book, without binding the thirds relaying on this registration, are:
   1.     incapacity or limitation, under the law, of exercise or use capacity;
   2.     statement of public utility for expropriation an immovable;
   3.     any other facts or legal relations  related to immovable and stipulated by law.

7.  What are the effects of registration of a transfer of ownership?
   a.          According to the new Civil Code, the registration has a constitutive effect. This effect is suspended until the completion of the systematic registration. Meanwhile, the “opposability” effect of registration remains effective.
8. What are the effects of registration of a mortgage/charge? What powers or rights are available to the registered owners of charge in order to enforce their security?
   a.          One of the main LR principle is the PRINCIPLE OF RANK. The mortgager can oppose his right against other mortgagers or creditors. In case of foreclosure, the mortgager can also enforce his right against any owner of the property right as long as his right was prior registered.
9. Is the title guaranteed by the State/Registrar? If so, to what extent and under what circumstances?
   According to art. 44 of Romanian Constitution,  (1) The property right  as well as the receivables charging the state are guaranted. The content and limitations of these rights are provided by law .
   (2) Private property is guaranted and egually protected by law, regardless the owner ….(…)
10. What remedies are available to land registry information users who may have relied on register information and suffered loss as a result of reliance on that information?
    According to art.913 Civil Code “Material errors perpetrated while caring out  the entries in the land book, others than those representing cases of rectification, can be rectified  by request or ex officio”.The persons deemed to be damaged by the entries in the land book can address ro competent authoritie in order to establish the guilt, the damage and the way of recovering it. In principle, the action should be directed against the authority, which, in case of ordering a final decision regarding the obligation of covering the damage,  could sue the employee who effectively caused the injurious fact.
11. How does a party who has suffered loss make a claim for compensation if applicable?
    See the answer above
12. What are the risks involved where property transactions are not registered?
    – Lack of legal certainty, the bona fides protection is missing
13. Are there any penalties for non-registration?
    See the answer above
14. Is cadastral/mapping information included in the title registration process? If so, is it guaranteed? If yes, by whom?
    Yes, it is included. The responsibility for measurements and identification belongs to surveyors which are not ANCPI’s employees.

National Agency for Cadastre and Land Registration

1.  Is it compulsory to register all transactions relating to land/property in your system?
   Yes.
2. If not, are there any circumstances under which is it compulsory to do so?
3. If not, and registration is voluntary, what are the benefits of registration?
4. What percentage of land/titles is/are registered in your system?
   Cannot be valued.
5. What types of legal rights in property are capable of being protected by registration?
   Ownership and other real rights (rights of usufruct, use, habitation, easement, lease, use, warranty, maintenance, etc.).
6. Are there other rights, legal situations, judicial decisions affecting property rights or owner’s powers capable of registration?
   No restrictions can be enforced when registering immovable into cadastre and land book records.
7. What are the effects of registration of a transfer of ownership?
   The main effect of registration of transfer of ownership is the enforceability against third parties and in the cases explicitly  stated by law registrations have effect in constituting rights.
8. What are the effects of registration of a mortgage/charge? What powers or rights are available to the registered owners of charge in order to enforce their security?
   Opposability against third parties.
9. Is the title guaranteed by the State/Registrar? If so, to what extent and under what circumstances?
   The registration in the land book does not confer the title’s guarantee but the presumption of the existence of the registered right.
10. What remedies are available to land registry information users who may have relied on register information and suffered loss as a result of reliance on that information?
    The rectification of the land book or liability to pay compensation by the territorial office.
11. How does a party who has suffered loss make a claim for compensation if applicable?
    The respective party may ask in the court liability to pay compensation from the territorial office
12. What are the risks involved where property transactions are not registered?
    The owner’s right which is not registered in the land book may be affected through the sale of property as well as by setting immovable as collateral by the former owner.
13. Are there any penalties for non-registration?
    There is an obligation to transmit the transfer deed by the institution that issued it (public notary, court) but there is no legal sanction for failure to do this.
14. Is cadastral/mapping information included in the title registration process? If so, is it guaranteed? If yes, by whom?
    Yes, basically cadastral information is guaranteed.