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Publication date: 20.05.2024
lawyer, 23 years of experience in enforcement.
Foreclosure on land plots. Procedure for forced implementation.
Foreclosure on land plots (regardless of their purpose) is one of the measures of enforcement of decisions, which is used by executors, in the event that, after checking the debtor's property status, it is found that the funds and movable property are insufficient to meet the requirements of the executive document.
Any restrictions on foreclosure on a land plot do not apply, except that it is impossible to sell the land plot and the house located on it separately from each other, in this case, if the house is the debtor's only residence and the amount owed under the executive document is not exceeds 20 minimum salaries (as of April 1, 2024 – UAH 160,000).
In accordance with the order of the Ministry of Justice No. 4066/5 dated November 11, 2021, which amended the Instructions on the Organization of Enforcement of Decisions, the specifics of foreclosure on land plots or rights to them were determined. The description and seizure of land plots or rights to them will be carried out by state and private executors in the manner established by Chapter VII of the Law of Ukraine "On Enforcement Proceedings" and Chapter VIII of Instruction No. 512, and such actions must comply with the provisions of Chapter 21 of the Land Code of Ukraine.
Preparation for conducting land auctions and conducting them are carried out in accordance with the Land Code of Ukraine, taking into account the features provided by the Law and the Law of Ukraine "On Mortgages", as well as in accordance with the Requirements for preparing and conducting land auctions for the sale of land plots and the acquisition of rights to use them (rents, superficies, emphytheusis), approved by Resolution No. 1013 of the Cabinet of Ministers of Ukraine dated September 22, 2021.
In order to carry out forced sale of land plots or rights to them, which have been foreclosed on, the state executive service body, a private executor gets access to the electronic trading system. Access is granted on the basis of the concluded agreement on the organization and conduct of land auctions with the operator of the corresponding electronic platform. The preparation of lots for sale at land auctions is carried out in accordance with Article 136 of the Civil Code. The decision to conduct land auctions regarding land plots or rights to them is the executor's announcement of such auctions.
The operator of the electronic platform is chosen by the state executive service body, a private executor from the list of authorized electronic platforms posted on the official website of the Prozoro electronic trading system administrator.
Land auctions are organized by the executor in accordance with the requirements of Articles 135 and 136 of the Land Code of Ukraine.
During the publication in the electronic trading system of the announcement of the holding of land auctions, the costs incurred for the preparation of the lot for sale shall include the costs incurred in connection with the evaluation of the land plot or the rights to it, as well as the production and approval in accordance with the procedure established by law of documentation with land management At the same time, the executor is obliged to notify the subject of the pre-emptive right to purchase the plot in writing no later than the next working day after the corresponding announcement is published in the electronic trading system.
Importantly! When organizing land auctions, in the event that persons with preferential rights have the right to the seized land plot, the executor is obliged to notify the subject of the preferential right 30 days before the start of the auction, by sending a notarized notice.
The protocol on the results of land auctions, the contract based on the results of land auctions, are signed by the executor and sealed, based on the protocol, an act on conducting electronic auctions is issued, and the state executor signs the contract of sale of the land plot at a notary.
The agreement on the organization and conduct of land auctions with the operator of the relevant electronic platform for providing access to the electronic trading system to state executors who, in accordance with Article 135 of the Land Code of Ukraine, will act as organizers of land auctions, is signed by the head of the relevant body of the state executive service.
Funds credited by the operator of the electronic platform to the accounts of the state executive service body, private executor (sale price of the lot; expenses incurred for the preparation of the lot for sale in the amount indicated in the announcement of land auctions; guarantee contributions of participants in land auctions), which are subject to credit to the organizer , are distributed in accordance with the procedure established by Article 45 of the Law and Chapter VII of Instruction No. 512.
Importantly! during the period of martial law, the sale of mortgaged property is prohibited by current legislation.
So, in the event that the executor applies for foreclosure on the debtor's immovable property, the help of a lawyer is essential, as it will help to avoid situations where the rights of the debtor and sometimes other persons are violated, Legal analysis of the situation and at the same time, to get out of difficult life situations with the least losses. A lawyer services , lawyer services online, or attorney will provide legal services during such executions that will help preserve and protect the debtor's rights. Legal advice or legal services can be obtained at the Legal Service "Consultat", and accordingly, the managers will select a specialist who will help provide support in the execution of this category of cases, as well as in case of illegal withdrawal of funds from your accounts, help them return.
