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Best Practices in Real Estate Cross-border Transactions

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PL
The article presents reflections on the best practices in real estate cross border transactions.Transactions on real estate markets have several aspects that make them highly complex, mostly due to their individual nature – each property is unique in terms of its location, structure and history. Cross-border transactions on the real estate market are becoming increasingly popular as the world becomes more globalized. The growing volume of this type of transaction presents a challenge for the modern real estate lawyer. It is impossible to create an exhaustive guide setting out all the hazards occurring in such transactions. This article addresses this difficult challenge by indicating the most important of them.It is essential and extremely helpful to enter into cooperation with a local counsel who will help us to explain the local specificity and who will take the legal differences into account. In addition, other helpful tools, such as a legal due diligence report or a title insurance Policy, should be carefully considered. One cannot forget about the importance of the local culture and customs, which may prove decisive at the crucial moment of the transaction. Finally, to be effective in working with cross-border clients, lawyers must have a good understanding of how people think and make decisions, and must possess good people skills. Respect for local customs and traditions, as well as understanding the local legal system while securing clients’ interests, is the key to a successful transaction.
EN
International real estate transactions, especially in countries with different legal systems, are characterised by the fact that each transaction is unique in its complexity, confidentiality, different risk factors, and the limited availability of information regarding the real estate. The Due Diligence (DD) process is an instrument that can help avoid or at least reduce risks and assist in making important decisions regarding real estate transactions. The term “Due Diligence” has a number of different meanings. The aim of this paper is to determine the etymology of this term and to identify its most common contemporary meaning. Each DD process is to be recognised as a project requiring management because of the potentially high number of individuals that could be involved.
EN
The usufruct of receivable combines the advantages of the assignment by way of security and the pledge on receivable while eliminating the shortcomings of said securities. A holder of the usufruct does not acquire the right to carry out actions that dispose a receivable, and the usufruct, as a limited property right, can be conferred on more than one beneficiary (user), where in such a case, the provisions concerning the priority of limited property rights are applicable. Simultaneously, the satisfaction of the usufructuary of receivable has not been restricted by the provisions for judicial enforcement procedure. In this article the Author settles various juridical controversies regarding the usufruct of receivable. He presents the justification as to why the receivables that produce profits only potentially as well as the receivables which do not produce profits at all, can both also serve as an object of the usufruct. The Author also justifies the argument according to which the usufructurary of receivable is independently entitled to receive an object of a performance made by the debtor of the encumbered receivable. The holder of the usufruct of receivable acquires ownership of the object of the interest performance and the pecuniary performance, in the latter case however, by way of the irregular deposit. In other instances, the performance of an obligation causes the acquisition of the object of this performance by the creditor, but at the same time grants the user the usufruct of it (real subrogation). The juridical analysis of the usufruct of receivable by way of security has led the Author to distinguish several legal relations: the obligation contract, with performing of which takes place the establishment of the usufruct of receivable, the legal relation from which arises the receivable secured by the usufruct, the contract on establishing collaterals, and pactum fiduciae.
EN
The presented study shows the problem of reverse mortgage as a dedicated product for the “silver market”. Due to the nature of the paper, the main research method will be an objective analysis of legal provisions related to the reverse mortgage loan as well as a critical comparative analysis of literature and economic elements related to the financial product that is a reverse mortgage. With proper analysis and understanding of the above-described factors and their ability to translate them into practical principles of market functioning, we are able to predict the upcoming trend in the free market economy during the implementation of the reverse mortgage loan.
PL
Szeroko pojmowany rynek nieruchomości wydaje się być coraz częściej postrzegany jako rynek międzynarodowy. W wyniku integracji Europy, a tym samym zapewnieniu wolnego przepływu kapitału, ludzi oraz towarów nieruchomości stały się obiektem zainteresowania różnych osób oraz jednostek gospodarczych. W związku z powyższym, zasadnym wydaje się traktowanie o warunkach nabywania nieruchomości w innych krajach należących do Unii Europejskiej. Artykuł w sposób syntetyczny oraz bardzo ogólny charakteryzuje proces nabywania nieruchomości w Austrii i Portugali. Autor podjął próbę przedstawienia najważniejszych etapów przy zawieraniu transakcji kupna-sprzedaży nieruchomości w wyżej wymienionych krajach.
EN
Many people and enterprises no longer limit the horizon of their activities and aims to the borders of their own country. The ongoing integration of the European Union, in particular the free movement of capital has created a the growing trend for foreigners to acquire real estate abroad. Taking all above into consideration it seems to be worth to gain knowledge of the legal and tax connected with real estate in each country. The article characterises purchase and sale of real estate in Austria and Portugal.
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