Legislative amendments concerning the rent of agricultural land

According to the amendments to the Ownership and Usage of Agricultural Land Act dated 22.05.2018 an agreement on the rent of agricultural land may be concluded by the following persons:

• Тhe owner;
• Тhe person holding rights over the agricultural land;
• Тhe co-owner, respectively co-owners of agricultural land; or
• Тhe person authorized by any of the above categorized persons.

If the term of rent agreement exceeds 1 year, then the agreement shall be concluded with an owner or a co-owner, respectively co-owners, holding more than 25 % of the property co-owned. In the foregoing situation the agreement’s signatures and contents shall be notarized, and in the notarial proceedings to be submitted is a sketch of the property being rented. The notarized agreements are subject to entry into the municipal agricultural office as well as the local entry office situated in the area of the properties.

In any case, if the agreement on rent of agricultural land is concluded by a proxy, the power of attorney shall be explicit, where its contents and the signatures of the authorizing persons shall be notarized.

According to § 10 of the Transition and Final Provisions of the Act on Amendment and Supplement of the Ownership and Usage of Agricultural Land Actall agreements on the rent of agricultural land entered into the Registry Agency and/or the municipal agricultural offices that do not comply with the new requirements shall be acknowledged. This should be done by the owner by means of a declaration bearing notarized signature accompanied by a copy of the agreement, which declaration is submitted to the agricultural municipal office in the place, where the property is situated. In case of failing this action, the agreements that are entered, however, not acknowledged, will be erased after expiring the crop year, which itself will lead to their unopposability towards the agreements entered after entry into force of the amendments or the agreements acknowledged in accordance with the above described procedure.

You can read the full text of Act on Amendment and Supplement of the Ownership and Usage of Agricultural Land Act here.