Federal Law No.258-FZ “On introducing amendments to Article 222 of Part 1 of the Russian Civil Code and Federal Law ‘On enacting Part 1 of the Russian Civil Code’” (the “Law”) comes into force on September 1, 2015.

Provisions of the Law substantially expand the concept of an unauthorized structure. Starting from the effective date of the Law, any structure built in violation of town-planning and construction rules and regulations will be deemed unauthorized (earlier only material violations of the rules and regulations and construction on a land parcel not intended for such purposes were taken into account). In addition, a new criterion characterizing an unauthorized structure will be added: a structure is deemed unauthorized if the relevant land parcel has not been duly provided.

Also, the Law expands the list of conditions for recognition of ownership title to an unauthorized structure. Starting from September 2015, the ownership title to an unauthorized structure is recognized if the entity which built the unauthorized structure has proven the fulfillment of additional conditions. Among other things, the Law prescribes that a structure must comply with territory planning documents and other regulations in effect as of the day of filing with the court, and the entity which built the structure must have rights to the land parcel on which construction is allowed.

In addition, the Law vests in the local authorities the right to adopt a decision on demolition of an unauthorized structure, subject to prior notification of the entity which built such structure. An authorized body shall, within seven days after a decision on demolition of an unauthorized structure is adopted, send to the builder of the unauthorized structure a copy of the decision indicating a timeframe for the demolition by means of the owner (the timeframe depends on the type of structure, but cannot exceed 12 months). If the owner of an unauthorized structure is not determined, the demolition may be performed no earlier than two months after a notice of the anticipated demolition is published.

Full version of the Law in Russian can be found here.

Valentina Alikova   Associate  Moscow      Tel.: +7 (495) 970 10 90

Irina Afanasieva    Associate    Moscow      Tel.: +7 (495) 970 10 90

Additional notes

Should any questions arise in connection with the above or if you need any additional materials, please contact Irina Afanasieva or Valentina Alikova, Moscow Office of Capital Legal Services.

This Information letter keeps the clients of Capital Legal Services and other interested parties abreast of information that may, to any extent, affect their activity or cater to their particular interests. The opinions and commentaries expressed in this information letter shall not be deemed as legal opinions and do not cancel the need to obtain legal advice or legal opinion on separate issues.