Konstantin Boytsov discussed with Pravo.ru Rosreestr’s refusals to grant registrations

Despite the rather detailed regulation of the process of registration of rights to real estate and transactions with it, suspensions and even refusals to register are not uncommon. Konstantin Boytsov, Counsel, Head of Real Estate and Construction Practice at Maxima Legal, told the Pravo.ru portal that this can lead to a noticeable delay or disruption of real estate sales and construction, significant losses, cash gaps and other negative consequences for business, up to and including temporary suspension of the main financial and economic activities.

At the same time, some cases of refusals directly contradict the law. “For example, the lease agreement or even the rules of the Civil Code give the landlord the right to unilateral extrajudicial cancellation of the agreement. But the Federal Registry authorities (Rosreestr) refuse to register the termination of the lease agreement if only the lessor submits an application,” explained Konstantin Boytsov.

In addition, the expert drew attention to the fact that refusals to state registration of rights to unfinished construction and new objects Rosreestr sometimes explains it by remarks to the technical plans of “unfinished construction” or contradictions in the information provided by the applicant and received by the state body itself. However, according to Konstantin, most of such comments have no legal significance for the procedure. In particular, he gave an example of how an applicant was denied state registration of an “unfinished building” because, according to some information, construction work was being carried out on the site, but according to others – not.

Konstantin Boytsov advised to appeal against the refusal to register, not against the suspension as an intermediate stage. “It is pointless to challenge the suspension of state registration of rights as an illegal inaction, because in the process Rosreestr may take a decision to refuse state registration and it will have to be challenged again,” summarised Maxima Legal’s expert.

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