You may be thinking that since the donation of land is not a consideration, it doesn’t really matter that much when you draw up a deed of gift. However, it is still about the value of the land, which is usually considerable. A properly drafted land donation agreement will prevent many problems. In this article, we will show you how to draw up such a contract using practical examples.
Many parents try to provide for their children’s future by buying property. It is not rare for parents to think of their children when buying land and acquire, for Uncle Příhoda, several building plots next to each other. But how can everything be handled simply and really well legally when Uncle Nature actually arrives and the land needs to be allocated and the building starts on it? If you draw up the land donation agreement correctly, you will avoid unnecessary conflicts in the future.
Many people are aware of this and try to avoid problems when dealing with a gift deed. Like Mrs Martina, who approached us some time ago with the need to transfer land in South Bohemia, which her parents wanted to give them, to her and her brother as quickly as possible and on the best possible terms. She was afraid of making a mistake – one of the plots was accessed by a road that was part of the other plot. A potentially legally complicated situation.
There was harmony between the siblings, they understood each other and at the time it did not seem that either wanted to make life difficult for the other. But you never know. And in the future, there could be a problem with, for example, a change of ownership of one of the plots. And so we recommended to Mrs. Martina to create a deed of gift for the land with the road easement. Which was a very elegant and simple solution in the given situation.
In practice, this means that the road will remain in the ownership of Martina’s brother, but she – and any new owner of her land – will retain the right to access her land via this road. A land gift deed treated in this way can prevent many future problems, for example, if one of the siblings moves away and the new owner turns out to be a troublesome link.
We will provide you with a complete legal service related to real estate donation, including a proposal for entry into the Land Registry. We will also advise you on how to deal with taxes in the most advantageous way. We will handle everything quickly and flawlessly, so you don’t have to worry about a thing. You can pay after the service has been provided.
Tip: Don’t look at the teeth of a gift horse! But if you want to donate land instead of a horse, or if you are on the side of the donor, be sure to look carefully. The written contract of gift, which is necessary for the gratuitous transfer of ownership of land, must contain all the legal requirements so that the transfer of ownership is approved by the land registry office. Omitting a detail in this case could cause you unnecessary grief. We have provided further legal details on the gift deed in our article.
1. Check that all the information in the contract is correct to ensure that it is enforceable and will stand up to the Land Registry.
2. Don’t forget anything. You need to be precise in the designation of the immovable property in the contract – both the buildings and the associated land or driveways. The contract must also contain precise information about all parties (donor, donee).
3. Describe everything thoroughly and in detail. The contract should include everything that is being transferred to the new owner.
4. Do not forget to contractually address the creation of any easements or servitudes, whether they concern you or the other person. An easement is the obligation of the owner of the property to remain passive to the beneficiary of the easement in specified circumstances. In other words, to tolerate or refrain from certain activities that they would not have to tolerate without the existence of the easement. The real burden is then in fact such an easement inside out. The content of a real burden is that the owner of a thing must actively give or do something. An example of a real burden is usually the so-called exchange, where the obligor provides the beneficiary with housing but also provides maintenance or personal care.
5. Make sure that the contract is properly signed and that the signatures of all parties are verified (at a notary, attorney or Czech POINT office or post office).
If you want to make sure that everything is done correctly, entrust the whole land transfer matter to an expert who will prepare the documentation for you and advise you on exactly how to proceed. This will avoid any risks, not least because solicitors are insured by law and guarantee the accuracy of their contracts and the whole transaction.
We recommend avoiding the specimen land donation agreements without the author’s name that you can commonly find on the internet. The risk of using such contract wording is that you may come across an outdated or incorrect model. This may result in the contract being rejected by the Land Registry. In an extreme case, it can also mean losing the gift if you fail to create a new contract before the donor dies.
Need to make sure your land gift deed is properly handled and includes all the necessary details? We’ll be happy to help. You can also read other texts and articles we have dedicated to the donation of real estate and movable property, the purchase of real estate and the procedure at the Land Registry.
Tip: Thousands of pages and many articles and books have been written about buying, selling or renting real estate. But there are also many other ways to deal with real estate that are less written about. You may have come across property leasing, but such land swapping has become rather rare. We will discuss both land contracts in more detail and add a land use agreement and a land division agreement.
We will provide you with a complete legal service related to real estate donation, including a proposal for entry into the Land Registry. We will also advise you on how to deal with taxes in the most advantageous way. We will handle everything quickly and flawlessly, so you don’t have to worry about a thing. You can pay after the service has been provided.
Ondřej is the attorney who came up with the idea of providing legal services online. He's been earning his living through legal services for more than 10 years. He especially likes to help clients who may have given up hope in solving their legal issues at work, for example with real estate transfers or copyright licenses.
In person and online. Just choose the appropriate service or opt for an independent consultation when you are unsure.
