Protecting the purchaser from entering into transfers of property not according to planning permits

Abstract

This report focuses on the role of the Notary in Malta in protecting purchasers from acquiring immovable property that does not comply with planning permits. The report is structured into three chapters. Chapter 1 delves into the current mechanisms through which the Notary safeguards the interests of the purchaser. This includes the advice provided by the Notary during the transaction process and the standard clauses that are typically inserted into the deed of sale to protect the purchaser. The chapter also explores the legal presumption that immovables are sold in accordance with valid permits, placing the onus on the vendor to ensure compliance. Moreover, it discusses the legal position of the purchaser and the extent to which the law assumes that the property being sold adheres to the relevant planning regulations. Chapter 2 undertakes a comparative analysis between the Maltese system and that of Livorno in Italy. Both Malta and Livorno operate under Continental law, yet Livorno has implemented certain procedures that may offer better protection for purchasers. This chapter examines these procedures in detail, particularly the requirement in Livorno for vendors to submit a certificate of habitation as part of the documentation provided to the Notary at the time of sale. The analysis seeks to identify best practices that could be adapted to the Maltese system to enhance purchaser protection. Chapter 3 presents the writer's personal observations and suggestions for improving the current system in Malta. It also addresses the potential challenges that could arise from implementing these recommendations, particularly in terms of resistance from stakeholders and the complexities of changing established legal practices. The chapter aims to foster a discussion on how to strengthen the role of the Notary in ensuring that properties sold are fully compliant with planning permits.