Real Estate Law Flashcards
Define possession as a legal term and then differentiate possession from ownership
Possession is the factual rulership over a thing. Ownership is the legal rulership over an object or a thing allowing the owner to dispose of it as he or she sees fit within the limits of the law
What is a „thing“?
A thing is a moveable, tangible object, transferable, subject to human domination.
How is ownership in chattel (movable things) transferred?
Is the transfer of real estate facilitated in the same way? If not, what is the difference?
It requires a transfer of possession with legal cause (agreement). In the transfer of real estate, it requires a public deed and a mutation in the land register.
What is the legal consequence if a contract, which by law was required to be drawn up as a Public Deed, was agreed only in writing?
It is null and void.
How are co-ownership rights measured / quantified?
Do condominium owners have a right of pre-emption by Swiss Law?
It is measured by value quota. Condominium owners can have a right of pre-emption if it has been agreed before, but it is not foreseen by Swiss Law.
Define what a pre-emption right is and explain the particularities with regards to formal requirements of a pre-emption right.
It is the right to acquire an item or a thing in case a third party wants to buy it (pre-emption scenario). It can be at a fixed price (in advance) or a non-fixed price. The formal requirements is free of form for chattel, and requires public deed for real estate.
Explain the differences between a real estate SICAV and SICAF from an investors perspective.
SICAV is an open-ended scheme allowing the investor to recover investment directly from company.
SICAF is closed-ended investment vehicle, the investor cannot directly recover investment from the company, the only possibility for investor is to sell his shares.
Is it possible for a normal private indirect real estate investor to establish a real estate investment foundation?
No, it‘s not freely available for every investor. It can only be used by institutional investors -> pension facilities of the 2nd and 3rd pillar.
What is an „open-investment form“?
It is a form in which the investor is entitled to recover his capital invested at the net asset value. This type of company is described with the abbreviation SICAV (= investment corporation with variable capital).
Against whom can a right of lien be enforced and why?
As a right in rem it can be enforced against everyone
Differentiate between direct and derivative possessions
Direct possession = Ownership and possession can be combinedly linked to one person
Derivative possession = ownership and possession are related to different persons
Name 3 circumstances in which an acquirer becomes the owner of real estate or immovable property even before the transferal of ownership is registered in the land register
- appropriation
- inheritance
- compulsory purchase
- debt enforcement
- court judgment
Is it possible for someone with obligatory rights to a property to file an action for deletion or amendment of its land register entry?
No. It is not possible to file an action for those who only have an obligatory right, e.g., a buyer.
According to which parameter are charges related to the communal parts of a property divided amongst condominium owners?
In proportion to the value of their shares / value quota
