The Constitutional Law of the republic of lithuania

on the Implementation of PARAGRAPH 3 OF Article 47

of the Constitution of the Republic of Lithuania

 

20 June 1996 No I-1392

Vilnius

(As last amended on 3 November 2011 – No XI-1626)

 

Chapter ONE

General Provisions

 

Article 1. Purpose of the Law

In implementing the provisions of paragraph 3 of Article 47 of the Constitution, the following shall be established by this Law:

1) foreign subjects which may be permitted to acquire into ownership land, internal waters and forests in Lithuania in compliance with the procedure and terms and conditions provided for in this Law;

2) terms and conditions, procedure and restrictions in compliance with which the foreign subjects established by this Law may acquire into ownership land, internal waters and forests.

 

Article 2. Main Definitions of this Law

1. “Foreign subjects” means foreigners and foreign legal persons, as well as other foreign organisations specified in paragraph 4 of this Article.

2. “Foreigners” means foreign nationals and permanent residents of foreign states, as well as permanent residents of the Republic of Lithuania who are not citizens of the Republic of Lithuania.

3. “Foreign legal person” means an enterprise, agency or organisation set up in a foreign state which may acquire and exercise rights and duties in its own name, act as a plaintiff or defendant in court.   

4. “Other foreign organisations” means organisations set up in foreign states without the status of a legal person, but with the civil capacity laid down in the laws of their states.

5. “Economic activities” means unlimited and permanent activities of industrial, commercial, professional character, the activities of craftsmen, and other activities conducted according to the procedure laid down by law, whereby profit is sought in compliance with the procedure and terms and conditions established by laws of the Republic of Lithuania.

6. “Non-agricultural land plots” means plots of land which, according to the detailed plans approved in accordance with the procedure established by law, are designated for the construction of buildings and facilities required for special-purpose activities as well as land plots under the existing buildings and facilities designated for special-purpose activities which are necessary for the operation of said buildings and facilities.

7. “Buildings and facilities” means buildings and facilities required for the economic activities specified in the documents of foundation of foreign subjects in Lithuania, which are connected with the land and which may not be moved without changing their purpose and essence.

 

Article 3. Foreign Subjects which May be Permitted to Acquire Land, Internal Waters and Forests into Ownership

Under this Law, acquisition into ownership of land, internal waters and forests shall be permitted to foreign subjects meeting the criteria of European and transatlantic integration embarked on by Lithuania.

 

Article 4. Foreign Subjects Meeting the Criteria of European and Transatlantic Integration

1. The criteria of European and transatlantic integration embarked on by Lithuania are met by foreign legal persons as well as other foreign organisations set up in:

1) the European Union member states or states parties to the Europe (Association) Agreement concluded with the European Communities and their member states;

2) Member states of the Organisation for Economic Co-operation and Development, North Atlantic Treaty Organisation and states parties to the European Economic Area Agreement.

2. The criteria of European and transatlantic integration embarked on by Lithuania are met by nationals of the states specified in paragraph 1 of this Article and permanent residents of the said foreign states, as well as permanent residents of the Republic of Lithuania who are not citizens of the Republic of Lithuania.

 

Article 5. Prohibition to Sell Land, Internal Waters and Forests prior to the Restitution of Ownership Rights of the Citizens of the Republic of Lithuania to them

1. The land to which under the laws of the Republic of Lithuania the rights of ownership of the citizens of the Republic of Lithuania must be restituted may be acquired by foreign subjects specified in Article 4 of this Law after the restitution of ownership rights of the citizens of the Republic of Lithuania to it and the registration of the land ownership in accordance with the procedure laid down by law.

2. State-owned agricultural land, internal waters and forests may be sold or otherwise transferred into private ownership of foreign subjects specified in Article 4 of this Law only after conclusion of the restitution of ownership rights and land reform in that cadastre district in accordance with the procedure laid down in the Law on Land Reform.

 

Chapter TWO

Right of Foreign Subjects to Acquire into Ownership Land, Internal Waters and Forests

 

Article 6. Right of Foreign Subjects to Acquire into Ownership Land, Internal Waters and Forests.

1. Foreign subjects which meet the criteria established in Article 4 of this Law shall have the right in the Republic of Lithuania to acquire into ownership land, internal waters and forests under the same procedure and subject to the same terms and conditions as the citizens and legal persons of the Republic of Lithuania.

2. Foreign subjects which do not meet the criteria established in Article 4 of this Law shall be prohibited to acquire into ownership land, internal waters and forests, however, they may manage or use such property in accordance with the procedure established by laws of the Republic of Lithuania.

 

Chapter THREE

Transitional Provisions concerning the Right of Foreign Subjects to Acquire into Ownership

Non-agricultural Land Plots

 

Article 7. Foreign Subjects which May be Permitted to Acquire Non-agricultural Land Plots into Ownership

1. Under this Chapter foreign subjects which meet the criteria established in Article 4 of this Law may be permitted to acquire into ownership non-agricultural land plots required for the construction of buildings and facilities, and operation thereof.

2. Foreign subjects which do not meet the criteria established in Article 4 of this Law shall be prohibited to acquire into ownership non-agricultural land plots required for the construction of buildings and facilities and operation thereof, however, they may manage or use such property in accordance with the procedure established by laws of the Republic of Lithuania.

 

Article 8. Land which May be Acquired into Ownership by the Foreign Subjects which Meet the Criteria Established in Article 4 of this Law

Under the procedure and terms and conditions established in the present Chapter, foreign subjects which meet the criteria established in Article 4 of this Law may acquire into ownership non-agricultural land plots required for the operation of existing buildings and facilities designated for the activities specified in the foundation documents, as well as land plots required for the construction and operation of such buildings and facilities, with the exception of land referred to in Article 9 of this Law.

 

Article 9. Land which May not be Acquired by the Subjects Specified in this Law

Foreign subjects may not acquire into ownership the following land:

1) land under the objects belonging to the Republic of Lithuania by the right of exclusive ownership;

2) land of national parks, reserves, reservations, protective areas of the territory of biosphere monitoring;

3) agricultural land;

4) forestry land, with the exception of plots necessary for operation of buildings and facilities designated for economic activities which have been provided for in the approved planning documents;

5) land of recreational forests and protective forests, rivers and other water bodies exceeding 1 hectare in size as well as their protective bank area;

6) land of resorts and public recreational territories, separate public recreational objects;

7)  land  of state-protected monuments  of nature,  history,  archaeology  and other monuments of culture, as well as the surrounding protective areas;

8) land of territories  reserved,  according to design projects, under  public roads and engineering  service  lines, objects  of  infrastructure of public use  in  towns  or  other localities, and for other common needs of the society;

9) land under public roads, railway lines, airports, sea or river  ports, main pipe-lines and other engineering service lines of public  use, as well as land necessary for their operation;

10) land  allotted, in  accordance with the procedure established by law, under the free economic zone territory;

11) land of territories where deposits of mineral resources and other natural resources have been found,  with  the exception  of  land plots which, according to planning  documents,  have been  directly  allotted for the construction  of  buildings  and facilities  required  for  the mining  or  use  of the said  mineral resources;

12)  land  of  the Curonian Spit, a 7-km-wide  strip  of the coast of the Baltic Sea and the Curonian Lagoon, with  the exception of land of towns without the status of resort;

13) land assigned to the frontier;

14) land of the territories assigned or reserved  for  the needs  of the national defence, as well as territories where land acquisition  restrictions are established by law or Government resolutions for security reasons.

 

Article 10. Determining the Size of the Land Plot Being Acquired

The size of the land plot, required for the operation, according to their direct functional requirements, of buildings and facilities designated for economic activities, including land for the facilities appurtenant to the buildings shall be determined according to the plan of the land plot with the buildings and facilities located thereon, approved by an institution authorised by the Government and drawn up in compliance with the design standards and technical conditions, as well as rational land use requirements valid or recognised in the Republic of Lithuania.

 

Article 11. Procedure for the Issue of Permits to Acquire a Land Plot

1. Foreign subjects complying with the criteria established by Article 4 of this Law, which desire to acquire a plot of non-agricultural land, shall file a written application for the permit with the Government of the Republic of Lithuania or an institution authorised by it.

2. Foreign subjects that apply for the permit for the acquisition into ownership a land plot must, along with the application, submit documents specified by the Government or an institution authorised by it. If the permit is requested for the acquisition of a land plot for the construction of buildings and facilities necessary for economic activities, the investing subjects must also furnish required documents as to the capital being invested, specific investments and the plans of economic activities in Lithuania, creation of new jobs, and ecological safety guarantees.

3. Foreign subject that applies for the permit for the acquisition into its ownership a land plot for the investment associated with the construction of buildings and facilities, must make a written obligation to the Government of the Republic of Lithuania or an institution authorised by it to complete the construction of buildings and facilities by a certain deadline and to start economic activities as provided by the documents of foundation.

4. The keeper of the real property register must issue to a foreign subject applying for the permit for the acquisition of a land plot the necessary documents related to such plot of land.

5. The Government or an institution authorised by it shall set the form of application, specify the documents and information that must be submitted, as well as establish the procedure for filing and consideration of applications and the issue of permits.

6. Upon receipt of an application for the acquisition of a land plot into their ownership, the Government or an institution authorised by it shall consider such application and, being ascertained that the foreign subject which desires to acquire a land plot and the said plot meet the terms and conditions established by this Law, shall adopt the decision relative to the issue of permit.

7. The permit to acquire a land plot into the ownership may not be granted if the requested activity is subject to restrictions or prohibitions established by laws or other legal acts.

8. The refusal of the Government or an institution authorised by it to issue a permit to acquire a land plot into the ownership in accordance with the procedure established by law may be appealed to court.

 

Article 12. Supervision of the Implementation of this Law

The Seimas, adhering to the principle of proportional representation of the parliamentary groups, shall form a standing commission of the Seimas for supervising the implementation of this Law and define its mandate.

 

Article 13. Methods of the Acquisition into the Ownership of Land Plots

Upon obtaining the permit for acquisition into the ownership of a land plot, the foreign subjects may acquire:

1) the land which is the property of citizens and legal persons of the Republic of Lithuania, excluding the State and municipalities, as well as other foreign subjects:

a) by purchase;

b) by exchange;

c) other methods which are in compliance with the terms and conditions laid down by this Law.

2) The land which is the property of the State of Lithuania and municipalities:

a) by public procurement;

b) in case the buildings and facilities are already owned by a foreign subject that meets the terms and conditions established by this Law and it rents the land from the State or municipalities – by purchase.

 

Article 14. Land Plot Transfer Transactions

1. The transaction of the acquisition of a land plot irrespective of the method of the acquisition of the land plot must be notarised and registered in accordance with the procedure established by law. The notary may certify the transaction only after the permit is issued in accordance with the procedure established by this Law.

2. No transaction may be concluded and effective under which the land plot with the buildings and facilities on it has been acquired into the ownership by a foreign subject that does not meet the conditions established by this Law.

 

Article 15. Declaring Land Acquisition Transactions Invalid

The permit to acquire a land plot, issued on the basis of submitted fraudulent information or not in compliance with the procedure and the terms and conditions established by law, and the transaction concluded on the basis thereof may be declared invalid by court.

 

CHAPTER FOUR

FINAL PROVISIONS

 

Article 16. This Law and International Agreements

1. The right of foreign subjects who comply with the criteria specified in Article 4 of this Law to acquire land plots in Lithuania shall be the preference the purpose whereof is the implementation of the European and transatlantic integration into state alliances and organisations embarked on by Lithuania and the provisions of the Europe Agreement establishing an association between the European Communities and their Member States and the Republic of Lithuania. This preference shall be applied on the reciprocal basis, when the subjects of Lithuanian origin are accorded not less rights in a foreign state.

2. No international agreement of the Republic of Lithuania may be concluded which would establish the right to acquire land plots into the ownership to foreign subjects which do not meet the conditions specified in Article 4 of this Law.

3. No international agreement of the Republic of Lithuania concluded prior to the entry into force of this Law, with the exception of the Agreement specified in paragraph 1 hereof, may be interpreted as providing the grounds for obtaining the permit to acquire a land plot into the ownership to foreign subjects which do not meet the conditions of Article 4 of this Law.

 

Article 17. Entry into Force and Application of the Constitutional Law of the Republic of Lithuania on the Implementation of Paragraph 3 of Article 47 of the Constitution of the Republic of Lithuania

1. Chapter III of the Constitutional Law of the Republic of Lithuania on the Implementation of Paragraph 3 of Article 47 of the Constitution of the Republic of Lithuania shall be in force until the day of accession of the Republic of Lithuania to the European Union. Chapter II of the Constitutional Law of the Republic of Lithuania on the Implementation of Paragraph 3 of Article 47 of the Constitution of the Republic of Lithuania shall enter into force on the day of accession of the Republic of Lithuania to the European Union, with the exception of the derogation laid down in paragraph 2 of this Article concerning the acquisition of agricultural land and forestry land.

2. Foreign subjects meeting the criteria laid down in Article 4 of this Law, with the exception of those foreigners who have been permanently living and engaged in agricultural activities in Lithuania for at least three years as well as foreign legal persons and other foreign organisations which have set up representative offices or branches in Lithuania, may not acquire agricultural land and forestry land until 30 April 2014.

3. From the day on which the Republic of Lithuania becomes a fully-fledged member of the European Union only those provisions of this Law shall be in force which will be in compliance with the Treaty of Accession of the Republic of Lithuania to the European Union.

 

I promulgate this Law passed by the Seimas of the Republic of Lithuania.

 

PRESIDENT OF THE REPUBLIC                                      ROLANDAS PAKSAS