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LAW OF THE REPUBLIC OF MOLDOVA

of July 25, 1997 No. 1308-XIII

About the standard price and procedure for purchase and sale of the earth

(as amended on 06-02-2020)

The parliament adopts this law.

Chapter I General provisions

Article 1. Law scope

This law is applied in case:

a) purchase and sale of lands, including lands on which the privatized or privatizeable objects, or private objects, and also objects of construction in progress are located;

b) inclusions of cost of the lands which are in public property on which the objects specified in Item an are located), in their authorized capital, according to the decision of general shareholder meeting (founders) and with the consent of the owner of these lands, as its share in property of object;

c) conclusion of lands from categories of lands of agricultural purpose and lands of forest fund, and also from agricultural turnover and their transfer in other categories of lands;

d) compulsory acquisition of lands;

e) rent relations.

Article 2. Concept of standard price of the earth

(1) the Standard price of the earth is measure of its assessment equivalent its to natural and economic potential, expressed in national currency. It is established by this law and applied in implementation process of land relations irrespective of type of land ownership.

(2) Rates for calculation of standard price of the earth are established on conventional unit point-hectare proceeding from cadastral (quantitative and high-quality) indicators, according to the appendix which is component of this law and are indexed by Parliament on representation of the Government according to the rate of inflation.

(3) To the standard price of lands of settlements (except for the home parcels of land), the lands occupied with industrial, transport and other nonagricultural facilities also the costs connected with engineering arrangement of the territory increase.

Chapter II Purchase and sale of the earth

Article 3. Sale of land

(1) It is excluded.

(2) Purchase and sale of the earth is performed by the conclusion of the purchase and sale agreement at standard price, on tender or at auction. For execution of the transaction of purchase and sale the documents containing information on quantity and quality characteristics of the parcel of land and on the right of the owner of the parcel of land which are issued are submitted:

a) territorial cadastral authority in which zone of activities there is parcel of land, - in case of purchase and sale of the parcels of land which are in private property;

and-1) the Agency of public property - in case of purchase and sale of the parcels of land which are in public property of the state;

b) primeriya of municipium, the city, village (commune) in which subordinated territory there is parcel of land, - in case of purchase and sale of the parcels of land which are in public property of administrative and territorial unit.

(3) Earth on which structures, engineering constructions, long-term plantings and other real estate are located are on sale along with alienation of the real estate. Selling price of the real estate includes also the price of the earth on which the real estate is located.

(4) For the purpose of land taxation the new owner of the earth and body of local public authority without delay report to territorial tax authority about change of the owner of the earth.

(5) the Notarial certificate of purchase and sale agreements of the earth is obligatory, except for purchase and sale agreements of the farmlands which are in private property, the area to 0,25 of hectare, provided according to Article 12 of the Land code No. 828-XII of December 25, 1991 which are confirmed by the certificate granted by the corresponding primeriya.

Article 4. Sale of land, being in public property

(1) Earth, being in public property, are subdivided into the lands which are in state-owned property and the lands which are in property of administrative and territorial units, the procedure for reference to which is established by the law.

(2) Purchase and sale of lands of the private sphere of administrative and territorial units is performed by bodies of local public authority according to the decision of the relevant council, and lands of the private sphere of the state - the Agency of public property. The seller resolves all issues connected with structures, engineering constructions, long-term plantings and other real estate located on this parcel of land.

(3) Earth, being in public property, can be sold to both physical persons and legal entities of the Republic of Moldova, and foreign investors, except for lands of agricultural purpose and lands of forest fund which can be sold only to physical persons and legal entities of the Republic of Moldova.

(4) Purchase and sale of the lands which are in public property is performed by introduction of payment one-timely or by installments. In case of the conclusion of the purchase and sale agreement by installments the payment in the amount of at least 50 percent of cost of the earth is brought in the beginning. Other amount for the adjacent sites used in engineering procedure can be brought till three years by equal parts quarterly and with indexation depending on the rate of inflation calculated for the period from the conclusion of the purchase and sale agreement before introduction of payment. In case of not entering of payment into the terms established by the agreement the buyer pays penalty fee in the amount of 0,1 of percent of not deposited amount for each day of delay. In case of sale of the adjacent lands which are in public property, not used in engineering procedure, the payment is brought one-timely.

(5) Purchase and sale of the lands which are in public property is performed in the following procedure:

a) the buyer (physical person or legal entity) represents to primeriya of municipium, the city, village (commune) or depending on situation to the body authorized by the Government the statement for purchase of land;

b) примар municipium, the cities, villages (commune) on the basis of the decision provided by part (2), or depending on situation the body authorized by the Government considers the application of the buyer in a month, approves the geometrical plan of the parcel of land implemented in the procedure established by the legislation based on the scheme of the parcel of land by specialized division of body of local public authority or if necessary the company licensed in the field of town planning, determines the earth cost (its part), signs the purchase and sale agreement, establishes terms of introduction of payment;

c) the buyer pays the amount equal to the standard price of the earth of the corresponding appointment in a month. In case of purchase and sale of the earth on tender or at auction its price cannot be below the standard price of the earth;

d) the purchase and sale agreement of the earth is certified notarially;

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