Real estate purchase

The General Directorate of Legal Security and Public Faith (DGSJFP) has resolved a practical case that may surprise those who are not familiar with the operation of the Property Registry. It was a purchase of several properties that were encumbered with a resolutive condition (a kind of "insurance" or guarantee that could cause the sale to be undone if the agreed conditions were not met). When the purchase deed was made, the notary also requested the registration cancellation of that resolutive condition. To justify that cancellation, in the actual purchase deed cancelled registration documents were related

(economically and legally), the Registry could qualify and process them "as a whole", in a single step. However, the registrar refused to register the cancellation. His reason? That the cancellation

However, the registrar denied registration of cancellation. Its reason? That the cancellation was not a simple addition or complement to the sale, but a different and autonomous title , and therefore had to be submitted separately, with its own presentation entry , in order to initiate the corresponding registration procedure for that cancellation.

The DGSJFP confirms the registrar's criteria and dismisses the notary's appeal. Including the electronic authenticated copy of the cancellation deed within the sale does not equate to having submitted it jointly in the Registry validly. Furthermore, it emphasizes that cancellation is not a requirement for the sale to be valid, but an independent legal transaction that must follow its own registration "lane."

Our professionals can advise you on the negotiation of a real estate sale contract and/or earnest money agreement and analyze the clauses that may be proposed by the other party from the perspective of your intentions and interests