BlogContracts & TransactionsLegal ResourcesEmphyteusis Contract

May 5, 20210
What is the emphyteusis contract?

Emphyteusis is a contract, by which a person is given the right to use and improve an immovable property, in exchange for a periodic reward in cash or in kind.


What is the purpose of the emphyteusis contract?

Emphyteusis contract aims not only to use the item, but also to improve it. Improvement in the emphyteusis contract is always in function of the use of the item. In most cases, the improvement brings about the change of destination of the property, but it must be provided in the contract. On the contrary, the party who gave the item in emphyteusis has the right to request the termination of the contract.


What is the form of the emphyteusis contract?

Emphyteusis is a formal contract. It must be notarized and registered in public registers. Otherwise, it is considered invalid.


What is the object of the emphyteusis contract?

The object of the emphyteusis contract can only be real estate. Among the most common objects of the emphyteusis contract are land, water, pastures, buildings, etc., which are used only after they have been improved, changed or adapted in a certain direction by the parties. If a movable item is given for use, which will also be improved by completely changing the destination, an emphyteusis contract will not be concluded by its parties, but rather it will be considered a lease contract.


What is the term of the emphyteusis contract?

There are no legal terms regarding the duration of the emphyteusis contract. The term may be set as an essential condition by the agreement of the contracting parties. When the emphyteusis contract is concluded without a term or without any conditions, the emphyteusis receiver has the right to request the termination of the emphyteusis at any time.


What consideration does the emphyteusis contract have?

The emphyteusis consideration can be expressed in cash or in-kind and must be fulfilled at periodic monthly or annual intervals.

In the event that several emphyteusis have received in emphyteusis the same property, and each has a clearly defined part of the property, they will respond individually in proportion to the value of the part of the property they have used.


How can the emphyteusis contract be terminated?

The emphyteusis receiver has the right to request the termination of the emphyteusis contract at any time, if the parties have not provided any terms or conditions in the contract.

The emphyteusis giver has the right to request the termination of the contract in the following cases: when the emphyteusis receiver damages the property, when he/she fails to maintain it, when he/she does not make the improvements provided in the contract, or when he/she does not pay the emphyteusis giver for two consecutive periods.


Legal basis: Albanian Civil Code (Articles 784-800)

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