Confiscation of land plots for state and municipal needs: grounds, procedure, conditions

The construction of new linear structures, including roads, affects the interests of land owners. In the event that such a project is implemented in the interests of the Company, the state orders provide for compensation for the seizure of land from their right holders. The price determined is quite objective - market price. This means that when the road is built, the owner will receive the Nth amount of funds. But that's the law.

In fact, there are often situations where the road has already been laid, and everyone is using it, but the owner of the land is left with nothing: no money, no land.

This may be due to low qualifications of officials and elementary negligence. The result is that the seizure procedure is violated, and there is no way to legally issue a forced buyout.

Owners of any categories of land are not immune from such developments: agricultural land, industrial land, residential land, etc. What should a property owner do in such a situation? You may continue to suffer losses because the site is not being used for its original purpose.

If it was not possible to compensate for losses peacefully, then it is necessary to defend your rights through the courts. To do this, you need to collect documents confirming the actual seizure of land, calculate the market value of the site, justify losses and lost profits.

Real situation

The company owns the land and receives profit from it. Local authorities decide to build a public road. According to the project, the route runs through the owner’s land. The problem arises literally out of nowhere: the department did not organize a forced buyout in a timely manner. The work was actually carried out without payment of compensation. As a result, the company was left without compensation and the possibility of using the land to generate subsequent income. The land owner appeals to the court, having previously calculated the amount of compensation and named two government organizations as defendants. However, to confirm the amount of compensation, the court orders an additional examination.

Having compared the arguments of the plaintiff and the expert on calculating the amount of compensation, the court considered the expert opinion to be justified and decided to partially satisfy the claim and assign responsibility to the department that is responsible for organizing the forced purchase of land for public needs. During the trial, the plaintiff did not agree with the amount of payment calculated by the expert, considering it too low. The defendant also disagreed with the amount: it seemed too high to him. Whose arguments are more convincing in this case? What calculation for compensation of losses will be correct? Let's look at the situation in detail.

The essence and sides of the matter

The Arbitration Court of the Moscow Region considered case No. A41-46571/17 on the claim of Oasis Techno against the Ministry of Transport and Road Infrastructure of the Moscow Region and the Moscow Government. The company is the owner of the land plot along which the highway to Skolkovo is built. The plaintiff in his statement indicated a demand to recover from the defendants an amount of damages in the amount of 20.7 million rubles. The losses were caused to the company as a result of the actual use of the land for the construction of a highway as part of the implementation of the target program of the Moscow region “Roads of the Moscow Region for the period from 2009-2011.” The road is part of the infrastructure of the Skolkovo Moscow School of Management, created on behalf of the President of the Russian Federation.

How it all began

Since 2006, the property was owned by a land plot with cadastral number 50:20:0020109:77 with an area of ​​1,403 sq.m, in the village of Novoivanovskoye, Moscow, near the village of Zarechye. Government in 2009-2010 planned the construction of a public highway through the specified area from the 53rd kilometer of the Moscow Ring Road to the village of Skolkovo.

For this purpose, the Government of the Moscow Region decided to seize the specified site from Oasis Techno, but the procedure was not carried out in the manner provided for in such a case by-laws. The Ministry of Transport and Road Infrastructure filed a claim with the Moscow Arbitration Court to force the purchase of the specified site for state needs. However, the court refused the ministry because the seizure procedure was not followed. Despite this, work on road construction and communications continued on the Oasis Techno land plot.

Today, a public road actually runs through the territory of the land plot owned by Oasis Techno. Moreover, the linear facility was transferred from the property of the Moscow region to the property of the city of Moscow. Due to the current situation, the company is unable to either use the property it owns or receive compensation for the seized land. This was the reason for the company’s appeal to the Arbitration Court of the Moscow Region.

During the hearing, the judge found the following. The procedure for the seizure of land plots is regulated by the Civil and Land Codes. Clause 1 of Article 279 of the Civil Code of the Russian Federation and Article 49 of the Land Code establish:

• the plot is taken from the owner for state or municipal needs through redemption;
• compensation is provided to the owner for the confiscated plot;
• if there are real estate objects on the site, their market value is also reimbursed.

The redemption procedure is determined by Articles 279-282 of the Civil Code of the Russian Federation, according to which compensation for the cost of the land plot is also paid.

According to the forced redemption of the land plot, it occurs in accordance with the decision of the competent government body and subject to compensation to the owner of compensation equivalent to the value of the land plot. The amount of compensation can be determined by agreement with the owner, as well as by a court decision. When calculating the amount of compensation, the following are taken into account:

• market value of land;
• market value of real estate located on the site;
• losses incurred by the owner in connection with the seizure of land;
• losses incurred due to early termination of obligations;
• lost profit (lost profit).

After the procedure for the seizure of a land plot, there follows a procedure for terminating the right of ownership of the previous owner, who actually sold the property to the state. The right of ownership thus passes to a public legal entity, in whose favor the seizure takes place for the needs of the state or municipality.

As the Supreme Court explains, in the absence of a decision from the authorized agency to seize a plot and the seizure procedure is violated, the owner of the land has the right to compensation for losses.

Requisition of land

A land plot can be requisitioned from the copyright holder in connection with the occurrence of emergencies, natural disasters, large-scale accidents, and epidemics. The procedure for requisitioning is described in Art. 242 of the Civil Code of the Russian Federation and Article 51 of the Land Code of the Russian Federation. In this case, the seizure of a land plot is a temporary procedure and after eliminating the consequences of an emergency situation, the land is returned to the right holder.

If it is impossible to return a land plot after its requisition, the copyright holder can count on financial compensation for damage or the provision of an equivalent land plot free of charge.

How to calculate losses?

To establish the amount of losses incurred by the company, the Arbitration Court of the Moscow Region hired an expert. The specialist was tasked with determining the amount of compensation. To do this, it was necessary to take into account the following points:

• market value of the property;
• losses resulting from the seizure of land;
• lost profits.

The amount of compensation for the seized plot, as the expert calculated, amounted to 11.4 million rubles. Of them:

• 11.1 million rubles – market value of the land plot;
• slightly more than 300 thousand rubles were other losses.

However, the plaintiff and defendant requested additional examination. But the court considered the parties’ demand and their disagreement with the expert’s conclusion unfounded. Thus, the judge agreed with the market value of the site at 11.1 million rubles and partially satisfied the claim for compensation. Since the plaintiff brought claims against the Ministry of Transport and Road Infrastructure of the Moscow Region and the Moscow Government, the court found that the Ministry was the proper defendant. Why was this conclusion made? The fact is that the actual seizure of land took place by order of the specified department.

Thus, the court ordered the Ministry of Transport and Road Infrastructure of the Moscow Region to pay damages in the amount of 11.4 million rubles, as well as legal costs and examination costs.

If your organization finds itself in a situation where a plot of land owned by you is actually used for the needs of the state or municipality, you need to demand compensation for damage.

As you can see, the Law provides for payments even postscript when the fact of seizure has already occurred. A pre-trial appeal to the agency responsible for the seizure of land will allow you to solve the problem peacefully and avoid unexpected expenses in the form of legal fees and the cost of an expensive examination.

Government agencies or municipalities can compensate for losses and lost profits by agreement with the owner of the land plot, having discussed possible options for compensation.

Land seizure: resolution

Within 60 days, a verdict regarding the seizure of the land plot is made. This verdict contains:

• an indication of the reason for such seizure;
• an indication of the owner from whom the land was seized;
• indication of land size and cadastral number.

Within seven days from the date of making a decision on land seizure, the public authority is obliged to send to certain institutions a copy of the verdict stating that the former land owner no longer owns the rights to it.

We remind you that even if you thoroughly study all the data that is publicly available, this will not replace the experience of professional lawyers! To get a detailed free consultation and resolve your issue as reliably as possible, you can contact specialists through the online form.

Compensation for seizure of land for a highway

The state has the right to take away from the owner (both an individual and a legal entity) a land plot and the buildings erected on it with the provision of compensation.

The grounds for requisitioning a site for highway construction are strictly defined by law:

1. fulfillment of the requirements stipulated by international treaties;
2. construction and reconstruction of facilities of federal, regional or local significance.

To carry out the seizure procedure, it is necessary to prepare and approve a draft territory layout.

What to do after making a decision to alienate property?

Authorized bodies must post information in the media and on their own website, and also send copies of decisions to the owner of the site and the organization applying for the alienation of the site within 10 days from the date of the decision. After this, the preparation of the appropriate agreement begins, which will indicate the conditions under which the procedure will take place. The standard contract contains the following information:

• information about the parties to the agreement;
• cadastral numbers of requisitioned plots;
• purpose of seizure;
• grounds for alienation;
• deadline for fulfilling the terms of the agreement;
• amount and procedure for payment of compensation.

The procedure for withdrawing a plot

The owner may be threatened with seizure of a land plot for municipal needs in various situations.
In order not to become a victim of lawful deprivation of rights to land, you need to know all the intricacies of this procedure. This article will examine in detail when such annulment of a private person’s rights to an allotment is possible, in what order this occurs, and what the consequences are for the owner. Land plots are withdrawn from private ownership in cases where it is planned to create facilities for state needs at their location. For example, if local authorities are going to build a new road or expand infrastructure, and the land plot is located on the territory where the work is planned, then it is alienated in favor of the state.

The procedure for withdrawing a land plot for state municipal needs consists of 2 stages:

1. Preliminary approval of the location of the future facility.
2. Direct seizure of the allotment.

At the first stage, the participation of the owner is mandatory. If he does not agree with the actions of the authorities, he has the right to appeal them in court. Therefore, notification to the owner is a prerequisite for starting the seizure procedure. Direct seizure of land is carried out on the basis of a corresponding decision of local administrative bodies.

The procedure for annulment of private ownership of a specific land plot consists of 6 stages.

1. Preparation of the grounds and conditions for starting the seizure process. This includes the development of documentation for the planning of the territory, the creation of projects of planned objects. All documents created must be reviewed and approved by the authorized body, which also takes some time.
2. Preparation and submission of a petition to the municipal body for the seizure of an allotment on behalf of an interested organization, or development of an appropriate decision when the initiator of the procedure is the state.
3. Identification of the owners of the objects of seizure (land and buildings erected on it). This stage is new in the legislation and is intended to identify the intended copyright holders from whom consent to the seizure must be obtained. Certain difficulties may arise with plots received for perpetual use or ownership before 1998. Before this period, registration of rights was carried out incompletely, which is why it is now quite difficult to find the required information.

To obtain the required information, information is requested from archives and the municipality, and publication is carried out on the website of local authorities and in the media. A legal entity or individual who has received a request to establish ownership of the specified plot is required to confirm their rights within 5 days from the date of receipt of the notification.

This stage takes 2 months. If 60 days pass from the date of public publication of information about the planned seizure, and information about the owners is not received by the authorized body, it goes to court to recognize this plot as unclaimed. As a result, the land is recognized as the property of the state, a constituent entity of the Russian Federation or a municipality.

1. Signing of the decision on alienation by local authorities. The land owner must be notified of this within 10 working days from the date of signing the resolution. Also during this period, information about the acceptance of the document is published on the official website of the municipality, and a copy of it is sent to the owner by registered mail (to the address of the land being seized). Notification is considered made from the moment the corresponding correspondence is accepted or returned to the sender. If the owner's postal address is unknown, he is considered to have been notified from the date of publication of the information on the website. The decision on alienation can be appealed 3 years from the date of its signing.
2. Preparation and signing of the withdrawal agreement. To create this document, cadastral and appraisal activities are carried out in order to clarify the boundaries of the plot and determine its market value, and the procedure is also agreed upon with the owner.

The text of the prepared document must contain the following information:

• cadastral number;
• purpose of alienation;
• details of the decision;
• type of right to the object of the agreement;
• the period of their transfer;
• the amount of compensation and the method of its payment (it is possible to provide another plot with similar characteristics);
• indication of easements (if they remain).

Having received his copy of the agreement, the owner can immediately sign it or notify the municipal authorities of the refusal or desire to make changes to the conditions (in writing, indicating the reasons).

If the owner of the plot has not signed the agreement within 3 months from the date of its receipt or has not notified the refusal, the body that signed the decision on alienation may apply to the courts with a claim for forced annulment of the right to this plot.

1. Termination of land rights and their transfer to the state. The result of the signing of an alienation agreement or the entry into force of a court decision on the forced annulment of the right to a given plot is:
2. liquidation of the right to use or inherited ownership of the plot;
3. early cancellation of a lease agreement or an agreement on the free use of land;
4. termination of the right of economic management or operational management of the plot;
5. the emergence of ownership rights to newly formed plots as a result of land redistribution;
6. state registration of legal changes (emergence/transition/termination of property rights);
7. demolition of buildings erected on seized land.

If the contract provides for compensation for withdrawal, the listed consequences occur only after full payment.

Determining the amount of payment: procedure and pitfalls

Compensation is calculated based on the market value of the property, as well as losses caused by requisition. When determining the cost of compensation, it is necessary not only information about the type of permitted use, but also the actual use of the alienated objects. The amount of compensation allows an entrepreneur or individual to recover property losses.

The calculation of compensation must be made no later than 2 months before the transfer of documents on the alienation of real estate to the copyright holder of the plot. All costs associated with establishing the value are borne by the body that made the decision on seizure.

When determining the amount of compensation, the following are not taken into account:

• buildings and other improvements erected after receipt of notice of seizure, as well as transactions entered into subsequently;
• unauthorized construction projects.

If the amount of compensation does not suit the copyright holder, he may seek judicial protection. There are many precedents when the court ordered an additional examination to determine the market value of a site. Appraisers use a comparative approach when determining value, but appraisal reports prepared for a government agency are not always adequate evidence of the amount of compensation.

In December 2021, the court ruled that references to the cost of similar objects in the Crimean Bridge construction area cannot be a sufficient basis for determining the cost, because There is virtually no open market for land in this area.

In another case, appraisers made a mistake in determining the purpose of the seizure, which also affected the value. Thus, the expert calculated compensation based on the fact that a highway would be located on it, but the court did not accept the report. When calculating property losses, the goals that are relevant to the land owner are taken into account; in this case, the goal of the former right holder was to conduct agriculture. Therefore, the cost of compensation will be significantly higher than that indicated in the expert report.

Seizure of a land plot due to violation of use

In addition to the above grounds, a land plot can be seized due to its misuse or use in violation of the law, in particular, if this land plot has not been used by the owner for more than 3 years (Articles 284 - 286 of the Civil Code of the Russian Federation), most often this issue concerns dacha land plots. The named time period does not include the period allocated for the development of the land, as well as the period when the use of the site was impossible due to the occurrence of natural circumstances that would prevent the full exploitation of the property.

The main signs of improper use of land are defined by the List approved by Decree of the Government of the Russian Federation No. 369 of April 23, 2012, and include:

• high content of weeds (more than 30%);
• absence of the fact of carrying out work on cultivating and processing the land plot, as well as caring for it during the period of ownership;
• high level of bushes, forests or swamps;
• deterioration of soil quality and the environmental situation in general caused by the use of chemicals.

If the owner of the land plot does not agree with the seizure of property, he has the right to file a statement of claim in court demanding the return of the land plot.

Price statistics for the seizure of land plots for state and municipal needs

Examples of construction of large objects near residential buildings

Question answer

Question:

“When a land plot is confiscated, within what period of time is compensation paid?”

Answer:

In case of seizure of a land plot, carefully look at Article 279 of the Civil Code of the Russian Federation, as well as the Land Code of the Russian Federation. When a land plot is seized from the owner, the state or municipality is obliged to offer the owner a similar plot in a convenient location or monetary compensation. Moreover, Article 281 of the Civil Code states that compensation is assigned not by the owner, but on the basis of the market value determined by an independent appraiser. If all the details of the seizure are taken into account, then the owner and representatives of government agencies enter into and sign an agreement, which specifies the specific time frame within which payment to the owner will occur. This can be set in the agreement for a period of 1 year. In practice, the period is usually set at 1-2 months, if government agencies do not have budget difficulties.

Question:

“The state is demanding that a plot of land be purchased from a private owner. Is this possible?

Answer:

Yes, it is possible, but if it is necessary to permit state or municipal needs. For example, a project for laying a federal highway has been approved, and a specific section is located on the designated territory. Or, as an option, a main power line is installed. The most common is the purchase of plots in connection with the “development” of the area and the improvement of its infrastructure. In this case, the private owner/land owner is required to reimburse the cost of the land along with existing improvements.

The procedure for forced seizure of a land plot affects Federal Law No. 499 and Ch. VII Land Code of the Russian Federation. The courts have practice regarding the consideration of similar cases. The main complaint is the accounting of lost profits by the owner of the compulsorily purchased land plot. The executive power of local self-government bodies cedes to the plaintiffs the payment of additionally claimed amounts of compensation.

Important! According to Art. 56 of the Land Code of the Russian Federation, seizure of a land plot from a private owner through redemption is possible at the request of monopolies, subsoil users and other organizations. The owner of the seized plot is notified 2 months before the execution of the decision on seizure, that is, before the day of the purchase and sale transaction.

Question:

I own land, and a road is being built nearby, can I get compensation?

Answer:

The construction of a road next to a land plot that is owned may disrupt the plans of its owner and limit the possibilities for developing the territory, running a household, and developing a business. This “neighborhood” turns a cozy country property into a “home on the roadside.” Due to changes in status and environmental deterioration, the demand for land falls and its value decreases.

According to Art. 15 of the Civil Code of the Russian Federation, a person who has suffered losses due to a violation of his rights may demand compensation in the following cases:

• He suffered real damage (property was damaged);
• He suffered financially due to “lost profits” (loss of business income);
• As a result of the violation of his rights, the “opponent” received a profit.

The presence and magnitude of losses must be documented. As stated in Art. 16.1 of the Civil Code of the Russian Federation, compensation is due even in cases where the actions of the rights violator are lawful.

In fact, the issue is resolved individually through the Court, since the road builders will not voluntarily pay compensation. The court can support them, guided by Art. 57 (clause 1, subsections 4 and 5) of the Civil Code of the Russian Federation, which states that if a rights violator acts in the interests of the state (builds a strategic facility), then he is not obliged to pay compensation.

In other cases, it is necessary to prepare an economic justification for the losses incurred. This issue cannot be resolved with words alone.

Confiscation of land plots

This type of seizure is provided for by Article 50 of the Land Code of the Russian Federation and the norms of the Criminal Code.

Article 50. Confiscation of a land plot

A plot of land can be confiscated from its owner free of charge by a court decision in the form of a sanction for committing a crime (confiscation).

In such a situation, confiscation acts as a punishment for committed offenses recognized by the court.

Confiscation is free of charge. The procedure for carrying it out is:

• The verdict is passed;
• A court decision on confiscation actions is made.

Termination of property rights for state and municipal needs

Article 49 of the Land Code of the Russian Federation establishes cases when this is possible.

Article 49. Grounds for seizure of land plots for state or municipal needs

Confiscation of land plots for state or municipal needs is carried out in exceptional cases on grounds related to:

1) implementation of international treaties of the Russian Federation;

2) construction, reconstruction of the following objects of state significance (objects of federal significance, objects of regional significance) or objects of local significance in the absence of other possible options for the construction, reconstruction of these objects:

objects of federal energy systems and objects of energy systems of regional significance;

nuclear energy facilities;

national defense and state security facilities, including engineering and technical structures, communication lines and communications, erected in the interests of protecting and protecting the State Border of the Russian Federation;

federal transport facilities, communications facilities of federal significance, as well as transport facilities, communications facilities of regional significance, public railway transport infrastructure facilities;

objects supporting space activities;

linear facilities of federal and regional significance that support the activities of natural monopolies;

objects of electricity and gas supply systems, objects of heat supply systems, objects of centralized hot water supply, cold water supply and (or) wastewater disposal systems of federal, regional or local significance;

highways of federal, regional or intermunicipal, local significance;

3) other grounds provided for by federal laws.

• Fulfillment of obligations between states;
• The need to construct life support facilities (laying paths for transport, various communications, improving infrastructure, etc.);
• Compliance with the requirements of current regulations.

It is carried out by purchasing land from the owner. Decisions on it are made by federal authorities or constituent entities of the Russian Federation. It can be authorized upon receipt of the approval of the copyright holder and is registered with the appropriate service.

IMPORTANT! At the request of the owner, the material payment can be replaced with another equivalent real estate object. In this case, the value of the allotment provided and powers are replaced with the amount of compensation.

The procedure is:

1. Preparation of a draft resolution on the seizure of the site. The selection of a site for construction is based on the conclusion of alienation, which includes the real characteristics of the object, confirmed by an extract from the cadastral register. The goals and timing of the conduct, the name of the copyright holder and his status in relation to the land, the requirements for notifying the person and registering the document, his changed powers in connection with the seizure.
2. Notification of the owner; without it, selection is not possible.
3. Registration actions in relation to the resolution represent the imposition of restrictions on the powers of the owner of the seized property. Carrying out registration actions may impose costs on the owner to care for the property. Any transactions with it are not compensated by the state.
4. The copyright holder whose property is cancelled, is given an agreement and an appraisal report of the property. The document is drawn up in free form and must take into account the regulatory requirements for concluding a transaction. It must establish a maximum period for its signing - no more than 90 days.
5. In case of failure to certify the agreement, a claim for compulsory selection is filed in court.

Legislation establishes rules for the provision of residential premises to persons who are the owners of a plot with a house or residents of an apartment building located on such land. Housing space may be provided under social tenancy agreements.

Required documents

• Certificate of state registration of the right, or a purchase and sale agreement, or an Extract from the Unified State Register of Real Estate, or another document confirming the type of right to real estate;
• Lease agreement (in case of valuation of leased property, or valuation of partial rights);
• Information about existing encumbrances (collateral agreement, long-term lease);
• Technical passport for improvement;
• Floor plan;
• Explication of premises to the floor plan;
• Cadastral passport of the land plot;
• Certificate of the initial balance sheet and residual value of the object as of the date of assessment (the owner is a legal entity).

Our specialists may also need additional information: the presence of encumbrances, liens, legal disputes regarding the subject of assessment, and more. This list is not exhaustive and is ultimately determined by our specialists together with the Customer.

Confiscation of land

A plot of land may be confiscated based on a court verdict for committing a crime. The procedure for confiscation of property is determined by Art. 243 of the Civil Code of the Russian Federation and Art. 50 Land Code of the Russian Federation.

Only the land plot that belongs directly to the person against whom the punishment was imposed is subject to confiscation.

In the event of confiscation of a land plot, the former owner does not receive the right to receive compensation, and in the future his property is sold.
A land plot cannot be confiscated:

• if on the territory of the land there is a residential building or outbuildings that are not subject to confiscation;
• if this land is the object of subsidiary and agricultural work.