Compelling the Execution of an Official Pre-Sale Property Deed
2024-09-16
Legal Basis of the Petition
Under the Building Pre-Sale Act, a pre-sale contract must only be concluded through the execution of an official pre-sale deed before a notary public's office and by recording it on the title deed. Although this is an explicit statutory requirement, it is not currently being fully implemented nationwide. In some cities, the official pre-sale deed can be executed. Even so, if a pre-purchaser, after concluding an ordinary (non-official) pre-sale contract, wishes to invoke this statutory requirement, they must file a lawsuit compelling execution of the official pre-sale deed for the property.
Documents Required for Executing the Official Pre-Sale Deed
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An official title deed, or an official lease deed granting the right to construct a building, or an official contract indicating that the subject of the transaction has been allocated to the pre-seller in exchange for investment, with the right to sell, through construction of a building on the land.
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The building permit for the entire building and an independent technical specification record for each unit.
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The insurance policy relating to the liability covered under Article 9 of this Act.
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Confirmation from the building's supervising engineer that the foundation work has been completed.
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The response to an inquiry submitted to the registration office for deeds and properties having jurisdiction over the location of the property.
If a property that was pre-sold under an ordinary contract lacks a building permit and a technical specification record, the petition must also seek a court order compelling the pre-seller to obtain these.
One of the requirements for executing the official pre-sale contract is confirmation from the supervising engineer that the foundation work has been completed. If, at the time the petition is filed, the foundation work has not been completed, the petition must also seek an order compelling the pre-seller to complete the foundation work.
Source: Property Litigation, by Hossein Eghdami.