Abstract

According to the Supreme Court judgments an agreement which transfers a property on which a part of a building is situated to a new mortgage register is invalid. On the other hand, an agreement transferring such property is valid if a separate mortgage register had been kept for it prior to the agreement. In that case the building is divided along the border, unless the border had been crossed upon its construction against the will of the owner of the adjacent property, the prerequisites of Art. 151 of the Civil Code having been fulfilled. In this situation, there are important arguments for assigning the entire building to the property on which it was initially constructed. Invalidity of agreements transferring properties developed with parts of buildings cannot be endorsed. It jeopardizes security of legal transactions and has a limited basis in positive law.