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The Directorate General of Legal Certainty and Public Faith has ruled on an appeal against a Registrar's refusal to register a commercial premises sale subject to a condition precedent. The Registrar argued that the condition to obtain licences was legally impossible due to a prior transfer to the City Council not recorded in the Land Registry. The resolution examines the validity of conditions precedent and the protection of purchasers acting in good faith based on information provided in Land Registry certificates.
For purchasing companies (such as Bellatrix Ventures, SL), the ruling strengthens legal certainty by allowing the registration of transfers subject to conditions precedent, even if possession is not transferred immediately. For Registrars, the decision limits the ability to classify conditions as 'impossible' based on facts (such as municipal transfers) that are not reflected in the registry, thereby protecting reliance on the public faith of the Land Registry.
The tax team reviews your specific situation.
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