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The Directorate General for Legal Certainty and Public Faith has ruled on an appeal against a registrar's refusal to register an explicit resolutory condition from a previous sale. The case examines the validity of terminating a contract due to non-payment of the price and the subsequent re-registration of the property in favour of the sellers, in a situation where the buyer had not registered their right in the Land Registry.
For parties involved in sale contracts with deferred payment, this ruling highlights the importance of registering resolutory conditions to ensure effectiveness against third parties. In this specific case, the buyer's ('Canarobra, SL') failure to register their right allowed the contract termination and the restitution of ownership to the sellers to be processed without altering subsequent registry entries that had not been formally registered.
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