Business and contracts

Is it legal to sublet land bypassing the lessor?

Is it legal to transfer already leased land to sublease without informing the lessor about it? How is this done without violating the law? How are litigations resolved in this matter?

Is it legal to sublet land bypassing the lessor?

Is the transfer of leased land to sublease without the consent of the owner legal? If so, in what cases? If not, when?

What does the law tell us about this and how are litigations resolved between the parties to such legal relations, which, due to ignorance of regulatory rules, violate the law?

Thus, lease-contractual legal relations, including sublease of land plots, are regulated by the LKU, the Law of Ukraine “On land lease” and the court practice of the Supreme Court of Ukraine, which regulates controversial issues that are not detailed by the law.

These laws and regulations establish the rules to which the parties to the contractual relationship must obey, both in the preparation and concludion of contracts, and in their termination. A lease agreement is the main document governing the rights and obligations of the parties by securing the essential terms of the transaction.

The law defines a lease agreement as a transaction in which the lessor undertakes to transfer the land plot to the lessee for a fee for possession or use for a specified period, and the lessee undertakes to use the leased object in accordance with the terms of the agreement and legislation.

It should contain information: about the lease object (size of the land plot, number in the land cadastre, location), about the term of the agreement and about the lease payment (size, indexation, methods, terms and conditions of payments, payment procedure, responsibility and nuances of revision) … Important! The law allows the parties to fix other conditions in the contract!

Clause 6 of Art. The 93rd LKU stipulates that the leased site (in whole or in part) may, upon agreement with the lessor, be transferred by the lessee to the possession (use) of another person for sublease within the limits established by law.

Article 8 of the Law of Ukraine “On land lease” determines that sublease is possible without changing the purpose, if it is provided for by the lease agreement or with the written consent of the lessor, again within the framework of legislative restrictions.

According to the law, a leased plot can become subleased if the landlord does not give written consent or objection to this within a month.

The sublease is valid within the framework of the terms of the lease agreement and should not contradict them, in view of this, the termination of the lease automatically cancels the sublease legal relationship!

This aspect is also regulated by the legal conclusions of the Supreme Court of Ukraine in cases No. 6-161cc13 of 12.12.2014 and No. 6-15cc14 of 19.03.2014.

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