13/07/2022 15:08

Vietnam: Settlement of disputes over reclamation of land in another person's name according to case law 02/2016/AL

Vietnam: Settlement of disputes over reclamation of land in another person's name according to case law 02/2016/AL

There are many cases where Vietnamese people residing abroad spend money to buy land and ask people in the country buy it in their name. The problem here is how to ensure the interests of both the person who actually pays and the person who has the effort to preserve and maintain to increase the value of that part of the land. Judgement 02/2016/AL published in 20116 has partly resolved the above problems, making it easy for the Court to settle the dispute over this problem.

The content of Judgement 02/2016/AL is summarized as follows:

In case overseas Vietnamese have spent money to receive the transfer of land use rights and asked a person in Vietnam to receive the land use right transfer in their name, when settling disputes, the Court must consider the following: Consider and calculate the effort to preserve, and embellish to increase the value of land use rights for the real owner; if the exact effort of that person cannot be determined, it is necessary to determine who actually paid for the transfer of land use rights and the person whose name is used to receive the transfer of land use rights to see if the effort paid is equal or not. The share for the person who takes care of the land on behalf of the real owner will then increase in comparison to the original amount received for receiving the transfer of the owner's land use right.

1. Judgment No. 223/2020/DS-PT on disputes over land use rights and properties attached to land (houses) 

Plaintiff Mr. Nguyen Van S argued that, in 2014, he asked Mr. Ly Huy C and Mrs. Nguyen Thuy V to do him a favor to help buy the house No. 35E3 of villa P, quarter 6, ward P1, city Th. Later, Mr. Nguyen Van S filed a lawsuit to request the recognition of his house title and land tenure for the house and land located at 35E3, Villa District P, Quarter 6, Ward P1, Th City, Binh Duong Province; force Mr. Ly Huy C and Mrs. Nguyen Thuy V to return the house and related documents to Mr. S. Mr. Ly Huy C and Mrs. Nguyen Thuy V disagreed with Mr. S's petition to sue because they assured that the real property in dispute was legally purchased by Mr. C and Mrs. V. They denied that they are named as the owner of the house and the occupant of the land on Mr. S’s behalf.

From the above analyses, the Trial Panel found that there was grounds to identify the real estate located at 35E3, villa district P was bought by Mr. Nguyen Van S who asked Mr. C and Mrs. V to use their names as the holders on the house sale contract on his behalf. However, as Mr. Nguyen Van S was a foreigner, currently not living in Vietnam, he needed to hand over the house and land to Mr. C and Mrs. V for management and use. Because Mr. C and Mrs. V were the ones who acted on his behalf to be named on the house sale and purchase contract, it is necessary to consider the efforts of Mr. C and Mrs. V whereby the effort in the name of Mr. C and Mrs. V is determined by ½ of the additional difference value of the property.

Hence decide: Mr. C and Mrs. V will obtain the recognition of the ownership of the house and land use right for the house 35E3, villa district P, and must repay Mr. Nguyen Van S the value of the house and land VND 2,361,228,250. Mr. S is obliged to return the house to Mr. C, Mrs. V.

2. Judgment No. 361/2020/DS-PT on disputes over house ownership, residential land use rights, house purchase and sale contract

Around 2005, Mrs. Kim was the stepmother of Mr. and Mrs. D, P, L, and T, who returned to Vietnam to play and asked them to find land to buy and build a house for them to live in. In 2006, Ms. Kim sent money to Vietnam many times to ask Mr. T to buy a plot of land in Ward 16, District G and build a house. After building the house, Mr. T's family, Mr. D's family, and Ms. Huynh Thi T (mother of Mr. T and Mr. D) moved in. The parties have made a written commitment to determine the above-mentioned house and land of Mr. and Mrs. Le Van P, Mrs. Kim, and the grandparents only in their names; the person in the name does not contribute anything, does not claim any rights, and does not transfer the property to another person without the consent of Mr. P and Mrs. Kim. In 2011, Ms. Kim and her husband, Mr. Le Van P, returned to Vietnam and asked Mr. D and Mr. T to return the above house and land, but Mr. D and T asked her to send support money many times. On November 22, 2017, Mr. Le Huynh Huu T sold Mrs. Kim's house and land without her consent. Ms. Kim sued to ask the court to recognize Ms. Kim as owning the disputed real estate and declared that the contract of sale and purchase of houses and the transfer of land use rights signed between Mr. Le Huynh Huu T and Mr. Nguyen Hoai T was invalid. sign of being deceived.

From the basis of the case file, it was determined that the above house was constructed because Ms. Kim Ng sent money to Mr. T and Mr. D to receive the land transfer and build a house. and put your name on it. Mr. T arbitrarily transferred the house and received money from Mr. T without the permission of Mrs. Kim Ng. Mr. T violated his commitment to Ms. Kim Ng, rescinded the real estate authorization document back to Ms. Le Huynh Ngoc L, and arbitrarily sold the house to Mr. T.

Therefore, the Court decided to: (1) recognize Mrs. Kim as owning the disputed land; (2) declare that the contract for housing sale and land use right transfer signed between Mr. Le Huynh Huu T and Mr. Nguyen Hoai T is invalid.

Phuong Uyen

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