Secure Your Interest And Rights With This….
The term ‘Usufruct’, is typically not a common word passed around the dinner table when discussing owning and using property, not to mention all the ins and outs of which it encompasses.
Firstly, what is a Usufruct in the legal arena?
‘The right of one individual to use and enjoy the property of another, provided its substance is neither impaired nor altered’.
A simple example would be: A usufructuary right would be the right to use water from a nearby creek in order to use that water as a source to generate electricity. This particular right is identifiable from a claim of legal ownership of the water itself. it is actually a property right similar to a lease.
The right of usufruct is commonly ignored and infrequently used. This is in regards to having one’s interests with immovable property secured. Typically, it’s the lease rights that are registered against the property in question. Consequently, this provides the beneficiary favourable rights pertaining to use and possession, up until the time said lease has either expired, becomes invalid and/or terminated.
It is of importance to realize that if a person considers registering a right of usufruct, that this is a personal right of its recipient. Moreover, it is deemed non-transferable by a third party, including as an inheritance.
Furthermore, registration is necessary against a specific property (and subject to a registration fee), at a credible land department. This property right is provided by the Thai Civil and Commercial Code (CCC). Subsequently, an owner of immovable property imparts the usufructuary with rights of possession, its use and enjoyment, in addition to the management of the determined property.
The right of usufruct may be designed for either the lifetime of the usufructuary, or for a maximum period of thirty years. If ever such an agreement remains silent pertaining to its term, it is still considered legitimate for its lifetime. Now, when the times comes when it has expired, by law, the usufruct ceases and the property in question must be handed back to the owner. An exception would be if both the owner and the usufructuary have a renewal agreement. It must be noted however, that this right does not terminate upon the original property owner’s passing.
When considering opting for a right of usufruct, it is of the utmost importance to consult with a reputable and credible legal expert with extensive knowledge in this area given the potential complexities.
There could be various aspects to one’s own circumstance/s with possible repercussions if he or she fails to seek out professional advice. Thus, the vital importance of exercising the former prior to considering such an arrangement in order to ascertain if it is indeed a suitable option.