By Mahlet Mesganaw, Partner at DMLF
Background
There were Federal Supreme Court Cassation Division Decisions that give contradictory interpretations on periods of limitation as to the time of filing of suit to partition of inheritance property or get share of the inheritance. Cassation File Number 186329( including 26422,20295, and others) accepts three years of limitation to request division of the inheritance property once a person has an inheritance certificate. On the other hand, Cassation File Number 205248 ( including file numbers 38533 and 44237 and others) consider the request for division of inheritance to be requested without any period of limitation. Hence the Cassation Division with 7 (seven) judges sitting, attempts to resolve the contradictory interpretation and render a uniform application of the law.
Recent Federal Supreme Court Cassation Division Decision
The Federal Supreme Court Cassation Division on Cassation File Number 24973 on October 16,2024 by a sitting of 7(seven) judges gave a landmark interpretation on the issue of period of limitation on Article 1000(1) and Article 1062 of the 1960 Ethiopian Civil Code.
Art. 1062. – Time of partition. When the succession has been liquidated, each of the co-heirs may at any time require that the partition of the inheritance be effected.
Article 1000 (1)An action of “petitio haereditatis” shall be barred after three years from the plaintiff having become aware of his right and of the taking possession of the property of the inheritance by the defendant.
In a landmark recent decision, merely having a certificate of heir does not guarantee request of inheritance property anytime. The holder of the certificate of inheritance has to institute his or her case within three years from the date of his or her awareness of his/her right and of the taking of possession of the property of the inheritance by the defendant. Article 1062 comes into picture when the succession has been liquidated and the co-heirs can request partition of the inheritance anytime. This development marks a major departure from the long-standing view that acquiring certificates of heirs entitles one to request a partition of inheritance anytime.
Implications of the New Precedent
The New Precedent carries significant legal implications among co-heirs. The right to file for inheritance property needs obtaining a certificate of heir. The holder of the certificate, if he/she is not administering or jointly holding of the inheritance property, should file for the right to get share of the inheritance from the holder of the property within three years of being aware of such circumstances.
What This Means for You
Heirs should take note of this new opportunity to request rights in inheritance property within a short period of time. Having a certificate of heirs is an important step. However, the certificate itself alone is not sufficient. Action against defendants who held the inheritance property has to be filed within three years. Otherwise the case will be closed for a period of limitation. In addition to obtaining a certificate of heir, liquidation of the inheritance process has to be carried out. The New Precedent opens the possibility of judicial challenges, which may influence both ongoing and future cases. Complexities may arise depending on the circumstances of each case. Stakeholders should seek legal advice tailored to their specific case.
If you have any queries about the new precedent, you may contact us at info@dmethiolawyers.com
By DMLF
This brief article is intended to give picture to those who wants to know about the process of purchase of land or immovable property in Ethiopia. Thus, the article focuses on giving few informative procedures on immovable property purchase. The article attempts to shed light of the property law structure from the FDRE Constitution, then indulges into the land lease holding system for urban land, who is eligible to buy land or immovable property, to documentations needed to accomplish sucessful purchase of land or immovable property in Ethiopia. Finally, foreigners of Ethiopian origin, who are interested to buy land lease right or immovable property have the option to do so knowing few processes.
The Right to Property
The FDRE Constitution on Article 40 declares that ‘’the right to ownership of rural and urban land, as well as of all natural resources, is exclusively vested in the State and in the peoples of Ethiopia. Land is a common property of the Nations, Nationalities and Peoples of Ethiopia and shall not be subject to sale or to other means of exchange’’. However, the government shall ensure the right of private investors to the use of land on the basis of payment arrangements established by law. Rural and urban land and resources on the land are owned by the State and peoples of Ethiopia. Hence the State is the one that allocates or transfers land to lease holders for urban land. Such transfer by the State is also done through allotment or auction. Either you are assigned land from the government or win land auction bids in a State sponsored tender.. When it comes to immovable property built on the land, the person who built the immovable property has the full right to the immovable property he/she builds. The ownership right extends to the permanent improvements he/she brings about on the land by his/her labour or capital. This right shall include the right to alienate, to bequeath, and, where the right of use expires, to remove his/her property, transfer his/her title, or claim compensation for it. (Article 40 of the FDRE Constitution). Thus one can buy immovable property from the owner of that immovable property or land from land lease holders.
Lease Period
Lease is a system of land tenure by which the right of use of urban land is acquired under a contract of a definite period. Whereas “urban land” refers to land located within an administrative boundary of an urban center; Any urban land user undergoes lease land holding structure. As per the Urban Land Lease Holding Proclamation Number 721/2011, the lease period for example for residential houses is 99 years. The lease period may be renewed depending on the prevailing lease price and other requirements at the time of renewal is executed.
Who is eligible?
The people that can own immovable property are Ethiopians and foreign nationals of Ethiopian origins with the ID. Foreign investors who invested more than 10 million USD can own one dwelling house. Also legal persons formed in Ethiopia can own immovable property for their business. However, except for the above conditions, foreigners cannot purchase land lease or immovable property in Ethiopia. This is true at the time of writing of this article. The government may introduce laws that expand the right of foreigners acquiring immovable property in the near future.
Paperworks
To conclude a transaction of purchase of land lease or immovable property, the first thing to do is ascertain the title deed certificate is free from debt or injunction order. Upon the fact that the property is transferable, the seller and buyer shall sign a sales agreement in front of a notary. As per the terms of the contract, payment shall be done and property is handed over. Title deed name change involves payment of transfer tax and stamp duty. This process of buy and sell of land lease or immovable property is the same for Ethiopian, foreign nationals of Ethiopian origin or foreigners who invested USD$10million or companies registered in Ethiopia.
Foreign Nationals of Ethiopian Origin
As per Proclamation No 270/2002, foreign nationals of Ethiopian origin need to undergo the process for obtaining the so-called ‘yellow id’. This id will entitle them to purchase land lease or immovable property in Ethiopia. The diaspora himself or herself or the proxy should execute a contract of purchase in front of the notary public. Article 1723 of the Civil Code of Ethiopia states that all contracts regarding immovable property have to be signed in front of the notary public. At the time this article is written, Ethiopian banks are offering loan facilities for the diaspora to buy properties in Ethiopia using their foreign currency.
For property purchase related issues, you may contact us at info@dmethiolawyers.com
Disclaimer
This article is intended for creating informative content and should not be taken as a legal advise.
By DMLF Team
The Rent Control and Administration Proclamation Number 1320/2024 ( hereafter referred to as this Proclamation) governs the lessor and lessee relationship when it comes to residential house rent. The Proclamation is done on May 9th 2024. The focus of this article is on disputes resolution procedures incorporated in the proclamation. The Proclamation introduced three tiers of dispute resolution mechanisms namely the regulatory body, grievance hearing committee and competent court of law. Each of these organs shall be briefly discussed here below.
Regulatory Body
Regulatory Body (RB) refers to the designated body by the Regions for control and administration of rent. Any dispute arising from or related to the enforcement of this Proclamation shall be submitted to the RB. The method of submission of the complaint shall be in writing. Together with the written complaint the applicant has to attach the registered rent agreement, rent transfer receipt and any other document requested by the RB. The applicant has a duty to submit the complaint within 30 days from the occurrence of the event that gave rise to the complaint. Then the RB must investigate the complaint and pass a decision within 30 working days, as per Article 22(2) of the Proclamation.
Grievance Hearing Committee
Grievance Hearing Committee (GHC) accepts application from any aggrieved party, who is dissatisfied by the decision of the RB. The application to the GHC has to be filed within 15 working days from the date the decision is received by the party. The GHC shall pass a verdict on the RB decision either fully or partially approving or dismissing. Such a verdict by the GHC shall be the final administrative decision.
Competent Court of Law
Any person who disagrees with the GHC’s verdict has the right to appeal to a court that has jurisdiction. This competent court of law will render a decision within 30 days from the date of the court receiving the appeal. The decision of the court shall be final.
Conclusion
The Rent Control and Administration Proclamation introduced a unique form of procedure for resolution mechanism for disputes arising on residential house rent disagreements. The dispute resolution mechanism includes both administrative and judicial interference.
For any related issues, you may contact us at info@dmethiolawyers.com
By Dagnachew Tesfaye, Managing Partner at DMLF
The House of Peoples’ Representative has enacted a Regulation namely ‘’the Federal Courts Administrative Employees Regulation Number 1/2023’’,(hereafter referred to as the Regulation). The Regulation is effective from the date of publication in the Federal Negarit Gazette. The Regulation was signed into law by the Speaker of the House of Peoples’ Representative Tagese Chafo on October 25/2023. The Regulation consists of 104 provisions. Major new introductions shall be briefly discussed here below.
Human Resource Management Council
The Regulation formed the Human Resource Management Council. The Council shall serve as higher organ, to administer and determine the structure, salary scale, allowances, benefit packages and other human resource management related affairs of the Federal Courts. The Council has also the mandate to issue Directives to implement this Regulation.
Salary Scale
The Council shall propose the salary scale of the Federal Court Administrative Employees taking into consideration Government’s financial capacity and taking into account the weight of the work. The salary scale shall become effective when the House of Peoples Representatives approves the recommendation made by the Council.
Employment of Foreigners
Foreigners are made ineligible to be employed in the Federal Courts. The term foreigners however does not include foreign nationals of Ethiopian origin holding the yellow card as provided under Proclamation No.270/2002 namely Providing Foreign Nationals of Ethiopian Origin with Certain Rights to be Exercised in their Country of Origin.
Probation to New Recuritees
The period of probation of the Federal Courts employee on the position of his/her appointment shall be for 6( six months). However if the performance result is below average, the probation period may be extended for an additional period of three months.
Regular Working Hours
Regular working hours of Federal Courts shall be determined on the basis of each condition of work and may not exceed 39 hours a week; from Monday to Friday. The regular office hours of an employee shall be from 8:30 AM to 5:30 PM. However, an employee assigned to a bench related position shall be obliged to work until the completion of the proceeding of the bench concerned.
Annual Leave
An employee of the Federal Court shall be entitled to annual leave of 20 working days for his first year of service. An employee having a service of more than a year shall be entitled to additional leave of one working day for every additional year of service. However, the duration of annual leave shall not exceed 30 working days. Previous service rendered in any Federal or regional government institution shall be taken into account for the application of service years.
Maternity and Paternity Leave
A pregnant employee shall be entitled to a period of 30 consecutive days of prenatal leave preceding the presumed date of her confinement date. She will get a period of 90 consecutive days after her confinement. The pregnant woman shall receive a total 120 days of maternity leave with pay. Any employee shall be entitled a paternity leave with pay for 10 working days at the time of his wife’s delivery. Paternity leave shall also be applicable to irregular unions when the proof of which is priorly attached in the employee’s personal record or any other admissible evidence produced by the employee.
Affirmative Actions
The Regulation introduced affirmative action for female employees, employees with disability and nations and nationalities having lesser representation. Female employees shall be entitled to affirmative actions in recruitment, promotion, transfer, redeployment, education and training. Persons with disabilities shall be entitled to affirmative actions in undergoing of recruitment, promotion, transfer, redeployment, education and training. Also nations, nationalities and peoples having lesser representation in Federal Courts shall be given the advantage of affirmative actions in the implementation of recruitment, promotion, transfer, redeployment, education and training.
Equitable Representation
The placement of employees in Federal Courts shall take into account equitable representation of nations, nationalities and peoples.
Obligations of Employees
The Regulation lists down 17 obligations. Among the obligations some of them are a) to refrain from any activity reflecting the employees personal belief, religion or political opinion at the workplace; b) to preserve confidential matters of the court disclosed to the employee by reason of his work; c) to avoid discriminatory treatment of clients on the basis of gender, language, ethnicity, religion, political opinion, disability or on any other grounds; and d) not to solicit or accept any gift or a present having a value in consideration of the service the employee renders or expected to render as an employee.
The Right of Appeal
Any party aggrieved by the administrative decisions of higher officials of Federal Courts may lodge an appeal to the Federal High Court within 30 days upon receipt of the administrative decision. The Federal High Court shall render a decision on appeals submitted to it after making necessary examinations on both questions of law and fact. The Federal High Court shall render a decision within 30 days on appeals submitted to it. The Federal High Court shall establish a separate bench presided by three judges to adjudicate cases between Federal Courts and employees. Any party dissatisfied by the decision of the Federal High Court may lodge an appeal to the Federal Supreme Court within 30 days. The decision rendered by the Federal Supreme Court in its appellate jurisdiction on questions of fact shall be final. Nonetheless, any party claiming that the decision of the Federal High Court and Federal Supreme Courts has an error of law may submit an application for review to the Federal Supreme Court Cassation Bench within 30 days upon the receipt of the decision.
Conclusion
The above highlights of the Regulation is to show briefly the major contents of the Regulation. The Regulation is an indication of the independence of the judiciary. It is enshrined in the FDRE Constitution that Federal Courts are entrusted with full institutional independence and impartiality, both structural and administrative. Hence, this Regulation is one manifestation of the administrative independence of the judiciary, in terms of administration of its own employees.
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