The overburdening of courts in Bosnia and Herzegovina often results in waiting several years for a second-instance court decision. For example, before the Municipal and Cantonal Courts in Sarajevo, the entire procedure can last up to 7 years.
If your dispute concerns real estate, the question arises whether you can protect your rights during the waiting period for the final resolution of the case and prevent the opposing party from selling, gifting, alienating, or otherwise encumbering the property in the meantime.
The answer is yes, through a Notice of Dispute, which is entered in the third section (C) of the land registry record under “Encumbrances,” in accordance with Article 20, paragraph 1, in connection with Article 2, paragraph 4 of the Land Registry Act of the Federation of Bosnia and Herzegovina. The Notice records certain circumstances and facts that affect the disposal of real estate—in this case, the existence of a dispute.
To register a Notice of Dispute, you must submit a Request for Entry of Notice of Dispute to the competent land registry office where the property is located, along with proof that legal proceedings related to the property are ongoing.
If the legal conditions are met, the land registry office issues a Decision permitting the entry of the Notice of Dispute on the subject property.
A property with a Notice of Dispute registered in the land registry is difficult to sell, thus securing your position while your dispute is pending final resolution.
If you do not register a Notice of Dispute and the opposing party alienates the property in the meantime, there is another legal remedy to protect your rights called Avoidance of the Debtor’s Legal Transactions, about which you can also read more in the articles on our website.
