Expropriation: An analysis of the concept and its implications
Expropriation is a legal term for the action of the state or a public authority to take private property from an individual or company for use in the public interest. It is a process by which property is forcibly transferred from the owner to the state or other authorised entity in exchange for financial compensation.
The legal basis for expropriation in Romania is the Romanian Constitution, which recognises the right to private property, but also provides that this right may be restricted in the public interest, under the conditions of the law and with appropriate compensation. Expropriation is also regulated by Law No 33/1994, which lays down the rules and procedures for calculating and granting compensation for expropriated property in Romania. This law was adopted to ensure that owners affected by expropriation receive adequate compensation for the loss suffered as a result of the forced takeover of their property by the state or other public authorities for the purpose of public utility or national interest.
At the same time, expropriation is regulated by Law No 255/2010 on expropriation for public utility as a special law. This law regulates in detail the procedures and conditions of expropriation, including the declaration of public utility, property valuation, compensation, owners’ rights and procedures for contesting expropriation decisions.
Expropriation procedures in Romania involve the following main steps:
- Declaration of public utility: the competent authority issues an official declaration indicating the purpose and necessity of expropriation in the public interest.
- Notification of owners: Owners affected by the expropriation are officially notified of the authority’s intention to take over their property.
- Valuation of the property: The property is appraised to determine its fair value in order to determine
compensation.
- Negotiation of compensation: Owners and the authority can negotiate the amount of compensation or other relevant issues.
- Expropriation decision: The authority issues a formal expropriation decision, which can be challenged in court.
- Transfer of ownership and compensation: After completion of the legal procedures and payment of the compensation, ownership is transferred to the public authority.
Owners’ Rights
Romanian law grants certain rights and protections to owners affected by expropriation, including the right to fair compensation and defence before the courts in the event of a dispute. Owners have the right to challenge expropriation decisions or assessments in court and to request a review or recalculation of compensation.
If you are affected by an expropriation decision, do not hesitate to contact a lawyer specialised in this field to take the necessary steps.