Will promissory note deals be canceled? – Tejarat News

According to Tejarat News, the plan to require the registration of real estate transactions has been sent to the Expediency Council for review after several back and forths.

Experts and activists of the housing market believe that this plan, if approved, can remove many knots from the housing market and smooth the previous problems.

Consequences of promissory note transactions

But what problems do promissory note transactions cause? Selling a building unit to several people is one of the consequences of using a promissory note in real estate transactions. In this method, the fraudulent person can sell a unit to more than one person without any restrictions, because the transaction is not legally registered in a system, and as a result, the person will not be informed about it.

This issue is more common in the pre-sale of building units, because this type of transaction is often done without setting up an official document. Also, on the other hand, profiteers can usurp the properties of other people who are not easily accessible (such as people who have emigrated or died).

In this way, two people, with each other’s complicity and by drawing up two contracts, start a formal dispute between themselves and go to court. One of these affidavits is written stronger than the other, and since the real owner is not available, the court votes in favor of the stronger affidavit, and finally, an official document can be obtained on this affidavit.

Unknown document is a factor for fraud

Hassan Salimi, notary public and lawyer, told Mehr News Agency that the large volume of cases entering the judiciary is one of the reasons for the chronic problem of delaying proceedings. According to him, from a statistical point of view, when the cases of justices across the country are examined, we find that an important part of the cases entering the justice system are cases related to fraud, sale and transfer of property of others, and document forgery using an unknown document, which usually and generally happens in transactions that are transferred with normal documents, while these issues happen less in official documents.

Now, we have to see whether the proposal to require the registration of real estate transactions will be approved by the Expediency Council this time and will end all these challenges or not?