At present, in the Russian Federation, regulation of the legal orientation with respect to the annuity contract is implemented by general, and certain versions of the agreement - by special norms enshrined in the current Civil Code. It is important to note that in accordance with the said agreement, it is allowed to establish the obligation to make rental payments for an unlimited period or for the life of the recipient. It should be borne in mind that lifelong payments can be established on conditions of the maintenance of an individual dependent. It will be advisable to consider in more detail the contract of rent (concept, elements, content, types). And also analyze the situations that arise regarding the presented topics in society today.
The nature and significance of the contract of rent
To begin with, it should be noted that, in contrast to other income, rent should be understood as income received from land, property or capital. It is important to add that from the recipients of income in this case is not required to carry out entrepreneurial activity. Considering the
concept, types and content of the annuity contract , it would be advisable to initially give a current definition today. So, an annuity contract is an agreement according to which the recipient (one party) transfers property complexes to the payer (other side), and the payer agrees one way or another in exchange for this property to pay the recipient a set amount of money, called rent, or provide some funds for its maintenance in another form. You must know that the presented definition is regulated by Art. 583 of the Civil Code in force in the Russian Federation.
When studying the concept and types of rental contract, you need to clearly understand the essence and significance of this category. It should be borne in mind that in the historical plan, the annuity contract is a scheme that allowed up to the beginning of the twentieth century to solve certain problems through civil law instruments that related to the non-existent (primarily pension) provision. To date, the category in question retains its own significance as an alternative and additional source of receiving funds, initially for the maintenance of citizens. When familiarizing yourself with the concept, types, content of an annuity contract, it is important to fully disclose the subjects of the category, information about which is fully presented in the next chapter.
Subjects and rental contract form
Currently, only citizens are considered recipients of rental payments. The exception in this case is recipients of permanent annuity. They may be associations of a non-commercial type, provided that there are no contradictions with respect to the current legislation and the goals of the structure itself. You need to know that today there are no restrictions on the subjective composition of payers of a certain amount of money as a rental payment.
When considering the concept and types of annuity contracts , it is important to remember that lifetime payments can be established in favor of a certain number of citizens. In such circumstances, their shares in relation to the right related to the receipt of rent are considered equal by default. If one of the recipients dies, its share goes to the recipients who survived it. You need to know that both legal entities and individuals can act as payers.
It will also be appropriate to deal with the form of the annuity contract characterizing the concept and types . It is important to keep in mind that any contract of the type presented is subject to certification by notary authorities. In addition, the agreement, which provides for the alienation of real estate for the payment of rental payments, must be registered with the relevant government agencies.
Category Feature
Before considering the types of contract of rent in civil law , it would be advisable to indicate the most important characteristics related to this category. Among them, it is important to highlight the following points:
- The contract is real (consensual, that is, when the transfer of property complexes is realized for a fee).
- The agreement is unilaterally binding.
- It is considered onerous.
- The contract is an aleatory (risky) one, that is, each of its parties, one way or another, bears the risk associated with receiving a counter-satisfaction of a lesser volume than that provided.
Providing rental payments
Considering the annuity contract and its types , it is important to note that in accordance with this document the recipient transfers the property complexes to the property in the same way as in the case of sale; certain amounts of payments are paid periodically. Sometimes payment is made over an indefinite time period (this situation is called a constant rent), which, of course, is beneficial for the payer. It must be added that the recipient reserves the specific rights to ensure the payment of the rental payment (subject of the contract), although the right of ownership, one way or another, passes to the payer. In the process of considering the concept, elements, types of rental agreement, it is important to know that the provision of payment is as follows:
- In respect of real estate, which serves as the subject of the agreement, the recipient acquires a pledge right to the respective property complexes as security for the obligation.
- In terms of movable property (where it is advisable to include money), which is the subject of the contract, a significant condition of this agreement is a factor that establishes the obligation on the part of the payer to provide security for the fulfillment of current obligations or for insurance in favor of the recipient of the risk of liability for improper performance or non-performance of existing obligations at all. In case of failure by the payer to perform the duties presented, as well as in the event of loss of security or deterioration of its conditions related to circumstances for which the recipient is not responsible, the latter is vested with the absolute right to terminate the contract and claim damages caused by this termination. It should be added that the information given in clause is regulated by Art. 587 of the Civil Code in force in the Russian Federation.
Annuity conditions
The existing types and features of the annuity agreement presuppose the existence of the essential conditions of this agreement. Among them, it would be advisable to note the form, size and subject of the rental payment. Then, when the subject of the contract is movable property, a weighty condition is the methodology for ensuring the fulfillment of current obligations related to the payment of rental payments. It is important to know that the subject of the agreement can be absolutely any property of individually defined value. However, in accordance with the contract for life maintenance, concluded with the dependent, we can only talk about real estate. It should be borne in mind that not only cash, but also services, work, rights to the results of activities of an intellectual nature and so on can act as a rental payment.
Types of annuity contract and their legal characteristics
To begin with, it should be noted that today there are three varieties of the category in question. So, first of all, it will be advisable to study the features and characteristics of the agreement, which is permanent. In the process of getting acquainted with the annuity contract and its types, it is important to understand that the contract of permanent annuity is determined by an unlimited orientation. You need to know that the termination of the presented agreement is possible through the purchase of property complexes or other objects of the agreement in accordance with the initiative of the recipient or payer. It is interesting that the refusal of the payer to make further payments through the purchase of property is considered valid only if submitted in writing no later than three calendar months prior to the termination of payment of rental payments or for a longer time period provided for in the permanent annuity agreement. At the same time, obligations related to the payment of rental payments cannot under any circumstances be terminated until the recipient receives the full amount of the repurchase, unless another redemption procedure is provided for by the relevant document.
It must be borne in mind that the agreement may include the exclusion of the right to buy permanent rent during the life of the recipient or for another period not exceeding 30 years from the moment the contract was concluded. The information provided is fully regulated in Art. 592 of the Civil Code in force in the Russian Federation.
Ransom demand
When considering the concept, characteristics and types of annuity contracts, it turned out that with a permanent agreement, the annuity recipient is endowed with the absolute right to demand redemption from the payer in the following cases:
- The payer of rent has expired its payment for a period exceeding twelve months, unless other circumstances are provided for by the contract of a permanent type.
- The payer violated his own obligations related to ensuring the payment of rent.
- The payer was declared insolvent. Other circumstances have appeared that clearly indicate that the rent will not be paid by the payer on time or in the amount established by the current contract.
- The property transferred under the annuity payment has come into the ownership of a general type or has been divided between a certain number of persons.
- The relevance of other cases stipulated by the contract in accordance with Art. 593 of the Civil Code in force in the Russian Federation.
Characteristics of a standing agreement
An annuity contract and its type , characterizing a permanent operation, presupposes the presence of certain characteristics, among which the following points will be worth noting:
- Special composition in a subjective way. In other words, only individuals (citizens), as well as non-profit organizations are considered recipients of permanent annuity.
- The possibility of transferring the rights inherent to the recipient of the rent as a result of reorganization or by inheritance. This may be prohibited by an agreement or legislation in force on the territory of the Russian Federation.
- The presence of a significant condition (along with the subject), which is the size of rental payments. It is important to add that they can be paid not only in the form of a certain amount of cash, but also in other forms. The size of payments tends to increase in proportion to the increase in the minimum size of actual wages. The information provided is fully regulated by Art. 590 Civil Code in force today.
- Specific deadlines. You need to know that permanent annuity payments are made at the end of each quarter, unless other circumstances are stipulated by the permanent type agreement. The information provided is regulated by Art. 591 of the Civil Code in force in Russia.
Life annuity
In this article, it would be advisable to consider the characteristics of the type of contract for life annuity . So, the features of the presented agreement currently are as follows:
- Urgent orientation of the contract of life annuity, which is limited to the period of life characteristic of its recipient.
- The possibility of paying rent exclusively in cash. It must be added that the amount of this amount cannot be less than one minimum wage. The information provided is regulated by Art. 597 of the Civil Code in force in the Russian Federation.
- When considering an annuity contract and its type, which is characterized by a lifelong value, it is important to note the existence of certain terms. So, in this case, the rent is paid at the end of each month in accordance with the calendar, unless other circumstances are provided for by the contract. The above information is fully regulated by Art. 598 of the current Civil Code.
- The presence of the risk of accidental loss of property complexes. You need to know that this risk is borne by the payer of rent. In addition, accidental loss of property under no circumstances exempts him from existing obligations.
Lifetime Maintenance Agreement
As it turned out, the types of rental contract are the following clauses:
- Permanent rent.
- Lifetime rent.
In the last chapter, it will be advisable to fully consider the current features and characteristics of the contract for life maintenance, which is concluded with the dependent. It should be borne in mind that in accordance with the presented variety of the contract, the recipient of the rent is an individual who transfers the residential apartment, house, land or other real estate belonging to him to the ownership of the payer of a certain amount. It is important to add that the latter, one way or another, agrees to implement the life-long maintenance of the dependent (citizen or third person specified in the contract under consideration). The information provided is regulated by paragraph 1 of Art. 601 Civil Code in force in Russia. It should be borne in mind that the contract for life maintenance is considered a kind of contract for life type of annuity.
You need to know that the subject of this agreement may be exclusively real estate. Payments of a rental nature are made, as a rule, in the form of meeting the existing needs of the recipient in care, food, housing, clothing and so on. It is important to keep in mind that the minimum amount of rental payments in this case is the amount equivalent to the two minimum wages. By the way, the circumstances presented suggest that the payer is vested with the absolute right to alienate property only with the prior consent of the recipient. The lifelong obligation is terminated immediately after the death of the recipient. In case of significant violation by the payer of his own obligations, the recipient has the right to demand the return of real estate transferred in support of life-time maintenance or payment of the redemption price to him. It should be emphasized that the payer is not entitled to demand compensation for expenses incurred due to the content of the recipient.