The present document intends to explain article by article the text of the fundamental Law of the Rent to Buy (Own) in Italy.
It is not a literal translation of the original legal Source rather than its explenation.
Art.1) The transcription of the Rent to Buy agreement is obligatory; it produces the same legal effect of the one of the sale and purchase agreement of a property.
Art. 1-bis) The parties agree the quote (percentage) of the sale price which has to be refunded in the favor of the tenant/buyer in case there won’t be the final transfer of the property ownership within the expiring date (maximum 10 years).
Art. 2) The effect of the Rent to Buy agreement won’t apply if the tenant/buyer will not pay a minimum number of rates which anyway can’t be inferior of 1/20 of the total number of instalments.
This circumstance determinated the resolution of the contract.
Art. 2-bis) If the tenant/buyer fails to delivery the property (in case won’t be the ownership transfer) the landlord/seller has the right to implement the Italian forced procedure to get back the material possession of the property
Art. 3) The duration of the contract and the related trascription is valid for a maximum 10 years. During this intermediary period the rental legislation generally applies if compatible with this methodology of purchase.
Art. 4) Before signing the Agreement, the Notary is obliged to check there are no burdens or weights on the property and any obstacle to the transfer of the ownership right.
Art. 5) In case of resolution of the contract caused by the landlord/seller, the landlord has to refund all the paid rates as sale price plus the legal interest.
In case of resolution of the contract caused by the tenant/buyer, the tenant has to leave the property and will loose the rates already paid.
An eventual paid deposit can be refundable.
A different agreement between the parties is valid only if done in the written form into the Contract.
Art. 6) If the landlord/seller gets bankrupt the contract continues with its effects.
If the tenant/buyer gets bankrupt the contract continues if the Curator (Bankruptcy manager) subscribe it.
Art. 7-8) The protection against the illegitimate occupation of the property generally provided by the Italian Law also applies for the Rent to Buy agreement.