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Land law. Trades (most important)

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29. BIDDING

Bidding may take the form of a competition or an auction. The choice of the form of bidding is determined by the purpose of their conduct.

Auctions и Competitions may be open or closed. The subject of tenders (competitions, auctions) may be a land plot with established boundaries or the right to conclude a lease agreement for such a land plot.

Bidding is a way to sell property and a way to conclude a contract. Bidding is a one-sided transaction of the seller. At the same time, the seller undertakes to organize and conduct an auction, conclude a contract for the sale (lease) of a land plot with the person who will be the winner of the auction.

The provision of a plot of land that is in state or municipal ownership, into ownership or lease, is carried out at auction. The seller of a land plot or the right to conclude a lease agreement for such a plot is an executive body of state power or a local self-government body. The owner or a specialized organization acting on the basis of an agreement with him acts as the organizer of the auction.

The authorized body (special commission) determines the form of bidding (tenders, auctions), the initial price of the subject of bidding (tenders, auctions) and the amount of the deposit. An auction is held in cases where the purpose of the auction is to obtain the highest price for the provided land. Tenders are held in cases where the purpose of the auction is the most favorable conditions for the use of the land. For example, increasing soil fertility, implementing socially significant programs.

Any persons who have submitted applications participate in open auctions, and only those persons who are specially invited for this purpose participate in closed auctions.

Provision of land for construction in the property without prior approval of the location of objects is carried out exclusively at the auction.

The procedure for providing a land plot for construction without prior approval of the location of the facility:

1) carrying out work on the formation of a land plot:

▪ preparing a draft of the boundaries of a land plot and establishing its boundaries on the ground;

▪ determination of the permitted use of the land plot;

▪ determination of technical conditions for connecting objects to utility networks;

▪ making a decision to hold tenders or provide land plots without holding tenders;

▪ publication of a notice about holding tenders or accepting applications for the provision of land plots without holding tenders;

2) state cadastral registration of the land plot;

3) holding tenders for the sale of a land plot or the sale of the right to conclude a lease agreement for a land plot or the provision of a land plot for rent without holding an auction based on an application from a citizen or legal entity. The transfer of land plots for lease without holding tenders is allowed subject to the preliminary and advance publication of a notice on the availability of land plots proposed for such transfer if there is one application;

4) signing a protocol on the results of the auction or signing a lease agreement for a land plot as a result of providing a plot without holding an auction.

Author: Medentsov A.S.

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