Usufruct and Personal Right of Use: A Legal Overview ## In Estonian real estate law, it is crucial to distinguish between usufruct (kasutusvaldus) and personal right of use (isiklik kasutusõigus). Both are limited real rights regulated by the Law of Property Act (Asjaõigusseadus - AÕS), but they carry significantly different legal implications. ### What is Usufruct? Usufruct (§ 201 AÕS) is the most comprehensive limited real right. A usufructuary is entitled to use the immovable property and enjoy its fruits as if they were the owner. This includes the right to lease or rent out the property and collect the income. However, the usufructuary is legally obligated to maintain the economic purpose of the property and perform standard maintenance. ### What is Personal Right of Use? A personal right of use (§ 225 AÕS) is a more restricted right. It grants a specific person the right to use the immovable in a defined manner (e.g., residing in a house or using a driveway). Unlike usufruct, it does not grant the right to collect fruits or lease the property to third parties. This right is strictly tied to the beneficiary and generally terminates upon their death or the expiration of the agreed term. ### Key Differences and Legal Consequences 1. Scope: Usufruct is broad, including the right to profits, whereas a personal right of use is limited to specific usage. 2. Transferability: Usufruct cannot be transferred or inherited, though its exercise can be delegated. A personal right of use is inseparable from the beneficiary. 3. Registration: Both rights must be entered into the Land Register to be effective against third parties. Establishing these rights requires a notarized agreement. If you are navigating complex property rights or need assistance with drafting agreements, consult the experts at Legal Aid 24. Our team provides authoritative analysis tailored to your specific situation. Contact us today for a professional legal consultation and ensure your property rights are fully protected!
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