Acquisition of property rights through legal transactions
Legal facts that lead to the emergence or termination of rights in rem, called acquisition methods. According to its scope they are common - through them one may acquire property rights over all kinds of property, as well as special such, through which property rights may be acquired only on certain types of property (Art. 78 PA). According to the presence or absence of succession the methods are divided into primary (entitlement does not require the existence of property rights in another person) and derivative (entitlement must have existed in the patrimony of the transferor).
The transaction as an acquisition method
The acquisition of property rights through a transaction is a derivative acquisition method. transaction represents a lawful legal fact containing one or more interconnected wills of subjects of private law, intended to produce legal effects, as well as the substance of these effects. The transaction, which transfers ownership can be one-sided (covenant, testament) and bilateral (sale, exchange, donation). Unlike the German legal system, in Bulgaria the transfer of ownership only requires the simple consent of the parties. With the achievement of the consent transaction manifests its obligatory reified effect. Where the consideration consists in individually designated property, ownership is transferred by virtue of the contract (Art. 24 (1) of the Obligations and Contracts Act). In case of generic objects, ownership is transferred when the property is determined by the will of the parties or upon their transfer (Art. 24 (2) OCA). In all cases, however, in order for the translative effect to occur, the grantor must be a holder of the ownership of the property.
Form of the transaction
Under the provisions of the Obligations and Contracts Act, real estate transactions should be concluded in a notarial form, which by its nature is a form of actuality, i.e. invalidity of the form will result in the nullity of the transaction (Art. 26 (1) OCA). For transactions with registered motor vehicles, ships, with the donation of movable property or the sale of inheritance, the form should be written with notarized signatures. This form is also a form of actuality. For all the transactions not specified by law, property rights are informal.
Property rights are specifically listed in the Property Act. In this sense, the subject of a transaction may only be a real right provided by law. Parties to a legal transaction may not on their own create new property rights not provided for by law.