Cap. 158 Art. 12Temporary emphyteusis of dwelling-houses.

(1) Notwithstanding anything contained in the Civil Code or in any other enactment the following provisions of this article and of articles 12A and 12B shall have effect with respect to all contracts of temporary emphyteusis made at any time.

(2) Where a dwelling-house has been granted on temporary emphyteusis -

(a) for a period not exceeding thirty years, if the contract was made before 2lst June, 1979, or

(b) for any period, if the contract is made on or after the date aforesaid, and on the expiration of any such emphyteusis the emphyteuta is a citizen of Malta and occupies the house as his ordinary residence, the emphyteuta shall be entitled to continue in occupation of the house under a lease from the directus dominus -

(i) at a rent equal to the ground-rent payable immediately before the expiration of the emphyteusis increased, at the beginning of the lease of the house by virtue of this article, and after the lapse of every fifteenth year thereafter during the continuance of the lease in favour of the same tenant, by so much of the ground-rent payable immediately before such commence-ment or the commencement of each subsequent fifteen year period, being an amount not exceeding such ground-rent, as represents in proportion to such ground-rent the increase in inflation since the time the ground-rent to be increased was last established; and

(ia) subject to the conditions laid down in subarticle 5(3)(b); and

(ii) under such other conditions as may be agreed between them, or failing agreement, as the Board may deem appropriate.

(3) Where on the expiration of an emphyteusis as is mentioned in sub-article (2)(a) or (b) the dwelling-house is subject to a lease, the provisions of the Reletting of Urban Property (Regulation) Ordinance, shall not apply in respect of such lease: Provided that where the tenant under the said lease is a citizen of Malta and occupies the house as his ordinary residence he shall, on the termination of the lease, be entitled to continue in occupation of the house under a new lease from the directus at the same rent and under the same conditions as are dominus mentioned in sub-article (2)(i) and (ii) in respect of the emphyteuta.

(4) On the expiration of a temporary emphyteusis of a dwelling house occupied by a citizen of Malta as his ordinary residence at the time of such expiration, not being an emphyteusis mentioned in sub-article (2)(a) or (b), the emphyteuta shall be entitled to convert the emphyteusis into a perpetual one under the same conditions of the temporary emphyteusis with the exception of those relating to the duration and the ground-rent. The ground-rent payable with effect from the conversion of the emphyteusis into a perpetual one and until fifteen years from that date shall be equal to six times the ground-rent payable immediately before such conversion, and shall thereafter be increased every fifteen years by so much of the then current ground-rent, being an amount not exceeding such rent, as represents in proportion thereto the increase in inflation since the time the said ground-rent was last established.

(5) If the emphyteuta does not exercise the right granted to him by sub-article (4) within six months from the date such right is exercisable, such right shall, with the necessary modifications, pass to the occupier of the house who shall be entitled to demand, to the exclusion of the emphyteuta, that the dwelling-house be granted to him by the owner in perpetual emphyteusis under the same conditions as could have applied if the emphyteuta had converted the emphyteusis into a perpetual one.

(6) Where the emphyteuta or the occupier is entitled to convert a temporary emphyteusis into a perpetual one under sub-article (4) or (5), he may require that a notarial deed be entered into to this effect, and the or the owner shall comply with such dominus request.

(7) Where the date of expiration of the emphyteusis is a date prior to 21st June, 1979, the foregoing provisions of this article shall apply only if the emphyteuta or the tenant, as the case may be, still occupies the house as his ordinary residence on that date and shall not apply if he so occupies the house under an agreement entered into by him after the expiration of the emphyteusis.

(8) Where, in the case of an emphyteusis mentioned in sub-article (2)(a) and expiring after the 21st June, 1979, the emphyteuta or the tenant occupying the house as his ordinary residence on the expiration of the emphyteusis is a person different from the person occupying the house as his ordinary residence on 21st June, 1979, the provisions of sub-article (2) or (3), as the case may be, shall apply only -

(a) if -

(i) the person occupying the house on the date aforesaid continued in occupation of the house as his ordinary residence until his death; and

(ii) the person occupying the house as his ordinary residence on the expiration of the emphyteusis resided with the emphyteuta at the time of his death and had then all the other qualifications to be treated as a tenant for the purposes of this article; or

(b) if -

(i) the person occupying the house as his ordinary residence on the date aforesaid derived the title under which he so occupied the house from the emphyteuta occupying the house as his ordinary residence on the expiration of the emphyteusis or, if the emphyteuta from whom the said title was derived dies before the expiration of the emphyteusis, from the emphyteuta whose heir occupies the house as his ordinary residence on the expiration of the emphyteusis; and

(ii) until the expiration of the emphyteusis, no person other than the person aforesaid and the said emphyteuta, or his heir, and members of their family living with them, occupied the house in any manner whatsoever; and

(iii) not later than 30th September, 1979, notice is given in writing to the Housing Authority of the title under which the house is occupied on 21st June, 1979, stating the nature of that title, the expected duration thereof and the name of the person occupying the house under that title.

(9) For the purposes of this article -

(a) in respect of an emphyteusis mentioned in sub-article (2)(a) or (b), emphyteusis includes a sub-emphyteusis;

(b) in respect of any other emphyteusis, emphyteusis means the original emphyteusis, but where, on the expiration of such emphyteusis, the dwelling house is held on sub-emphyteusis -

(i) the rights given by this article to the emphyteuta shall be exercisable by the last sub-emphyteuta and, without prejudice to the rights given to the occupier by sub-article (5), only by him;

(ii) the means only the person directus dominus entitled to receive the original ground-rent;

(iii) the ground-rent means only the original ground rent:

Provided that where the ground-rent payable by the last sub-emphyteuta exceeds six times the original ground-rent, sub-article (4) shall have effect as if for the words "shall be equal to six times the ground-rent" there were substituted the words "shall be equal to the sub-ground-rent".

(10) Where on the expiration of a temporary emphyteusis to which sub-article (2) or (3) applies, the dwelling-house is occupied by a person by title of usufruct or habitation, the right to continue in occupation of such dwelling-house conferred by those sub-articles or by sub-article (7) shall, notwithstanding those provisions, be competent to such occupier as if he were the emphyteuta or the tenant of the dwelling-house, as the case may require.

(11) Where a temporary emphyteusis is converted into a perpetual one under sub-article (4), the dwelling-house shall remain subject to the rights enjoyed by third parties over such house immediately before such conversion.

(12) Where any of the rights conferred by this article is exercisable by more than one person such right may be exercised notwithstanding any disagreement among them but only if not less than half the number of such persons agree to exercise such right; and in any such case it shall operate only in favour of those exercising it.