March, 2012. Issue II
Amendments to the Civil Code of Georgia
On December 9th, 2011 amendments were introduced to the Civil Code of Georgia.
The amendments affected the right of redemption in sales contracts; namely term of redemption was set forth at maximum of ten years, with no possibility of further extension.
Also, amendments concerned the issue about establishing the origin of child from unmarried parents by: joint application of parents and child’s birth document; if such documents does not exist, the origin of the child is established by the court, but in cases specified by the law Civil Registry Agency has the authority of establishing origin of the child.
On December 20th, 2011 other amendments were introduced to the Civil Code of Georgia, particularly, these amendments apply to the chapter of Family Law, marriage: wedding age, termination of marriage due to the death of a spouse, confirmation origin of a child of married parents.
Pursuant to the amendment dated December 28, 2011 definition of bona fide purchaser was changed. Unlike previous regulation, concept of the bona fide purchaser now applies to acquirers of both movable and immovable property.
Amendments to the Georgian Law on Insolvency Proceedings
On December 28th, 2011 amendments were introduced to the Georgian Law on Insolvency Proceedings. Namely, norms of the Civil Procedural Code of Georgia are used for insolvency proceedings only in case the Insolvency Law does not contain norms regulating specific issues. The analogy of law may only be applied when such does not contradict the purposes of the law.
Amendments to the Georgian Law on Entrepreneurs
On December 28th, 2011 amendments were introduced to the Georgian Law on Entrepreneurs. Namely, supplements provide for registration of legal person’s e-mail address as well as factual domicile if the latter is different from the registered legal address of an entity. Hence, documents sent to the former address will be considered as being delivered.
Changes and Amendments to the Organic Law of Georgia on Political Unions of Citizens
On December 28, 2011 numerous changes and amendments were made to the Organic Law of Georgia on Political Unions of Citizens, some of which are annotated below:
Limits were set to the revenues an expenditures of the political parties and connected persons. Pursuant to article 25 of the law on Political Unions of Citizens states, above mentioned should not exceed 0.2% of the last year’s GDP. Donations exceeding the limits should be refunded within three days. Otherwise, funds will be transferred to the state budget.
Article 26 prohibits donations from legal persons or any other organizational entities. Hence, donations are only allowed by citizens of Georgia made in the form of bank transfers while disclosing full credentials of the donor (e.g. name, ID card number, personal number).
Limitations also apply to legal persons that are directly or indirectly affiliated with a political party or are otherwise controlled by a political party or have declared political goals and objectives. Legal entity is deemed as such, when its expenses directly or indirectly are affiliated to the activities and aims of political parties.
Donations received from a single person should not exceed 60 000 GEL while membership contributions - 1 200 GEL per annum. If several donators receive the income from one source, the sum of the donations should not exceed 500 000 GEL per annum.