Another win for DZP in a dispute with Serbia

DZP has again achieved success in a high-profile case involving the reprivatisation of real estate at Al. Ujazdowskie 23 in Warsaw. In a judgment of 7 March 2013 the Supreme Administrative Court dismissed the Republic of Serbia's appeal against a judgment passed by the Voivodship Administrative Court in Warsaw dismissing Serbia's appeal against a decision issued by the Ministry of Internal Affairs and Administration (now the Ministry of Internal Affairs) refusing to issue a permit for Serbia to acquire this real estate through acquisitive prescription.

This judgment saw the successful end for the Gawroński family, represented by Lech Żyżylewski, Partner, and Piotr Gołaszewski, Associate, of another stage of the dispute with the Republic of Serbia over the former Serbian embassy in Warsaw.

The Supreme Administrative Court judgment (II OSK 201/12) is precedential on two levels. First, it confirms that the acquisition by a foreigner of real estate in Poland through acquisitive prescription requires an MIA permit (to date administrative courts have had no opportunity to comment on the issue). Second, the judgment shows that  for a foreign state to acquire real estate in Poland (irrespective of the purpose of the acquisition and its basis, i.e. by way of legal transactions or other events) the foreign state (treated as a foreign legal entity) must hold an MIA permit issued on the general principles provided for in the Act on the Acquisition of Real Estate by Foreigners of 1920, subject, of course, to express provisions of international treaties.