The Encroachment Agreement is a crucial legal document used in Malta when one property physically intrudes upon or overlaps with neighboring property. This agreement becomes necessary when structural elements, buildings, or other improvements extend beyond property boundaries, whether discovered during surveys, property transfers, or development activities. The document, governed by Maltese property law and the Civil Code, provides a formal framework for legitimizing the encroachment while protecting both parties' interests. It typically includes detailed technical specifications, compensation arrangements, maintenance obligations, and future considerations. The agreement is particularly important in Malta's dense urban areas where property boundaries may be complex and historical building patterns may have led to encroachment situations.
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1. Parties: Identification of the encroaching party and the affected property owner, including full legal names, addresses, and ID numbers as required under Maltese law
2. Background: Context of the encroachment situation, including when it was discovered and any relevant historical information about the properties
3. Definitions: Key terms used in the agreement, including 'Encroachment', 'Property', 'Encroaching Structure', and other relevant terms
4. Nature and Extent of Encroachment: Detailed description of the encroachment, including its dimensions, location, and characteristics
5. Grant of Rights: The formal grant of rights to maintain the encroachment, including any conditions or limitations
6. Compensation: Details of any one-time or ongoing compensation to be paid by the encroaching party
7. Maintenance and Repairs: Responsibilities for maintaining the encroaching structure and affected areas
8. Insurance and Liability: Requirements for insurance coverage and allocation of liability for any damages
9. Duration and Termination: Term of the agreement and circumstances under which it may be terminated
10. Binding Effect: Clause establishing the agreement's binding effect on successors and assigns
11. Governing Law: Confirmation that the agreement is governed by Maltese law
1. Planning Permissions: Required when the encroachment involves structures that need planning authority approval
2. Future Development Rights: Include when parties need to address potential future construction or development affecting the encroachment
3. Dispute Resolution: Optional section specifying mediation or arbitration procedures for resolving disputes
4. Right of First Refusal: Include when parties wish to establish purchase rights for either property
5. Temporary Access Rights: Required when maintenance of the encroachment requires access to the affected property
1. Schedule A - Property Descriptions: Legal descriptions and registration details of both properties involved
2. Schedule B - Encroachment Plans: Surveyor's plans or drawings showing the exact location and dimensions of the encroachment
3. Schedule C - Photographs: Current photographs documenting the encroachment
4. Schedule D - Planning Permits: Copies of relevant planning permits or applications
5. Schedule E - Payment Schedule: Details of compensation payments if applicable
6. Appendix 1 - Surveyor's Report: Technical report from a licensed surveyor confirming the encroachment details
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