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The Executive proposes to make legislative amendment, setting notarization mandatory demand for the real estate donation contracts without exception for the real estate donation contracts.

The draft law on Amending the Civil Code of the Republic of Armenia was debated in the first reading at the NA extraordinary sitting.

According to the RA Deputy Minister of Justice Ara Mkrtchyan, at the same it is also designed the to remove the jurisdiction of exemplary signing established by the decision of the Government the transactions mentioned by the Cadastre Committee. After passing the draft it will also be proposed to recognize invalid the exemplary form of the real estate donation contract established by the Government decision.

According to the Representative of the Ministry, the adoption of the draft will promote more effective protection of rights of the citizens and the state on the real estate donation contracts, taking into consideration that the notaries have the risk of signing possible fake transactions of restraining wider privileges. In separate cases the efficiency of preventing the money laundry cases will also increase.

The Vice President of the National Assembly Hakob Arshakyan inquired the rapporteur if risks will not increase because of reserving the mentioned tool to the notaries that they will illegally carry out them.

In response to the Vice President’s question, the representative of the Ministry noted that in every situation there may be subjectivity of a person or an official. “Putting under doubt aby contract by the notary, the process will not end. It will be not a final decision, but an impetus which will be checked with several filters,” the rapporteur mentioned, adding that the draft will not cause any concern to and honest and decent citizen.

Responding to the rapporteur’s answer, Hakob Arshakyan inquired if the process will be balanced.

“Any notary should know that he/she will be held accountable for not sending the problematic transaction to the court, the creation of bureaucratic red tape for problematic transaction also will be punished,” Hakob Arshakyan noticed.

Ara Mkrtchyan informed that any additional control function is not provided to the notaries by the draft.

“It is set that the notary should study the client and the goal of the transaction by law, and the Cadastre Committee had no right and obligation as such. That is the reason that we want to turn the donation process to the field of notaries,” the Deputy Minister said and informed that the Ministry of Justice carries out control towards the notaries’ activity, which will give an opportunity to organize the processes in a right way.

The deputy of the RA NA Civil Contract Faction Sergey Bagratyan expressed confusion, noting that the draft will not dissipate the abovementioned risks.

In response to the MP’s consideration, Ara Mkrtchyan noted: “The notary has a direct obligation to study the client, as well as the transaction by the law on Notary and the law on Financing Money Laundry and Terrorism. He/she is obliged to clarify the real goal of the given transaction, if it corresponds to the chosen form – the donation: The risk management will much more effective in this way,” Ara Mkrtchyan said.