ACT No. V of 2010 AN ACT to amend the Code of Organization and Civil Procedure, Civil Code and various laws relating to the lease of immovable property.

I assent.

G EORGE A BELA

(L.S.)

President

15th June, 2010

ACT No. V of 2010

AN ACT to amend the Code of Organization and Civil

Procedure, Civil Code and various laws relating to the lease of

immovable property.

BE IT ENACTED by the President, by and with the advice and

consent of the House of Representatives, in this present Parliament

assembled, and by the authority of the same, as follows

(1) The short title of this Act is the Various Laws (Civil Short title and

commencement.

Matters) (Amendment) Act, 2010.

(2) The provisions of this Act shall come into force on such

date as the Minister responsible for justice may, by notice in the

Gazette, establish, and different dates may be so established for

different provisions and for different purposes of this Act.

PART I

This Part of this Act amends the Code of Organization and Amendment of

Civil Procedure and it shall be read and construed as one with the the

Organization

Code of Organization and Civil Procedure, hereinafter in this Part and

Procedure.

referred as "the Code".

Immediately after the proviso to article 285(1) there shall Amendment of

article 285 of

be added the following new proviso

the Code.

"Provided further that, in respect of any

shares or securities registered at a central

securities depository, as defined in terms of

article 2 of the Financial Markets Act, a

warrant of seizure shall also be served on

such central securities depository and shall

take effect only if no transfer order or netting

affecting the said shares or securities shall

have been entered in a securities settlement

system, authorized in terms of article 34 of

the Central Bank of Malta Act, prior to the

service of the warrant to the depository.".

PART II

This Part of this Act amends the Civil Code and it shall be

read and construed as one with the Civil Code, hereinafter in this Part

referred to as "the Code".

Article 1359 of the Code shall be renumbered as subarticle

(1) thereof, and immediately after subarticle (1) as renumbered there

shall be added the following new subarticle

"(2) If instead of earnest, in promise of sale a part of the

to the person who paid it as soon as the effects of the promise

cease; provided that in reciprocal promises of sale and purchase

of a thing, the parties may agree that the said part of the price

shall be forfeited in favour of the party that promises to sell if

the party that promises to buy fails to carry out the purchase

without a valid reason. The said forfeiture shall take place

without any requirement to make a demand by sworn

application if, before the lapse of the time agreed between the

parties for the sale to be carried out, the party that promised to

sell calls upon the party that promised to buy by means of a

judicial intimation to carry out the purchase and in the same

judicial act informs the said party of the consequence of

forfeiture of part of the price in the event that it fails to

purchase. When the party that promises to sell keeps the part of

the price as provided above it shall not be entitled to claim any

further damages resulting from the promise to buy.".

In article 1531B of the Code for the words ", 1531L of this Amendment of

Code shall apply" there shall be substituted the words "of this Code article

the Code.

shall apply".

Article 1531C of the Code shall be amended as follows

Amendment of

article 1531C of

the Code.

(a)

in subarticle (1) thereof, for the words "the rate of

the rent from 1st January, 2010" there shall be substituted the

words "the rate of the rent as from the first payment of rent due

after the 1st January, 2010"; and

(b) in subarticle (2) thereof for the words "on the 1st

January 2013" there shall be substituted the words "on the date

of the first payment of rent due after the 1st January, 2013".

Article 1531D of the Code shall be amended as follows

Amendment of

article 1531D of

the Code.

(1)

in subarticle (1) thereof

(a)

for the words "shall on the 1st January,

2010 be increased" there shall be substituted the words

"shall as from the date of the first payment of rent due after

the 1st January, 2010 be increased"; and

(b)

for the words "on the 1st June of each year"

there shall be substituted the words "as from the date of the

first payment of rent due after the 1st January of each

year".

(2)

in subarticle (2) thereof

(a)

for the words "The rent as at 1st January,

2014" there shall be substituted the words "The rent as

from the first payment of rent due after the 1st January,

2014"; and

(b)

the words "1st June, 2013" shall be

substituted by the words "the first payment of rent due

after the 1st January, 2014".

In article 1531E of the Code the words "of the lease which Amendment of

would have taken place prior to 1st January, 2010" shall be article

the Code.

substituted by the words "of a tenement leased prior to 1st January,

In article 1531M of the Code immediately after the words Amendment of

"relating to clubs" there shall be inserted the words "and subject to the article

of the Code.

provisions of article 1531H with regard to garages and summer

residences".

In the English text only of subarticle (2) of article 1540 of

the Code for the words "excluding building" there shall be substituted

the words "excluding, in the case of buildings".

In the English text of article 1555A of the Code, in the

proviso to subarticle (2) thereof, the words "or the transfer is

accepted" shall be substituted by the words "or the transfer is not

accepted".

In the Maltese text of article 1607 of the Code, the words

"l-artikolu 1394(a)" shall be substituted by the words "l-artikolu

1594(a)".

PART III

This Part of this Act amends the Housing (Decontrol)

Ordinance and it shall be read and construed as one with the Housing

(Decontrol) Ordinance, hereinafter in this Part referred to as "the

Ordinance".

Article 11 of the Ordinance shall be repealed: provided that

the said repeal shall not affect anything done or any proceedings

pending in respect of anything done prior to the said repeal.

Immediately after sub-paragraph (i) of subarticle (2) of

article 12 of the Ordinance there shall be added the following new

sub-paragraph

"(ia) subject to the conditions laid down in subarticle

5(3)(b); and".

In subarticle (2) of article 12A of the Ordinance the words

"according to article 12(2)(i) and (ii)" shall be substituted with the

words "according to article 12(2) (i), (ia) and (ii)".

PART IV

This Part of this Act amends the Civil Code (Amendment)

Act, 2009 and it shall be read and construed as one with the said Act,

hereinafter in this Part referred to as "the amending Act".

Article 39 of the amending Act shall be amended as

follows

(a)

immediately after subarticle (4) thereof shall be

added the following new subarticle

"(4A) As from the first payment of

rent due after the 1st January, 2010 the

increase in rent on the ground of

inflation of dwelling houses which are

subject to a lease created by article 5,

12 or 12A of the Housing (Decontrol)

Ordinance shall, notwithstanding the

provisions of articles 5(3)(c) and

12(2)(i) of the said Ordinance be

regulated exclusively by article 1531C

of the Civil Code."; and

(b) in subarticle (7) thereof the words "the renewal of a

lease after the 1st June, 1995 or after that date" shall be

substituted with the words "the renewal of a lease after the 1 st

June, 1995" and the words "shall not be considered as a lease

agreed on the 1st January, 2010 or after that date." shall be

substituted with the words "shall not be considered as a lease

agreed on the 1st January, 2010 or after that date:" And

immediately thereafter shall be added the following new

proviso

"Provided that for the avoidance of

doubt, in this subarticle and in article 16 of

the Housing (Decontrol) Ordinance, as the

case may be, the words "the renewal of a

lease after the 1st June, 1995" shall be

construed as referring only to a lease

commenced before the 1st June, 1995, and

renewed after the said date, and the words

“the renewal of a lease on the 1st January,

2010 or after that date" shall be construed as

referring only to a lease commenced before

the 1st January, 2010 and renewed after that

date.".

PART V

This Part of this Act amends the Reletting of Urban Amendment of

Property (Regulation) Ordinance and shall be read and construed as the

Urban Property

one with the Reletting of Urban Property (Regulation) Ordinance, (Regulation)

Ordinance.

hereinafter in this Part referred to as "the Ordinance".

In the definition of the expression "the Board" in article 2 Amendment of

of the Ordinance the words " "the Board" means" shall be substituted article

Ordinance.

by the words " "the Board" and "the Rent Board mean" ".

Passed by the House of Representatives at Sitting No. 235 of the

9th June, 2010.

M ICHAEL F RENDO

Speaker

P AULINE A BELA

Clerk to the House of Representatives