| Abstract [eng] |
Each concerned person willing to enter into a mortgage/ pledge agreement, under which no rights of the ownership (to control, use and at times to dispose) shall be restricted, will inevitably come across with a notary – a person duly authorised by the state to ensure the legitimate civil circulation. A notary, while following the statutory regulations and case law on mortgage and pledge, is obliged to: ascertain the collateral is definitely owned by/ trusted to the concerned person; ascertain that the mortgage/ pledge agreement can be concluded at all; ensure the mortgage/ pledge bond is filled properly. As follows, after receiving the necessary documentation, a notary confirms the agreement according to the requirements of the Notary Act of the Republic of Lithuania. Since the registration is a stringent condition for mortgage and pledge to take effect, the notarial confirmation of the agreement is more likely regarded as an initial step. Whereas the hypothecary judge is the one to scrutinize the works already performed by the notary. As one might expect, the above mentioned system of double-checking has more disadvantages than advantages. Which is of course why the year 2008 brings essential changes, resulting in the refusal of functions performed by hypothecary judges and, naturally, the amplification of the role of a notary in the process of perfection and registration of mortgage and pledge agreements. |
