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Legal status of tenants of reprivatized real properties in Warsaw

The article presents key issues regarding the status of the tenants of premises in real properties
subject to the so-called court reprivatization based on the provisions of the decree of October
26, 1945 on ownership and use of land in the capital city of Warsaw. Municipal tenants 
are the group most affected by reprivatization. The jurisprudence of administrative courts
most commonly presents the thesis that a former owner or his/her legal successors regaining
the ownership of a building become parties to rental agreements which were
concluded in the post-war period by the commune of the Capital City of Warsaw.
This thesis is presented on the basis of Article 678 § 1 of the Civil Code, according to which
in the event of the sale of a subject of rental, the buyer enters into the rights and obligations
of the lessor in the place of the seller. Meanwhile, in the case of the real properties subject
to reprivatization under the administrative procedure, a former owner or his/her successor
in the event of failure to recognize the application for perpetual usufruct of a real property
or in the event of the annulment of a decision to refuse to grant it has never lost ownership
of the building. This denotes that municipal tenants previously were and currently
are a party to agreements with the city, which, however, in practice, due to the restoration
of power to the former right holders or their successors, cannot meet the provision
of providing premises to a tenant. As a consequence, a given agreement neither
passes to a person regaining the ownership of a building nor expires with the reprivatization
of a real property. However, in practice, it cannot be effectively carried out, since
the municipality of Warsaw, in the event of the return of a building to a former owner or his/
her successors, no longer has the property, and thus cannot legally effectively make it available
to tenants. This, in turn, may result in the establishment of the liability of the city for damages towards
the tenants. Due to the significant impact on the legal status of tenants, contrary to the previous
jurisprudence of administrative courts, they should be considered as parties to reprivatization
proceedings.

