The draft amending act to the Construction Law includes the solution the purpose of which is not only to accelerate the investment process but also to increase the certainty of transactions and ensure the durability of administrative decisions.

The authors propose setting the time limit of five years for declaring a building permit decision and the occupancy permit decision invalid. After the lapse of the above time limit both these decisions will be impossible to challenge. The time limit for declaring a building permit invalid shall start on the date of delivery or announcement of the declaring a building permit decisions and in the case of an occupancy permit decision on the date when such decision becomes final.

The authors provide for a new remedy against occupying a building without the required permit. Under the current Construction Law an authority may impose only one penalty. Under the updated Construction Law the authority will be authorised to impose on an investor consecutive penalties for a continuing default in order to force the investor to obtain the permit.

The draft amending act to the Construction Law provides for changes in the procedure of legalisation of illegally constructed buildings and structures which will become more transparent and orderly and offers solutions aimed at resolving the problem of the illegal occupation of the buildings and structures which were completed at least 20 years ago.

The draft amending act proposes a simplified legalisation procedure. It is based on the assumption that the owner shall notify the authority that the construction was completed and if the supervision authority does not object the owner becomes authorised to legally occupy the building or structure. The owner must attach to the notice the declaration of holding the title to use the real property for construction purposes, the declaration on the construction works completion date, as-built drawings and the technical expert opinion. The simplified legalisation procedure does not require that the owner pays the legalisation fee and the authority must only verify if the condition of the lapse of at least 20 years of the completion of the construction works is satisfied and if any proceedings regarding the construction of such a building or structure were instituted during that period of time.m