Can I rent to third party if I have usufruct?

[Lobo4819]

Surprise! The lady and I split up, but fortunately I have a Usufruct registered on the Chanote. I know I have the right to occupy the property, but the big question is can I rent it out to a third party - without losing any of my rights under the Usufruct? I may like to move closer to town, and being able to rent it out would make it cost-effective. Thanks for any constructive comments.

[ricklev]

The land office will almost certainly not allow you to register a lease on the chanote as a usufruct holder, therefore any lease you offer over three years is not binding and if you should die during the period of the lease the property reverts to the owner and the owner is not bound by the terms of your lease, as it was a personal agreement between you and the person you leased the property to.

Therefore the answer is a qualified yes, if you can find someone willing to risk it, you can lease per the above limitations.

A friend teaches property law at Thammasat and put this very question on his final exam. However, it gets more complicated if for some reason the land office agrees to register the lease. It would be worth the small amount a Thai lawyer would charge you to have them go and ask if they will allow it. There is a Supreme Court case where the court enforced a 30 year registered lease against the property owner after the death of the usufruct holder.

Edited February 21, 2014 by ricklev

[fatdrunkandstupid]

I imagine we are not talking about a 30 year registerable lease here. Just a short term tenancy agreement. Yes you have the right to profit from the property as the holder of the usufruct. So just find a tenant, put a lease in place with them and start collecting rent.

Why does everyone have to make things so bloody complicated here on TV?

Edited February 21, 2014 by fatdrunkandstupid

[Lobo4819]

Yes, for clarification, I was talking about one-year leases, not the long-term variety.

[JesseFrank]

Usufruct is a right of enjoyment, enabling a holder to derive profit or benefit from property that either is titled to another person or which is held in common ownership, as long as the property is not damaged or destroyed.

[ricklev]

I imagine we are not talking about a 30 year registerable lease here. Just a short term tenancy agreement. Yes you have the right to profit from the property as the holder of the usufruct. So just find a tenant, put a lease in place with them and start collecting rent.

Why does everyone have to make things so bloody complicated here on TV?

My bad. I won't make the mistake of answering these kinds of questions again.

[Lobo4819]

The land office will almost certainly not allow you to register a lease on the chanote as a usufruct holder, therefore any lease you offer over three years is not binding and if you should die during the period of the lease the property reverts to the owner and the owner is not bound by the terms of your lease, as it was a personal agreement between you and the person you leased the property to.

Therefore the answer is a qualified yes, if you can find someone willing to risk it, you can lease per the above limitations.

A friend teaches property law at Thammasat and put this very question on his final exam. However, it gets more complicated if for some reason the land office agrees to register the lease. It would be worth the small amount a Thai lawyer would charge you to have them go and ask if they will allow it. There is a Supreme Court case where the court enforced a 30 year registered lease against the property owner after the death of the usufruct holder.

Interesting. Thanks.

[HooHaa]

I imagine we are not talking about a 30 year registerable lease here. Just a short term tenancy agreement. Yes you have the right to profit from the property as the holder of the usufruct. So just find a tenant, put a lease in place with them and start collecting rent.

Why does everyone have to make things so bloody complicated here on TV?

My bad. I won't make the mistake of answering these kinds of questions again.

please continue, your answer was informed and very relevant.

As for buddy here, let him "imagine" what he wishes. your response covered both scenarios and described the potential downside for a tenant.

[Ebenezer]

I imagine we are not talking about a 30 year registerable lease here. Just a short term tenancy agreement. Yes you have the right to profit from the property as the holder of the usufruct. So just find a tenant, put a lease in place with them and start collecting rent.

Why does everyone have to make things so bloody complicated here on TV?

My bad. I won't make the mistake of answering these kinds of questions again.

Your reaction is very understandable but there are many people here who really appreciate a well-informed and informative answer, so please do not be put off by those who do not appreciate detail. Thank you for your insight.

[moojar]

I imagine we are not talking about a 30 year registerable lease here. Just a short term tenancy agreement. Yes you have the right to profit from the property as the holder of the usufruct. So just find a tenant, put a lease in place with them and start collecting rent.

Why does everyone have to make things so bloody complicated here on TV?

My bad. I won't make the mistake of answering these kinds of questions again.

Your reaction is very understandable but there are many people here who really appreciate a well-informed and informative answer, so please do not be put off by those who do not appreciate detail. Thank you for your insight.

Hear hear.

[cheeryble]

I imagine we are not talking about a 30 year registerable lease here. Just a short term tenancy agreement. Yes you have the right to profit from the property as the holder of the usufruct. So just find a tenant, put a lease in place with them and start collecting rent.

Why does everyone have to make things so bloody complicated here on TV?

My bad. I won't make the mistake of answering these kinds of questions again.

Ignore the aptly named poster.

Please do answer again I thought your answer valuable and informative, top hole actually.

Sent from my iPad using ThaiVisa app

Edited February 27, 2014 by cheeryble