Under Law 17/2014 on the sale and purchase of agricultural land, a pre-emption right in favour of certain categories of potential acquirers must be observed when selling agricultural land outside of the "built-up area". 2020 amendments to the Law expand these categories of beneficiaries of the pre-emption right, which now cover the following: "Rank 1: co-owners, first-degree relatives, spouses, relatives and in-laws up to and including the third degree. Rank 2: owners and tenants of agricultural investments for tree crops, vines, hops, exclusively private irrigation. Rank 3: owners and tenants of agricultural land adjacent to the land subject to sale. [...] Rank 4: young farmers, up to 40 years [...], who intend to carry out or are carrying out agricultural activities. Rank 5: Academy of Agricultural Sciences and Forestry Gheorghe Ionescu-Șișești and research-development units in the fields of agriculture, forestry and food industry that are organised and regulated by Law no. 45/2009. Rank 6: natural persons with domiciles or residences located in the administrative-territorial units where the land is located or in the neighbouring administrative-territorial units. Rank 7: the Romanian state through the State Property Agency." (Source of unofficial translation: CMS Law-Now (2020))
If none of the holders of the right of pre-emption express their interest to buy the land, the agricultural land may be sold to other buyers fulfilling certain cumulative criteria. With regard to legal entities, the prospective buyer must have been incorporated in Romania and carried out agricultural activities in Romania for at least 5 prior to the registration of the sale offer, among other conditions [this 5 years requirement of establishment in Romania applies also to EU/EEA investors].
"Article 2
1. Agricultural land within the built-up area shall not be covered by this Regulation.
(2) The provisions of this law apply to Romanian citizens, respectively to the citizens of a Member State of the European Union, of the states that are party to the Agreement on the European Economic Area (ASEE) or of the Swiss Confederation, as well as to stateless persons domiciled in Romania. Member State of the European Union, in a state that is a party to the ASEE or in the Swiss Confederation, as well as to legal persons having Romanian nationality, respectively of a Member State of the European Union, of the states that are party to the ASEE or the Swiss Confederation.
(on 16-05-2014, Paragraph (2) of art. 2 was amended by point 1 of art. II of LAW no. 68 of 12 May 2014, published in the OFFICIAL GAZETTE no. 352 of 13 May 2014. )
3. A third-country national and a stateless person domiciled in a third State, as well as legal persons having the nationality of a third State, may acquire ownership of agricultural land outside the built-up area under conditions governed by international treaties, on the basis of reciprocity. the conditions of this law.
[...]
Article 4
(1) The alienation by sale of the agricultural lands located outside the built-up area is made in compliance with the substantive and formal conditions provided by Law no. 287/2009 on the Civil Code, republished , with subsequent amendments, and the right of preemption, at the same price and under the same conditions, in the following order:
a) preemptors of rank I: co-owners, first degree relatives, spouses, relatives and relatives up to and including the third degree;
b) Tier II preemptors: owners of agricultural investments for the cultivation of trees, vines, hops, exclusively private irrigation and / or tenants. If on the lands subject to sale there are agricultural investments for tree crops, vines, hops and for irrigation, the owners of these investments have priority in the purchase of these lands;
c) rank III preemptors: the owners and / or lessees of the agricultural lands neighboring with the land subject to sale, in compliance with the provisions provided in par. (2) and (4) ;
d) preemptors of rank IV: young farmers;
e) rank V preemptors: the Academy of Agricultural and Forestry Sciences «Gheorghe Ionescu-Șișești» and the research-development units in the fields of agriculture, forestry and food industry, organized and regulated by Law no. 45/2009 [...], as well as agricultural educational institutions, for the purpose of purchasing agricultural land located outside the built-up area with the destination strictly necessary for agricultural research, located in the vicinity of existing lots in their patrimony;
f) preemptors of rank VI: natural persons with domicile / residence located in the administrative-territorial units where the land is located or in the neighboring administrative-territorial units;
g) preemptors of rank VII: the Romanian state, through the State Domains Agency.
[...]
Article 4^1
1. If the holders of the right of pre-emption do not express their intention to buy the land, the alienation by sale of agricultural lands located outside the built-up area may be made to natural persons in compliance with the following cumulative conditions:
a) to have the domicile / residence located on the national territory for a period of at least 5 years prior to the registration of the sale offer;
b) to carry out agricultural activities on the national territory for a period of at least 5 years, prior to the registration of this offer;
c) to be registered by the Romanian fiscal authorities at least 5 years prior to the registration of the offer for sale of agricultural lands located outside the built-up area.
(2) If the holders of the right of pre-emption do not express their intention to buy the land, the alienation by sale of the agricultural lands located outside the built-up area may be made to the legal persons observing the following cumulative conditions:
a) to have the registered office and / or the secondary office located on the national territory for a period of at least 5 years prior to the registration of the sale offer;
b) to carry out agricultural activities on the national territory for a period of at least 5 years prior to the registration of the offer for sale of agricultural lands located outside the built-up area;
c) to present the documents showing that, from the total income of the last 5 fiscal years, at least 75% represents income from agricultural activities, as provided by Law no. 227/2015 on the Fiscal Code , with subsequent amendments and completions, classified according to the CANE code by order of the Minister of Agriculture and Rural Development;
d) the associate / shareholder who holds the control of the company to have the domicile located on the national territory for a period of at least 5 years prior to the registration of the offer for sale of the agricultural lands located outside the built-up area;
e) if in the structure of legal entities, the associates / shareholders who control the company are other legal entities, the associates / shareholders who control the company to prove the domicile located on the national territory for a period of at least 5 years prior to the registration of the offer sale of agricultural land located outside the city.[...]" (Law on the sale and purchase of agricultural land (No. 17 of 7 March 2014), last amended by Law No. 175 of 14 August 2020, Articles 2, 4 and 4 ^ 1 [google translation])
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"Article 2
(1) Agricultural lands located in urban areas do not fall under the scope of this regulation.
(2) The provisions of this law apply to Romanian citizens, respectively citizens of a member state of the European Union, of the states that are party to the Agreement on the European Economic Area (EEA) or of the Swiss Confederation, as well as stateless persons residing in Romania, in a member state of the European Union, in a state that is a party to the ASEE or the Swiss Confederation, as well as to legal entities having Romanian nationality, respectively of a member state of the European Union, of the states that are a party to the ASEE or the Swiss Confederation.
[...]
Article 4
(1) The alienation, by sale, of agricultural land located outside the village is done in compliance with the substantive and formal conditions provided for by Law no. 287/2009 regarding the Civil Code, republished, with subsequent amendments, and the right of preemption of co-owners, lessees, neighboring owners, as well as of the Romanian state, through the State Domains Agency, in this order, at the same price and under equal conditions.
(2) By way of exception to the provisions of para. (1), the alienation, by sale, of the agricultural lands located outside the village on which classified archaeological sites are located is made according to the provisions of Law no. 422/2001 on the protection of historical monuments, republished, with subsequent amendments.
(3) The request and use of the land certificate in transfer contracts regarding real estate and other real rights fully prove the good faith of both the parties to the contract, as well as for the instrument professional, regarding the seller's ownership of the property the property subject to sale according to the description in the land register." (Law on the sale and purchase of agricultural land (No. 17 of 7 March 2014), last amended by Law No. 129 of 31 May 2017, Articles 2 and 4 [google translation])
Law on the sale and purchase of agricultural land (No. 17 of 7 March 2014), last amended by Law No. 175 of 14 August 2020
Law on the sale and purchase of agricultural land (No. 17 of 7 March 2014), last amended by Law No. 129 of 31 May 2017
[<a href="http://legislatie.just.ro/Public/DetaliiDocument/156290">Law</a>],[<a href="https://legislatie.just.ro/Public/DetaliiDocument/189708">Law</a>],[<a href="https://www.cms-lawnow.com/ealerts/2020/08/romania-introduces-restrictions-on-sale-and-purchase-of-agricultural-land">Other</a>]