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1. Property Rights
1.1 Legal Protection
1.2 Registries
1.3 Formal Owndership
In-Country Assessment Information

1. Property Rights – Strong

 

Goal – Property rights that are legally protected, secure, recorded in a single, accurate, widely accessible electronic registry and that lead to high levels of formal ownership for all citizens
1.1 Legal Protection

Core Question: Does an affective and sufficient legal framework exist to protect property rights for all citizens? Yes – Strong, property rights in Lebanon are organized and protected by the registry, however, sometimes it takes time due to lack of organization in the judiciary system.

Legal Framework

1.1.1 Are Property rights clearly defined and protected by law? Yes – Strong,   Ranking  68th out of  144; Score  4.3 out of 7. Trend    

  

Secure Tenure

1.1.2   Can citizens challenge the legality of government takings? No – Very Weak,              Ranking 126th out of  144; Score  2.7 out of 7.

Source: Global Competitiveness Report  2012-2013                                                                  http://www.weforum.org/issues/global-competitiveness

 

Bundle of Rights

1.1.3    Survey Question

SQ1      What is the bundle of rights associated with both residential and commercial property ownership? Strong – Both residential and commercial land and buildings can be owned with limited government restrictions.
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1.2 Registries

Core Question: Does a reliable property registry exist including cadastral, title and mortgage lien information? Yes – Weak, reliable property registry exists and includes cadastral, title, and mortgage lien information, but the quality and availability of services provided for property registration still needs a lot of improvement.

1.2.1   Cadastral Information

Status – Strong

Survey Questions

SQ2    Is cadastral information accessible to the public? Yes

SQ3   Is zoning/permitted use information included and are regulations respected and   enforced? Yes

SQ4    Are geographic Information Systems (GIS) including Global Positioning Satellite (GPS) used to create and update the registry? No

Source:  Directorate of Land Registration and Cadastre Lebanon  www.dlrc.gov.lb

 

1.2.2   Title Registry

Status – Weak – Ranking 108th out of 185 Trend is constant from previous year

1.2.2.1 What is the number of procedures required to register the transfer of a property from one owner to another? 8

1.2.2.2 What is the duration of time in calendar days that it would take to complete the transfer? 25

1.2.2.3  What is the total cost of the transfer including all fees, taxes, etc. expressed as a percentage of the value of the property? 5.8%

Source: Doing Business 2013 – Registering Property, World Bank

www.doingbusiness.org/data/exploreeconomies/lebanon

 

1.2.3    Mortgage Registry

Status – Very Weak

Survey Questions

SQ5 The mandatory use of notaries or similar officials slows down and adds cost to     the process. Does a notary need to be involved in the registration process? No

SQ6 Is information in the registry available electronically? Yes

SQ7 Title insurance is indemnity insurance against financial loss from defects in title    and from the invalidity or unenforceability of mortgage liens. Is the title    insurance available to lenders? No
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1.3 Formal Ownership

Core Question: Do citizens understand and trust property rights institutions and avoid the informal sector? Yes – Strong.

 

 

Survey Questions

1.3.1   Land

SQ8   What is the status of land ownership? Very Strong – Private agricultural,      residential and commercial uses are permitted with minimal    government control.

 

1.3.2   Home Ownership

SQ9     What is the percentage of formal home ownership?  Strong –  53.1%

 

1.3.3   Informal Sector

          What is the percentage of service firms that report competition with unregistered or informal firms?  Unknown

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In-Country Assessment Information (as of August 2012)

Field Question (FQ) 1    Even if legal provisions exist, what is the actual status of property rights and ownership for small businesses?

Lebanon has a property rights index of 25 out of 100. The degree to which the country’s laws protect private property rights and the degree to which the Lebanese government enforces these laws are very low, mostly because the government fails to enforce these laws properly.

 FQ 2 What is the actual experience of transferring a property?Transferring a Property can be done directly in the registry; however, it is better to have a lawyer or expert in the field because there is a lot of bureaucratic work to be done.FQ 3 What are the actual conditions for groups who lease property including small businesses, minorities and other marginalized groups?UnknownSource: http://www.globalpropertyguide.com/Middle-East/Lebanon