We have received a query from a reader who has advised us that he has agreed to sell his property for a price that includes a value for the furniture and fittings. The actual problem that the reader has is that the purchaser wants to declare in the title deed the full value of the property and furniture whilst he, as the vendor, does not wish to do this as he alleges that the furniture and fittings only constitute part of the price and as such there is no need to mention them in the property price.

Should the value of the furniture and fittings be included in the “price” of the property? If they are mentioned what implications should be taken into account?

A title deed for a property can also reflect any contractual agreement between the parties as long as this is legal, including obligations and prohibitions and any others. Therefore in principle we can see no impediment for the situation described above not to be mentioned. However, another matter is what effects in the Land Registry would the mention of the furniture have and the fiscal implications of this.

With regard to whether a title would be registered for the furniture the answer is no as the Land Registry Office serves the purpose of registered all those acts and contracts with regard to the ownership and other rights that could be constituted against real estate. The said registration of acts and rights are made in the Land Registry Office of the area in which the actual property is situated.

For legal effects, it is presumed that all those rights that are registered in the Land Registry exist and belong to the owner in the manner determined by the content of the respective registration. At the same time, it is presumed that the persons who have the ownership registered in their favour also have the possession of the property or rights that are registered in their name.

Therefore, we could say that the Land Registry Office is a public office whose content is presumed to be known to all third parties and which has a fundamental importance as it is the registry where are all those rights of ownership and other rights that can be registered against a property are documented as long as these have been formalized in a public document or by virtue of any other document that is susceptible to be registered in the Land Registry.

At the same time one would have to take into account the fiscal implications that the mention of the furniture could have and whether the sale of the furniture would generate a patrimonial gain, and subsequently, whether the vendor would have to accredit to the fiscal authorities in the case of an tax inspection the price for which they were acquired so as to demonstrate the effective profit made or not. From the point of view of the purchaser, the acquisition of movable assets is also subject to taxation (Transmission Tax) although the rate would be different from the rate applicable to the purchase of property.

However, despite the fact that the sale by one party and the purchase by the other of the furniture gives rise to fiscal liabilities for each party, the actual registered title in the Land Registry would not make a mention of the furniture although any obligation between the parties with regard to this would be written into the deed.

Law 2/2007 22nd March with regard to Effective Equality between Men and Women.

Spain is presently introducing a large volume of new laws are that will suppose in many cases enormous changes in the social and financial life of the country. Recently the aforementioned law has been approved with regard to equality between men and women. The Law introduces many changes although possibly the most innovative change refers to the possibility of the father having a right to time off work for thirteen days which can be extended by two days for each son or daughter in the case of a multiple birth. This is an exclusive and individual right of the father which is acknowledged in the case of a biological fatherhood as well as in those cases of adoptive fatherhood. At the same time, improvements are introduced with regard to the mother’s rights which are increased by two weeks in the case of the birth of an incapacitated child although this right can also be taken advantage of by the father. The same improvements are also introduced for self employed workers.

As well as the above, the possibility of fractioning the time taken off for taking care of the children as well as for taking care of other family members is contemplated.