Donation Law in the Focus of "ATOVMYAN" Law and Consulting Company

In the sixteenth article, "Donation Law in the Focus of 'ATOVMYAN' Law and Consulting Company," of the STEMNEWS.am's special project  "ATOVMYAN Law and Consulting  Company: At the Forefront of Legal Innovation", we present the firm's activities in the field of donation law as the basis for the legal regulation of property transfer and charity.

1. Fundamentals and Form of the Donation Contract

"ATOVMYAN" Law and Consulting also specializes in the field of donation law and provides comprehensive legal services in drafting donation contracts, the gratuitous transfer of property, and the legal support of charitable activities. Our specialists are fluent in all the nuances of donation law within the Civil Code of the Republic of Armenia and ensure the effective protection of clients' interests.

During the 6-year operation of the firm, Marat Atovmyan, together with his colleagues, has created an effective system for the legal support of donation transactions, which combines a deep knowledge of the civil legislation of the Republic of Armenia with the study of practical experience. We help clients properly organize donation transactions, ensuring their legal security and the protection of the parties' interests.

Drafting the donation contract:

The firm provides legal assistance in drafting donation contracts. We explain to clients that under a donation contract, the donor gratuitously transfers or undertakes to transfer property or a property right to the ownership of the other party, the donee, or releases them from a property obligation. Our attorneys prepare donation contracts, ensuring their compliance with legislative requirements and the accurate expression of the parties' will. The firm also provides consulting on the legal consequences of a promise of donation, explaining that a promise of donation made in proper form and containing a specific subject matter is binding upon the promisor.

Compliance with the form of the donation contract:

"ATOVMYAN" Law and Consulting ensures compliance with the form of the donation contract prescribed by law. We explain to clients that a donation contract is concluded in writing, and a donation contract for real estate is subject to notarization. Our specialists ensure the proper execution of the contract, accompany the notarization process, and guarantee the legal security of the contract. The firm also assists clients in properly stipulating all the essential terms of the donation contract, preventing potential disputes, legal issues, and legal risks.

State registration of the transfer of ownership right:

The firm provides legal services regarding the state registration of the transfer of ownership right under a real estate donation contract. We explain to clients that the transfer of ownership right under a real estate donation contract is subject to state registration. Our specialists prepare all necessary documents for state registration, accompany the registration process with the cadastre authorities, and ensure the correct and timely registration of the transfer of ownership right. The firm ensures complete legal support for the donation transaction, from drafting the contract to the final registration of the ownership right.

Distinguishing a donation from other transactions:

"ATOVMYAN" Law and Consulting provides legal consulting on distinguishing a donation from other transactions, which is essential for the correct qualification of transactions and the determination of legal consequences. We explain to clients that the essential feature of a donation is the gratuitous transfer of property or a right, and in the presence of a counter-transfer of property or right or a counter-obligation, the contract is not considered a donation. Our attorneys analyze the nature of the transaction and determine whether it is truly a donation or another transaction with a reciprocal nature.

The firm's specialists pay special attention to cases directly specified by law where certain payments or transfers are not considered donations. For example, within the framework of a repo agreement, when the buyer transfers an amount equivalent to the income—interest, redemptions, and similar payments—paid by the issuer for the securities during the term of the agreement to the seller, these payments are directly not considered donations by law. Our attorneys help clients correctly qualify such transactions, avoiding erroneous tax and legal interpretations and ensuring the proper legal execution of the transactions.

2. Prohibitions and Restrictions on Donation

"ATOVMYAN" Law and Consulting provides comprehensive legal services in the area of prohibitions and restrictions on donation, helping clients avoid invalid transactions and ensuring the legality of the donation.

Legal analysis of prohibitions on donation:

The firm provides legal consulting regarding prohibitions on donation. We explain to clients that the law prohibits donations made on behalf of minors and citizens recognized as incapacitated by their legal representatives, donations to employees of state and local self-government bodies in connection with their official position or the performance of their official duties, as well as donations in relations between commercial organizations. Our attorneys analyze specific situations and provide a legal opinion on the permissibility of the donation, preventing the conclusion of invalid transactions and their consequences.

Regulation of restrictions on donation:

"ATOVMYAN" Law and Consulting helps clients comply with restrictions on donation. We explain that the donation of property under joint ownership is permitted with the consent of all participants in the joint ownership. Our specialists assist clients in properly formulating the donation of a right of claim, donation through the transfer of a debt, and donation through the fulfillment of obligations towards third parties, ensuring compliance with the rules prescribed by legislation. The firm also provides consulting on the proper drafting of powers of attorney for donation, explaining that a power of attorney without specifying the donee and the subject of the donation is void.

Legal support for refusing to accept a gift:

The firm provides legal services regarding the refusal to accept a gift. We explain to clients that the donee has the right to refuse the gift at any time before it is handed over to them, and in that case, the donation contract is considered terminated. Our attorneys ensure that the refusal to accept the gift is executed in the form prescribed for the contract, and in the case of a registered contract, is subject to state registration. The firm also represents the parties' interests in seeking compensation for actual damages caused by the refusal to accept the gift.

3. Execution and Revocation of Donation

"ATOVMYAN" Law and Consulting specializes in resolving legal issues related to the execution and revocation of a donation contract, ensuring the protection of the interests of both the donor and the donee.

Refusal to execute the donation contract:

The firm provides legal assistance regarding the refusal to execute a donation contract. We explain to clients that the donor has the right to refuse to execute a contract containing a promise to transfer property in the future if, after concluding the contract, the donor's property, family situation, or health has deteriorated to such an extent that the execution of the contract would cause a substantial decrease in their standard of living. Our attorneys analyze these circumstances, prepare the corresponding legal documents, and ensure the protection of the donor's interests. The firm also provides consulting on the legal consequences of refusing execution.

Grounds for the revocation of a donation:

"ATOVMYAN" Law and Consulting represents clients' interests in cases of donation revocation. We explain that the donor has the right to revoke the donation if the donee has made an attempt on the life of the donor, any of their family members, or close relatives, or has intentionally caused bodily harm to the donor. Our attorneys also assist the donor's heirs, who have the right to demand the revocation of the donation in court if the donee intentionally deprived the donor of life. The firm ensures complete legal support for the donation revocation process and the settlement of issues concerning the return of the donated property.

Consequences of defects in the donated property:

The firm provides legal services regarding compensation for harm caused by defects in the donated property. We explain to clients that harm caused to the life, health, or property of the donee as a result of defects in the donated property is compensated by the donor if it is proven that these defects arose before the property was handed over, are not classified as obvious, and the donor, knowing about them, did not warn the donee. Our attorneys represent clients' interests in such disputes and ensure fair resolutions. The firm also provides consulting on succession issues when promising a donation.

4. Charitable Donation and Digitalization

"ATOVMYAN" Law and Consulting provides legal services in the field of charitable donation and actively implements digital technologies to secure donation transactions, improving the accessibility and efficiency of its services.

Legal support for charitable donation:

The firm provides legal consulting on matters of charitable donation. We explain to clients that a charitable donation is recognized as the donation of property or a right for public benefit purposes, and charitable donations can be made to citizens, medical, social, charitable, scientific, and educational institutions, foundations, museums, non-governmental and religious organizations, as well as to the state and communities. Our attorneys assist clients in drafting charitable donation contracts, ensuring the proper stipulation of conditions for the use of the property for a specific purpose. The firm also provides consulting on accounting for the use of the charitably donated property and ensuring its targeted use.

Digital solutions in the field of donation:

The firm's specialists have developed an electronic forms system for donation law, which includes online consulting on donation issues, the preparation of electronic drafts of donation contracts, accompaniment of notarization and state registration processes, and the monitoring of donation transactions. We use artificial intelligence technologies to analyze the legal risks of donation transactions, helping clients avoid invalid transactions and ensuring the legality of the donation.

Successful cases and practice:

The firm has numerous successful cases in the field of donation law. Our attorneys have successfully organized and accompanied many donation transactions, ensuring their legal security and the protection of the parties' interests. We have successfully represented clients' interests in cases of donation revocation, disputes related to defects in donated property, and issues ensuring the targeted use of charitable donations. The firm has successfully provided legal support for charitable donations for various public benefit purposes.

International cooperation and professional development:

"ATOVMYAN" Law and Consulting cooperates with international legal organizations in the field of donation and charity law, ensuring the application of international standards for the legal support of donations. The firm's specialists are members of professional associations and regularly participate in international conferences and seminars, updating their knowledge with the latest developments.

Our firm's success is driven by a deep knowledge of donation law within the Civil Code of the Republic of Armenia, the study of practical experience, and technological innovations. The firm's specialists continuously improve their skills and adopt new methods and approaches to ensure maximum efficiency for our clients.

As future development directions, the firm is considering the expansion of the electronic system for donation law, the broader implementation of artificial intelligence technologies for analyzing donation transactions, and the development of legal support services for charitable donations to ensure fast and efficient services for clients.

In the next article of the '"ATOVMYAN" Law and Consulting: At the Forefront of Legal Innovation' special project, we will present the firm's activities in the field of prenuptial agreements as the legal basis for regulating the property relations of spouses.

Details in the video.