Lietuviškai

                   THE CONSTITUTIONAL COURT OF                   
                    THE REPUBLIC OF LITHUANIA                    

                           R U L I N G                           

     On  the  compliance  of  item  2. 2 of the Government of the
Republic  of  Lithuania  Resolution  "On partial amendment to the
Government  of  the  Republic  of Lithuania Resolution No 470 "On
the  implementation  of  the Law of the Republic of Lithuania "On
the  Procedure  and  Conditions  of the Restoration of the Rights
of  Ownership  to  the  Existing  Real Property" " of 15 November
1991",  adopted  17 May 1993, with Article 23 of the Constitution
of  the  Republic  of  Lithuania  and  the Law of the Republic of
Lithuania  "On  the  Procedure  and Conditions of the Restoration
of the Rights of Ownership to the Existing Real Property".
  
                      15 July 1994, Vilnius                      

     The  Constitutional  Court  of  the  Republic  of Lithuania,
composed  from  the Justices of the Constitutional Court Algirdas
Gailiūnas,  Zigmas  Levickis,  Vladas  Pavilonis, Pranas Vytautas
Rasimavičius,  Stasys  Stačiokas,  Teodora  Staugaitienė,  Stasys
Šedbaras and Juozas Žilys,
     the secretary of the hearing - Rolanda Stimbirytė,
     the  party  concerned - Jadvyga Aleksaitė, representative of
the  Government  of  the  Republic  of Lithuania, the Head of the
Department  of  Private  Ownership  under the Ministry of Justice
of the Republic of Lithuania,
     pursuant   to   the   first  part  of  Article  102  of  the
Constitution  of  the Republic of Lithuania and Part 1, Article 1
of  the  Law  on  the  Constitutional  Court  of  the Republic of
Lithuania,  in  its  public hearing of 12 July 1994 conducted the
investigation   of  Case  No  1/94  subsequent  to  the  petition
submitted  to  the  Court by Tauragė District Court requesting to
investigate  if  item  2.  2 of the Government of the Republic of
Lithuania  Resolution  "On partial amendment to the Government of
the   Republic   of   Lithuania   Resolution   No   470  "On  the
implementation  of  the  Law of the Republic of Lithuania "On the
Procedure  and  Conditions  of  the  Restoration of the Rights of
Ownership  to  the  Existing  Real  Property"  "  of  15 November
1991",  adopted  17 May 1993, is in conformity with Article 23 of
the  Constitution  of  the  Republic of Lithuania and the Law "On
the  Procedure  and  Conditions  of the Restoration of the Rights
of Ownership to the Existing Real Property".
  
     The Constitutional Court
     has established:

     The  petitioner  -  Tauragė  District  Court  - requests the
Constitutional   Court  to  investigate  if  item  2.  2  of  the
Government  Resolution  "On  partial  amendment to the Government
of   the   Republic  of  Lithuania  Resolution  No  470  "On  the
implementation  of  the  Law of the Republic of Lithuania "On the
Procedure  and  Conditions  of  the  Restoration of the Rights of
Ownership  to  the  Existing  Real  Property"  "  of  15 November
1991",  adopted  17  May  1993,  is consistent with Article 23 of
the  Constitution  and  the  Law "On the Procedure and Conditions
of  the  Restoration  of  the Rights of Ownership to the Existing
Real Property".
     The  Court  in  its  ruling  and  the  judge in her pleading
specified,  without  calling  in  question  the  requirements set
forth  in  the  Law  "On  the  Procedure  and  Conditions  of the
Restoration  of  the  Rights  of  Ownership  to the Existing Real
Property"  that  under  said  Law  the Government is obligated to
establish  the  procedure  and  terms  for the restoration of the
existing  real  property,  that  "item  2.  2  of  the Government
Resolution  of  17 May 1993 has changed in essence the principles
governing   the   restoration   of   ownership   rights  and  the
appropriate  provision  of  the  Constitution  of the Republic of
Lithuania".
     In  the  petitioner's  opinion,  the Government by item 2. 2
of  the  resolution  of 17 May 1993 recognized that the ownership
rights  of  citizens  to  residential  houses  had  already  been
restored  on  the decisions adopted by district (city) boards. In
other  words,  the  citizens' rights are already restituted under
said   Law,   and   they   have  already  become  the  owners  of
residential  houses  and  other  structures  belonging to them by
the  right  of  ownership. Said citizens may not be considered as
applicants  or  claimants  to  property,  because their ownership
right  to  houses  has  been  restored,  actual  houses have been
returned,  legal  registration  has been carried out and they are
already  the  owners  of  these  houses.  The  Government,  while
obligating  district  boards  by  item 2. 2 of said resolution to
reconsider   the   decisions   concerning   the   restoration  of
ownership  rights,  violated  the  subjective ownership rights of
citizens  as  it authorized the district (city) boards to nullify
or  change  the  ownership  rights  that  had  been  restored  to
citizens - former owners.
     The  petitioner  maintains that "only the Court may nullify,
change  and  deprive  of legal relations with regard to ownership
rights,  and  only on condition that causes thereof are specified
in  the  law.  In  the case under consideration, the provision of
the  Government  Resolution  and  permission  given  to  district
(city)   boards   to  reconsider  the  questions  concerning  the
restoration  of  ownership rights (in other words, deprivation or
changing  of  the  right  of  ownership,  although this right has
been   restored   in   violation   of  the  laws  and  Government
resolutions   valid   at   that  time)  is  not  permissible  and
contradicts  Article  23  of  the Constitution of the Republic of
Lithuania".
     The  petitioner  explains  that the Government Resolution in
dispute  regulates  in  great detail the ways of coping with some
situations.  "Speaking  about  item  2. 2 of said Resolution, the
proposition  "to  reconsider"  is  not defined in any way and may
be  understood  only  in  a  wider sense, i. e. upon establishing
cases  of  violation  of ownership rights, district (city) boards
reconsider  their  earlier  adopted  decisions  (maybe  annul  or
amend  them)  and  actually  deprive  citizens  of their property
which   had  already  been  returned  to  them  on  the  previous
decision concerning the restoration of ownership rights".
     During  preliminary  investigation  of  the  case and in the
court   hearing   the   representative  of  the  party  concerned
explained   that  Tauragė  District  Court,  while  settling  the
disputes  pertaining  to the restoration of ownership rights, had
to  observe  not  item  2. 2 of said Resolution of the Government
but  the  provisions  of  the Law "On Procedure and Conditions of
the  Restoration  of the Rights of Ownership to the Existing Real
Property"  that  regulated  the  procedure  and conditions of the
restoration  of  ownership  rights  of  citizens  to the existing
real property.
     According  to  the second part of Article 8 of this Law, the
procedure  and  time  limits  for  the restoration of residential
houses   (or  portions  thereof)  shall  be  established  by  the
Government  of  the  Republic of Lithuania. Thus, the Government,
by  way  of  implementing  this  Law  as  well  as item 12 of the
Supreme  Council  of the Republic of Lithuania Resolution "On the
process  of  enforcement  and  application  of  the  Law  of  the
Republic  of  Lithuania  "On  the Procedure and Conditions of the
Restoration  of  the  Rights  of  Ownership  to the Existing Real
Property"  ",  adopted  16  July  1991,  drafted  and  by  the 15
November   1991   Resolution   confirmed  the  procedure  of  the
implementation  of  the  Law  of  the  Republic  of Lithuania "On
Procedure  and  Conditions  of  the  Restoration of the Rights of
Ownership   to   the   Existing  Real  Property"  (the  procedure
established  by  the 15 November 1991 Resolution was subsequently
amended by the Government Resolution of 17 May 1993).
     In   the   opinion   of  the  representative  of  the  party
concerned,  "the  Government  of the Republic of Lithuania by way
of  implementing  the above mentioned procedure and having enough
data  and  facts  to  prove  that while considering the citizens'
requests  and  adopting  decisions  concerning the restoration of
ownership  rights  to  residential  houses  (or portions thereof)
city  (district)  boards and other institutions authorized by the
state,  do  not meet the requirements set forth in the Law on the
Restoration   of   Ownership   Rights  and  do  not  observe  the
provisions  of  the procedure for the implementation of said Law,
which  is  prescribed  in Chapter 8 of the Law titled "Conditions
and  Procedures  for  the  Restoration  of  Ownership  Rights  to
Residential  Houses",  under  item  2.  2  of  the  17  May  1993
Resolution   obligated   these  institutions  to  reconsider  the
decisions  pertaining  to  the  ownership  rights to the existing
real  property  by  amending and defining them more precisely, as
well  as  eliminating  violations provided that they were made in
the restoration of ownership rights".
     Prior  to  the  adoption  of the Government Resolution of 17
May  1993,  the  decisions regarding the restoration of ownership
rights   were  most  frequently  passed  without  specifying  the
manner  of  the  restoration  of ownership rights or compensation
for  the  property  not  to  be returned, without acquainting the
tenants  residing  in  houses  subject to being returned with all
the  laws  guaranteeing  their  rights  and  with their option to
move into other residential premises allotted to them.
     Thus,  the  Government  by item 2. 2 of the Resolution of 17
May   1993   did  not  establish  any  additional  conditions  or
restrictions,  aggravating  the  returning  of residential houses
(or  portions  thereof)  to  their  former owners, as it was only
striving  to  act  in conformity with the provision of Article 29
of  the  Constitution  that  all people shall be equal before the
law,  and  to protect the rights and lawful interests not only of
former owners but also of the tenants.
     On   the   basis  of  the  above  mentioned  arguments,  the
representative  of  the  party  concerned  requests  to recognize
that   item  2.  2  of  the  Government  Resolution  "On  partial
amendment   to  the  Government  of  the  Republic  of  Lithuania
Resolution  "On  the implementation of the Law of the Republic of
Lithuania  "On  the  Procedure  and Conditions of the Restoration
of  the  Rights  of Ownership to the Existing Real Property" " of
15  November  1991",  adopted 17 May 1993, is consistent with the
Constitution  and  the  Law  "On  the Procedure and Conditions of
the  Restoration  of the Rights of Ownership to the Existing Real
Property".
  
	The Constitutional Court
                           holds that:                           

     1.  The  first  part  of  Article  23  of  the  Constitution
contains  the  provision  that  property  shall be inviolable and
the  second  part  of said Article - that the rights of ownership
shall   be   protected  by  law.  This  constitutional  provision
corresponds  to  the  regulation of the restitution of the rights
of ownership by law.
     On  18  June  1991  the  Supreme Council enacted the Law "On
the  Procedure  and  Conditions  of the Restoration of the Rights
of  Ownership  to  the  Existing  Real  Property",  whereas on 15
November  1991  the  Government  passed  the  Resolution  "On the
implementation  of  the  Law of the Republic of Lithuania "On the
Procedure  and  Conditions  of  the  Restoration of the Rights of
Ownership to the Existing Real Property" ".
     On  12  January  the Seimas adopted the Law "On Amending the
Law  "On  the  Procedure and Conditions of the Restoration of the
Rights  of  Ownership  to the Existing Real Property" ". Besides,
on  19  January  1993  the  Seimas  passed the Resolution "On the
enforcement  and  application  of  the  Law  of  the  Republic of
Lithuania  "On  the  Procedure  and Conditions of the Restoration
of  the  Rights  of  Ownership  to the Existing Real Property" ",
under which the Government had to amend its executive acts.
     On  17  May 1993 the Government of the Republic of Lithuania
passed  the  Resolution  "On  partial amendment to the Government
of   the   Republic  of  Lithuania  Resolution  No  470  "On  the
implementation  of  the  Law of the Republic of Lithuania "On the
Procedure  and  Conditions  of  the  Restoration of the Rights of
Ownership  to  the  Existing  Real  Property"  "  of  15 November
1991",  (Official  Gazette  "Valstybės Žinios", No 17-440, 1993),
in  item  2.  2  of  which  it  was  established that: "decisions
concerning  the  restoration  of ownership rights to the existing
real  property,  adopted  without  specifying  the  manner of the
restitution   of   ownership  rights  and  in  violation  of  the
requirements  prescribed  by  the law in effect at that time (the
tenants  of  many-flat  houses were not offered other residential
premises,  etc.),  must  be  reconsidered  until 31 December 1993
according  to  the  laws and Governmental acts that were in force
at the moment of the adoption of the decisions.
     2.  While  examining this case, it is necessary to establish
whether  the  disputable  item  2.  2  is  a  legal  norm  or and
individual act according to its contents and nature.
     Normative  acts  are those which contain universally binding
rules  of  common  nature,  was  not  the  specific wording of an
appropriate  rule  is  of greatest importance, but the fact that,
on  the  basis  of the contents of the text, one could understand
beyond  doubt  that  the  speech  goes  about  the instruction to
certain  subjects  to  act  in  an  appropriate way under certain
circumstances  (the  Constitutional  Court  ruling  of 19 January
1994, Official Gazette "Valstybės Žinios", No 7-116, 1994).
     Taking  all  this  into  consideration  and having estimated
the  disputable  item  2.  2  of  the  Government Resolution, the
conclusion   can   be  drawn  that  the  contents  of  said  item
absolutely  complies  with  the  nature  of a legal norm. This is
confirmed  by  the  definite  instruction formulated in the above
mentioned  item,  that  the  decisions concerning the restitution
of  ownership  rights  to  the  existing  real  property, adopted
without  specifying  the  manner  of the restoration of ownership
rights  and  in violation to other requirements prescribed by the
law then valid, must be reconsidered.
     Item  2.  2  of  the  Government Resolution according to its
contents   is   a  legal  norm  of  general  nature,  because  it
obligates  the  State  institutions  authorised  to  restore,  by
their  decisions,  ownership  rights for citizens to the existing
real  property  in  kind  or  compensate  for it in the procedure
prescribed by the law.
     3.  Jurisprudence  and  legal  traditions  allow to draw the
conclusion  that  in  the  sphere  of legal regulation there is a
general  rule  that  a  legal  norm  has no retroactive validity.
This  means,  that  normative  acts  are generally not applied to
the  facts  and  legal  consequences  which  came  into existence
prior  to  the enforcement of these legal acts. In the case under
consideration,  legal  facts  had  already  occurred  -  regional
local  governments  had  already adopted legal acts regarding the
restoration  of  ownership  rights.  Therefore,  even the supreme
institution  of  State  government  could  not  interfere  by the
norms  of  the  executive  act  in  the  legal relations that had
appeared  on  the  basis of legal facts. All the disputes of such
nature  must  be  settled only in the procedure prescribed by the
Constitution  and  laws, i. e. they must be resolved in Court. At
the   time   of  the  adoption  of  said  Resolution,  the  legal
procedure  for  the  consideration of such disputes regarding the
restoration of ownership rights, was determined by valid laws.
     Upon   establishing   the  violations  of  the  requirements
stipulated  in  the  Law  "On the Procedure and Conditions of the
Restoration  of  the  Rights  of  Ownership  to the Existing Real
Property",  the  Government  Resolution  "On partial amendment to
the  Government  of  the  Republic of Lithuania Resolution No 470
"On  the  implementation  of the Law of the Republic of Lithuania
"On  the  Procedure  and  Conditions  of  the  Restoration of the
Rights  of  Ownership  to  the  Existing  Real  Property" " of 15
November   1991,   and  the  Government  Resolution  "On  partial
amendment  to  the  implementation  of the Law of the Republic of
Lithuania  "On  the  Procedure  and Conditions of the Restoration
of  the  Rights  of Ownership to the Existing Real Property" " of
17  May  1993,  i.  e.  upon  establishing  the  violation of the
subjective  rights  of  citizens  or legal persons, or the powers
of   State  institutions,  appropriate  persons  shall  bring  an
action  to  the  court  in  the procedure prescribed by laws with
the purpose to have these rights defended.
     4.  In  the second part of Article 23 of the Constitution it
is  established  that  the rights of ownership shall be protected
by  law.  Thus,  ownership  rights  may be regulated only by laws
and  not  by  executive acts. The procedure and conditions of the
restoration  of  ownership rights to residential houses have been
regulated  by  the  Law  of  the  Republic  of  Lithuania "On the
Procedure  and  Conditions  of  the  Restoration of the Rights of
Ownership  to  the  Existing  Real Property". A resolution of the
Government  is  an executive legal act. It usually serves for the
implementation  of  the  norms  of law, however no legal norm may
substitute  the  law itself and create new legal norms of general
nature,  which  in  their  power  would compete with the norms of
law.  It  is  an  act  of  the  application  of the norms of law,
irrespective  of  the fact whether this act is of single (ad hoc)
or permanent validity.
     Once  an  institution  authorized  by  the  State adopts the
decision  to  return  the actual property or to give compensation
for  it,  the decision entitles the former owner to the rights of
ownership  -  such  is  the legal meaning of the adopted decision
(Constitutional  Court  of the Republic of Lithuania Ruling of 27
May  1994,  Official  Gazette  "Valstybės Žinios", o. 42-771, No.
42-771, 1994).
     Thus,  decisions  by  district or city boards concerning the
ownership   rights  to  the  existing  real  property  should  be
disputed  only  in  the  procedure  established  by  law, and the
Government  while  obligating  these  institutions  to reconsider
decisions   adopted   earlier,  authorized  them  to  change  the
contents of ownership rights against the owner's will.
     The  notion  "to  reconsider" present in the disputable item
2.  2  of the Resolution can be interpreted only as the change of
the  scope  of  the  contents  of  the  earlier  adopted decision
concerning   the   rights  of  ownership  to  the  existing  real
property  subject  to  being  returned by the right of ownership,
i.  e.  the  restriction  of the owner's right to manage, use and
dispose   of   property  by  an  executive  normative  act.  Such
understanding  of  this notion has been confirmed by the practice
of the application of the norm of item 2. 2 of said Resolution.
     The  norm  of  item 2. 2 of the Government Resolution in its
power  competes  with the Law "On the Procedure and Conditions of
the  Restoration  of the Rights of Ownership to the Existing Real
Property"   and,   therefore,  contradicts  the  second  part  of
Article 23 of the Constitution and the Law mentioned above.

     Conforming  to  Article  102  of  the  Constitution  of  the
Republic  of  Lithuania  as well as Articles 53, 54, 55 and 56 of
the   Law   on  the  Constitutional  Court  of  the  Republic  of
Lithuania, the Constitutional Court has passed the following
     ruling:

     To  recognize  that  item  2.  2  of  the  Government of the
Republic  of  Lithuania  Resolution  "On partial amendment to the
Government  of  the  Republic  of Lithuania Resolution No 470 "On
the  implementation  of  the Law of the Republic of Lithuania "On
the  Procedure  and  Conditions  of the Restoration of the Rights
of  Ownership  to  the  Existing  Real Property" " of 15 November
1991",  adopted  17  May  1993,  contradicts  the  second part of
Article  23  of the Constitution of the Republic of Lithuania and
the  Law  of  the  Republic  of  Lithuania  "On the Procedure and
Conditions  of  the Restoration of the Rights of Ownership to the
Existing Real Property".

     This  Constitutional  Court  ruling is final and not subject
to appeal.
     The  ruling  is  promulgated  on  behalf  of the Republic of
Lithuania.