Life Maintenance Contract: Who Can Receive Property in Exchange for Care.

Against the backdrop of war and economic instability, more and more Ukrainians are choosing life maintenance contracts as an alternative to gift or inheritance. On one hand, it is a way for elderly or lonely people to receive stable support; on the other hand, it is a chance for the acquirer to obtain real estate or valuable property.

According to the Civil Code of Ukraine, the acquirer can be an adult capable individual (including relatives or third parties). Alternatively, it can be a legal entity such as a charity organization or a nursing home.

'The acquirer can be any adult person, but they must be truly capable of fulfilling the obligations of monthly maintenance and bear responsibility in case of breach of the contract', the Ministry of Justice of Ukraine explains.

If the property being transferred is in joint ownership (for example, among spouses), the contract is made on behalf of both owners. In the event of the death of one of them, the acquirer's obligations are reduced in accordance with the deceased's share.

There are specific features regarding agricultural land. It can only be transferred to relatives or family members. That is, if you want to transfer a plot to a third party, the notary will not be able to certify the contract.

According to Article 334 of the Civil Code, ownership of the property arises from the moment of notarization of the contract, but if it concerns real estate, only after state registration.

If the acquirer is unable to fulfill their obligations (due to illness, departure, change of life circumstances), they can be transferred to:

• a family member of the acquirer;
• another person with the consent of the discloser;
• by court decision if the discloser does not agree voluntarily.

If the acquirer dies, their obligations pass to the heirs, but only if they have accepted the property. Otherwise, the property returns to the discloser, and the contract becomes null and void.

The contract may provide for the replacement of property with another - by mutual consent of the parties. For example, if the housing is destroyed and the acquirer has other real estate that they are willing to transfer in return.

The grounds for terminating the contract are clearly stated in the law:

• death of the discloser;
• death of the acquirer without heirs;
• liquidation of the legal entity - acquirer;
• non-fulfillment of obligations by the acquirer;
• the acquirer's statement of inability to further fulfill obligations.

The contract must be notarized. The notary also enters information about the prohibition of alienation in the register. Without these actions, the document has no legal force.

In the contract, it is advisable to clearly state:

• scope of care;
• amount and frequency of monetary payments;
• the right of the discloser to reside;
• conditions for property replacement;
• responsibility for non-fulfillment of obligations.

The life maintenance contract service is becoming increasingly popular in Ukraine, especially among elderly and lonely citizens. This type of agreement allows for stable assistance and leaves real estate or other valuable property for future generations. Legislation clearly regulates the conditions of conclusion, execution, and termination of such contracts, allowing to avoid potential conflicts or disputes between the parties.