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More on Groups 1 and 2

      In SFRY, the owners of all private flats, that had been rented before 1945, lost forever almost all their rights on these flats, and these rights have been acquired forever by the holders of SP (="stanarsko pravo"). In a vast majority of cases, that happened against the owners' will. The SP comprised permanent, inheritable, exclusive right to possess the flat, to use it, etc. Tens of thousands of such flats were registered in land registers as "social" ("public") property, and they are the so-called "nationalized flats" (=Group 1).  However, private owners of a few thousand of such flats remained registered in land registers, although they too lost forever all the rights that were included in SP and given to SP-holders. (See below!*)  These are the so called "private occupied flats" (=Group 2).  

      In both these groups, the owners have  not  been given market-value compensations. The occupants, in both these groups, were compelled to accept and keep the SP, because they have been denied the SP in any other flats. The occupants are not guilty of anything, they had no choice.

      In either group, seizing the owners' rights against their will and without a market-value compensation is contrary to the Croatian Constitution (from 1990), but this Constitution does not apply to any of these cases, because all that happened before 1990 (see the Decision of the Constitutional Court of Croatia  No. U-I-673/1996  of April 21, 1999, Narodne Novine No.  39 / 1999, on Page 1). Therefore, there is no justified reason to abolish or diminish the SP in either group (which abolishment, moreover, is contrary to Resolution 1096 of the Parliamentary Assembly of the Council of Europe and to the Annex G of the international Agreement on Succession Issues). However, although the nationalization and the SPs in Group 1 have not been abolished (which is correct), the SPs in Group 2 are wrongly and discriminatorily abolished by the Law on Renting Flats (1996)!!!  

      It follows that all holders of SP and their families should keep their acquired rights forever, in accordance with Resolution 1096, while the original owners should be compensated by the state.



*    By the Law on Housing Relations ("Zakon o stambenim odnosima,"=ZSO, 1974), the private owner of a flat gave the SP to the occupant of the flat by a contract ("ugovor o korištenju stana" ="contract to use the flat"). This owner could decide whether he/she wanted or not to conclude such a contract and give the SP of his/her own free will.  Nobody was forced in any way to conclude such a contract.  A vast majority of private owners did not want to give the SP and they decided not to conclude such contracts. 

      An owner, who concluded such a contract, declared, by doing so, his/her own free will to give the SP to the occupant of the flat. 

      If the contract ("ugovor o korištenju stana") was not concluded in one month, the only consequence was, that the state housing authority ("SIZ stanovanja") issued a decree which substituted the contract, and in such a case the SP was acquired against the owner's will.  (See: ZSO, 1974, Article 86).