According to the Government Electronic Information Portal, a resident in Dong Nai requested guidance on the procedure for transferring land use rights in cases where assets are still registered for mortgage.
People said that previously, Article 12 of Joint Circular No. 16/2014/TTLT-BTP-BTNMT-NHNN guided procedures for transferring ownership and use rights of assets after handling secured assets. However, this document has now expired.
Decree No. 151/2025/ND-CP stipulates the procedure for receiving land use rights due to handling secured assets in cases where the secured party receives the asset itself to replace the performance of the secured party's obligations.
However, according to feedback, this regulation does not specify whether mortgage registration must be removed before carrying out land use right transfer procedures or not.
From there, people ask if they can transfer land use rights first, then remove the mortgage registration or carry out two procedures at the same time according to Clause 6, Article 18 of Decree No. 101/2024/ND-CP or not.
Regarding this issue, the Ministry of Agriculture and Environment said that the conditions for exercising the rights of land users are stipulated in Article 45 of the Land Law.
According to this agency, Article 45 of the Land Law does not stipulate that the land use right being mortgaged is a condition preventing land users from exercising the right to convert, transfer, lease, donate, mortgage or contribute capital with land use rights.
However, whether the land use rights that are being mortgaged and have not been cleared from mortgage registration can be transferred or not must still be implemented according to the provisions of civil law and law on secured transactions.
Therefore, the Ministry of Agriculture and Environment requests people to send reflections and recommendations to the Ministry of Justice for specific guidance on transferring rights first, deleting mortgage registration later or simultaneously carrying out related procedures.
