At the request of the Estonian Private Forest Association, we assessed the constitutionality of proposed amendments to the Nature Conservation Act. The planned amendments would register areas under consideration for protection without a substantive decision. This step would immediately reduce the value of the land.
The analysis revealed the planned amendments to be contrary to the principle of legal certainty and the fundamental right to property as stated in the constitution.
Since an entry in the information system of this kind could be in force for years, it would immediately decrease the property’s value, as buyers do not want to purchase land that may be subject to future restrictions, and for which the law excludes the possibility of receiving fair compensation in the future.
New approach to compensation
The bill also aims to change the principles of compensation. While previously the total value of the property and forest was considered, in the future, if the protection restrictions become stricter or if the property has been acquired from a close relative, only half of the value will be automatically considered.
Our partner Allar Jõks also pointed out that the explanatory memorandum refers to numerous Supreme Court decisions that supposedly support the legislative changes, but upon closer examination, these do not, in fact, justify the proposed regulations.
Our services and client team
We assessed the constitutionality of the proposed legislative amendments and prepared a position.
The team included partner Allar Jõks, counsel Britta Retel, and senior associate Ulrika Paavle.
