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TITLE VII. INDIVIDUAL OWNERSHIP

CHAPTER 1. Acquisition, transfer, extinction and proof of ownership

Section 1. Acquisition of ownership

Paragraph 1. Occupation

Art. 1151.- Principle.

Whosoever takes possession of a corporeal chattel which has no master with the intention of becoming the owner thereof shall acquire the ownership of such chattel.

Art. 1152.- Animals.

(1) Tamed or captive animals shall become things without a master where they escape from the control of their owner and he does not attempt to recapture them within the following month or he cease for one month to attempt to recapture them.

(2) The provisions of sub-art (1) shall not apply to animals of the equine or asinine species or cross-breedings thereof nor to camels and animals of the bovine species.

Art. 1153.- Bees.

(1) Bee swarms which have left their hive shall be deemed to be things without a master.

(2) The person in whose hive they settle down shall become the owner of such swarms by virtue of occupation.

(3) The former owner may takes them back where he chases them and arrives where they have settled immediately afterwards.

Art. 1154.- Object found.- 1. Duties of finder.

(1) Whosoever finds and takes possession of a corporeal chattel shall comply with the administrative regulations requiring him to report his find.

(2) Failing such regulations, he shall take all appropriate steps to make his find known and make such investigations as are required in the circumstances with a view to informing the owner of his find.

Art. 1155.- 2. Possession of object.

(1) The finder who has carried out the duties prescribed by Art. 1154 shall retain in his possession the thing found.

(2) He shall in such a case take all reasonable steps for its preservation.

Art. 1156. 3. Sale of object.

(1) The finder may sell the object found at a public auction where it is exposed to rapid deterioration or its custody is onerous.

(2) The proceeds of the sale shall in such a case replace the thing sold.

Art. 1157.- 4. Recovery of object by owner.

(1) The owner of the object may require its restitution so long as he has not lost the ownership thereof.

(2) He shall in such a case refund all expenses incurred by those who have found and kept such object.

Art. 1158.- Reward to finder.

(1) The court may, where appropriate, grant to the finder a reward not exceeding one quarter of the value of the object found.

(2) In deciding whether a reward ought to be granted and in fixing its amount, the court shall have regard to the financial position of the parties concerned and the chances the owner had of finding the object himself.

(3) The right to apply for a reward shall be barred where the finder does not exercise it within the year following restitution.

Art. 1159.- Treasure.

(1) A treasure shall become the property of the owner of the land or thing in which it was found.

(2) The finder is entitled to a reward equal to one half of the value of the treasure.

(3) Things of which nobody can be shown to be the owner shall be deemed to be treasures where it appears certain, at the time of their discovery, that they have been buried or hidden for not less than fifty years.

Art. 1160.- Antiques.

Nothing shall affect the provisions of special laws or regulations relating to archaeological excavations and antiques.

Paragraph 2. Possession in good faith

Art. 1161.- Principle.

(1) Whosoever in good faith enters for consideration into a contract to acquire the ownership of a corporal chattel shall becomes the owner thereof by virtue of his good faith when he takes possession of such chattel.

(2) His rights shall not be affected by the fact that the person with whom he contracted had no valid title.

Art. 1162.- Definition and proof of good faith.

(1) Whosoever acquires a corporeal chattel shall be deemed to be in good faith where he believes that he is contracting with a person entitled to transfer the thing to him.

(2) The good faith of the acquirer shall be presume saving evidence to the contrary.

Art. 1163.- Time when good faith must exists.

(1) Good faith must exist at the time of the entry into possession.

(2) Discovery by the possessor that he acquired the thing from a person who was not entitled to transfer the ownership thereof shall be of no effect where such discovery occurs after he entered into possession.

Art. 1164.- When ownership can not be reclaimed.

(1) Whosoever voluntarily relinquishes the ownership of a corporeal chattel may not reclaim it from the person who has become owner thereof in good faith.

(2) He may not raise against him the fact that the person into whose hands he relinquished his property acted fraudulently.

Art. 1165.- Possibility of reclaiming stole property.

(1) Any person from whom a corporeal chattel was stolen may reclaim it from the person who has become owner thereof in good faith.

(2) Such claim shall be barred if it is not made within three years from the time when the theft occurred.

Art. 1166.- Indemnity due to the possessor.

Where the person from whom the property is reclaimed acquired it from a tradesman dealing in similar articles, in market overt or at a public auction he may require the seller to reimburse him with the price he paid.

Art. 1167.- Currency and securities to bearer.

(1) Currency or securities to bearer may in no case be claimed from person who acquired them in good faith.

(2) They may not be claimed either from a person who acquired them from a third party in good faith.

Paragraph 3. Usucaption

Art. 1168.- Principle.

(1) The possessor who has paid for fifteen consecutive years the taxes relating to the ownership of an immovable shall become the owner of such immovable:

Provided that no land which is jointly owned by members of one family in accordance with custom may be acquired by usucaption and any member of such family may at any time claim such land.

(2) Nothing in this Article shall affect the provisions of title VI, Chapter 2, of this Code (Art. 1140-1150)

Art. 1169.- Reference.

(1) Those provisions of the Title of this Code dealing with contracts in general which relate to the interruption of limitation periods shall apply in matters of usucatption (Art. 1851 and 1852).

(2) Those provisions of the same Title which lay down the conditions on which limitation may be raised, enforced or waived shall also apply in matter of usucaption (Art. 1853-1856).

Paragraph 4. – Accession.

Art. 1170.- Increases.

(1) Whosoever owns a thing shall own the natural fruits thereof.

(2) Periodical products of a thing and anything which may according to usage be derived from a thing in conformity with its purpose shall be deemed to be fruits.

Art. 1171.- Increase from breeding.

(1) As regards ownership, increase from breeding shall follow the mother.

(2) The owner of the mother shall be the owner of the increase.

Art. 1172.- Crops. -1. Against will of landowner.

(1) Whosoever sows seeds in land the property of another against the clearly expressed will of the landowner may neither till nor reap what he has sown.

(2) Where the harvest has been reaped the whole crop shall be the property of the landowner.

(3) The provisions of this Article shall apply where the landowner was unable to object to the sowing.

Art. 1173.- 2. Without objection by landowner.

(1) Whosoever sows seeds in land the property of another without the landowner objecting to the sowing may till and reap what he has sown. He shall clear the land after the harvest has been reaped.

(2) Where the sower acted in the belief that he was the owner of the land or was entitled to sow seeds therein, one quarter of the crop shall devolve upon the sower and three quarters upon the landowner.

(3) Where the sower knew that he was not the owner of the land or was not entitled to sow seeds therein, the whole crop shall be the property of the landowner.

(4) The provisions of this Article shall apply notwithstanding that the landowner was aware of the sowing and failed to object thereto.

Art. 1174.- 3. Claim by landowner.

(1) The landowner shall be entitled to the crop or a share therein in accordance with the provisions of Art. 1172 and 1173 regardless of whether his land was previously cultivated or not.

(2) Where the crop has been sold, given away or consumed, the landowner shall be entitled to the value which the crop or his share therein would have had on the day on which he makes his claim.

(3) The right of the landowner to claim the crop or a share therein shall be barred if it is not exercised within one year from the reaping of the crop.

Art. 1175.- Plantations. -1. Against will of landowner.

(1) whosoever plants trees on land the property of another against the clearly expressed will of the landowner shall have no right on such trees.

(2) He shall not be entitled to any compensation for the enrichment thereby occasioned to the landowner.

(3) He shall bear the costs incurred in removing the trees, where the landowner orders there removal.

Art. 1176.- 2. With landowner’s permission.

(1) Where the plantation was made with the permission of the landowner, the latter may at any time acquire the full ownership of the trees against payment of compensation the amount of which shall be fixed by agreement between the parties.

(2) Failing agreement, the provisions of Art. 1177 shall apply.

Art. 1177.- 3. Compensation.

(1) The amount of the compensation provided in Art. 1176 shall be equal to one half of the value of the profits which are likely to be derived from the trees during a period of ten years, where such trees are normally grown for their products.

(2) It shall be equal to one half of the value which the trees are likely to have after a period of ten years, where such trees are normally not grown for their products.

(3) The period of ten years specified in sub-art. (1) and (2) shall run from the day on which the landowner expressed his intention to terminate the joint ownership.

Art. 1178.- Buildings. -1. Against will of landowner.

(1) Whosoever has erected a building on land the property of another against the clearly expressed will of the landowner shall have no right on such building.

(2) The landowner may at his option evict the builder or order him to take the building down without compensation in either case.

(3) The provisions of this Article shall apply where the landowner was unable to object to the building.

Art. 1179. 2. Without objection by landowner.

(1) Whosever has erected a building on land the property of another without the landowner objecting to the building shall be the owner of such building.

(2) The landowner may evict the builder against payment of compensation the amount of which shall be fixed by agreement between the parties or, failing agreement, in accordance with the provisions of Arr. 1180. The builder may at any time take the building down at his own expense and clear the land.

(3) The provisions of this Article shall not apply unless the landowner was aware of the building and failed to object thereat.

Art. 1180.- 3. Compensation.

(1) The amount of the compensation due to the builder in the case mentioned in Art. 1179 (2) shall be fixed in accordance with the provisions of the Title of this Code relating to “Compromise and Arbitration” (Art. 3307-3346).

(2) Such amount shall be reduced by three-quarters where the builder knew or should have known that he was not the owner of the land or was not entitled to erect a building thereon..

Art. 1181.- Using material the property of another.

(1) A landowner who makes buildings, plantations or works with material the property of another shall become the owner of such material.

(2) He shall refund the value of the material and may be ordered to pay damages, where appropriate.

(3) The owner of such material may not take it back.

Art. 1182.- Specification.

(1) Where a person has worked with or transformed a substance which did not belong to him, the new article shall become the property of the worker where the labour supplied is of greater value than that of the substances.

(2) Where the worker did not act in good faith, the court may allot the new thing to the owner of the substance even thought the value of the laboru supplied is greater.

(3) Nothing shall affect the provisions of the Title of this Code relating to “Extra-contractual Liability and Unlawful Enrichment” (Art. 2027-2178).

Art. 1183.- Merger and embodiment.

(1) Where things belonging to several owners are mixed together or embodied in such a manner that they can not be separated without appreciable deterioration or only at the cost of excessive labor or expenses, the parties concerned shall become joint owners of the new thing pro rata to the value of its component parts prior to the mixture or embodiment.

(2) Where tow things are mixed together or embodied but one of them must be regarded as an accessory to the other, the new thing shall belong to the owner of the principal thing,.

(3) Nothing shall affect the provisions of the Title of this Code relating to “Extra-contractual Liability and Unlawful Enrichment” (Art. 2027-2178)

Section 2. Transfer of ownership.

Art. 1184.- Cause of transfer.

Ownership may be transferred by virtue of law or in pursuance of agreements entered into by the parties.

Art. 1185.- Immovable property.

Any entry in the registers of immovable property shall be required for the purpose of transferring by contract or will the ownership immovable property.

Art. 1186.- Corporeal chattels.

(1) The ownership of corporeal shall be transferred to the purchaser or legatee at the time when he takes possession thereof.

(2) Nothing in this Article shall affect the provisions of special laws or regulations relating to special kinds of corporeal chattels.

Art. 1187.-Limited ownership.

Provisions to the effect that ownership shall be transferred at a different time than that fixed in the preceding Articles shall not affect third parties unless the latter have accepted such provisions or such provisions have been given publicity though registration in a public registry in accord.

Section 3. Extinction of ownership

Art. 1188. Loss of thing.

Ownership shall be extinguished where the thing to which it extends is destroyed or loses its individual character.

Art. 1189.- Acquisition by third party.

Ownership shall be extinguished where it is acquired by, or transferred to, a third party in accordance with law.

Art. 1190.- Striking off register.

The ownership of an immovable shall be extinguished where the entry relating to such immovable is struck off the register of immovable property.

Art. 1191.- Waiving of right.

The ownership of corporeal chattels shall be extinguished where the owner express in an unequivocal manner his intention to waive his right as an owner.

Art. 1192.- Prescription.

The owner of a corporeal chattel shall lose his rights as an owner where he failed to exercise them for a period of ten years by reason of his not knowing where such chattel was or that he was the owner thereof.

Section 4. Proof of ownership

Art. 1193.- Corporeal chattels.

(1) Whosoever is in possession of a corporeal chattel shall be deemed to posses it on his own behalf and to be the owner thereof.

(2) Whosoever disputes such ownership shall have to show that the presumption laid down in sub-art, (1) is not justified in the circumstances.

Art. 1194.- Immovables. -1. Vacant immovables without a master.

Immovables situate in Ethiopia which are vacant and without a master shall be the property of the State.

Art. 1195.- 2. Title deeds.

The issue by the administrative authorities of a title deed to the effect that a given immovable belongs to a given person shall raise a presumption that such person is the owner of such immovable.

Art. 1196.- Proof to the contrary.

The presumption laid down in Art. 1195 shall be rebutted where it is shown that:

(a) the title deed was not issued in accordance with the law or was issued by an authority having no jurisdiction; or

(b) the title deed was issued on the basis of an invalid act; or

Art. 1197.- Duties of administrative authorities.

(1) Prior to issuing to a person a title deed relating to an immovable, the administrative authorities shall require that the title deed previously issued to another person in relation to the same immovable be returned to them so that it may be cancelled.

(2) Where it is alleged that such previous title deed has been lost or destroyed, the administrative authorities shall required the person applying for a new title deed to produce sufficient security to cover such damage as may be caused to third parties by reason of the previous title deed not having been cancelled.

Art. 1198.- Liability of the State.

(1) The State shall be liable for any damage caused to a person who has acquired a right o an immovable on the basis of a title deed which was not issued in accordance with the law or was issued by an authority having no jurisdiction.

(2) The State shall be liable for any damage caused to a person who has acquired a right on an immovable on the basis of a title deed which the administrative authorities failed to cancel.

Art. 1199.- Demarcation of lands.

(1) The boundaries of lands shall be determined in accordance with the cadastral survey plan and the boundary marks fond on the land.

(2) The boundaries appearing in the cadastral survey plan shall prevail where they differ from those pointed out on the land.

Art. 1200.- Buildings, plantations and works.

(1) All buildings, plantations and works on land shall be deemed to have been made by the owner at his own expense and to be his property.

(2) Evidence ma be produced to rebut the presumption laid down in sub-art. (1)

Art. 1201.- Party-walls

(1) Any wall or fence separating two parcels of land shall be deemed be jointly owned by the owners of such parcels, unless one parcel of land only is fenced in.

(2) Evidence may be produced to rebut the presumption laid down in sub-art. (1).

Art. 1202.- Ditches.

(1) A ditch shall not be deemed to be joint property where the embankment is to be found on one side of the ditch only.

(2) The ditch shall be deemed to be the sole property of the owner of the land on which the embankment is.

(3) Evidence may be produced to rebut the presumptions laid down in sub-art. (1) and (2)

Art. 1203.- Water gas and electrical supply.

(1) Water and gas pipes, electrical and other lines shall be deemed to be accessories of the undertaking from which they originate and to be the property of the owner of such undertaking.

(2) Evidence may be produced to rebut the presumption laid down in sub-art. (1).

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