Baku, September 26, 2025
Shared ownership remains one of the most common but also most misunderstood forms of property holding in Azerbaijan. While the law sets out clear rights and obligations for co-owners, disputes often arise over issues such as selling a share, using common space, or securing the consent of other owners. Lawyers warn that ignorance of the rules can lead to costly mistakes.
In an interview with Media.Az, attorney Akram Hasanov explained how property owners can safeguard their rights while avoiding conflict. He noted that joint ownership – often arising in marriage – differs from shared ownership. In joint ownership, spouses hold equal rights without fixed shares. If one spouse sells or gifts joint property without the other’s consent, the deal can be challenged in court.
Shared ownership, by contrast, assigns each participant a defined stake, such as 50%, 30%, or 20%. Owners are free to sell, gift, or rent out their share without approval from others, but cannot unilaterally control the entire property. Disputes often arise over use of space, with larger stakeholders claiming the most profitable areas in shopping centers or office buildings.
Hasanov stressed that Azerbaijani law grants co-owners the right of first refusal when a share is sold. A shareholder must first offer the stake to existing co-owners on the same terms. If they decline within 30 days, the sale may proceed to an outside buyer. However, demand for partial ownership is generally low, as buyers prefer sole control.
Special rules apply when minors are involved. A parent or guardian cannot sell a child’s share without approval from local executive authorities, who must ensure the transaction serves the child’s best interests. Proceeds are typically directed into a protected bank account, or spent on education or healthcare.
Hasanov underlined that stronger legal safeguards are needed to reduce disputes and build trust among co-owners. Until then, property owners should act cautiously and consult legal professionals before making decisions.
