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Changes in the Designation of Building Authorities

Hungary
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On 8 August 2024, a new Government decree was published on the designation and operating conditions of the building authorities.

The decree stipulates that the Government may designate the Government Office of the Capital and the Government Offices of the Counties as the general building authority for carrying out the tasks related to the building authority, such as the buildings and their construction activities. Exceptions to this are the specific types of structures, and also certain buildings listed in Annex 1 of the Government decree on the rules for the establishment, development and closure of airports and for the establishment and closure of landing sites. These include the terminal, the passenger or cargo building, the hangar building for the storage or maintenance of aircraft (except for mobile hangars), and the control tower building. In addition, this regulation also excludes the building authority matters that do not pertain to railway station buildings on underground railways. Furthermore, the Government appointed the heritage protection authority as the building authority responsible for overseeing tasks related to monumental buildings, their plots of land, and the monumental property of national monument status. However, in cases where either the Government Office of the Capital or the Government Offices of the Counties is the owner, trustee or user of the land, building or part of a building affected by the construction activities, the functions of the building authority will be performed by a substitute Government Office.

The decree also stipulates that, except for buildings intended for the use of nuclear energy, the building authority of the principal use for which the building is intended shall act as the authorising authority if a new building is constructed for multiple use, and several building authorities, other than the principal building authority, are competent to authorise the separate use units to be built in this building.

The functions of the building authority of the Government Office of the Capital and the Government Offices of the Counties are exercised by the Minister responsible for building regulation and building authority matters. The decree will enter into force on 1 October 2024, by repealing the former Government decree on the designation and operating conditions of the building and building supervision authorities.

By Gabriella Galik, Founding Partner, KCG Partners Law Firm

Hungary Knowledge Partner

Nagy és Trócsányi was founded in 1991, turned into limited professional partnership (in Hungarian: ügyvédi iroda) in 1992, with the aim of offering sophisticated legal services. The firm continues to seek excellence in a comprehensive and modern practice, which spans international commercial and business law. 

The firm’s lawyers provide clients with advice and representation in an active, thoughtful and ethical manner, with a real understanding of clients‘ business needs and the markets in which they operate.

The firm is one of the largest home-grown independent law firms in Hungary. Currently Nagy és Trócsányi has 26 lawyers out of which there are 8 active partners. All partners are equity partners.

Nagy és Trócsányi is a legal entity and registered with the Budapest Bar Association. All lawyers of the Budapest office are either members of, or registered as clerks with, the Budapest Bar Association. Several of the firm’s lawyers are admitted attorneys or registered as legal consultants in New York.

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The firm advises a broad range of clients, including numerous multinational corporations. Among our key clients are: OTP Bank, Sberbank, Erste Bank, Scania, KS ORKA, Mannvit, DAF Trucks, Booking.com, Museum of Fine Arts of Budapest, Hungarian Post Pte Ltd, Hiventures, Strabag, CPI Hungary, Givaudan, Marks & Spencer, CBA.

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