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Did you receive a demand to demolish your building after your land lease ended? You may not be required to. Tenants have a powerful right called the right to demand building purchase.

[Table of Contents]

1. What is the Right to Demand Building Purchase?

2. Does It Apply to Unauthorized or Unregistered Buildings?

3. Key Supreme Court Ruling

4. When Can the Landlord Refuse?

5. What to Do If You've Received a Demolition Notice

What is the Right to Demand Building Purchase?

Under Civil Code Article 643, if a tenant leased land for the purpose of owning a building and the lease ends while the building remains, the tenant may demand that the landowner purchase the building at a fair price. This right is designed to prevent wasteful demolition and protect tenants in a weaker bargaining position.

Does It Apply to Unauthorized or Unregistered Buildings?

Yes, in principle. Even unauthorized or unregistered buildings may qualify for this right, as long as the building retains physical or economic value.

Key Supreme Court Ruling

In one notable case, a tenant expanded a barn on leased land without authorization. The landowner had accepted rent for 8 years despite knowing about the expansion, then filed for demolition after terminating the lease. The Supreme Court ruled that if a building retains economic value, it qualifies for the purchase right — and the burden of proving otherwise lies with the landowner, not the tenant.

When Can the Landlord Refuse?

The landowner may deny the purchase request if the building was constructed in violation of the lease terms, or was expanded beyond what the landlord could reasonably have anticipated. However, merely claiming the building is "unauthorized" is insufficient, especially if the landlord knowingly accepted rent for years.

What to Do If You've Received a Demolition Notice

The right to demand building purchase has strict timing requirements. If demolition proceedings have already begun, deadlines may be very tight. Seek legal advice immediately upon receiving a demolition notice.

For disputes involving land, buildings, and demolition demands, consult the real estate attorneys at Cheongchul Law Firm.

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This post is for informational purposes only and does not constitute legal advice. Please consult a qualified attorney for your specific situation.