New rules for developers: transparency and protection in off-plan projects

— by Cătălin Săpașu, Senior associate, ONV LAW —

Adopted by Parliament on 12 November 2025, the “Nordis Law” amends Law no. 10/1995 on construction quality and Law no. 7/1996 on land registry and real estate publicity, introducing a clear legal framework for developers and protection mechanisms for buyers of real estate units sold before completion (off-plan).

Context and legislative rationale

The expansion of off-plan projects without strict regulations has generated financial and legal risks:

  • overselling of units
  • using buyers’ advance payments for purposes unrelated to the project
  • administrative blockages and frequent insolvency cases

The law introduces traceability and accountability mechanisms at every stage of the project, reducing developers’ exposure to litigation and sanctions.

Developers’ obligations
(Law no. 10/1995, amended art. 22)

Developers, whether individuals or legal entities building for sale, have clear obligations:

  • obtaining all approvals and permits, including utility connections, before the reception of works
  • carrying out the reception of works together with the reception of utility connections
  • handing over the building to the buyer only after utilities are operational
  • preparing and delivering the construction’s technical book
  • mandatory technical expertise for interventions on existing buildings

Developers’ liability is extended: completing the project and complying with the legal stages of reception and technical documentation are mandatory.

Off-plan sales: procedures and financial flow

Pre-sale agreements can be concluded only in authentic notarial form and only after:

  • recording the building permit in the land book
  • obtaining the authentication extract for the future asset

Financial flow of advance payments:

  • a dedicated bank account, used exclusively for project development
  • maximum payment thresholds according to construction stage: 15 percent at signing, 25 percent at structure completion, 25 percent at installation completion
  • using the funds for other purposes is punishable by a fine of 1 percent of turnover (or criminal liability, where applicable)

The buyer becomes a privileged creditor in case of the developer’s insolvency.

Pre-apartmenting (Law no. 7/1996)

The pre-apartmenting concept allows:

  • opening individual land book entries for future units (a “future asset”)
  • recording pre-sale agreements and advance payments directly on these land book entries
  • verification of construction stages by notaries and financial institutions, preventing overselling

Deadlines and transitional provisions

The law enters into force six months after publication in the Official Gazette, to allow ANCPI systems to adapt.

Until that date, building permits must be recorded according to the provisional rules set out in art. IV, namely:

  • recording the building permit in the land book, with identification of each apartment
  • concluding pre-sale agreements only in authentic form and only after recording the building permit
  • the notary’s obligation to record in the land book that the promised apartment is a “future asset under construction”

This last aspect is particularly important, as the rules for selling a future asset will apply instead of those for construction contracts.

Practical implications for developers

  • Projects must be planned in stages, with transparent financial flows and complete cadastral documentation
  • Strict contractual and financial discipline: observing thresholds, dedicated accounts, and reception stages
  • Clear legal sanctions and liabilities for non-compliance

For lawyers and notaries working on such projects, the law provides a clear procedural framework, reducing legal uncertainty and strengthening their role in verifying and advising on off-plan transactions.

The law establishes concrete legal mechanisms for control and protection, eliminating overreliance on trust in developers. Developers will operate more disciplined projects, positively affecting financial stability and market credibility.

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