The Subject of the Dispute: Disposal Concepts and Valuation
Most disputes over acquiring property from state property begin in the conceptual apparatus. The Law on State Property treats as disposal the transfer to a municipality, privatization, transfer of the right of management, exchange, leasing, distribution and destruction, while privatization proceeds through auction, direct sale and gratuitous transfer. The first question in understanding the dispute is precisely this: which transaction was concluded and whether it conformed to these forms.
The second contested zone is valuation: the initial privatization amount is the minimum value of the property to be transferred, while the privatization price is defined as the sum payable by the acquirer, composed of the privatization revenue and, where applicable, other payable sums. The procedure for determining the price and the initial amount is approved by the Government of Georgia, and the normative price of non-agricultural land, taking market value into account, is set by the municipal assembly — these two layers frequently become the object of the dispute simultaneously.
The practical anatomy of the dispute requires one more layer: to which stage the revealed defect belongs — the decision on disposal, the transaction itself or the payment process. In the first case the legality of an administrative act is contested; in the second, the contractual conditions and their performance; in the third, the deadlines and the calculation. Different stages demand different forms of dispute, and confusing them pointlessly prolongs the case before every instance.