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Legal Articles

Law firm Vaić & Dvorničić Ltd. > Legal Articles (Page 2)
04 February
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Obligations of real estate lessors in Croatia

Posted by Admin
in Real estate law, Tenancy law

Given the rich tourism industry, which represents 1/5 of Croatia’s GDP, the owners are making the most of their properties by putting them in profitable use by short term rentals to tourists during the season. This article aims to present the methods of registration, taxation and administration for getting the most from the tourist lease. The Law on the hospitality provides simplified requirements for small lessors, who can offer the following domestic hospitality services: rooms, apartments or vacation houses leasing services, with the capacity up to 20 beds; camp leasing services with the capacity up to 10 units, but no more than 30...

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23 January
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Real estate tax

Posted by Admin
in Real estate law, Tax law

Croatia, with approximately 3.87 million inhabitants, has over 2.4 million housingunits, including 600,000 unoccupied ones and 231,000 holiday homes. These figuresand the issue of long-term housing availability have prompted the government todraft a new Real Estate Tax Act. The primary aim is to reduce the tax disparitybetween income earned through labor and rental income, as rental income has sofar been taxed more favorably. This act, part of a broader tax reform, focuses onencouraging investment in productive sectors rather than solely in real estate. Thegoal is for this tax to completely replace the holiday home tax. Key changes The first change involves the...

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18 January
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New act on building management and maintenance

Posted by Admin
in Tenancy law

The new Act on Building Management and Maintenance introduces a range of measures aimed at improving the condition of multi-apartment buildings in Croatia, many of which are poorly maintained, causing numerous problems for co-owners, including financial difficulties. Since the Act on Ownership and Other Real Rights came into force in 1997, there have been no detailed legal regulations for building maintenance. Instead, its rules were supplemented by the Regulation on Building Maintenance, which addressed only some aspects of maintenance. These previous provisions have proven legally inadequate and unsuitable for the complex issues of building management. The new act aims to establish...

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18 January
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Amendments to the foreigners act

Posted by Admin
in Administrative law, News

The draft proposal for amendments to the Foreigners Act was open for public consultation from February 28 to March 14. The purpose of these amendments is, among other things, to align with the new EU Blue Card Directive, which aims to facilitate the arrival of highly skilled labor. Additionally, the goal is to increase the efficiency of employing foreign workers, better regulate employment conditions for foreign workers, protect domestic workers, ensure the return of emigrated Croatian citizens, and secure the necessary workforce for the economy. The law entered into force on March 15th, 2025. Changes The validity period of residence and work...

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17 January
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Digital services of the financial agency (FINA)

Posted by Admin
in Administrative law, Commercial law

Commercial services FINA (Financial Agency) is a Croatian state institution that provides a wide range of services in the fields of finance, accounting, and public services, aiming to improve the business environment and promote economic stability. It was established to ensure transparency and efficiency in the financial sector. FINA also facilitates the digital transformation of businesses through innovative services such as e-Signature, e-Archive, and e-Invoice. These services help entrepreneurs and public institutions comply with regulations, reduce paperwork, and enhance the security of business processes. FINA contributes to the modernization of administrative tasks, enabling faster and more efficient business management while increasing...

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17 January
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Digital services of the financial agency

Posted by Admin
in Administrative law, Commercial law

Public services FINA (Financial Agency), a Croatian state institution providing services in finance, accounting, and digital business, aims to modernize and improve the business environment. It offers tools such as e-Signature, e-Archive, and e-Invoice, which facilitate compliance with regulations, reduce administrative burdens, and increase business security. In line with digitalization, FINA is developing comprehensive digital public services, which will be discussed further below. Digital services – public services The Register of Annual Financial Statements (RGFI) is a public service that provides access to the financial statements of business entities in the Republic of Croatia. Through this register, annual and consolidated financial statements, audit...

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18 December
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Creditors with the right of separation in bankruptcy proceedings

Posted by ja4my
in Bankruptcy law

We aim to lead in each practice and area of law we work in. Coming from in-depth understanding of the law and the industry, capitalizing on extensive experience, we provide hands-on advice that speaks the language of our client’s business. Whether in aviation, sales and distribution, antitrust, corporate and M&A, finance, employment, energy, IP, litigation, TMT, real estate, or any other area of law, our clients can expect excellence and commitment to their objectives. Ensuring the operational functioning of the organisation, the development of external relations, management of press relations and constant communication with the press....

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21 November
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Blank debenture as a means of securing a claim

Posted by admin
in Commercial law, Contract law, Enforcement law

Blank debentures are one of the instruments for securing monetary claims within the legal system of the Republic of Croatia. A blank debenture is a private document issued by the debtor and certified by a notary public, through which the debtor grants permission to the creditor to collect the owed amount in the event of a failure to fulfill obligations arising from the contractual relationship secured by the debenture. Blank debenture – specifics A blank debenture is a private document certified by a notary public through which the debtor consents to the seizure of all their bank accounts for the purpose of...

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14 November
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Termination due to employee misconduct

Posted by admin
in Labor law

Termination due to employee misconduct is a type of regular termination as prescribed in Article 115 of the Labor Act. It can be issued to an employee if the employer has a valid reason, such as when the employee violates their obligations under the employment relationship, or when the employee fails to follow the employer's instructions, as the employee is obligated to personally perform the work they have undertaken according to the employer's instructions, given in accordance with the nature and type of work. The Labor Act does not explicitly define what constitutes a breach of obligations under the employment relationship...

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14 November
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Personal-conditioned termination

Posted by admin
in Labor law

Personal-conditioned termination is a type of regular terminaton which is regulated under Article 155 of the Labor Act. It allows the employer to protect themselves from the negative consequences of the employment contract when an employee, through no fault of their own, is unable to perform their job duties properly. This type of termination is applicable when an employee is incapable of fulfilling their duties due to permanent changes in their abilities or characteristics that prevent them from doing so. For a decision of personal-conditioned termination to be valid, two key conditions must be met: first, the employee must be unable...

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