A real estate partnership agreement between co-owners of land cannot limit transferability for over five years

Four families jointly purchased land and the real estate partnership agreement related to a certain part of the land set that it belongs to two of them and, where one wishes to sell its share, it will be required to grant the other the right of first refusal. Over forty years later, the land had not yet been recorded in any of their names and one of the families wished to sell its portion to a third party.
The Court held that the commitment to the right of first refusal is binding. The existence of a stipulation in the real estate partnership agreement, which revokes or limits the right of a co-owner of land to transact with his share, without the consent of the other, is limited to a period of five years. Here, the partners indeed purchased the land over forty years ago, but because the purchase was never duly recorded at the land registry they are only holding a contractual right thereto. Thus, the five-year restriction under law does not apply and the contractual commitment to the right of first refusal should be upheld.