9.12.2021

Right to Appeal Building Permits Expands to Registered Associations as of December 2021

Registered associations will in future have the right to appeal building permits if the permit concerns a project that is subject to the Act on Environmental Impact Assessment Procedure. This amendment to the Land Use and Building Act (132/1999) entered into force on 1 December 2021.

The amendment is based on the formal notice issued by the European Commission to Finland stating that Finland has failed to transpose  several provisions of the Directive on the assessment of the effects of certain public and private projects on the environment (2011/92/EU).

What Has Changed?

The right to appeal a building permit now also applies to registered associations whose purpose is to promote the conservation of the environment, health or nature.

However, the expanded right of appeal only applies to buildings in projects that are subject to the Act on Environmental Impact Assessment Procedure.

In other words, the environmental impacts of the project must have been subject to an environmental impact assessment procedure. The right of appeal in building permit procedures concerns all buildings that are part of the project subject to the environmental impact assessment.

For example, the building permit for a major industrial facility located in an industrial park or the building permit for an individual wind turbine that is part of a wind park project could fall under the expanded right of appeal.

The right of appeal also includes the right to make a request for an administrative review. The right to make such a request is determined on the same grounds as the right of appeal. A decision made on the basis of a request for an administrative review can be appealed.

It is worth noting that the grounds for an appeal by an association are limited to the field of operation defined in the association’s by-laws, and the building in question must be located in the association’s area of operations.

What Impacts Will the Amendment Have?

The amendment will expand the pool of potential appellants and could, therefore, delay a building permit from becoming final. Construction cannot, as a rule, be started before the permit is final, and an appeal process could delay the implementation of the project.

Parties applying for building permits still have the right to apply to the permit authority for the right to commence, based on which the construction work can be performed partially or in full against placement of a security prior to the building permit being final. In such case, commencing construction work means taking the risk that the appeal authority could later overturn the permit decision. Further, while an appeal is pending, an appeal authority may also prohibit the enforcement of the permit decision.

Latest references

We acted as legal adviser to Banyan Software on its acquisition of Carus Ferry, a Finland-based provider of reservation, check-in and port operations software for ferry and passenger shipping operators. The acquisition further strengthens Banyan Software’s presence in the Nordic region while providing Carus with a long-term partner to support its continued growth and development. Carus was founded in 1998 and is headquartered in Mariehamn on the Åland Islands, Finland. The company develops mission-critical software for ferry, cruise and passenger shipping operators, covering the full passenger journey from booking and ticketing to capacity management, check-in and boarding. Carus also provides port automation, onboard sales systems and business information tools. The company serves approximately 30 operators across four continents and is the largest vendor by customer count in ferry reservation and departure control. Banyan Software is an acquirer and long-term operator of mission-critical software businesses serving specialised industries. Founded in 2016, Banyan follows a buy-and-hold-for-life approach and supports the long-term growth and development of its portfolio companies. Banyan operates more than 130 portfolio companies across North and South America, the United Kingdom, Europe and APAC. Following the acquisition of Carus, Banyan operates three businesses in the Nordic region.
Case published 20.10.2026
We advised Move Energy as an investor in connection with the combination of 3North Partners Plc and Steady Energy Oy and the related private placement and initial public offering of the combined company on Nasdaq First North Growth Market Finland. In connection with the transaction, 3North Partners received approximately EUR 69.8 million in investor commitments from a group of institutional and other investors, including Move Energy, to fund the combined company. Steady Energy is a Finnish nuclear technology company developing a new generation of small modular reactors (SMRs) particularly suited for district heating. Its LDR-50 reactor is designed to provide cities and utilities with a scalable and low-carbon alternative to combustion-based heat production.
Case published 19.10.2026
We advised Efima Oyj on the sale of its AI business to Better Care Technologies Oy. The transaction included Efima’s Moiva AI platform developed for the care sector, the related technology and brand, customer contracts, and the experts working in the business. Efima is a Finnish digital company that supports the sustainable growth of large and mid-sized companies by streamlining their business processes and by creating competitive advantage through the innovative use of artificial intelligence and data. The company has nearly 200 experts based in Helsinki and Tampere. 
Case published 21.9.2026
We advised Neoen Renewables Finland Oy, part of the French Neoen Group, in its sale of a data centre project to a consortium consisting of international data centre developers and operators. This marked Neoen’s first data centre development project in Finland. Founded in 2008, Neoen is one of the world’s leading independent renewable energy producers. The company operates in 15 countries. It develops, finances, builds, owns, and operates solar power plants, wind farms, and battery storage systems. Neoen Group is owned by global alternative asset manager Brookfield Corporation.
Case published 17.9.2026