The article is about the legal character of the institution of forfeiture (article 412 of the Civil Code). It aims to determine the character (civil or criminal) of this institution. It demonstrates the purpose of the regulation and the history of its development. It shows the perceived character of article 412 of the Civil Code in several periods, and presents a detailed analysis of the expression doctrine of individual periods relating to forfeiture. Particular attention is paid to the mechanism of action of the institution, its similarity to forfeiture as known in criminal law. Establishing the nature of the provision is based primarily on functions and purposes of the forfeiture provision.