Differences between exclusive rights over the apartments and rights over buildings

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1.  Please, explain briefly but as clearly as possible the scope of the rights relating (exclusively) to the apartments and the ones relating to the building or to the communal elements owned jointly.

As for ownership of apartments as separate parts of the real property, it is important to emphasise that an apartment owner is the exclusive owner of the separate part, where other apartment owners in the same building have no ownership rights.

However, the ownership of condominium units is inextricably linked with the co-ownership of the building as a whole, where the share of co-ownership is either precisely defined or is presumed to be equal for all.  With regard to common parts and devices in buildings, all owners of separate parts are also co-owners of those common parts.

This means that an apartment owner may sell, encumber or inherit their apartment (or the whole co-owned part of the real property) independently of other condominium units owners in the same building.

(EU Adapt project):

2.  Describe the powers of each unity owner regarding:

(EU Adapt project)

a) the use of the individual unit and common areas

  • fruits and other benefits derived from the entire thing, pro rata to the size of their co-ownership shares (Article 38 (2) AO)
  • require at any time the settling of accounts and the division of all benefits (Article 38 (3) AO)
  • is authorised to protect the thing (Article 46 AO)

Powers regarding the use of the individual unit – Title 4, Section 3, Articles 79 – 84 AO

Powers regarding the use of the whole property – Title 4, Section 4, Articles 85 – 93 AO

WHOLE PROPERTY:

Article 88 AO stipulates that each co-owner of real property is authorised, independent of others, to request the court to determine in a decision:

  • a deadline within which one of the activities referred to in Article 86 of this Act should be carried out, regarding which a decision was passed by a majority vote,
  • the creation of reasonable joint reserves or a reasonable increase, that is, decrease of the reserves determined by a majority vote in line with the rule that in determining reserves and contributions for the reserves, next to foreseeable expenses, the proprietary situation of all co-owners should be taken into account,
  • that the co-owner, if he should not be able to pay a part of the costs for the job of maintaining the real property as a whole which takes place at intervals longer than one year, and which is not covered by the reserves, is to be permitted to pay such amount in monthly instalments over a period not longer than ten years, and that such payment should be secured by a mortgage against his co-ownership share, with the usual rate of interest that is imposed on a debt secured by a mortgage,
  • the conclusion of reasonable insurance against fire or third-party liability,
  • the appointment of a joint administrator or replacement of the administrator grossly violating his duties,
  • the repeal or amendments to the provisions of the house rules that were passed by a majority vote if they are offensive to the protection-worthy interests of the co-owner or if it would be unfair to impose on him the performance of such provisions,
  • the cancellation of a lease contract regarding a place in the joint garage or parking lot, because of the needs of such co-owner, but only if he is at the same time the owner of a particular part of the building.

INDIVIDUAL UNIT:

All powers as if they were the owner:

  • all fruits and other benefits (Article 79 (2) AO)
  • maintenance of the particular part at their own expense (Article 80 (1) AO)
  • care and maintenance of such particular part so that other co-owners do not suffer any damages (Article 80 (1) AO)
  • authority to require material compensation (Article 80 (3) AO)
  • carrying out any modifications, including changing the purpose of the object, at their own expense (Article 82 AO)
  • authority to require rectifying damages (Article 82 (4) AO)
  • authority to require reasonable security from other co-owners if there is serious danger of damages (Article 83 (1) AO)
  • bears all public obligations and burdens relating to the ownership of such part (Article 84 AO)

Additionally, Article 66 (4) stipulats that, where ownership of a particular part of real property is established on one of its co-owned parts, legal relations regarding the real property are governed by particular rules in this Title of the Act, and subordinately by the general rules on co-ownership.

b) the management  of the individual unit and common areas. 

Powers regarding the administration of the individual unit – Title 4, Section 3, Articles 79 – 84 AO

Powers regarding the administration of the whole property – Title 4, Section 4, Articles 85 – 93 AO

3.  Can a unity owner freely transfer the right?

Has all authority as if they were the owner.

Article 79 (1) AO stipulates that any co-owner on whose co-ownership share the ownership of a specific particular part of real property is established administers the particular part in place of all co-owners, where he is authorised to perform all owner’s powers and duties as if the particular part were his sole property and, unless provided otherwise, to do with such part as he sees fit and to exclude everyone else from it.

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