ARTICLE
10 September 2012

The Condominium - To Every Silver Lining There Is (Or Maybe) A Cloud!

FF
Fenech & Fenech Advocates

Contributor

Fenech & Fenech Advocates is the longest standing law firm in Malta, and its foundation traces back to 1891. This makes Fenech & Fenech a legacy firm with unparalleled experience in legal services in Malta. Today, the firm stands as a full-service legal provider, offering an almost complete spectrum of legal services. The firm’s heritage ensures proven experience in traditional fields of law, but it is also at the forefront of legislative developments, providing effective and value driven solutions to its diverse range of local and international clients. The lawyers at Fenech & Fenech Advocates are experts in their respective fields, ensuring sharp and timely results across all practice areas. The firm offers services in Aviation and Aircraft Finance, Banking, Company Law, Competition, Commercial & Corporate, Finance & Capital Markets, E-Commerce, Entertainment and Hospitality, Data Protection & Privacy, Employment, Finance, Financial Services, iGaming, I.T., TMT & Telecoms, Insurance, Intellectual Property
"The façade is fine, it does not need a face lift"; "you always choose the most expensive service providers-I refuse to pay that kind of money!"; "Speak to my landlord, I am only renting"; "my ceiling is ruined thanks to your insufferable drains, here’s the bill!"– Sound familiar? These are but a few of the perks of life as a condominus!
Malta Real Estate and Construction

"The façade is fine, it does not need a face lift"; "you always choose the most expensive service providers-I refuse to pay that kind of money!"; "Speak to my landlord, I am only renting"; "my ceiling is ruined thanks to your insufferable drains, here's the bill!"– Sound familiar? These are but a few of the perks of life as a condominus!

Living within a condominium is easy, manageable and seemingly in sync with the modern pace of life, or so say the innumerable blocks/complexes of apartments sprouting on every corner of the island. However living within a condominium also signifies the acceptance of surrounding oneself with neighbours-more often than not strangers-who have to each participate in the administration of the condominium and thus allocate funds for the upkeep of the common areas.

According to the condominium act, common parts generally include the lifts, shafts, parts used as a reception, washroom, wells, cisterns, drainage pipes, installations for water, gas, electricity, heating (until these branch off to the exclusive property of the condominus), external walls, roofs, stairs, entrance door, courtyards and the list goes on. The common areas are presumed to be divided equally between the owners of the various separate units and must be kept in good order; so that whenever and if ever something goes wrong, each condominus must contribute to putting it right. And it is here that the hiccups begin. Though each condominus has an invested interest in the maintenance of the property, contributing to this does not always augur well with all the residents and since, according to law, decisions relating to the common areas require the consent of the condomini, there may be instances where little or nothing gets done because of a disagreement between same.

Furthermore, there are instances where condomini unfortunately and immaturely use their share of the maintenance as a bargaining tool to get their way, and the annoying thing about this is that they sometimes do get away with it.

In 2001 the Condominium Act came into force to try to curb disagreements and promote co-operation between neighbouring condomini. It caters for and regulates the common parts, indicates clearly who owns these and how they are to be kept, how costs are to be apportioned, what, when and how alterations can be made, the remedies available to the condomini in the event of a disagreement or dispute, the importance and obligation of appointing an administrator and the list goes on. The law encourages proper interaction between the condomini so that any problems which may arise between same are addressed and in the event that these are not settled, the matter may be referred to arbitration, for a quick outcome. Therefore this law promotes the 'good neighbourliness' which has been recognised by Maltese Courts, whether neighboring condomini like it or not.

It is interesting to note that certain provisions of the Condominium Act take precedence over any other agreement which may exist between the condomini; condominus and contractor; condominus and landlord or any other agreement. To give a quick example, if one's neighbouring condominus decides to incur expenses without being given the consent to do so by the administrator or the meeting (of condomini) as the case may be, then the said condominus shall not be entitled to be reimbursed for the said costs, unless these were of an urgent nature. If no agreement is reached on the urgency of the costs, the matter shall be referred to arbitration.

What happens if the neighbouring condominus is a tenant – what rights and obligations does he have? It is firstly important to point out that the tenant's relationship with the Landlord is governed by the lease agreement, provided always that certain provisions therein do not run counter to the mandatory provisions referred to above and which form part of Condominium Law. Tenants are entitled to be present at meetings of the condomini and express opinion on any matter effecting the enjoyment of the common parts. Moreover, if a tenant wishes to erect a facility to mitigate a problem of mobility at his own expense, however is stultified from doing so by other condomini or the landlord, the tenant has the right to refer the matter to arbitration. It is interesting to note, however, that if the expense is incurred, the tenant cannot, as most commonly happens, demand that such expense be reimbursed by the landlord. Furthermore, unless otherwise agreed with the landlord, a tenant shall be responsible for the preservation, maintenance and ordinary repairs for the enjoyment of the common parts; the extraordinary repairs shall be the responsibility of the landlord.

Whilst only a fraction of the tensions commonly associated with tenants and neighbours within a condominium have been outlined, one thing is for certain – man will always have neighbours and neighbours will always be man; and while living with and surrounded by others has its perks, these sometimes come at a price; to overcome the potential hurdles with neighbouring condomini, it is essential to keep in mind three key ingredients-communication, co-operation and good will. When all else fails, one can always turn to arbitration or court.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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