Owners Association

On September 28th, 2018, Law no. 230/2007 on the establishment, organization and functioning of the owners associations, as well as the Government Decision no. 1.588 / 2007 for the approval of the Methodological Norms for the application of Law no. 230/2007 on the establishment, organization and functioning of the owners associations, were abrogated by Law no. 196/2018 on the establishment, organization and operation of the owners associations and the management of condominiums, a law which will regulate from its entry into force the establishment, organization and operation of the owners associations.

If, in the old law, an act of alienation for an immovable property situated in a condominium without a certificate from the owners association proving the payment of up-to-date contributions to the costs of the owners association was legally invalid, respectively the contracts were absolute null, Law no. 196/2018 sanctions the same conduct with relative nullity, stating that “the alienation certificates authenticated by the public notary with the failure to comply the provisions (…) are cancellable”. The request for a declaration of cancelling a voidable contract shall be prescribed within three years.

The provision relating to the remuneration of the President of the Owners Association and the members of the Executive Committee remained unchanged from the old regulation, as well as that relating to their liability for damages caused to owners or third parties.

The mentioned provisions are in force on 28.09.2018. To update the information please contact us.