Collection of Common Expenses

Many people living in condominiums are wondering what is the real punishment that can be applied to any neighbors who repeatedly and consistently do not pay the common expenses of the community. Here are a few things:

Penalty for non-payment of common expenses.

It's no mystery that the money that funds the condominium common expenses is what allows the operation. Usually, one of the biggest issues facing the condominium administrator is the default in the payment of common expenses. This situation is so complex that may mean the cessation of operation of basic services such as electrical services, potable water, etc.., The devaluation of property, seizure of common goods, among other problems. We must understand that the timely payment of common expenses in a community is an obligation of each owner on your property. Without the payment thereof, a community simply can not function as a result of the administration can not meet a number of obligations of the community and which are of paramount importance. The importance of common expenses for a community is of such magnitude, which is not too much to assimilate with the taxes for a state. It's so important the above statement, which did not hesitate to assimilate such a contingency, for example, we do pay taxes for all citizens of the state.

Professor Catalina García Vizcaíno tax experts regarding the question why we pay taxes replies: "... because the State has the need to provide resources to meet needs (explanation of an economic-financial) ...". Thus, we conclude that some of the relevant monies are entering a community by way of common expenses. So addressing the need to modify the statute governing this matter in the real estate co-ownership. The Act states in paragraph 3 of Article 5 ° the penalty can be applied to those who do not pay the common expenses, states: "The ownership regulations may authorize the administrator, with the agreement of the Administration, suspended or requires the suspension of electric service supplied to those units whose owners are delinquent in paying fees of three or more continuous or discontinuous, common expenses. ".

First, we must recognize that our law has innovated in a highly innovative in this regard. The laws of the region, like Argentina or Colombia, sanctions have not established similar entity within its provisions. It is possible, warning that the greatest delinquent co-owners for common expenses (in legislation in comment), whether the respective documentation indicating non-payment of the same, please be enforceable, or in general that may be subject to proceedings expedite litigation that the common or ordinary. This is also used in our legislation, since the Act gives right of execution to the notice of collection of such common expenses signed by the administrator. Nevertheless, our legislation as has been warned, has a successful penalty as is the suspension of electricity supply in certain circumstances. Experience shows that making effective use of this authority granted by law, delinquent co-owners generally, adopt an active position as to catch up on their payments. Despite the important innovation that meant the inclusion of that rule, we should note that we answer the need to integrate other measures, no more burdensome for it to tackle what we describe as the biggest problem facing today's building communities.

The solutions we propose in order to achieve a reduction in delinquencies in the payment of common expenses are:

(A) A first step in what we have pointed out, framed within the possibility of exercising publicity measures against those delinquent co-owners. Colombian Law on Horizontal Property, despite not provide for sanctions such as that contained in the Chilean Law, Article 30 on Non-payment of expenses, gives a remarkable precedent in this regard: "The delay in implementing the payment of expenses, will accrue interest on arrears, equivalent to one and half times the current bank rate, certified by the Superintendency of Banks [...]. As long as this failure, this situation may be published in the building or group. The Minutes of the Meeting include homeowners who are in arrears. PAR? GRAFO. The publication referred to in this Article may only be done in places where there is constant traffic of visitors, guaranteeing due knowledge on the part of the co ... ". Leaving aside the constitutional argument that this might bring, we believe that the solution delivers about Colombian law is fully applicable in our country. We must bear in mind that the article mentioned, prevents be questioned constitutional basis, since it warns that such notices may only be placed in low traffic areas of outsiders into the condo.

In general, we say that our country is common in some condominiums that practice itself is used as a means of warning for the co-owners, however, in our view, while there is no express statutory regulation in this sense, this practice will continue keeping the edge of legality.

(B) A second possible solution to reduce the high rate of delinquencies that usually occurs between co-owners, we believe is the possibility that the law establishes greater powers to the Committee of Directors or the administrator itself. These attributes can include, for example, deny the possibility of temporarily using public spaces to the investors who do not pay common expenses. This deprivation should be understood, in our view, in the enjoyment of such recreational facilities, cutting gas supply at certain times of day, among others.

Finally, a problem with the payment of common expenses in buildings, and has no other solution than to change the legal text, is related to the non-existent real estate obligation to pay at least the first two months of common expenses . These expenses will fall under they own at first much of the departments. It usually happens that the real estate have no incentive to pay these first months, since the law provides no penalty for them in that case. Clearly, the first payment of common expenses are really necessary to begin work an apartment building, and in that sense, it is urgent urge a drastic change in the legislation aimed in that direction.

Miguel? Angel Guerrero Merino

Partner

Common Expenses Collection Ltd

http://www.cobrogastoscomunes.cl/inicio.php

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