Decision Making in Communities of Owners: Voting and Legal Requirements.
How many votes are needed to install a lift, We want to paint the façade of the building, what vote is required? My neighbour wants to install solar panels in his attic, What vote is required? What vote is required for a legal claim against the defaulters?
These questions are frequently asked by homeowners to their property manager.
Owners’ associations are a fundamental part of life in residential buildings and complexes. In these communities, owners are faced with a variety of decisions affecting the management and maintenance of the building. From the installation of lifts to the painting of facades, decisions are made through voting.
In this article, we will explore the different types of votes and the legal requirements that govern these processes in homeowners’ associations.
Participation Quota and Property Coefficient:
Before diving into the different voting processes, it is essential to understand two fundamental concepts that affect decision-making in a community of owners: the participation quota and the property coefficient.
In this article, we will explore the different types of votes and the legal requirements that govern these processes in homeowners’ associations.
Participation Quota: The participation quota is used to determine the number of votes each owner has in community decisions. The higher an owner’s share, the more influence he or she has in decision-making. This share is based on factors such as the size and location of the property.
Ownership Coefficient: The ownership coefficient is used to determine the proportion of expenses that each owner must bear in relation to the total expenses generated by the property. If a homeowner has a higher ownership ratio, he or she will bear a greater share of the expenses, which may influence his or her vote on matters involving expenses or investment of resources.
Estos dos conceptos son fundamentales para entender cómo se distribuye la responsabilidad y el poder de decisión en una comunidad de propietarios. Proporcionan un sistema de equidad que garantiza que aquellos con más inversión en el edificio tengan un mayor peso en las decisiones.
2. Types of Voting:
Now that we understand the key concepts, let’s examine the different types of voting in homeowners’ associations:
Painting the Façade of the Building: For decisions related to maintenance and aesthetic improvements, such as painting the façade, a simple majority is required. This means that the favourable vote of half plus one of the owners representing half plus one of the participation quotas is required.
Installation of Solar Panels in the Attic: Similar to the installation of lifts, the installation of solar panels in the attic requires a qualified majority, i.e. three-fifths of the total number of owners representing three-fifths of the participation quotas. This ensures that decisions relating to significant investments receive strong backing.
Legal Reclamation of Defaulters: In cases of legal measures, such as legal reclamation of defaulters, no specific voting threshold is established in the Horizontal Property Law. In general, a simple majority at a community meeting will be required to authorise legal action. It is important to consult with a legal professional or community administrator to ensure that proper procedures are followed.
3. Double Voting:
Finally, it is important to note that when there are owners with a significantly higher participation quota than the rest, they are given two votes instead of one. This is because owners with a higher share of ownership assume greater responsibility for the maintenance and upkeep of the building. Double voting is used in both ordinary and extraordinary votes to recognise this additional responsibility.
How many votes are necessary to install a lift in a community of owners?
Scenario A) At the request of a single owner: Installation of a lift in homeowners’ associations
In homeowners’ associations, the installation of a lift can be an issue of great relevance and improvement of the quality of life, especially for those residents with reduced mobility or of advanced age. In this article, we will explore the procedure for the installation of a lift in a condominium building in two key situations.
1. The request of a single owner:
Article 10.1 b) of the Horizontal Property Law (LPH) establishes that a single owner has the right to request the installation of a lift in a building owned by him. However, there are certain conditions that must be fulfilled for this request to be valid:
a. Age or disability of the applicant owner: The owner who wishes to apply for the installation of a lift must be over 70 years of age or have a disability that makes it difficult or impossible for him to access his home. This condition is established to ensure that the installation of the lift is really necessary to improve the accessibility of a resident in a vulnerable situation.
b. Annual affordable cost: The cost of the installation of the lift must be affordable for the rest of the owners in the community. According to the LPH, after deducting any available public subsidies or grants, the amount passed on annually to the rest of the owners must not exceed 12 ordinary monthly payments of common expenses. This ensures that the financial impact on the community is reasonable and does not cause unnecessary hardship.
c. Possibility to assume the difference: If the cost of the installation of the lift exceeds 12 ordinary monthly payments of common expenses, the requesting owner has the option to assume the payment of the difference. In this case, the installation of the lift can be carried out, and the applicant will be
Assumption B) By majority agreement of the owners: Modification of the articles of association or bylaws for the installation of a lift.
Article 17.2 of the Horizontal Property Law (LPH) establishes a process by which the installation of a lift in a community of owners can be carried out through a majority agreement of the owners. This agreement may involve the modification of the constitutive title or the statutes of the community. The key conditions for this procedure are as follows:
a. Majority of owners: The agreement for the installation of a lift, which includes the modification of the constitutive title or the statutes, must have the favourable vote of the majority of the owners. This means that a majority of the owners present or represented at the owners’ meeting must be in favour of the agreement.
b. Majority of participation quotas: In addition to having a majority of owners in favour, the agreement must also represent a majority of the participation quotas in the community. This ensures that the owners who own a significant part of the property in the building agree to the installation of the lift.
In this context, amendments to the title deeds or the community statutes can be made to allow for the installation of the lift, provided that the necessary majority support is obtained.
This democratic and consensus-based approach seeks to ensure that important decisions in the community of owners, such as the installation of a lift, are taken fairly and in the interest of the majority.
Conclusion:
Both single-owner request and majority agreement of owners are two ways established by the Horizontal Property Law (LPH) to address the installation of lifts in homeowners’ communities. Both approaches seek to balance the needs of accessibility and quality of life with consideration of economic aspects and the consensus of the community of owners. The choice of one or the other method will depend on the circumstances and preferences of the community in question.
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Voting to paint the facade of the building in a community of owners:
Painting the façade of a building is an important maintenance task. Votes to decide on this type of work are generally governed by the following majorities:
Simple majority vote: In order to carry out painting work on the façade of the building or common repairs that do not involve significant changes to the structure, a majority of participation quotas is required. In other words, the support of the owners representing the majority of the participation quotas is required, but not necessarily unanimity.
Unanimous vote: If the façade painting work involves major structural modifications or substantial changes to the appearance of the building, the unanimous agreement of all owners is likely to be required.
Voting for the installation of solar panels on an attic in a community of owners:
The installation of solar panels on an attic is often considered an improvement that can affect the appearance of the building and its operation. Therefore, voting for this installation is also governed by the following majorities:
Simple majority vote: If the installation of solar panels does not involve significant structural changes or does not adversely affect the aesthetics of the building, a majority of participation fees will be required for approval.
Unanimous vote: If the installation of solar panels substantially affects the appearance of the building or requires major structural modifications, the unanimous agreement of all owners is likely to be required.
Voting for the judicial claim against defaulters in a community of owners:
What vote is needed to take legal action against a defaulter?
The judicial claim against defaulters requires a simple majority vote in a community of owners.
According to article 9.1.e) of the Horizontal Property Law, all owners must contribute to the general expenses necessary for the proper maintenance of the property, its services, charges and responsibilities that are not susceptible to individualisation. This includes the expenses related to the judicial claim against defaulters.
Conclusion:
Voting in a community of owners is governed by different majorities, ranging from unanimity to simple majority, depending on the importance of the decision and its impact on the community. It is important to know these majorities and to respect them in community meetings in order to make valid and fair decisions for all owners.
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