Condominium Ownership Management Act

Condominium Ownership Management Act

Promulgated, State Gazette No. 6/23.01.2009, effective 1.05.2009, amended and supplemented, SG No. 15/23.02.2010, amended, SG No. 8/25.01.2011, effective 25.01.2011, amended and supplemented, SG No. 57/26.07.2011, amended, SG No. 82/26.10.2012, effective 26.11.2012

Text in Bulgarian: Закон за управление на етажната собственост

Chapter One

GENERAL DISPOSITIONS

Section I

Subject

 Scope

Article 1. (Supplemented, SG No. 57/2011) This Act shall regulate public relations involving the management of common areas of buildings under condominium ownership arrangements and the rights and obligations of the owners, users and occupants of individual dwelling units or parts thereof.

Special Arrangements for the Management of Common Areas

Article 2. (1) The management of common areas of buildings under condominium ownership arrangements in closed-type residential complexes shall be agreed by written contract with notarially certified signatures, concluded between the investor and the owners of individual units.

 (2) (Supplemented, SG No. 57/2011) The contract referred to in Paragraph (1) shall be registered by the developer in the Registry Agency in the record of each individual unit and its validity shall be carried over to any persons to whom the unit is subsequently transferred.

Exceptions

Article 3. (Amended, SG No. 57/2011) The provisions of Article 30, Paragraph (3), Article 31, Paragraph (1) and Article 32 of the Ownership Act shall apply to the management of common areas of buildings under condominium ownership arrangements with up to three individual units, where the units belong to more than one owner.

Designation of Adjoining Area

Article 4. (1) The area adjoining a building shall be designated in the course of restructuring of neighbourhoods with residential complex developments and in cases where a building under condominium ownership arrangements cannot be designated as a separate regulated land plot under Spatial Development Act procedures.

 (2) In the cases referred to in Paragraph (1) the adjoining area shall be designated by the Mayor of the municipality on his or her own initiative or on request of the interested parties under procedures stipulated in an ordinance of the Minister of Regional Development and Public Works.

 (3) On designating the adjoining area the Mayor of the municipality shall issue an order, accompanied by a plan showing the boundaries and functional designation of the area.

 (4) The designated adjoining area shall be provided for maintenance and use by the respective condominium under conditions and procedures set out in a municipal council ordinance.

Section II

Rights and Obligations of Owners, Users and Occupants of Independent

Units or Parts Thereof

 (Title amended, SG No. 57/2011)

Rights of Owners, Users and Occupants

 (Title amended, SG No. 57/2011)

Article 5. (1) The owners of independent units in a building under condominium ownership arrangements, hereinafter referred to as “owners”, shall be entitled to:

 1. use the common areas of the building in accordance with their designation;

 2. participate in the management of the condominium.

 (2) (New, SG No. 57/2011) Users in a building under condominium ownership arrangements shall be entitled under Paragraph (1), Item 1 and able to participate in the condominium ownership management, except in the passing of decisions under Article 11, Paragraph (1), Item 7 and Item 10, letters “a”, “b”, “c”, “d”, “g” and “k”, unless agreed otherwise between owner and user.

 (3) (New, SG No. 57/2011) Unless agreed otherwise between owner and user and in case of difference of opinion between them participation in the voting shall be reserved for the owner.

 (4) (Renumbered from Paragraph (2), SG No. 57/2011) Occupants of a building under condominium ownership arrangements shall have the right referred to in Item 1 of Paragraph (1) and the right to participate in the management of the condominium in an advisory capacity.

Obligations of Owners, Users and Occupants

 (Title amended, SG No. 57/2011)

Article 6. (1) Owners shall be obliged:

 1. (Supplemented, SG No. 57/2011) not to obstruct the other owners, users and occupants from using the common areas of the building;

 2. not to cause damage to other sites and common areas of the building;

 3. not to occupy common areas of the building;

 4. (supplemented, SG No. 57/2011) not to engage in activities or actions in their individual unit or in any part thereof which cause inordinate inconvenience to other owners, users and occupants;

 5. not to engage in activities in their individual unit or in any part thereof which modify rooms, spaces or parts thereof, intended for common use and not to disturb the architectural appearance, load-bearing capacity, structural stability, fire safety or safe use of the building;

 6. to fulfil the requirements set out in the respective statutory regulations when keeping animals in their individual units and not to cause inconvenience to their immediate neighbours;

 7. not to infringe good manners;

 8. to comply with the decisions of the condominium management bodies;

 9. (amended, SG No. 57/2011) to pay the costs of repairs, reconstruction, redesignation and renovation of the common areas of the building, replacement of common installations or equipment and contributions to the Repair and Renovation Fund in a proportion corresponding to their undivided shares in the common areas;

 10. (amended, SG No. 57/2011) to pay the costs of management and maintenance of the common areas of the building;

 11. to comply with sanitary and hygiene standards;

 12. (amended, SG No. 57/2011) to provide access to their independent unit or part thereof for essential surveying, design, measurement, construction and assembly works related to maintenance, repairs, reconstruction, redesignation and renovation of common areas or of other rooms and for checking the condition of the installations and structural elements of the building;

 13. to provide assistance for firefighting or emergency rescue activities by the competent authorities inside the building and in the area around it;

 14. to compensate for any damage caused to other units in the building where such damage results from repairing damage to the owner’s own independent unit or part thereof;

 15. to use the common areas of the building in accordance with procedures set out in the condominium regulations;

 16. (amended, SG No. 57/2011) to enter the members of their households and occupants in the condominium book;

 17. to fulfil other obligations stipulated in the condominium regulations.

 (2) (New, SG No. 57/2011) The users of independent units in a building under condominium ownership arrangements shall have the obligations stipulated in Paragraph 1, except for those under Paragraph 1, Item 9, unless agreed to otherwise between owner and user.

 (3) (Renumbered from Paragraph (2), amended – SG No. 57/2011) The occupants of a building under condominium ownership arrangements shall have the obligations stipulated in Paragraph (1), with the exception of those set out in Paragraph (1), Item 9.

 Condominium Book

 (Title amended, SG No. 57/2011)

Article 7. (1) (Amended, SG No. 57/2011) A condominium book shall be organised, kept and maintained in each building or entrance under condominium ownership arrangements.

 (2) (Amended, SG No. 57/2011) Entries in the book shall include:

 1. the individual unit – purpose and built-up area;

 2. the undivided shares of the unit in the common areas of the building (as a percentage);

 3. the forenames, patronymics and surnames of the owner or user – in the case of natural persons and in case owner or user would be a legal entity or a sole trader – its name, BULSTAT code or Uniform Identification Code (UIC);

 4. forenames, patronymics and surnames of the household members, residing together with the owner and/or user;

 5. the periods when the persons under Items 3 and 4 are not using the individual unit;

 6. the forenames, patronymics and surnames of the occupants, temporarily staying at the unit on independent legal grounds for more than 30 days, the date of entry on and the date of removal from the register;

 7. the rights and obligations concerning the management of the common parts of the building, agreed between owner and user.

 (3) (Amended, SG No. 57/2011) Owners or users shall be obliged to record, within 15 days of acquisition of the right of ownership or use, in the condominium book the data under Paragraph (2), respectively any changes in circumstances. Occupants shall be obliged to register within the term under the first sentence the data under Paragraph (2), Item 6.

 (4) (Amended, SG No. 8/2011, effective 25.01.2011, supplemented, SG No. 57/2011) Access to data in the register shall be provided to the managing council (manager), the control board (controller), owners (with regard to their own data) and the authorities of the Interior Ministry, the Ministry of Regional Development and Public Works, the municipal or district administration and the Bulgarian Food Safety Agency, in compliance with the requirements of the Personal Data Protection Act.

 (5) (Repealed, SG No. 57/2011)

(6) (Amended, SG No. 57/2011) Owners, users or occupants shall register in a separate differentiated field of the condominium book any animals owned or admitted for rearing, which are taken to public areas and in the case of canines – also the serial numbers of their veterinary passports.

 (7) (Amended, SG No. 57/2011) The standard form for the condominium book, together with instructions on its organisation, keeping and maintenance, shall be endorsed by the Minister of Regional Development and Public Works.

Chapter Two

CONDOMINIUM MANAGEMENT

Section I

General Rules

 Scope of Management

Article 8. (1) (Supplemented, SG No. 57/2011) Management shall encompass the procedures and control over the use and maintenance of common areas and compliance with house rules in a building under condominium ownership arrangements, as well as control on the fulfilment of obligations by owners, users and occupants.

 (2) Where a building has more than one entrance, management may be implemented separately in each entrance.

Forms of Management

Article 9. (Amended, SG No. 57/2011) Condominiums shall be managed by a general assembly and/or association of owners.

Section II

General Assembly of Owners

Management Bodies

Article 10. Management bodies shall comprise the following:

 1. General assembly;

 2. Managing council (manager).

Powers of the General Assembly

Article 11. (1) The general assembly:

 1. shall adopt, amend and supplement condominium regulations;

 2. shall elect and dismiss members of the managing council (manager) and a cashier;

 3. shall elect and dismiss members of the control board (controller);

 4. shall adopt an annual income and expenditure budget and approve the annual reports of the managing council (manager) and of the control board (controller);

 5. shall determine the amount of cash contributions to the management and maintenance costs of the common areas of the building;

 6. (Repealed, SG No. 57/2011)

7. shall determine the amount of cash contributions to the Repair and Renovation Fund;

 8. shall adopt a plan for repair, reconstruction and redesignation works and other activities in the common areas of the building, including on implementation of measures prescribed in the technical certificate report or other prescriptions of the competent authorities and shall approve the annual report of the managing council (manager) on the implementation thereof;

 9. shall adopt amendments to the plan for repairs where unforeseen expenditure is incurred;

 10. shall adopt decisions in connection with:

 a) incurring essential or urgent expenditure on the maintenance or restoration of the common areas and beneficial expenditure and for determining the amount of expenditure required to implement the instructions in the technical certificate;

 b) letting or provision of common areas of the building free of charge in compliance with fire and accident safety standards;

 c) (amended, SG No. 57/2011) renovation of the building;

 d) undertaking preparatory actions to establish the right of use, construction, addition of an additional storey, extension or change in the designation of common areas in compliance with the requirements of acting special legislation;

 e) placing of advertisements or technical installations on the building;

 f) (supplemented, SG No. 57/2011) eviction of an owner, user or occupant from the building under the procedure set out in Article 45 of the Ownership Act for a certain period not exceeding three years;

 g) (amended, SG No. 57/2011) cases, when so required by regulatory acts regarding water supply, electric and heating power supply, gas supply, sanitary and hygiene norms and the provision of other services;

 h) establishing conditions for access of disabled persons to the condominium;

 i) use of the common areas of the building and the adjacent area in case of disputes and to ensure compliance with the condominium regulations and sanitary and hygiene standards;

 j) (repealed, SG No. 57/2011)

k) (New, SG No. 57/2011) interconnection of the building to the heating power transmission and gas supply network and discontinuing the heating power and gas supply to the condominium;

 l) (new, SG No. 57/2011) other issues, related to the management of the common parts;

 11. may adopt a decision to assign maintenance works on the common areas of the building to a legal entity or natural person in return for remuneration, also establishing the specific powers of the managing council (manager), which can be assigned for implementation by these persons;

 12. (amended, SG No. 57/2011) may adopt a decision on management of the common parts in order to receive:;

 a) loans for carrying out essential or urgent repairs;

 b) loans for funding beneficial expenditure;

 c) grants and subsidies;

 13. may adopt a decision to waive financial liabilities and defer or reschedule instalments;

 14. may authorise the managing council (manager) to adopt a decision to implement urgent repairs or incur urgent expenditure.

 15. (new, SG No. 57/2011) may adopt a decision not to elect a control board or a controller.

 (2) The general assembly shall not refuse to adopt a decision to incur expenses which are necessary for the maintenance or restoration of the common areas of the building.

 (3) The general assembly shall be obliged to adopt internal regulations in the condominium.

 (4) (Supplemented, SG No. 57/2011) Decisions adopted by the general assembly shall also be binding on any new owners, users and occupants of independent units in the condominium.

 (5) The Minister of Regional Development and Public Works shall issue model condominium regulations.

Initiative for Convening the General Assembly

Article 12. (1) The general assembly shall be convened at least once a year by:

 1. the managing council (manager);

 2. the control board (controller)

 (2) The general assembly may also be convened on request in writing by owners who have at least 20 undivided shares in the common areas of the building.

 (3) The request referred to in Paragraph (2) shall be addressed to the managing council (manager) which/who shall convene the general assembly within 10 days of its reception.

 (4) (Amended, SG No. 57/2011) When the managing council (manager) fails to convene the general assembly within the term referred to in Paragraph (3), the general assembly shall be convened by the owners under Paragraph (2) under the procedure, provided for by this Act.

 (5) (New, SG No. 57/2011) A general assembly may be convened by each owner or user in urgent cases or in case more than one year would have elapsed since the most recent general assembly held.

 (6) (Renumbered from Paragraph (5), SG No. 57/2011) In the case of new condominium ownership arrangements, the first general assembly shall be convened within six months of its establishment by owners of individual units who have at least 20 undivided shares in the common areas. Where the general assembly has not been convened within the aforementioned term, it may be convened by any owner or user.

Procedures for Convening the General Assembly of Owners

Article 13. (1) (Amended, SG No. 57/2011) The general assembly shall be convened by invitation signed by the persons, who are convening the general assembly, posted at a prominent and generally accessible location at the building entrance not later than 7 days prior to the date of the meeting, or at least 24 hours before the meeting in urgent cases. The date and hour shall certainly be marked on the invitation by the persons, who are convening the general assembly, of which a protocol shall be drawn up.

 (2) (Amended, SG No. 57/2011) Any owner or user who would not use his individual unit or who would be absent for more than a month, shall notify in writing the manager or the chairperson of the managing council, indicating an e-mail or an address for forwarding invitations for convening the general assembly, as well as a telephone number.

 (3) (Amended, SG No. 57/2011) Communication under Paragraph (2) of the convening of the general assembly may be effected by verbally announcing the content of the invitation, to be evidenced by signatures of the persons, who are convening the general assembly, or by delivery of the invitation to an address, including by e-mail, if such has been indicated.

 (4) (Amended, SG No. 57/2011) In case the person under Paragraph (2) would have failed to indicate an e-mail or an address for forwarding invitations for convening the general assembly or a telephone number, he shall be considered informed of the convening of the general assembly under the procedure of Paragraph (1).

 (5) (Amended, SG No. 57/2011) If the individual unit is municipal or state property, the mayor of the municipality or the respective body, to which management of the property had been assigned, shall notify in writing of the data under Paragraph (2) the manager or the chairperson of the managing council. In such a case the provisions of Paragraphs (3) and (4) shall apply.

 (6) (Repealed, SG No. 57/2011)

(7) The invitation shall indicate the agenda, date, time and location of the general assembly.

 (8) Except in urgent cases, a general assembly shall not be convened during:

 1. (repealed, SG No. 57/2011) ;

 2. days declared as official holidays;

 3. days declared as holidays by the Council of Ministers;

Representation at the General Assembly

Article 14. (1) (Amended, SG No. 57/2011) Any owner or user who is unable to participate in the general assembly may authorise an adult member of his or her household, who is recorded in the condominium book or any other owner to represent him or her. The authorization may be made verbally at the same or at a prior meeting of the general assembly, which shall be reflected in the meeting’s minutes or in written form.

 (2) Where the condominium includes municipalities, the state or legal entities as owners, authorization shall be given by the mayor, the regional governor, the respective minister or the management bodies of the legal entities.

 (3) (Amended, SG No. 57/2011) Any owner or user may also authorise in writing any other person to represent him or her, with notarial certification of the signature or by a lawyer holding a written power-of-attorney.

 (4) (Supplemented, SG No. 57/2011) Any one person may represent up to three owners and/or users.

 (5) The participation of an authorised representative shall be entered in the minutes of the general assembly and a copy of the power of attorney shall be attached thereto.

General Assembly Quorum

Article 15. (1) (Supplemented, SG No. 57/2011) A general assembly shall be held if it is attended, in person or through representatives, by the owners of at least 67 percent of undivided shares of the common areas of the condominium, except for the cases under Article 17, Paragraph (2), Items 1-4.

 (2) (Amended, SG No. 57/2011) Where the assembly cannot be held at the hour indicated in the invitation due to the absence of the quorum referred to in Paragraph (1), the assembly shall be postponed by one hour and subsequently held in accordance with the agenda announced in advance. It shall then be considered legal if at least 33 percent of undivided shares of the common areas of the condominium are represented.

 (3) (New, SG No. 57/2011) If in the cases under Paragraph (2) the quorum required would not be available, the assembly shall be held on the following day and if the latter would fall on a weekend or an official holiday – on the next business day at the place and hour, indicated in the invitation under Article 13, Paragraph (1) for convening the general assembly. If the quorum required under Paragraph (1) is not available the assembly shall be held with the agenda announced in advance and considered legal irrespective of the number of represented undivided shares of the common areas of the condominium.

Holding a General Assembly

Article 16. (1) The general assembly shall be held at an appropriate location in the condominium, its adjacent area or at another location nearby.

 (2) The general assembly shall be chaired by the chairperson or another member of the managing council, or by the manager.

 (3) The general assembly of owners may not adopt decisions on matters not included in the agenda announced in advance except in urgent cases.

 (4) Minutes of the general assembly shall be kept. The person responsible for keeping the minutes shall be elected by ordinary majority on a motion submitted by the chair of the meeting.

 (5) The minutes shall include the date and location of the general assembly, the agenda, the persons present and the undivided shares of the condominium which they represent, the essence of statements made, the motions submitted and the decisions adopted.

 (6) The minutes shall be prepared within 7 days of the meeting and shall be signed by the person chairing the meeting and the person who has taken them. Any refusal to sign the minutes shall be recorded therein.

 (7) (Amended, SG No. 57/2011) Within the term stipulated in Paragraph (6) the chairperson of the managing council (manager) shall post at a prominent and generally accessible location at the building entrance a notice of the finalisation of the minutes. A protocol shall be drawn up of the posting of the notice by the chairperson of the managing council (manager) and one owner, user or occupant, wherein the date, hour and location of posting the notice shall be indicated. Copy of such protocol shall be provided to owners, users or occupant upon request.

 (8) (Repealed, SG No. 57/2011)

(9) (Amended and supplemented, SG No. 57/2011) Every member of the general assembly may contest the contents of the minutes, including the veracity of the decisions recorded in them. The contestation shall be submitted in writing to the managing council (manager) within 7 days of delivery of the notice specified in Paragraph (7), but no later than one month in cases where the owner, user or occupant is absent.

Adoption of General Assembly Decisions

Article 17. (1) At the general assembly the owners shall have the right to vote in proportion to the undivided shares which they own in the condominium.

 (2) The general assembly of owners shall adopt decisions:

 1. (amended, SG No. 57/2011) for taking action in connection with the construction of an additional storey or an extension to the building and to grant the right of use or the right to build and for changing the purpose of the common areas unanimously – by 100 percent of the undivided shares of the common areas;

 2. (amended, SG No. 57/2011) for eviction of an owner under the procedures set out in Article 45 of the Ownership Act for a specified period not exceeding three years – by majority of no less than 75 percent of the undivided shares of the common areas, left after subtracting the undivided shares of the owner or user; the owner or user, to whom the decision refers, shall not participate in the vote; the decision for eviction of an occupant from the building shall be taken by majority of no less than 75 percent of the undivided shares of the common areas

 3. (amended, SG No. 57/2011) for incurring beneficial expenditure and for obtaining loans – by majority of no less than 75 per cent of the undivided shares of the common areas;

 4. (new, SG No. 57/2011) for waiving financial liabilities, as well as for deferral or rescheduling of their fulfillment – by majority of no less than 75 per cent of the undivided shares of the common areas;

 5. (new, SG No. 57/2011) for renovation, overhaul and for absorption of resources from the European Union funds and/or the public or municipal budget, for grants and subsidies and/or own resources or from other funding sources – by majority of no less than 67 per cent of the undivided shares of the common areas;

 6. (new, SG No. 57/2011) for positioning of advertising or technical installations on the building, for interconnection of the building to the heat transmission, water, electric power and natural gas supply network and for discontinuing the heating power and gas supply to the condominium – by majority of no less than 67 per cent of the undivided shares of the common areas.

 (3) Decisions shall be adopted by a majority exceeding 50 per cent of the represented undivided shares of the common areas of the condominium, except in the cases referred to in Paragraph (2).

 (4) (New, SG No. 57/2011) If the respective undivided shares of the common areas of the building, belonging to the independent units under condominium ownership arrangements are not indicated in their documents of title, for the purposes of this Act the undivided shares of the common areas of each independent unit shall be determined as a proportion between the sum of the surface areas of such independent unit and the storage premises, belonging to it, divided by the sum of the surface areas of all independent units and the storage premises, belonging to them and the figure obtained in this way shall be expressed as a percentage.

 (5) (New, SG No. 57/2011) The undivided shares of the common areas shall be determined under the procedure of Paragraph (4) based on data, provided by owners or on information under Article 23, Paragraph (1), Item 10, where:

 1. the sum of the percentages of undivided shares of the owners in the common areas of the building is not equal to 100;

 2. management is conducted in each separate entrance and the sum of the percentages of undivided shares of the owners in the common areas of the entrance is not equal to 100;

 (6) (New, SG No. 57/2011) The undivided shares of the common areas, determined under the procedure of Paragraphs (4) and (5) shall be approved by resolution of the general assembly by majority of no less than two thirds of the independent units in the building or entrance. The general assembly may decline to approve the determined undivided shares of the common areas only if an error in the calculations would be found.

 (7) (Amended, SG No. 15/2010, renumbered from Paragraph (4), amended, SG No. 57/2011) The general assembly may resolve by majority of over 50 percent of the undivided shares of the common areas that the following decisions should be taken by majority of more than half of the independent units:

 1. adopting, amending and supplementing the condominium regulations;

 2. election and dismissal of members of the managing council (manager) and of the cashier;

 3. election and dismissal of members of the control board (controller);

 4. fixing the amount of the monetary contributions for covering the costs of management and maintenance of the common areas of the building;

 5. creating conditions for access to the condominium of disabled persons;

 6. usage of the common areas of the building and the adjacent area in cases of disputes, as well as compliance with the condominium regulations and sanitary and hygiene norms.

Joint General Assembly

Article 18. (1) Where the need arises to resolve a matter related to the common areas of two or more condominiums, a joint general assembly may be held in which the condominiums shall nominate an equal number of representatives for participation.

 (2) The joint general assembly shall be convened at the initiative of the managing council (manager) of one of the condominiums and shall be held under the general rules for conducting a general assembly set out in this Act.

 (3) The decisions shall be adopted by a two-thirds majority of persons present.

Managing Council (Manager)

Article 19. (1) The managing council (manager) shall be the executive body of the condominium.

 (2) The managing council (manager) shall be elected for a period of two years.

 (3) The managing council shall consist of an odd number of at least three members determined by a decision of the general assembly.

 (4) The members of the managing council shall elect a chairperson from amongst themselves.

 (5) (Amended, SG No. 57/2011) Eligible for members of the managing council shall be owners and users. Eligible as member of the managing council (manager) may be any person, selected and designated by the owner, who resides in the building and is recorded in the condominium book as well as any person, designated by the representative of the legal entity or the sole trader, where independent units are property of legal entities or sole traders.

 (6) The mandate of a member of the managing council (manager) may be terminated before expiry of his or her term of service on the grounds of non-performance of obligations only by a decision of the general assembly.

 (7) (Supplemented, SG No. 57/2011) The General Assembly may adopt a decision to pay remuneration to members of the Managing Council (Manager) and the cashier.

 (8) (New, SG No. 57/2011) By decision of the general assembly, adopted by majority of over 50 percent of the undivided shares of the common areas of the condominium, the powers of the managing council (manager) or a part thereof may be assigned to natural persons, who are not owners. The contract of assignment shall be entered into by an individual, authorised by the general assembly.

Obligation to Participate in Management

Article 20. (Supplemented, SG No. 57/2011) An owner or user may only refuse to be a member of the managing council (manager) or member of the control board (controller) in cases of de facto inability due to illness or long-term absence during the respective year and in the case of a proposal for repeated election.

Election of the Managing Council (Manager)

Article 21. (1) The election of a new managing council (manager) shall be held no later than the date of expiry of the mandate specified in Article 19 (2).

 (2) The managing council (manager) shall continue to carry out its, his or her functions until the election of a new managing council (manager).

 (3) (Repealed, SG No. 57/2011)

Managing Council Meetings and Quorum

Article 22. (1) The managing council shall hold a meeting at least once every three months and shall adopt decisions by ordinary majority if two-thirds of its members are present.

 (2) Minutes of managing council meetings shall be kept, which shall be signed by the members present.

Powers of the Managing Council (Manager)

Article 23. (1) The managing council (manager) shall:

 1. organise the implementation of General Assembly decisions;

 2. monitor compliance with the condominium regulations;

 3. (supplemented, SG No. 57/2011) keep the book of minutes, the architectural plans of the building and the executive drawings, records of incoming and outgoing correspondence, the technical certificate of the building if in existence, the income and expenditure book, etc;

 4. prepare the annual budget for the management, maintenance and use of the common areas of the condominium, the annual plan for repairs, reconstruction, redesignation and other activities in the building and reports on their implementation;

 5. represent the condominium in its relations with local authorities and other legal subjects;

 6. (amended, SG No. 57/2011) organize, keep and maintain the condominium book under Article 7;

 7. (amended, SG No. 57/2011) notify the municipal administration of any circumstances under Article 46b and any changes in such circumstances;

 8. (new, SG No. 57/2011) notify in due course, under the procedure of Article 13, Paragraph 1 the owners, users and occupant in case of receipt of written notices by the utility company, if the heating load of the building would be reduced to less than 50 percent;

 9. (new, SG No. 57/2011) provide information on canines, registered in the condominium book, to the respective regional food safety directorate and to the municipality within 30 days of registration in the condominium book.

 10. (new, SG No. 57/2011) be entitled to obtain information from the Geodesy, Cartography and Cadastre Agency or the respective municipality regarding the area of the independent unit and any storage premises, belonging to it;

 11. (new, SG No. 57/2011) determine the undivided shares of the common areas under the procedure of Article 17, Paragraphs (4) and (5) based on the data provided by owners and/or the information under Item 10;

 12. (renumbered from Item 8, SG No. 57/2011) implement other powers assigned to the managing council (manager) by the general assembly;

 (2) (Amended, SG No. 57/2011) At the end of its mandate the managing council (manager) shall submit a written report to the general assembly. The report and the minutes of managing council meetings shall be made public under the procedure of Article 16, Paragraph (7).

 (3) (New, SG No. 57/2011) The chairperson of the managing council (manager) shall represent the owners and users in the performance of all activities, related to the day-to-day condominium management. In matters related to establishment of rights of use, construction, superstructure, extension or change of the purpose of common areas he shall represent the owners, if so authorised by the general assembly.

 (4) (New, SG No. 57/2011) The chairperson of the managing council (manager) shall represent before the court the condominium owners in regard to any claims, raised against them in connection with the common areas as well as any claims, raised against any owner, user or occupant, who refuses to fulfil a decision of the general assembly or his obligations under this Act. As regard claims against third parties in connection with the common areas, the chairperson of the managing council (manager) shall represent the owners, if so authorised by the general assembly.

 (5) (New, SG No. 57/2011) Each owner may participate in any suit, where the manager is representing the owners.

 (6) (New, SG No. 57/2011) In instances of election of new managing council (manager) all documents kept, as well as all monetary funds available, any data on bank accounts and bank cards shall be transferred by protocol, to be signed by the members of the former managing council (manager), the members of the newly elected managing council (manager), the chairperson of the control board (controller) and the cashier.

Control Board (Controller)

Article 24. (1) (Amended, SG No. 57/2011) A control board (controller) may be elected for a period of two years by decision of .the general assembly.

 (2) The control board shall consist of an odd number of at least three members appointed by a decision of the general assembly.

 (3) The members of the control board shall elect a chairperson from amongst themselves.

 (4) The control board (controller) shall control the activities of the managing council (manager) in implementing the budget and decisions of the general assembly in connection with the expenditure of condominium funds.

 (5) (Supplemented, SG No. 57/2011) The control board (controller) shall inspect the cash box at least once a year and shall submit a report to the general assembly on the results of the inspection. Where a condominium does not have a control board (controller), the general assembly shall designate persons from amongst the owners and users to carry out the inspection and submit the report on the results.

 (6) The control board shall hold a meeting at least once every six months and shall adopt decisions by ordinary majority if two-thirds of its members are present. Minutes of the control board meeting shall be taken and signed by the members present. The general assembly may decide to pay remuneration to the members of the control board (controller).

 (7) (Amended, SG No. 57/2011) Owners or users, who are spouses, household members, de facto spousal cohabitees, related by direct descent or collateral family relationship to the second degree or by kinship by marriage to the first degree to other members of the control board, as well as to members of the managing council or the manager, shall be ineligible for election as members of the control board, controllers and cashiers.

 (8) The mandate of a member of the control board or controller may be terminated ahead of term on the grounds of non-fulfilment of obligations only by a decision of the general assembly.

 (9) (Supplemented, SG No. 57/2011) The control board (controller) shall submit a written report to the general assembly at the end of its, his or her mandate. The report shall be made available to every owner, user or occupant on request for the purposes of familiarisation.

 (10) (New, SG No. 57/2011) Eligible for election as members of the control board (controller) or cashier shall also be individuals, designated by the owner, who reside in the building and are entered on the condominium book in accordance with the requirements of Paragraph (7).

Section III

Association of Owners

 Establishment of an Association of Owners

Article 25. (Amended, SG No. 57/2011) (1) The owners may establish an association with the view of absorbing resources from the European Union funds and/or the public or municipal budget, from grants and subsidies and/or use of own resources for the purposes of repair and renovation of buildings under condominium ownership arrangements. The association shall be a legal entity established under this Act.

 (2) The association may also perform other activities, related to the management of the common areas of the condominium, including absorption of resources from other sources of funding, outside those under Paragraph (1).

 (3) A constituent assembly of all owners of independent units in the building under condominium ownership arrangements shall be convened to establish the association. The association shall be established by owners, representing at least 67 percent of the undivided shares of the common areas of the condominium

 (4) An association of owners may be established in two or more entrances of the building. In such a case the association shall be established by owners, representing at least 67 percent of the undivided shares of the common areas of the entrance(s). If the sum of the percentages of the undivided shares of the owners in the common areas of the entrance(s) is not equal to 100, the provisions of Article 17, Paragraphs (5) and (6) shall apply.

 (5) The association shall be established for the purposes of this Act only and be entered on the register under Article 44, Paragraph (1) based on the location of the building under condominium ownership arrangements. The association shall also be entered on the BULSTAT register.

 (6) If in the course of the year the association carries out activities only under Paragraph (1) or would have no activity, it need not apply the Accountancy Act.

 (7) The resources under Paragraphs (1) and (2) shall be absorbed following decision of the general assembly of the association and in case not all owners of independent units in the building or the entrance would be members of the association, the decision would also be submitted for adoption by the general assembly of owners under the procedure of Article 33, Paragraph (4).

Article 26. (1) Any owner may request that a constituent assembly be convened and may put forward a draft agreement on the establishment of the association.

 (2) (Amended, SG No. 57/2011) The constituent assembly shall be convened by invitation, posted at a prominent and generally accessible location at the building entrance under the procedure set out in Article 13.

 (3) The invitation shall contain the agenda, location, date and time of the meeting. The draft agreement on the establishment of the association shall also be attached to the invitation.

Conducting a Constituent Assembly

Article 27. (1) (Amended, SG No. 57/2011) A constituent assembly shall be held if attended, in person or by representatives, by owners representing at least 67 percent of the undivided shares of the common areas of the condominium and if the association is being established for a separate entrance – by owners, representing at least 67 percent of the undivided shares of the common areas of the entrance.

 (2) Representatives shall be authorised under the procedures set out in Article 14 herein.

 (3) (Amended, SG No. 57/2011) The constituent assembly shall be chaired by an owner elected by a majority of more than half of the undivided shares of the common areas represented under Paragraph (1). A person shall also be elected by a motion of the chairperson to take the minutes of the assembly.

 (4) The constituent assembly:

 1. shall adopt a decision to establish the association;

 2. (Supplemented, SG No. 57/2011) shall define the name of the association; the name of the association must bindingly contain the name of the settlement, a complete administrative address and for cities subdivided into districts the name of the association must also contain the name of the district;

 3. shall adopt an agreement on the establishment of the association;

 4. shall elect a managing council (manager) and control board (controller)

 5. may determine a term for the existence of the association.

 (5) (Supplemented, SG No. 57/2011) The decisions referred to in Paragraph (4), Items 1-3 and Item 5 shall be passed unanimously by all owners under Paragraph (1), while the decision referred to in Paragraph (4), Item 4 shall be passed by a majority of more than half of the owners under Paragraph (1).

 (6) (Amended, SG No. 57/2011) The minutes of the constituent assembly and the adopted agreement to establish the association shall be compiled in two identical copies and shall be signed by all members of the association or by their representatives.

Agreement to Establish an Association of Owners

Article 28. (1) The agreement to establish an association of owners shall define the following:

 1. the name and address of the legal entity;

 2. (amended, SG No. 57/2011) the purposes of the activity of the association in accordance with Article 25, Paragraphs (1) or (2) and the term, for which it is established;

 3. the decision making procedures;

 4. the membership, mandate and organization of the work of the managing council (manager) and the control board (controller);

 5. other conditions agreed by the owners.

 (2) (Amended, SG No. 57/2011) Where the purposes of the activity of the association are in accordance with Article 25, Paragraph (1), it shall be established for an indefinite term.

 (3) The Minister of Regional Development and Public Works shall endorse a model agreement.

Registration of the Association

Article 29. (1) (Amended, SG No. 57/2011) The chairperson of the managing council (manager) shall submit an application within 14 days of the Constituent Assembly to the respective municipal administration to enter the association in a public register.

 (2) The following shall be attached to the application referred to in Paragraph (1):

 1. a list of owners participating in the association, with the forenames, patronymics, surnames and addresses of the owners in the condominium.

 2. a copy of the minutes of the constituent assembly certified by the chairperson of the managing council (manager);

 3. a copy of the agreement certified by the chairperson of the managing council (manager);

 4. samples of the signatures of the persons representing the association, certified by a notary.

Transfer and Termination of Association Membership

Article 30. (1) Membership of the association shall be transferred to the new owners of an independent unit on change of ownership.

 (2) (Amended, SG No. 57/2011) An owner may not terminate his or her membership in the association if a condominium project for the use of European Union and/or state or municipal budget funding, grant funding and subsidies or own resources has been approved for renovation of the building or parts thereof.

 (3) (Amended, SG No. 57/2011) Membership in the association may be terminated after expiry of the guarantee for the construction and assembly works completed under projects as specified in Paragraph (2), but not earlier than five years after their completion. Membership shall be terminated following submission of a written declaration with a notarially certified signature, addressed to the managing council (manager).

Association Bodies

Article 31. (1) The Association shall comprise a general assembly, a managing council (manager) and a control board (controller).

 (2) The association shall be represented by the managing council (manager) in its relations with local authorities and other legal subjects;

General Assembly of the Association

Article 32. (1) (Amended, SG No. 57/2011) The general assembly of the association shall consist of all members of the association. Participation in the work of the general assembly may take place in person or through representatives. Representatives shall be authorised in accordance with the procedures stipulated in Article 14.

 (2) (Amended, SG No. 57/2011) One person may not represent more than three members of the association.

 (3) The general assembly shall adopt decisions concerning contracts with third parties, amendments to the association establishment agreement and its termination.

 (4) The provisions of Section II shall apply to the other powers of the general assembly, the convening initiative and procedures, the conduct and the quorum of the general assembly.

 (5) The general assembly shall be held at least once a year.

Adoption of General Assembly Decisions

Article 33. (1) In the general assembly each owner shall be entitled to a vote corresponding to the number of undivided shares of the common areas of the building which he or she owns.

 (2) The general assembly of the association shall adopt decisions:

 1. (amended, SG No. 57/2011) for taking action in connection with the construction of an additional storey or an extension to the building, to grant the right of use or the right to build and to change the purpose of common areas unanimously – by all members of the association;

 2. (amended, SG No. 57/2011) for eviction from the building of an owner or user under the procedure set out in Article 45 of the Ownership Act for a certain period not exceeding three years – by majority of no less than 75 per cent of the represented undivided shares of the common areas in the association, left after subtraction of the undivided shares of the owner or user; the owner or user, to whom the decision refers shall not participate in the vote; the decision for eviction of an occupant from the building shall be taken by majority of no less than 75 percent of the undivided shares of the common areas, represented in the association;

 3. (amended, SG No. 57/2011) for incurring beneficial expenditure and for obtaining loans – by majority of no less than 75 per cent of the undivided shares of the common areas, represented in the association;

 4. (new, SG No. 57/2011) for waiving financial liabilities, as well as for deferral or rescheduling of their fulfillment – by majority of no less than 75 per cent of the undivided shares of the common areas, represented in the association;

 5. (new, SG No. 57/2011) for renovation, overhaul and for absorption of resources from the European Union funds and/or the public or municipal budget, from grants and subsidies and/or own resources or from other funding sources, as well as for dissolving the association – by majority of no less than 67 per cent of the undivided shares of the common areas, represented in the association;

 6. (new, SG No. 57/2011) for positioning of advertising or technical installations on the building, for interconnection of the building to the heat transmission, water, electric power and natural gas supply network and for discontinuing the heating power and gas supply to the condominium – by majority of no less than 67 per cent of the undivided shares of the common areas.

 (3) (Amended, SG No. 57/2011) Decisions shall be passed by a majority exceeding 50 per cent of the represented undivided shares of the owners in the association, except in the cases referred to in Paragraph (2).

 (4) (Amended, SG No. 15/2010, SG No. 57/2011) The decisions of the association shall be submitted for adoption by the general assembly of owners, if concerning matters within the powers of the general assembly of owners and if not all owners of independent units in the building or the entrance are members of the association. The association managing council (manager) shall convene a general assembly of owners under the procedure of Section II of this Chapter. In such a case the members of the association shall take part in the general assembly of owners or designate a representative who will vote with a share, equal to the undivided shares of the common areas, by which the decision had been passed in the association.

 (5) (New, SG No. 57/2011) If the association would be established by all owners of independent units in the building or entrance, the general assembly of the association shall also have the powers of the general assembly of owners.

Association Managing Council (Manager)

Article 34. (1) The managing council (manager) shall be elected for a period of up to two years.

 (2) The managing council (manager) shall:

 1. organise the implementation of general assembly decisions;

 2. represent the condominium in its relations with local authorities and other legal subjects;

 3. (repealed, SG No. 57/2011)

4. (repealed, SG No. 57/2011)

5. (repealed, SG No. 57/2011)

6. (repealed, SG No. 57/2011)

7. declare circumstances subject to entry in the public register referred to in Article 44 herein;

 8. (amended, SG No. 57/2011) submit an application for registration in the BULSTAT register within 7 days of receipt of certificate of registration of the association under Article 46a, Paragraph (1);

 9. implement other powers assigned to the managing council (manager) by the general assembly;

 (3) The managing council shall elect a chairperson from among its members who shall convene and chair its meetings.

 (4) The provisions of Section II shall apply to the number of members of the managing council, the election of a new managing council (manager), the conducting of meetings and their quorum.

 (5) (Amended, SG No. 57/2011) Eligible as member of the managing council (manager) shall be any elected owner or any person nominated by the owner, who resides in the building and is entered on the condominium book. If independent units are property of legal entities or sole traders any person, nominated by them, shall be eligible for election.

 (6) The mandate of a member of the managing council (manager) may be terminated before expiry of his or her term of service on the grounds of non-fulfilment of obligations only by a decision of the general assembly.

 (7) (Supplemented, SG No. 57/2011) The general assembly may decide to pay members of the managing council (manager) and the cashier a remuneration.

 (8) (Repealed, SG No. 57/2011)

(9) (New, SG No. 57/2011) By decision of the general assembly of owners and of the Association the powers of the managing council (manager), the control board (controller) and the cashier may be assigned to the managing council (manager), the control board (controller) and the cashier of the association.

 (10) (New, SG No. 57/2011) By decision of the general assembly of the association, adopted by majority over 50 percent of the represented undivided shares of the common areas in the association, the powers of the managing council (manager) may be assigned to natural persons, who are not owners. The contract of assignment shall be executed by an individual, authorised by the general assembly of the association.

 (11) (New, SG No. 57/2011) If the association would be established by all owners of independent units in the building or entrance, the managing council (manager), the control board (controller) and the cashier of the association shall also exercise the powers of managing council (manager), control board (controller) and cashier of the condominium.

Control Board (Controller)

Article 35. (1) The control board (controller) shall be elected for a period of two years.

 (2) The control board shall comprise an odd number of at least three members determined by a decision of the general assembly.

 (3) The members of the control board shall elect a chairperson form amongst themselves.

 (4) (Amended, SG No. 57/2011) The control board (controller) shall control the activities of the managing council (manager) in connection with implementation of the budget and the decisions of the general assembly on the expenditure of the association funds.

 The control board (controller) shall inspect the cash box at least once a year and shall submit a report on the results of the inspection to the general assembly.

 (6) The control board shall hold a meeting at least once every six months and shall adopt decisions by ordinary majority if two-thirds of its members are present. Minutes shall be kept of the control board meetings, which shall be signed by the members present.

 (7) (Amended, SG No. 57/2011) Owners or users, who are spouses, household members, de facto spousal cohabitees, related by direct descent or collateral family relationship to the second degree or by kinship by marriage to the first degree to other members of the control board, as well as to members of the managing council or the manager of the association, shall be ineligible for election as members of the control board, controllers and cashiers of the association. The general assembly may decide to pay members of the control board (controller) a remuneration.

 (8) The mandate of a member of the control board (controller) may be terminated before expiry of his or her term of service on the grounds of non-fulfilment of obligations only by a decision of the general assembly.

 (9) (Amended, SG No. 57/2011) The control board (controller) shall submit a written report to the general assembly at the end of his or her mandate. The report shall be made available to each owner on request for the purposes of familiarisation.

Termination of the Association

Article 36. (1) The association of owners shall be terminated:

 1. by a decision of the general assembly;

 2. on destruction of the building or the separate entrance when under condominium ownership arrangements;

 3. on expiry of its established term of existence;

 4. (amended, SG No. 57/2011) if the share of the represented undivided shares of the common areas would fall below the figure, required under Article 25, Paragraphs (3) or (4).

 (2) (Amended, SG No. 57/2011) If a project would be approved for absorption of funds under Article 25, Paragraph (1) the association may be terminated by a decision of the general assembly after expiry of the warranty terms for the construction and assembly works completed under the project, but not earlier than 5 years after their completion.

 (3) (Amended, SG No. 57/2011) The managing council (manager) shall submit an application to the respective municipal administration within 14 days of the onset of the circumstances specified in Paragraph (1) for the registration to be deleted. In cases where the association is terminated by a decision of the general assembly, a copy of the decision, certified by the chairperson of the managing council (manager), shall be attached to the application.

 (4) (Amended, SG No. 57/2011) If all owners would be members of the association, a general assembly of owners shall be convened within two months of termination of the association. The general assembly shall be convened under the procedure set out in Article 12.

Liquidation

Article 37. (1) Liquidation in accordance with the procedure set out in the Non-Profit Legal Entities Act shall be effected on termination of the association.

 (2) The liquidation shall be effected by the chairperson of the control board (controller).

Section IV

Implementation and Control of Enactments of the General Assembly and the

Managing Council (Manager)

Implementation of General Assembly Decisions

Article 38. (1) (Amended, SG No. 57/2011) Decisions of the general assembly shall be implemented within the terms prescribed therein. Where a term has not been prescribed, the decisions shall be implemented within 14 days of notification thereof under the procedure set out in Article 16, Paragraph (7).

 (2) (Supplemented, SG No. 57/2011) Where an owner, user or occupant fails to implement a decision within the prescribed term, the Chairperson of the managing council (manager) may submit an application for an implementation order to be issued under the procedure set out in Item 1 of Article 410 (1) of the Code of Civil Procedure. A copy of the general assembly decision shall be attached to the application.

 (3) (Supplemented, SG No. 57/2011) A copy of the notice specified in Article 45, Paragraph (2) of the Ownership Act shall be attached to the written request for the issuance of a writ of implementation for the eviction of an owner, user or occupant of an independent unit or part thereof.

Advance Implementation

Article 39. The general assembly may request advance implementation of a decision to incur expenditure on essential repairs.

Repeal of General Assembly Decisions

Article 40. (1) Any owner may request the repeal of unlawful general assembly decisions.

 (2) (Amended, SG No. 57/2011) The repeal application shall be submitted to the district court with jurisdiction over the location of the condominium within 30 days of communicating the decision under the procedure of Article 16, Paragraph (7).

 (3) Submission of the repeal application shall not discontinue implementation of the decision except where the court decrees otherwise.

Representation in Court

Article 41. (Supplemented, SG No. 57/2011) The owners or the Association shall be represented in court by the chairperson of the managing council (manager) or by a person authorised by him or her according to the provisions of Article 23, Paragraphs (3) and (4).

Court Proceedings and Powers

Article 42. (1) The application shall be considered under the Code of Civil Procedure.

(2) The court ruling shall leave the general assembly decision in effect or repeal it.

 (3) The court ruling shall be subject to appeal in accordance with the Code of Civil Procedure.

Repeal of Acts of the Managing Council (Manager)

Article 43. (1) Any owner may request the repeal of an unlawful act of the managing council (manager).

 (2) (Amended, SG No. 57/2011) The application shall be submitted to the district court with jurisdiction over the location of the condominium within 14 days of the communication under the procedure of Article 16, Paragraph (7).

 (3) The application shall be considered under the Code of Civil Procedure.

(4) The court ruling shall leave the decision of the managing council (manager) in effect or repeal it.

 (5) The court ruling shall be final.

Chapter Three

REGISTRATION AND NOTIFICATION REGIME

 (Title amended, SG No. 57/2011)

Register

Article 44. (1) (Amended, SG No. 57/2011) The associations of owners shall be registered at the respective municipality by location of the building under condominium ownership arrangements. The municipal administration shall create and maintain a public register and publish at its website the data under Paragraph (3), respectively any changes to it, within 14 days of entry in the register.

 (2) Fees shall not be collected for registration and access to the data in the register.

 (3) (Amended, SG No. 57/2011) The name of the association, the address, the term, for which it was established, the purposes of activity, the undivided shares of the common areas, represented in the association, the names and addresses of the members of the managing council (manager) and the manner of representation shall be recorded in the register.

 (4) (Supplemented, SG No. 57/2011) The procedure of keeping, access to and the form of the register shall be determined by ordinance of the Minister of Regional Development and Public Works.

Powers of the Municipal Administration to Make Entries in the Registry

 (Title amended, SG No. 57/2011)

Article 45. (1) (Repealed, SG No. 57/2011)

(2) (Amended, SG No. 57/2011) In cases of entry into the register of an association of owners, the municipality mayor or an official, authorised by him or her shall verify compliance with the requirements of this Act.

 (3) (Amended, SG No. 57/2011) After the verification under Paragraph (2) is complete, the mayor of the municipality or the official, authorised by him or her, shall enter the association in the register.

 (4) (Amended, SG No. 57/2011) If the authority referred to in Paragraph (2) finds that the data submitted for registration do not meet legal requirements, it shall notify the managing council (manager) of the association of owners to correct the omissions or inaccuracies within 14 days of notification.

 (5) (Amended, SG No. 57/2011) If the omissions or inaccuracies are not corrected within the term specified in Paragraph (4) the mayor of the municipality shall issue a refusal to register the data, providing due justification. The refusal shall be delivered to the managing council (manager) of the association of owners immediately after its enactment in accordance with the Code of Administrative Procedure.

Contesting the Refusal to Register Data

Article 46. (1) The refusal shall be subject to appeal before the administrative court with jurisdiction over the location of the condominium within 7 days of its delivery.

 (2) (Amended, SG No. 57/2011) The appeal shall be submitted through the mayor of the municipality , who shall send it immediately to the court together with its attachments.

 (3) The appeal shall be considered under the procedures set out in the Code of Administrative Procedure.

Certificate of Registration

Article 46a. (New, SG No. 57/2011) (1) Following entry on the register under Article 44 the municipal administration shall issue a certificate of registration of the association, containing the data under Article 44, Paragraph (3).

 (2) The form of the certificate under Paragraph (1) shall be approved by the Minister of Regional Development and Public Works.

 Obligation to Notify

Article 46b. (New, SG No. 57/2011) (1) The managers or chairpersons of managing councils of buildings or separate entrances under condominium ownership arrangements shall submit within one month of their election a notice to the municipal or district administrations. Such notice shall contain the names, address and telephones of the members of the managing council or of the manager and the address of the building under condominium ownership arrangements, as well as a mailing address.

 Obligation to Submit Statements of Information

 (Title amended, SG No. 57/2011)

Article 47. (1) (Previous Article 47, SG No. 15/2010, repealed, SG No. 57/2011).

(2) (New, SG No. 15/2010, amended, SG No. 57/2011) The mayor of the municipality or district shall submit on an annual basis by the end of March a statement of information for the preceding year to the Minister of Regional Development and Public Works in respect of notices submitted regarding condominiums under Article 46b. .The mayor of the municipality shall submit on monthly basis statements of information to the Minister of Regional Development and Public Works of the associations, entered on the register under Article 44, containing the information under Article 44, Paragraph (3).

Chapter Four

REPAIR, RENEWAL AND MAINTENANCE OF COMMON AREAS

General Rules

Article 48. (1) (Amended, SG No. 57/2011) Repairs, renewals, reconstruction and redesignation of common areas or replacement of common installations and equipment shall be implemented by decision of the general assembly of owners.

 (2) In cases of repairs to common areas, priority shall be given to the implementation of technical construction works to bring the building into compliance with the measures and instructions set out in its technical certificate.

 (3) (Amended, SG No. 57/2011) Expenditure on repairs, renewals, reconstruction and redesignation of the common areas, for which a decision has been taken by the general assembly of owners, shall be distributed between the owners of independent units in proportion to the undivided shares in the common areas of the building which they own.

 (4) Decisions to implement repairs, renewals, reconstruction and redesignation of common areas between individual condominiums shall be adopted jointly by the joint general assembly under the procedure set out in Article 18 herein.

 (5) Funds shall be released immediately under a decision of the managing council (manager) for essential repairs to common areas of the building. the General Assembly shall approve the expenses incurred, which shall be certified by means of payment receipts.

 (6) (Amended, SG No. 57/2011) Each owner may perform on his own, using own materials and/or labour any necessary repairs to the common areas of the building without a decision of the general assembly. The costs of repairs, incurred by an owner at his or her own expense shall be reimbursed by a decision of the general assembly or shall be deducted from his or her contributions owed to the fund specified in Article 50 after presentation of documents, evidencing the payments.

 (7) (Amended, SG No. 57/2011) Where the expenditure incurred by an owner is not reimbursed under the procedure set out in Paragraph (6), the respective owner shall have the right to lodge a claim against the remaining owners.

 (8) (Amended and supplemented, SG No. 57/2011) For maintenance of common areas of the condominium the owners, users and occupants shall make monthly contributions in an amount determined by the condominium rules or by a decision of the general assembly.

Urgent Repairs

Article 49. (1) Where urgent repairs are needed to the building or the individual entrance under condominium ownership arrangements, financial means from the fund specified in Article 50 shall be released immediately by a decision of the managing council (manager).

 (2) Where there is no money in the fund referred to in Article 50 or the money is insufficient, the chairperson of the managing council (manager) shall immediately convene the general assembly under the procedure set out in Article 13 (1) to adopt a decision to raise the funds needed to carry out the repairs.

 (3) If the general assembly is not convened or a decision under the procedure of Paragraph (2) is not adopted, the chairperson of the managing council (manager) or the interested parties shall notify the mayor of the municipality or district about the circumstances specified in Paragraph (1).

 (4) The mayor of the municipality shall conduct an investigation and shall issue an order obliging the owners to implement the repairs specified in Paragraph (1) within a certain term. The order shall be brought to the notice of the chairperson of the managing council (manager) and shall be subject to appeal before the administrative court with jurisdiction over the location of the condominium.

 (5) Where the order specified in Paragraph (4) is not implemented within the prescribed term or advance implementation of the works has been allowed, the urgent repair shall be implemented by the mayor of the municipality or district. In these cases, a writ of implementation shall be issued to the benefit of the municipality or district on the basis of the order and the payment documents on the expenditure incurred in order to collect the debts under the procedures set out in the Code of Civil Procedure.

Repair and Renovation Fund

Article 50. (1) The General Assembly of owners or of the association shall establish and maintain a Repair and Renovation Fund.

 (2) The money in the fund shall be raised from:

 1. (amended, SG No. 57/2011) monthly contributions made by owners in amounts determined by a decision of the general assembly, in a proportion corresponding to the undivided shares in the common areas of the individual owners, but not less than one percent of the minimum [monthly] salary for this country.;

 2. other sources.

 (3) (Amended, SG No. 57/2011) The money shall be accumulated in a specially designated account opened in the name of the chairperson of the managing council (manager) or the association.

 (4) The money in the fund shall be spent on:

 1. activities specified in Article 48 and Article 49 and for equipment;

 2. implementation of the measures and instructions set out in the technical certificate of the building;

 3. other costs determined by a decision of the general assembly.

 (5) The chairperson of the managing council (manager) shall dispose of the funds from the account referred to in Paragraph (3) on the basis of a decision on their use adopted by the general assembly.

Expenditure on Management and Maintenance of the Common Areas of the Condominium

 (Title amended, SG No. 57/2011)

Article 51. (1) (Amended and supplemented, SG No. 57/2011) Expenditure on management and maintenance of the common areas of the condominium shall be distributed equally in proportion to the number of owners, users and occupants.

 (2) (Amended, SG No. 57/2011) Children under 6 years of age, as well as any owners, users and occupants who inhabit the condominium for no more than 30 days in any one calendar year shall not pay the costs referred to in Paragraph (1).

 (3) (Amended, SG No. 57/2011) By decision taken by majority of over 50 percent of the undivided shares of the common areas the general assembly may decide to obligate any owner, user and occupant, who is absent for more than 30 days in any one calendar year, to pay 50 per cent of the expenditure on management and maintenance under Paragraph (1) for the period of his or her absence. The chairperson of the managing council (manager) shall be notified in writing of the absence.

 (4) Where a janitor has been appointed in the building by a decision of the general assembly of owners or of the association, expenditure on the janitor shall be distributed under the conditions and procedures specified in Paragraphs (1) and (3).

 (5) (Amended, SG No. 57/2011) Owners, users or occupants who practice an occupation or engage in an activity in independent units of the condominium involving access of non-residents shall pay the expenditure on management and maintenance of the common areas in amounts from three to five times greater, as determined by decision of the general assembly.

 (6) (Amended, SG No. 57/2011) Owners, users or occupants under Paragraph (5) shall pay the expenditure on management and maintenance of the common areas of the building in the amount indicated in Paragraph (1) if their independent units are provided with a separate entrance.

 (7) (Amended and supplemented, SG No. 57/2011) Owners, users and occupants who keep animals in the condominium which need to be taken for walks shall contribute to the costs for electricity, water, heating, cleaning of the common areas and elevator fees per each animal equal to the amount per one occupant.

Technical Certificate

Article 52. (1) Each building under condominium ownership arrangements shall be issued with a technical certificate under the procedures set out in the Spatial Development Act.

(2) The chairperson of the managing council (manager) shall be obliged to preserve the technical certificate indefinitely.

 (3) A technical certificate shall be compiled for:

 1. completed new buildings: before putting the buildings into operation;

 2. (repealed, SG No. 82/2012, effective 26.11.2012).

3. (repealed, SG No. 82/2012, effective 26.11.2012).

Implementation of Technical Measures and Instructions Included in Technical Certificates

Article 53. (1) The measures and instructions in the technical certificate shall be mandatory for the owners of individual units.

 (2) Within three months of issuance of a technical certificate the general assembly of owners or of the association shall adopt decisions to implement the measures and instructions prescribed.

 (3) The decisions specified in Paragraph (2) shall determine the amount of funds needed, their distribution between owners and the terms for their collection.

 Control on the Implementation of the Technical Certificate Measures

Article 54. The mayor of the municipality or district shall exercise routine control over the stage-by-stage implementation of measures prescribed in the technical certificate.

Chapter Five

ADMINISTRATIVE PENAL PROVISIONS

Article 55. (1) (Amended, SG No. 57/2011) Any owner, user or occupant of a building or individual entrance under condominium ownership arrangements who does not fulfil an obligation under this Act shall be penalised with a fine of between BGN 20 and BGN 100 for a natural person or a pecuniary sanction of between BGN 150 and BGN 350 in the case of a legal entity.

 (2) (Supplemented, SG No. 57/2011) Any owner, user or occupant of a building or individual entrance under condominium ownership arrangements who infringes the condominium regulations and causes inordinate inconvenience to the other owners, users and occupants shall be penalised with a fine of between BGN 50 and BGN 150 in the case of a natural person or a pecuniary sanction of between BGN 200 and BGN 500 in the case of a legal entity.

Article 56. (1) Where a member of the managing council (manager) or a member of a control board (controller) infringes or fails to fulfil his or her obligations under this Act, he or she shall be subject to a fine of between BGN 300 and BGN 1,000 if the infringement does not constitute a criminal act.

 (2) A chairperson of a managing council (manager) who fails to declare circumstances subject to entry in the public register pursuant to Article 44 or its amendments shall be liable to a fine of between BGN 100 and BGN 500.

 (3) (New, SG No. 57/2011) A chairperson of a managing council (manager) who fails to submit a notice to the municipal or district administrations under Article 46b shall be liable to a fine of between BGN 50 and BGN 400.

Article 56a. (New, SG No. 57/2011) For non-performance of the duty under Article 44, Paragraph (1) or Article 47, Paragraph (2) the mayor of the municipality shall be sanctioned by a fine of between BGN 100 and BGN 500.

Article 57. (1) (Amended and supplemented, SG No. 57/2011) Ascertainment of the infringements shall be described in a memorandum compiled by the managing council. Where a managing council has not been elected in the condominium, the memorandum shall be compiled by the manager and two owners and/or users. The memorandum of ascertainment shall contain data about the person who has perpetrated the infringement, a description and the time and date of the infringement.

 (2) (Amended and supplemented, SG No. 57/2011) In cases of ascertained infringement by a member of the managing council (manager), the memorandum shall be drafted by the control board. Where no control board has been elected in the condominium, the memorandum shall be compiled by the controller and two owners and/or users.

 (3) The memorandum of ascertainment shall be compiled in three identical copies, one each for the chairperson of the managing council (manager), the perpetrator and the municipal or district administration. After the memorandum is compiled the chairperson of the managing council (manager) shall immediately place it at the disposal of the municipal or district administration.

 (4) (Amended, SG No. 57/2011) The act ascertaining the infringement shall be drawn up by the municipal or district administration, while the penalty enactment shall be issued by the mayor of the municipality or district or by an official authorised by the him or her.

 (5) (New, SG No. 57/2011) The acts ascertaining infringements under Article 56a shall be drawn up by officials of the respective regional administrations, designated by the regional governor, while the penalty enactment shall be issued by the regional governor or an official, authorised by him or her.

 (6) (Renumbered from Paragraph (5), SG No. 57/2011) The ascertainment of infringements and the issuance, appeal and implementation of penalty enactments shall be implemented under the procedures set out in the Administrative Violations and Sanctions Act.

SUPPLEMENTARY PROVISION

§ 1. In the meaning of this Act:

 1. An “individual unit in a building under condominium ownership arrangements” shall be considered to mean a self-contained component of a building under condominium ownership arrangements with its own functional designation.

 2. (Amended, SG No. 82/2012, effective 26.11.2012) The “area adjoining a building under condominium ownership arrangements” shall be considered to mean part of the territory of a plot of building complex development land in which the building under condominium ownership arrangements has been built and which includes sites such as landscaped areas, playgrounds, parking spaces, etc., together or separately.

 3. A “closed-type residential complex” shall be considered to mean a complex comprising a separate regulated plot of land on which buildings under condominium ownership arrangements have been built and other sites have been established to serve the owners and occupants in compliance with the access control requirements for external persons.

 4. A “household” shall be considered to mean two or more persons who live together in an individual unit or part thereof, at which their permanent or current address is registered and who have a joint budget, regardless of their family relationship.

 5.(Supplemented, SG No. 57/2011) “Occupants” shall be considered to mean natural persons or legal entities who are not owners or users of individual units in a building under condominium ownership arrangements, but who inhabit them on another legal basis.

 6. (New, SG No. 57/2011) “Users” shall be considered to mean natural persons or legal entities, holding a real right of use over someone else’s property – an independent unit in a building under condominium ownership arrangements.

 7. (Renumbered from Item 6, SG No. 57/2011) “Immediate neighbours” shall be considered to mean the owners, users and occupants of individual units located on the same floor, beneath or above the respective unit.

 8. (Renumbered from Item 7, SG No. 57/2011) “Essential repairs” shall be considered to mean activities to bring the building, common areas, installations or parts thereof into compliance with statutory technical requirements for the building and installations, including the roofs, with a view to removing obstacles or impediments to the normal use of the building and its individual units.

 9. (Renumbered from Item 8, supplemented SG No. 57/2011) “Urgent repairs” shall be considered to mean activities to prevent destruction of the building or its structural elements, common areas and installations or parts thereof and to eradicate major damage and deformation leading to hazards to the life and health of the owners, users, occupants and other persons or damage to the environment and nearby buildings.

 10. (New, SG No. 57/2011) “Renovation” shall be considered to mean construction and assembly works, related to fulfilment of any of the essential requirements under Article 169, Paragraphs (1) and (2) of the Spatial Development Act, carried out during operation and affecting structural elements of the project, the fencing structures and/or elements of buildings, technical infrastructure installations and/or elements – heating, ventilation, AC, electric, water supply, sewerage and other installations.

 11. (Renumbered from Item 9, amended, SG No. 57/2011) “Expenditure on management and maintenance” shall be considered to mean expenditure on consumables, related to management, to remuneration of members of the managing and control bodies and the cashier, as well as for electricity, water, heating, cleaning, elevator subscription fees and other essential costs, required for the management and maintenance of the common areas of the building.

 12. (Renumbered from Item 10, supplemented, SG No. 57/2011) “Beneficial expenditure” shall be considered to mean expenditure on reconstruction and repair works on the common areas, which is not prescribed in a statutory manner and is outside the costs of essential and urgent repairs and renovation.

 13. (Renumbered from Item 11, amended, SG No. 57/2011) “Maintenance of common areas” shall be considered to mean activities to preserve the common areas in a good condition.

 14. (Renumbered from Item 12, SG No. 57/2011) “Redesignation of a common area of the building” shall be considered to mean activities which can change the designation of the site with or without the implementation of construction and assembly works.

 15. (Renumbered from Item 13, supplemented, SG No. 57/2011) “Long-term absence” shall be considered to mean the uninterrupted absence of an owner, user or occupant for a period exceeding three months.

 16. (New, SG No. 57/2011) “Emergency” shall be considered to mean the occurrence of facts or circumstances, creating a prerequisite for destruction of the building or of neighbouring or nearby buildings, of their structural elements, common areas, installations or parts thereof or for such damage to the building or to neighbouring or nearby buildings, of their structural elements, common areas, installations or parts thereof, as would prevent the normal usage of the building or of the independent units therein, as well as the existence of facts or circumstances, leading to risks for the life and health of owners, occupants and other persons.

TRANSITIONAL AND FINAL PROVISIONS

§ 2. Where a General Assembly in the condominium has not been conducted for more than one year, such a meeting shall be convened and records entered in the book of owners within six months of entry into effect of this Act.

§ 3. Within three months of expiry of the term pursuant to § 2, the mayor of the municipality or district shall organize the convening of general assemblies and the election of managing bodies in the buildings under condominium ownership arrangements where such meetings have not been convened and such bodies have not been elected due to lack of initiative on the part of the owners and occupants of the respective condominium.

§ 4. Municipalities in which buildings under condominium ownership arrangements are located shall provide budget credits in the expenditure section of their budgets to finance the activities specified in Article 49, Paragraph (5).

§ 5. The Ownership Act shall apply to any matters not regulated by this Act.

§ 6. The following amendments and supplements shall be made to the Ownership Act (Promulgated State Gazette No. 92/16.11.1951; amended SG No. 12/1958; SG No. 90/1960; 99/1963, SG No. 26/1973; SG No. 27/1973; SG No. 54/1974; SG No. 87/1974; SG No. 55/1978; 36/1979; 19/1985; SG No. 14/1988, 91/1988; 38/1989; 31/1990; SG No. 77/1991 SG No. 33/1996; SG No. 100/1997; 90/1999; SG No. 34/2000; SG No. 59/2000, SG No. 32/2005, SG No. 46/2006, SG No. 105/2006, SG No. 24/2007, SG No. 59/2007, SG No. 113/2007; SG No. 54/2008, SG No. 109/200:

 1. In Article 42 the words “or managing council” shall be deleted.

 2. In Article 43 the words “three quarters” shall be substituted by “half”.

 3. In Article 45, Paragraph (1) the phrase “for a period of three years” shall be added in the text before letter “a” and after the word “meeting”.

 4. In Article 46, Paragraphs (1) the words “regulations under Article 49” shall be replaced by the words “separate act”.

 5. In Article 47, Paragraphs (1) and (2) the words “chairman of the managing council” shall be deleted.

 6. Article 49 shall be repealed.

§ 7. The following amendments and supplements shall be made to the Energy Efficiency Act (SG No. 98/2008):

 1. In Article 36, Paragraphs (1) and (3) the words “Paragraph (2)” shall be added after the words “Article 19”.

 2. In Article 58:

 a) the previous text shall become Paragraph (1).

 b) Paragraph (2) shall be added as follows:

 “(2) Consumers of electric power, thermal energy and natural gas in buildings under condominium ownership arrangements who have established legal associations of owners under the procedures set out in the Condominium Ownership Management Act may apply for funding of projects to increase energy efficiency from the Energy Efficiency Fund.”

§ 8. In the Local Self-government and Local Administration Act (promulgated SG No. 77/1991; amended, Nos 24, 49 and 65/1995, No. 90/1996, No. 122/1997, No. 33, 130 and 154/1998, No. 67 and 69/1999, No. 26 and 85/2000, No. 1/2001, No. 28, 45 and 119/2002, No. 69/2003, No. 19 and 34/2005, No. 30 and 69/2006, No. 61 and 63/2007, No. 54 and 108/2008) Item 19 shall be added to Article 44, Paragraph (1) as follows:

 “19. assist the condominiums and their managing bodies in accordance with the conditions procedures set out in the Condominium Ownership Management Act.”

§ 9. The following amendments and supplements shall be made to the Spatial Development Act (promulgated, SG No. 1/2001, No. 41 and 111/2001, No. 43/2002, No. 20, 65 and 107/2003, No. 36 and 65/2004, No. 28, 76, 77, 88, 94, 95, 103 and 105/2005, No. 29, 30, 34, 37, 65, 76, 79, 82, 106 and 108/2006, No. 41 and 61/2007, No. 33, 43, 54, 69, 98 and 102/2008):

 1. in Article 22, Paragraph (2) the word “predominantly” shall be deleted and a comma shall be placed after the word “gardens”, followed by the addition of “parking spaces or underground car parks and play areas”.

 2. Paragraph (8) shall be created in Article 38 as follows:

 “(8) In buildings with more than ten independent units under construction under condominium ownership arrangements which have building permits issued after the enforcement of the Condominium Ownership Management Act, at least one common room shall be provided on the ground floor or first floor for use by owners and occupants of the buildings for cleaning and maintenance, sport and other service activities. This common room can be used for meetings, janitors or security guards; perambulators, bicycles, mopeds and motorcycles, storage of tools and equipment for cleaning the building and its adjoining area, washing machines, drying machines and other similar items and purposes.”

 3. § 24а shall be added to the Final Provisions:

 “§ 24а. Building permits issued up to 31 July 2008 in residential complex development neighbourhoods, of which the implementation has begun prior to that date, shall remain valid for the period for which they were issued. This provision shall not revoke the moratorium imposed by the Decision of the National Assembly to impose a moratorium on construction in complex development zones (SG No. 70/2008).”

§ 10. Article 99a shall be added to Chapter Four, Section II of the Civil Registration Act (promulgated, SG No. 67/1999; amended, Nos 28 and 37/2001, No. 54/2002, No. 63/2003, Nos 70 and 96/2004, No. 30/2006, Nos 48 and 59/2007, No. 105/2008) as follows:

Article 99a. The number of persons who can be registered at one address with the consent of the owner of a residential unit shall not exceed three times the number of persons who can normally dwell in the respective residential unit.

§ 11. By 31st March 2009, the Minister of Regional Development and Public Works shall issue the secondary legislation on the implementation of this Act.

§ 12. The implementation of this Act shall be assigned to the Minister of Regional Development and Public Works.

§ 13. This Act shall become effective on the 1st May 2009.

 This Act was adopted by the 40th National Assembly on the 13th January 2009 and stamped with the Official Seal of the National Assembly.

TRANSITIONAL AND FINAL PROVISIONS to the Act Amending and Supplementing

 the Condominium Ownership Management Act

 SG No. 15/23.02.2010

§ 4. Convening a condominium’s general assembly, entering records in the book of owners and submitting a registration request under Article 44 shall be carried out not later than 30th June 2010.

§ 5. The mayor of the municipality or district, within 6 months upon the expiration of the time limit under § 4, shall make arrangements to hold general assemblies and to elect managing bodies in the buildings under the arrangement of condominium management, where no such general assemblies have been convened.

§ 6. The mayor of the municipality or district shall submit a statement of information to the Minister of Regional Development and Public Works in respect of any buildings and entrances registered under the arrangement of condominium management upon the expiration of the time limit under § 5.

TRANSITIONAL AND FINAL PROVISIONS to the Act for Amending and

 Supplementing the Condominium Ownership Management Act

 (SG, No. 57/2011)

 ……………………………………………………..

§ 54. In any building or entrance under condominium ownership arrangements, where up to the entry into force of this Act a register of owners had been kept, it shall not be required to establish a new condominium book.

§ 55. Submission of the notices under Article 46b shall take place within 6 months of the entry into force of this Act. No notices shall be required if the buildings or entrances under condominium ownership arrangements have been entered on the register under Article 44.

§ 56. (1) The mayor of the municipality or of the district or the authorised official shall, within one year of the entry into force of this Act, organise the conduct of general assemblies and election of managing bodies in the buildings under condominium ownership arrangements, where no such assemblies had been convened and bodies had not been elected.

 (2) The mayor or the official, authorised by him, shall convene the general assembly under Paragraph (1) by invitation, posted at a prominent and generally accessible location at the building entrance in the condominium and also on the website of the municipality or the district.

 (3) If the assembly can not be held due to lack of the quorum required under Article 15, Paragraph (2), the mayor of the municipality or the district or the official, authorised by him or her, shall designate within a term of 14 days a manager and a cashier from among the list of owners or users, inhabiting the condominium.

 (4) In case of non-compliance with the provisions under Paragraphs (1) – (3) the mayor of the municipality or the district shall be sanctioned by a fine of between BGN 50 and BGN 500.

 (5) The acts ascertaining the infringements under Paragraph (4) shall be drawn up by officials of the respective regional administration, designated by the regional governor, while the penalty enactments shall be issued by the regional governor or by an official authorised by him or her.

§ 57. Any associations, registered prior to the entry into force of this Act shall bring their activity into conformity with its requirements within one year of its entry into force.