What is a housing community?
A housing community is a statutory form of cooperation between owners of separate residential or commercial premises located in the same building or property. In Poland, it is generally referred to as a wspólnota mieszkaniowa. It arises automatically when the first separate unit in a building is sold or otherwise established as an independent property. No separate incorporation procedure, articles of association or entry in the National Court Register is required.
The housing community includes all owners of premises within a particular property. Its purpose is to manage the common property, including the land, structural elements of the building, staircases, lifts, roofs, installations serving more than one unit, corridors and other shared areas. Individual owners remain responsible for their own premises, while the community makes decisions concerning matters that affect the property as a whole.
Under the Polish Act on Ownership of Premises, a housing community may acquire rights, incur obligations, sue and be sued. Although it is not a company or a legal person, it has legal capacity and acts through its management board or an appointed manager. Its legal position is therefore distinct from the legal position of each individual owner.
What does a housing community do?
The main role of a housing community is to ensure the proper administration, maintenance and financing of common property. This includes organising repairs, maintaining technical installations, arranging waste collection, purchasing insurance, keeping the property clean and safe, and settling service charges connected with common areas.
A community also adopts resolutions concerning management matters. Such resolutions may concern the annual management plan, contributions to maintenance costs, renovation funds, major repairs, selection of contractors, installation of monitoring systems, changes in the use of common areas or the appointment of a property manager. The scope of decision-making depends on whether a matter constitutes ordinary management or exceeds ordinary management.
In communities where more than three separate premises have been established, the rules of the Act on Ownership of Premises generally apply. Decisions exceeding ordinary management usually require a resolution of owners. In smaller communities, consisting of no more than three premises, the provisions on co-ownership under the Civil Code generally apply. This distinction follows from Article 19 of the Act on Ownership of Premises and may affect voting procedures, management rules and the requirements for taking valid decisions.
A housing community may appoint a management board composed of owners or other individuals. Alternatively, the management of the property may be entrusted to a property manager. If management is entrusted in a notarial deed, the scope of authority and the applicable decision-making rules should be assessed carefully, especially before entering into significant contracts or undertaking major renovation works.
When is legal assistance with a housing community advisable?
Legal assistance may be needed when a housing community faces disputes between owners, challenges to resolutions, unpaid maintenance contributions, defects in the building, conflicts with developers, contractors or property managers, or uncertainty regarding the use of common property.
For individual owners, advice may be important before challenging a resolution that affects their rights or financial obligations. A resolution may be challenged in court if it is inconsistent with the law, the ownership agreement, or the principles of proper management, or if it infringes an owner’s interests. The action must generally be brought within six weeks from the date on which the resolution was adopted or, where votes were collected individually, from the date on which the owner was notified of the resolution. Prompt assessment of the resolution and the circumstances of its adoption is therefore important.
For management boards and property managers, legal support can help in preparing resolutions, concluding service and construction contracts, recovering arrears, handling access to documentation, and responding to claims made by owners. It may also be relevant when the community intends to change the method of management, borrow funds for renovation, sell part of the common property or establish rights over it.
An early consultation with a lawyer can help avoid ineffective resolutions, procedural errors, disputes with contractors, personal liability risks for management board members and unnecessary financial losses. It may also clarify whether a proposed action requires owner approval and what voting majority is required.
Legal support for housing communities
Legal support for housing communities may include in particular:
- reviewing and drafting resolutions of owners;
- advising management boards and property managers on their powers and duties;
- challenging or defending resolutions of the housing community;
- recovering unpaid maintenance charges and other receivables;
- reviewing contracts with administrators, contractors and utility providers;
- advising on construction defects, warranty claims and developer disputes;
- assisting with disputes concerning common property and the use of premises;
- representing housing communities and owners in court proceedings.
Need legal assistance with a housing community? Contact us.