Cyprus Property Forum for Buyers, Sellers & Investors

Hi Nigel

You have stated in an earlier post that 'The developer is responsible for managing & maintaining the communal parts of the development until Title Deeds are issued. It's then up to the owners to manage things.. Is there a legal document that states this?

There is no public liability for our complex. I believe that this is a legal requirement! Who would be held responsible should there be a claim?

I have tried to get public liability for the common parts however, it has proved rather difficult. Also, in my opinion the Cypriot companies do not offer sufficient cover. It is also very difficult to get people to realise the implications of not having public liability cover. Any suggestions?

Regards,
Laura.

Hi Laura,

According to the Department of Lands & Surveys:

• Management of jointly-owned buildings
  
  1. All jointly-owned buildings must have a management committee which regulates and manages all relevant affairs.
  
  2. The owners of all units contained in the building shall participate in the expenses, which are necessary for the insurance, maintenance, repair, restoration and management of the jointly-owned property.
  
  3. The proportion of the share of each owner in the expenses is prescribed by the Regulations based on the area of each unit.
  
  4. The regulations are submitted at the Lands Office of the District, where the jointly- owned building is situated, and are registered by the Director with an entry made in the Land Register. These regulations govern the relations among the owners of the units, determine their rights and obligations and should also make provision for the control, operation, administration, management and enjoyment of the units and of the jointly-owned property.
  
  5. The Director of the Department of Lands & Surveys has the power and/or the obligation to intervene in matters concerning the management of any jointly-owned building only upon an application filed with the Lands Office of the District where the property is situated and upon payment of the relevant fees by the applicant/owner of any unit.

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And you can download an authorised English translation of the relevant law from my website at http://www.cyprus-property-buyers.com/f ... gs-law.pdf

Until you get the Title Deeds to your property, you are not considered to be it's 'owner'. This means that you are unable to register any committee you may establish and the regulations governing the management of the complex with the Land Registry. As a consequence, your committee will have no legal powers to collect money, to take action against non-payers, sort out the insurance etc, etc.

So if you haven't got Title Deeds, the only person in a position to establish a committee is the property developer. And although you may not be legally obliged to contribute to the running costs, etc (as you are not an owner until you get the Deeds) you do have a moral obligation to pay.

Having read through the law, it does not state who is responsible for establishing a committee. All it says is that there has to be a committee. Now the only person in a position to do this is the registered owner(s) of the property - i.e. those with Title Deeds - in your case, the developer.

In my opinion, the developer maintains the responsibility until you get your Title Deeds because you have no powers to act.

However, the law does not actually say who is responsible for establishing a committee, only that "All jointly-owned buildings must have a management committee" - so I guess this is open to some interpretation - and you'll need to seek legal opinion on the matter.

Regards,

Hi Nigel

Thank you for your reply.

However, you have not addressed the section that refers to 'Public liability' There is no public liability for our complex. I believe that this is a legal requirement! Who would be held responsible should there be a claim? Would the developers be responsible and thus held liable? Are you able to offer any comments on this aspect, please?

Regards,
Laura.

Hi Laura

IMHO it's the developer's responsibility and liability should anything happen.

Regards,