On Apartment Owners' Association

Law of Georgia

On Apartment Owners' Association

Article 1. Scope of Regulation🔗

This Law regulates relations related to the management of the common property of the members of an apartment owners' association, determines the forms of apartment owners' associations and the forms of ownership of the members of an apartment owners' association, as well as the basic legal conditions for the emergence, formation, activity and liquidation of an apartment owners' association.

Article 2. Purpose of the Law🔗

The purpose of this Law is to ensure the legal conditions for the management, operation and development of the common property of the members of an apartment owners' association.

Article 3. Definition of terms🔗

For the purposes of this Law, the terms used have the following meaning:

a) condominium association – an association of the owners of residential and non-residential, including commercial-purpose, floor space located in a multi-apartment building;

b) apartment in a multi-apartment building – the object of individual ownership in a multi-apartment building, which may be a combination of adjacent premises united in one system (interconnected) or an isolated premises (combination of premises) used for residential or non-residential, including commercial, purposes;

c) multi-apartment building – a building consisting of more than two objects of individual ownership (apartments);

d) total area of an apartment – the sum of the areas of adjacent premises united in one system (interconnected) held in individual ownership, an isolated premises and/or isolated premises;

e) individual ownership – ownership of an apartment and/or non-residential floor space, as well as those parts constituting this floor space which may be reconstructed, removed or added in such a way that the common property or the right of any other owner of an apartment based on individual ownership is not unjustifiably infringed thereby, as well as the utility premises (basements, attics, etc.) of a multi-apartment building in the possession of a member of the condominium association;

f) common property of the members of the condominium association – a land plot, the multi-apartment building located on the same plot, the combination of service engineering networks, devices and units, buildings and structures and improvement facilities connected thereto, which is not held in individual ownership;

g) exploitation of the common property of the members of the condominium association – actions aimed at ensuring the functional operability and sound physical and technical condition of the common property of the members of the condominium association;

h) maintenance of the common property of the members of the condominium association – actions necessary for the daily functioning of the common property of the members of the condominium association;

i) development of the common property of the members of the condominium association – an action aimed at the improvement, functional change or reconstruction of the common property of the members of the condominium association;

j) owner – the owner of one of the apartments held in the individual ownership of the members of the condominium association;

k) association of owners of individual residential houses – an association voluntarily founded by the owners of individual residential houses located on two or more adjacent land plots;

l) total area of the apartments of a multi-apartment building – the sum of the total areas of the apartments in a multi-apartment building;

m) transit wiring – engineering equipment and wiring of common use passing through the area of individual ownership.

Article 4. Individual property of the members of an apartment owners' association🔗

1. The object of the individual property of the members of an apartment owners' association is an apartment in the ownership of individual persons, as well as the utility premises (basements, attics, etc.) of a multi-apartment building in the possession of a member of the apartment owners' association.

2. The members of the apartment owners' association shall, at a meeting, record the actual situation existing at the time of the entry into force of this Law with respect to the possession by the members of the apartment owners' association of the utility premises (basements, attics, etc.) of a multi-apartment building and shall, by 2/3 of the votes, adopt a decision, on which a corresponding minutes shall be drawn up, unless a different quorum is determined by the charter. In order to register in the public register the right of ownership to the utility premises (basements, attics, etc.) of a multi-apartment building, a member of the apartment owners' association shall submit the minutes drawn up by the meeting of the members of the apartment owners' association and a drawing by means of which it is possible to determine the location of the utility premises.

Article 5. Common property of the members of an apartment owners' association🔗

1. The land plot, part of the house and those buildings and structures, installations, engineering networks and devices constituting the common property of the members of the apartment owners' association which are not individual property constitute the common property (common ownership) of the members of the apartment owners' association.

2. The number of co-owners of the common property shall be determined in accordance with the number of apartments.

3. The share of an owner in the common property of the members of the apartment owners' association shall be determined by the ratio of the area in his individual ownership to the total area of the apartments of the multi-apartment building.

4. The common property of the members of the apartment owners' association comprises:

a) a land plot;

b) buildings and structures and engineering-communication devices and wiring intended for the servicing of the common property of the members of the apartment owners' association;

c) the load-bearing and enclosing non-load-bearing (facade) structures of a multi-apartment building (foundations, frame, walls, balconies of common use, inter-floor ceilings, parapets (railings), cornices, downpipes, etc.);

d) the vestibules, entrances, corridors, stairwells, basements, attics, boiler rooms, technical floors, roofs, lifts, shafts of various purposes, channels, refuse chutes, bunkers, etc. of a multi-apartment building, which are not in individual ownership;

e) transit wiring.

5. The common property of the members of an apartment owners' association may include acquired movable property, securities and intangible goods.

6. The share of a member of the apartment owners' association in the common property of the members of the apartment owners' association determines his share in the common expenses for the maintenance, operation and development of the common property of the members of the apartment owners' association, unless otherwise provided by the charter of the apartment owners' association.

Article 6. Disposal of the common property of the members of the association of apartment owners🔗

1. Individual property shall not be subject to alienation without the share of the individual owners in the common property of the members of the association of apartment owners.

2. Individual property may not be encumbered by mortgage or otherwise without the corresponding share in the common property of the members of the association of apartment owners.

3. The restrictions on the disposal of the common property of the members of the association of apartment owners established by this Law and/or by the members of the association of apartment owners on the basis of the charter shall not apply to the cases of disposal, mortgage or other encumbrance of individual property defined by paragraphs 1 and 2 of this Article.

4. A separate object or part of the common property of the members of the association of apartment owners may be transferred for use to a third person only in accordance with the rules established by the charter of the association of apartment owners.

5. On the basis of a decision adopted unanimously by all members of the association of apartment owners, the following objects included in the common property of the members of the association of apartment owners may be transferred for use:

a) stairwells and staircases;

b) elevators, elevator shafts or other common-use shafts and channels;

c) common-use corridors and galleries;

d) technical floors, load-bearing and enclosing non-load-bearing (facade) structures, roofs;

e) mechanical, electrical and plumbing and other devices and units serving the multi-apartment building.

6. The land plot included in the common property of the members of the association of apartment owners may be encumbered with the right of limited use by the members of the association of apartment owners or by third persons in accordance with the procedure established by the Civil Code of Georgia.

Article 7. Use of the individual and common property of the members of the association of apartment owners🔗

1. The owner may, at his/her own discretion, use the parts of the building in his/her individual property and exclude any interference by other persons with them, unless by doing so he/she violates the law or the rights of third persons.

2. The owner may use the common property of the members of the association of apartment owners.

3. The owner, regardless of the location of his/her apartment, shall be obliged towards the owners of other apartments to bear, in accordance with his/her share, the expenses for the maintenance and operation of the common property of the members of the association of apartment owners, unless otherwise provided by the charter of the association of apartment owners.

4. An owner who has not voted for the measures that are not directly related to the maintenance and operation of the common property of the members of the association of apartment owners shall not bear the obligation to reimburse the expenses arising as a result of such measures, and shall likewise have no right to claim the benefits deriving from these measures, unless otherwise provided by the charter of the association of apartment owners or by a decision of the meeting of the members of the association of apartment owners.

Article 8. Management of the common property of the members of the apartment owners' association🔗

1. The owners shall be responsible for the joint management of the common property of the members of the apartment owners' association, unless otherwise provided by the charter or a contract of the apartment owners' association.

2. An owner is entitled, without the consent of the other owners, to take, within the bounds of reasonableness, the necessary measures to prevent the damage that directly threatens the common property of the members of the apartment owners' association. This owner has the right to demand reimbursement of the expenses incurred by him or her.

3. An owner has the right to demand that the activities of the apartment owners' association be conducted in accordance with the charter of the apartment owners' association, and in its absence – taking into account the requirements of this Law and the common interests of the apartment owners.

Article 9. Boundaries of the land plot included in the common property of the members of the apartment owners' association🔗

1. The determination, change and attribution of the boundaries of the land plot included in the common property of the members of the apartment owners' association shall be carried out in accordance with the procedure established by the legislation of Georgia.

2. Possible changes related to the boundaries of the land plot included in the common property of the members of the apartment owners' association as a result of the development of the common property of the members of the apartment owners' association shall be regulated in accordance with the procedure established by the legislation of Georgia.

Article 10. Conditions for the development of the common property of the members of the apartment owners' association🔗

1. Such development of the common property of the members of the apartment owners' association as significantly alters the common property of the members of the apartment owners' association and affects the use of the common property by other apartment owners shall be carried out on the basis of a decision adopted unanimously by all members of the apartment owners' association at a meeting of the members of the apartment owners' association.

2. In the event of changes in the area of the common property of the members of the apartment owners' association as a result of the development of the common property of the members of the apartment owners' association, the shares of the members of the apartment owners' association shall be recalculated and registered in the public registry at the expense of the member (members) whose share was increased as a result of the change in area, unless the members of the apartment owners' association agree on a different procedure.

3. In the case of urban development measures, the conditions for the development of the common property of the members of the apartment owners' association shall be determined in accordance with the Code of Spatial Planning, Architectural and Construction Activities of Georgia.

Law of Georgia of 20 July 2018 No. 3231 – website, 13.08.2018.

Article 10¹. Conditions for the development of property held in the individual ownership of a member of a condominium owners' association🔗

1. Without the consent of the condominium owners' association, it is possible to carry out such development of property held in the individual ownership of a member of the condominium owners' association

which affects the common property of the members of the condominium owners' association, but does not entail an increase in the area held in individual ownership and/or the creation of a new item of individual ownership.

2. If the construction works referred to in paragraph 1 of this Article entail an increase in the area held in individual ownership and/or the creation of a new item of individual ownership, the decision on the admissibility of the construction works shall be taken by the condominium owners' association

by the votes of 2/3 of the members.

3. If

the construction works referred to in paragraph 1 of this Article entail the dismantling of the common property of the members of the condominium owners' association, the decision thereon shall be taken by the condominium owners' association

by the votes of 2/3 of the members.

Law of Georgia of 11 October 2011 No. 5095 – website, 03.11.2011.

Article 11. Condominium owners' association established by law in a multi-apartment building🔗

1. Upon the entry into force of this Law, a condominium owners' association shall be deemed established in a multi-apartment building which is located on a single land plot and in which more than two apartments held in individual ownership are situated.

2. On the basis of a decision adopted unanimously by all members of the condominium owners' association in a multi-apartment building located on a single land plot and with the consent of the executive body of the municipality, a condominium owners' association of one or several entrances may be established.

3. On the basis of a decision adopted by all owners of apartments in several multi-apartment buildings located on adjacent land plots and with the consent of the executive body of the municipality, a single condominium owners' association may be established.

4. The conditions for the liquidation of a condominium owners' association shall be determined by this Law and other legislation of Georgia.

5. The activities of a condominium owners' association shall be carried out on the basis of this Law and the charter of the condominium owners' association.

Law of Georgia of 15 July 2020 No. 7018-rs – website, 28.07.2020.

Article 12. Association of owners of individual residential houses🔗

1. The owners of individual residential houses situated on two or more adjacent land plots may establish an association of owners of individual residential houses.

2. The activities, rights and obligations, and the liquidation procedure of an association of owners of individual residential houses shall be regulated by the charter adopted by the owners of the individual residential houses.

3. The requirements of this Law shall not apply to the activities of an association of owners of individual residential houses, except for paragraphs 1 and 2 of this Article.

Article 13. Objectives of a condominium owners' association🔗

The objectives of a condominium owners' association are: the maintenance, operation and development of the common property.

Article 14. Legal status of the condominium owners' association🔗

1. The condominium owners' association is not a legal entity. It may have reporting and other accounts in a bank, as well as other necessary requisites.

2. The condominium owners' association has separate property; it may acquire property and non-property rights and obligations in its own name; in legal relations the association is represented by the chairperson or another person authorised for that purpose.

3. The condominium owners' association shall not be liable for the obligations of its members.

4. The claims of creditors of the condominium owners' association may be satisfied out of the property of the members of the condominium owners' association. At the same time, for decisions taken by the condominium owners' association, except for the case provided for by paragraph 4 of Article 7 of this Law, the members of the condominium owners' association shall be liable in proportion to their share in the common property of the members of the condominium owners' association, personally and as joint debtors, while the issue of liability of the invited manager shall be determined by contract.

5. The chairperson of the condominium owners' association, in agreement with the meeting of the members of the condominium owners' association, or another person authorised by the condominium owners' association, may register in the public registry the debt of a member of the condominium owners' association to the condominium owners' association as an obligation attached to an immovable thing, if it exceeds GEL 500.

6. In the case of alienation of individual property, the new owner shall be liable for unfulfilled obligations related to the membership of the member of the condominium owners' association in the condominium owners' association, personally and as a joint debtor.

Article 15. Income of the condominium owners' association🔗

1. The source of income of the condominium owners' association may be any type of income that is not prohibited by the legislation of Georgia.

2. The imposition on the members of the condominium owners' association of additional expenses related to the development of the common property of the members of the condominium owners' association shall be permissible only if it is approved by 2/3 of the members of the condominium owners' association.

Article 16. Non-entrepreneurial economic activity of a condominium owners' association🔗

1. A condominium owners' association shall be entitled to carry on non-entrepreneurial economic activity, the income derived from which shall, first of all, be used in accordance with the charter of the condominium owners' association for the implementation of the tasks defined by this Law.

2. A condominium owners' association may carry on the following types of non-entrepreneurial economic activity:

a) granting by right of use or alienation of the common property of the members of the condominium owners' association, including the roof, attic, basement and land plot that are not in individual ownership. This paragraph shall not apply to the utility rooms defined in paragraph 2 of Article 4 of this Law;

b) placement of monetary funds in banks or other credit institutions;

c) other types of non-entrepreneurial economic activity provided for by the legislation of Georgia.

Article 17. Name of a condominium owners' association🔗

1. In order to participate in legal relations, a condominium owners' association shall have a name.

2. The abbreviation of the condominium owners' association – "BMA" – must be used before the name.

3. If a condominium owners' association does not have a name, the address of the condominium owners' association shall be deemed to be the name.

Article 18. Rights of a condominium owners' association🔗

A condominium owners' association shall be entitled to:

a) conclude contracts with third parties for the implementation of the tasks defined by this Law and the charter of the condominium owners' association;

b) acquire immovable and movable property;

c) in the established manner:

c.a) lease out, rent out, exchange, alienate or write off the common movable property of the members of the condominium owners' association;

c.b) lease out, rent out or alienate the common immovable property (property) of the members of the condominium owners' association;

d) insure the common property of the members of the condominium owners' association;

e) use a bank loan;

f) perform other actions defined by the charter of the condominium owners' association that do not contradict the legislation of Georgia.

Article 19. Membership in the Apartment Owners' Association🔗

1. A member of the Apartment Owners' Association is the owner of an apartment in a multi-apartment building.

2. If an apartment belongs to several owners under the right of common ownership, they shall adopt a decision on appointing their representative in the Apartment Owners' Association. If the owners do not appoint a representative, the eldest owner among the owners shall be considered the representative.

3. Membership in the Apartment Owners' Association arises immediately upon the acquisition of individual ownership in a multi-apartment building.

4. The interests of minor members of the Apartment Owners' Association shall be represented by their parents, guardians or curators. Actions on behalf of minors shall be carried out in accordance with the legislation of Georgia.

5. From the moment of the death of the owner of an apartment, liquidation of a legal entity, alienation of the apartment, or termination of the right of ownership for another reason, the membership of the respective person in the Apartment Owners' Association shall terminate. The legal successor of this person or the acquirer of the property shall become a member of the Apartment Owners' Association from the moment the right of ownership to the property arises.

Article 20. Rights of Members of the Apartment Owners' Association🔗

A member of the Apartment Owners' Association shall have the right to:

a) at his/her own discretion, without agreement with other members of the Apartment Owners' Association, to possess, use and dispose of his/her apartment, to exclude any interference by other persons with it, if by this he/she does not violate the law or the rights of third persons;

b) to be reimbursed from the funds of the Apartment Owners' Association for urgent expenses incurred within the limits of reasonableness for the purpose of avoiding damage to the common property of the members of the Apartment Owners' Association;

c) to participate in the activities of the Apartment Owners' Association personally or through his/her representative;

d) to elect or be elected as chairperson of the Apartment Owners' Association;

e) to receive information about the activities of the Apartment Owners' Association, the condition of the common property of the members of the Apartment Owners' Association and the expenses incurred;

f) to come forward with proposals for improving the activities of the Apartment Owners' Association;

g) to exercise other rights provided for by the legislation of Georgia and the charter of the Apartment Owners' Association.

Article 21. Obligations of Members of a Condominium Association🔗

1. A member of a condominium association shall be obliged to:

a) maintain individual property and the common property of the members of the condominium association in such a condition and use them in such a manner as not to cause damage to another owner thereby, and act within the scope of the obligation to tolerate neighbourhood effects;

b) ensure that persons employed at his/her enterprise located in a multi-apartment building, or those to whom he/she transfers for use the land plot or parts of the building in his/her individual ownership or in the common ownership of the members of the condominium association, fulfil the obligations set out in subparagraph „a“ of this paragraph;

c) tolerate effects on the part of the house in his/her apartment and on the common property (common ownership) of the members of the condominium association, if such effects comply with the conditions provided for in subparagraphs „a“ and „b“ of this paragraph;

d) permit an authorised person to enter the apartment and temporarily use it, if this is necessary to restore the common property of the members of the condominium association to a proper condition and to carry out ongoing repairs thereto; the damage caused in this case shall be compensated;

e) tolerate the measures necessary for the installation and operation of communication and supply facilities. The owner in whose favour such measures are carried out shall be obliged to compensate the damage caused in this case;

f) participate in bearing the expenses necessary for the maintenance and operation of the common property of the members of the condominium association in accordance with paragraph 6 of Article 5 of this Law;

g) for the purpose of protecting the common property of the members of the condominium association, observe construction-technical, fire-safety, sanitary and other norms and rules;

h) upon alienation of his/her property, provide to a person wishing to acquire the property complete information on the existing or expected obligations towards the condominium association;

i) fulfil other obligations established by the legislation of Georgia and by the charter of the condominium association.

2. Non-use by a member of a condominium association of the property belonging to him/her, as well as refusal to use the common property of the members of the condominium association, does not release him/her from participating in the expenses for the maintenance and operation of the common property of the members of the condominium association.

3. In the event of non-fulfilment of an obligation defined by this Article, the condominium association may apply to a court.

Article 22. Registration in the Public Register of a Voluntary Restriction Imposed by Members of a Condominium Association🔗

1. Members of a condominium association shall be obliged to register in the Public Register a restriction of the right of possession, use or disposal of individual property established by them on the basis of a written contract.

2. A restriction defined by paragraph 1 of this Article shall enter into force only after registration in the Public Register.

Article 23. Charter of an apartment owners' association🔗

1. An apartment owners' association may have a charter, which shall determine:

a) the rules for making amendments and additions to the charter of the apartment owners' association;

b) the rules for the development of the common property of the members of the apartment owners' association;

c) the amount of the regular expenses of the members of the apartment owners' association and of the additional expense contributions related to the development of the common property of the members of the apartment owners' association, in accordance with paragraph 6 of Article 5 of this Law;

d) the rules for the adoption and implementation of the economic plan;

e) the rules for the alienation, renting out, leasing out, mortgaging of the common property of the members of the apartment owners' association, as well as for the transfer of a servitude or another right to other persons;

f) the rules for taking and granting loans;

g) the rules for the acquisition of the common property of the members of the apartment owners' association;

h) the rules for the election and dismissal of the chairperson of the apartment owners' association;

i) the rule for the transfer of the functions of managing the common property of the members of the apartment owners' association to an invited manager;

j) other matters related to the activities of the apartment owners' association.

2. If the number of members of the apartment owners' association does not exceed twelve, the members of the apartment owners' association shall adopt the charter of the apartment owners' association by 3/4 of the votes, and in all other cases – by 2/3 of the votes.

3. If the charter of the apartment owners' association has not been adopted within 3 months from the entry into force of this Law, the activities of the apartment owners' association shall be carried out in accordance with the rules established by Chapter V of this Law, until the members of the apartment owners' association adopt a new charter.

Article 24. Liquidation of an apartment owners' association🔗

1. Liquidation of an apartment owners' association shall take place:

a) if the multi-apartment building, or the entrance (entrances) of the multi-apartment building in which (in which) the apartment owners' association was established, has been completely destroyed;

b) if, in the apartment owners' association founded under this Law or in the entrance (entrances) of the multi-apartment building in which (in which) the apartment owners' association was established, all apartment owners have become one person;

c) in other cases established by the legislation of Georgia.

2. In the event of liquidation of the apartment owners' association, the remaining common property of the members of the apartment owners' association, except for the land plot, shall be distributed among the members of the apartment owners' association in accordance with their share.

3. The land plot remaining after the liquidation of the apartment owners' association shall not be distributed among the members of the apartment owners' association. It shall be considered their co-ownership. In the event of alienation or encumbrance with rights of the land plot, the amount (property) received shall be distributed among the owners in accordance with their share prior to the liquidation of the apartment owners' association.

Article 25. Union of apartment owners' associations🔗

In order to protect common interests, apartment owners' associations may establish unions in accordance with the procedure established by the legislation of Georgia.

Article 26. Management of the Apartment Owners' Association🔗

1. The activities of the Apartment Owners' Association shall be managed by the chairperson of the Apartment Owners' Association.

2. In a multi-apartment building in which the number of entrances exceeds two, the chairperson of the Apartment Owners' Association may appoint a representative in each entrance, whose functions shall be determined by the charter of the Apartment Owners' Association, and in the event that the members of the Apartment Owners' Association have not adopted a charter, the representative appointed by the chairperson of the Apartment Owners' Association shall act in accordance with this Law and the instructions of the chairperson of the Apartment Owners' Association.

3. At a meeting of the members of the Apartment Owners' Association, by 2/3 of the votes of the members of the Apartment Owners' Association, they may elect the chairperson of the Apartment Owners' Association for a specified term. If within 3 months from the adoption of this Law the chairperson of the Apartment Owners' Association has not been elected, until a new chairperson is elected, the functions of the chairperson of the Apartment Owners' Association shall be performed for 6 months in rotation by members of the Apartment Owners' Association, and their order shall be determined by drawing lots at the meeting of the members of the Apartment Owners' Association.

4. Any member of the Apartment Owners' Association or an invited manager may be elected as chairperson.

5. In the absence of the chairperson or in the event of his inability to perform his duties, one of the members of the Apartment Owners' Association shall, on his instruction, perform the duties of the chairperson.

6. After the termination of the powers of the chairperson of the Apartment Owners' Association, the former chairperson shall be obliged to transfer to the new chairperson all information, documentation and material assets in his possession and related to the activities of the chairperson of the Apartment Owners' Association.

7. If the charter of the Apartment Owners' Association has not been adopted by the Apartment Owners' Association within 3 months from the adoption of this Law, the chairperson of the Apartment Owners' Association, until the members of the Apartment Owners' Association adopt the charter:

a) convenes and chairs the meeting of the members of the Apartment Owners' Association;

b) ensures the implementation of the decisions of the meeting of the members of the Apartment Owners' Association;

c) in agreement with the meeting of the members of the Apartment Owners' Association, takes necessary measures to ensure the proper maintenance, operation and development of the common property of the members of the Apartment Owners' Association;

d) in agreement with the meeting of the members of the Apartment Owners' Association, determines the expenses of the Apartment Owners' Association for the current economic year;

e) in agreement with the meeting of the members of the Apartment Owners' Association, determines the amount of additional expenditure contributions related to the regular expenses of the members of the Apartment Owners' Association and to the development of the common property of the members of the Apartment Owners' Association, in accordance with paragraph 6 of Article 5 of this Law;

f) in agreement with the meeting of the members of the condominium association, ensures the alienation, renting out, leasing and mortgaging of the common property of the members of the condominium association, as well as its transfer to other persons by servitude or any other right;

g) in agreement with the meeting of the members of the condominium association, ensures the taking and granting of loans;

h) takes the measures necessary to protect any time limit or to prevent any negative legal consequence;

i) receives and pays amounts to cover incurred expenses or debts, if this concerns the common affairs of the owners;

j) concludes contracts and submits the necessary documentation, if this is related to the maintenance, operation and development of the common property of the members of the condominium association and to the common interests of the members of the condominium association;

k) ensures the performance of the contractual terms and obligations assumed by the condominium association;

l) appears in court or other bodies on behalf of the condominium association.

8. The owner is entitled to perform the works related to the maintenance, operation and development of the common property of the members of the condominium association himself or through third parties. In such cases, the work performed by them shall be recorded and assessed by the chairperson. The expense contribution shall be reduced for the owner in accordance with the work performed, unless otherwise provided by the charter of the condominium association or by a decision of the meeting of the members of the condominium association.

9. The chairperson shall ensure the hiring of workers and employees for the maintenance, operation and development of the common property of the members of the condominium association and the conclusion of contracts with them.

10. The chairperson shall perform other obligations arising from the legislation of Georgia.

Article 27. Convening of the meeting of the members of the condominium association🔗

1. The meeting of the members of the condominium association shall be convened by the chairperson of the condominium association at least once a year. This rule shall apply only if the members of the condominium association do not adopt a charter or unless otherwise determined by the charter.

2. If there is no chairperson, or he evades convening the meeting contrary to his duty, the meeting may be convened by any owner, unless otherwise determined by the charter.

3. In case of urgent necessity, the meeting shall be convened immediately.

4. The members of the condominium association shall be notified in writing of the convening of the meeting.

5. The meeting shall be chaired by the chairperson of the condominium association, unless the meeting decides otherwise.

Article 28. Meeting of the members of a condominium association🔗

1. The rules defined in this Article shall apply only if the members of the condominium association do not adopt a charter.

2. The meeting of the members of the condominium association shall have a quorum if 2/3 of the members of the condominium association attend it.

3. If the meeting of the members of the condominium association does not have a quorum, the chairperson of the condominium association shall convene the meeting again with the same agenda. This meeting shall have a quorum regardless of the number of participants, which shall be noted when the meeting is convened.

4. When a decision is taken at the meeting of the members of the condominium association, each owner shall have one vote. If an apartment has several owners, they may exercise the voting right only jointly. If an owner has several apartments, he/she shall have votes corresponding to the number of apartments.

5. Decisions at the meeting of the members of the condominium association shall be taken by more than half of the votes of those present, unless otherwise provided by this Law.

6. A member of the condominium association shall not be entitled to participate in voting if:

a) there is a conflict of interest;

b) the matter concerns a statement of claim filed in court against him/her.

7. The decision of the meeting of the members of the condominium association shall be reflected in the minutes, which shall be drawn up and signed by the chairperson of the meeting. Each owner shall be entitled to review the minutes.

8. A member of the condominium association may appeal the minutes in court.

9. The implementation of the decision of the meeting of the members of the condominium association shall be mandatory for each member of the condominium association, including those who did not participate in the voting for any reason.

Article 29. Relations with municipal bodies🔗

1. Municipal bodies shall facilitate the formation of condominium associations, for which purpose they may carry out the following measures:

a) awareness-raising and explanatory work with owners;

b) preparation, together with the relevant bodies and with the participation of initiative groups, of technical passports of multi-apartment buildings and of information on the technical condition of multi-apartment buildings;

c) registration of condominium associations;

d) training of members of condominium associations;

e) development of programmes to support condominium associations.

2. The executive bodies of the municipality, in accordance with paragraphs 2 and 3 of Article 11 of this Law, shall give consent:

a) to the establishment of a condominium association of one or several entrances in a multi-apartment building located on one land plot, on the basis of a decision unanimously taken by all members of the condominium association;

b) to the establishment of one condominium association on the basis of a decision taken by all owners of apartments of several multi-apartment buildings located on adjacent land plots.

Article 30. Transitional Provisions🔗

1. Within 6 months from the entry into force of this Law, the Government of Georgia shall:

a) adopt the rules for determining the boundaries of land plots included in the common property of the members of an association of apartment owners;

b) submit to the Parliament of Georgia, for the full entry into force of Article 14 of this Law, the relevant amendments to the Laws of Georgia "On Registration of Rights to Immovable Things" and "On the Fee Established for Services Rendered by the National Agency of Public Registry".

2. Until the Government of Georgia determines the rules for determining the boundaries of land plots included in the common property of the members of an association of apartment owners, paragraphs 1 and 2 of Article 4 of this Law shall apply to the utility premises located in the building of a multi-apartment house in which associations of apartment owners are created under this Law.

3. The rules for determining the boundaries of land plots included in the common property of the members of an association of apartment owners, to be adopted by the Government of Georgia on the basis of subparagraph "a" of paragraph 1 of this Article, shall not apply to those land plots whose attribution to multi-apartment residential buildings (determination of boundaries) has already been carried out before the adoption of the above rules.

Article 31. Entry into force of the Law🔗

This Law shall enter into force on 1 August 2007.

President of Georgia M. Saakashvili

Tbilisi,

11 July 2007.

No. 5277-rs

Amendments made:

1. Law of Georgia of 11 October 2011 No. 5095 – website, 3 November 2011.