Rights and Obligations of Co-owners in Switzerland
Condominium ownership (PPE) constitutes a very widespread form of real estate ownership in Switzerland. This legal regime allows several persons to own distinct parts of the same building while sharing certain common areas. The Swiss Civil Code precisely governs the rights and duties of each owner, establishing a balance between the exercise of individual property rights and the constraints inherent in community living. Co-ownership involves collective management requiring clear rules to prevent potential conflicts. Our law firm accompanies co-owners daily in understanding and applying these complex legal provisions that govern their relations.
Summary of Principal Rights and Obligations
| Domain | Co-owner's rights | Co-owner's obligations |
|---|---|---|
| Private part | Fit out freely, rent, sell, mortgage | Maintain, not harm the building, comply with regulations |
| Common parts | Use according to share, participate in decisions | Contribute to charges, allow access for common works |
| Assembly | Vote, propose agenda items, contest decisions (1 month) | Comply with validly passed decisions |
| Finances | Access to accounts and supporting documents | Pay charges and contributions to the renovation fund |
| Neighbourhood | Require compliance with regulations by neighbours | Tolerance of normal nuisances, not disturbing the peace |
Legal Foundations of Co-ownership in Switzerland
Co-ownership in Switzerland rests on a structured legal framework defining the rights and obligations of each co-owner. The Swiss Civil Code (CC) devotes its articles 712a to 712t to condominium ownership, the most common form of co-ownership in the country. This regulation establishes a fundamental distinction between private parts, which belong exclusively to each co-owner, and common parts, which are held jointly by all co-owners.
Swiss law provides that each co-owner has a share expressed in thousandths or as a percentage. This share determines not only the extent of their right over the common parts, but also serves as the basis for calculating their contribution to charges and the weight of their vote at co-ownership assemblies.
Constitutive Deed and Administration Regulations
Co-ownership is generally established by a notarial deed which includes:
- The constitutive deed establishing the division of the building
- The administration regulations defining the rules of operation
- Plans specifying the boundaries between private and common parts
The administration regulations are of crucial importance as they specify the practical arrangements for life in co-ownership. They may be amended, but generally according to qualified majority rules, which ensures a degree of stability to the regulatory framework of the co-ownership.
In the absence of specific provisions in the regulations, the articles of the Civil Code apply by default. The case law of the Federal Supreme Court regularly clarifies the interpretation of these texts, creating a detailed body of rules governing relations between co-owners.
Exclusive Rights of Co-owners
Each co-owner in Switzerland enjoys exclusive rights over their private part, which constitutes one of the major advantages of condominium ownership. These rights are governed by article 712a of the Swiss Civil Code, which defines the owner's prerogatives over their unit.
Scope of Property Rights Over Private Parts
The owner has an exclusive right of use, enjoyment and fit-out of their private part. In practice, this means they may:
- Occupy their unit personally or rent it to a third party
- Carry out interior fitting-out works
- Sell or mortgage their share without requiring the agreement of the other co-owners
- Transmit their unit by succession
These exclusive rights generally concern the spaces delimited by the walls, floors and ceilings of the apartment, as well as the installations therein that serve exclusively the owner (sanitary, electrical, individual heating installations, etc.).
However, these rights are not absolute and are subject to certain limitations. A co-owner may not exercise their right of ownership in a manner that would damage the very substance of the building, infringe the rights of other co-owners or be contrary to the purpose of the building.
Management of Common Parts
Common parts represent all elements of the building that are not allocated to the exclusive use of a co-owner. Their management constitutes a fundamental aspect of life in co-ownership and frequently raises complex legal questions.
Definition and Extent of Common Parts
Under article 712b of the Swiss Civil Code, the following are deemed common parts:
- The land on which the building is erected
- The load-bearing elements and structure of the building
- Facades, roofs and exterior walls
- Stairwells and lifts
- Technical rooms (boiler room, bicycle room, laundry, etc.)
- Common installations (central heating, collective antennas, etc.)
Each co-owner has a co-ownership right over these common parts proportional to their share. This right entails both prerogatives and responsibilities.
Decision-Making Process Regarding Common Parts
The management of common parts falls within the competence of the co-owners' assembly. The Swiss Civil Code establishes different types of majority required depending on the importance of the decisions to be taken:
- Simple majority of co-owners present for ordinary administrative acts
- Qualified majority (more than half of co-owners representing more than half of the shares) for more significant administrative acts
- Double qualified majority for certain major decisions
- Unanimity for the most serious decisions substantially affecting the rights of co-owners
Financial Obligations of Co-owners
| Type of charge | Usual allocation | Note |
|---|---|---|
| Common parts maintenance | Pro rata shares | May be adjusted by regulations |
| Building insurance premiums | Pro rata shares | Mandatory collective insurance |
| Administrator fees | Pro rata shares | Fixed by the assembly |
| Lift charges | Variable (often by floor) | Regulations may provide a special allocation key |
| Renovation fund | Pro rata shares | Not legally mandatory but recommended |
| Public taxes and duties (land register) | Pro rata shares | According to cantonal provisions |
Consequences of Non-payment of Charges
Non-payment of charges by a co-owner leads to several consequences:
- Application of default interest
- Possibility for the administrator to initiate enforcement proceedings
- Constitution of a legal mortgage over the debtor's unit (under certain conditions)
Swiss law gives the co-owners' community effective means to recover unpaid charges, thus protecting the collective interest.
Dispute Resolution in Co-ownership
Life in co-ownership may generate tensions and disagreements between owners or with the administrator. Swiss law provides various mechanisms to resolve these conflicts, ranging from mediation to judicial proceedings.
Challenging Assembly Decisions
Decisions of the co-owners' assembly may be contested before the courts within a period generally fixed at one month. Grounds for challenge include:
- Failure to comply with convocation or majority rules
- Violation of the administration regulations
- Contravention of mandatory legal provisions
- Infringement of the fundamental rights of a co-owner
Frequently Asked Questions on Co-owners' Rights and Obligations
Can a co-owner carry out works in their unit without authorisation?
For works affecting only the interior of the unit (painting, floor coverings, non-load-bearing partitions), no authorisation from the assembly is in principle required. On the other hand, works touching common parts, the structure, facades, common installations (heating, water) or modifying the external appearance require a decision of the assembly by the appropriate majority. The PPE regulations may also impose specific obligations, such as prior notification of the administrator. An administrative authorisation (building permit) may additionally be required depending on the canton.
What happens if a co-owner does not pay their charges?
Non-payment of charges exposes the defaulting co-owner to several consequences: default interest, initiation of enforcement proceedings by the administrator, and constitution of a legal mortgage over their unit (community's legal pledge right). Swiss law gives the community effective means to recover unpaid claims, up to and including forced realisation of the unit in extreme cases. PBM Avocats advises administrators on the most appropriate recovery procedure in Geneva and the canton of Vaud.
Within what period can a co-owner contest a decision of the assembly?
The mandatory contestation period is one month from the date on which the co-owner became aware of the decision (art. 712m para. 2 CC). This period runs even if the minutes have not yet been officially delivered. After this period, the decision becomes final and enforceable even if it was irregular. The challenge is brought before the competent civil court (on the merits). PBM Avocats rapidly analyses contested decisions to act within this mandatory time limit.
What are the minimum maintenance obligations for a PPE unit?
Each co-owner is required to maintain their private part in such a way as not to damage the building or harm the other co-owners (art. 712a para. 2 CC). This includes in particular: maintaining installations exclusive to them (water, electricity, individual heating), remedying defects that could cause damage to common parts or other units (water leaks, insulation problems), and taking charge of repairs relating to their private part. Failure to comply with this obligation may engage their civil liability towards the other co-owners.
How can a co-owner force the assembly to undertake necessary works?
If the assembly refuses or delays ordering necessary maintenance works on the common parts, a co-owner may apply to the judge under art. 647 CC to obtain authorisation to carry out the urgent works themselves at the community's expense. For less urgent works, they may seek a court order requiring the community to carry out the repairs. In both cases, a prior formal notice to the administrator and a negative vote in assembly are generally required as preconditions.