WEG-Reform
In the last part of our series on the WEG reform, which will come into force on 1 December 2020, we present further important changes of the reform law. In Part 1 we already explained the organisation of owners' meetings and in Part 2 the possibility of making structural changes to the common property.
During the legislative consultation, the legislator could not bring itself to require a binding proof of expertise for the appointed administrator. The compromise solution is now that every member of a condominium owners' association can demand the appointment of a certified manager as part of proper management (section 19 (2) no. 6 WEG-Neu). Anyone who has passed an examination before a chamber of commerce and industry to prove that he or she has the legal, commercial and technical knowledge necessary to act as an administrator may call himself or herself a certified administrator (section 26 a (1) WEG-neu). Pursuant to section 26 a (2) WEG-neu, the Federal Ministry of Justice and Consumer Protection is empowered to issue more detailed provisions on the examination to become a certified administrator by statutory order.
Due to the granting of a transitional period, this claim for the appointment of a certified administrator can only be asserted as of 1 December 2020 (sections 48(4) sentence 1, 19 no. 6 WEG-new). A person who was the administrator of a community of condominium owners on 1 December 2020 shall be deemed to be a certified administrator towards the condominium owners of this community of condominium owners until 1 June 2024 (section 48(4) sentence 2 WEG-new).
The administrator can now represent the community of condominium owners in and out of court, but when concluding a property purchase or loan agreement, only on the basis of a resolution of the condominium owners (§ 9 b sub-section 1 sentence 1 WEG-Neu). However, the community has the possibility - and this is also recommended - to limit or extend the rights and duties of the administrator within the framework of a catalogue of transactions requiring consent by resolution (section 27 subsection 2 WEG-neu).
After the reform, the respective condominium owner can now assert a statutory right to inspect the management documents towards the association (section 18 (4) WEG-new).
Finally, the regulations for the management advisory board were revised. Thus, condominium owners can be appointed as members of the management advisory board by resolution (section 29 (1) sentence 1 WEG-neu). The administrative advisory board supports and monitors the administrator in the performance of his duties (section 29 (2) sentence 1 WEG-neu) and finally - in order to encourage more condominium owners to make themselves available as administrative advisory board members of the administrative advisory board are only liable for intent and gross negligence in the case of unpaid work (section 29 (3) WEG-neu).
With the amendments to the WEG presented in our three articles, the legislator has taken a step in the right direction, but has not hit the jackpot. The practice welcomes various clarifications and extensions of previously applicable rules. It remains to be seen whether the new regulations will facilitate the handling of WEGs and thus make the daily and formal interaction of the members of a WEG more pleasant and less contentious.
Author: Dieter Jasper
Düsseldorf, the 16 November 2020
