What Is the Purpose of the Community of Owners’ Bylaws?
When purchasing a home or commercial unit in a building subject to the Horizontal Property regime, it is essential to understand not only the physical and legal condition of the property, but also its internal regulatory framework. In this respect, one of the most important – and often overlooked – documents for buyers is the Community of Owners’ Bylaws.
The bylaws are a set of rules that govern the internal operation of a community of owners, beyond what is established in the Spanish Horizontal Property Law (Ley de Propiedad Horizontal – LPH). Understanding and correctly applying them is key to avoiding conflicts, penalties, or unexpected restrictions after acquiring a property.
What Are the Community Bylaws?
The Community of Owners’ Bylaws are a set of regulations adopted by the property owners that establish specific rules regarding the use, purpose, administration, and maintenance of both the common and private elements of the building. They are governed by Article 5 of the Horizontal Property Law, which allows communities to create a framework for cohabitation and management tailored to their particular needs, provided they do not contradict the law.
Unlike the Internal Rules of Procedure (Reglamento de Régimen Interior), mentioned in Article 6 of the same law, which cover day-to-day matters such as cohabitation rules and opening hours for common facilities, the bylaws have a more structural and permanent character, addressing issues such as:
- Permitted uses for residential units and premises (e.g., whether they may be used as offices or holiday rentals).
- Rules for carrying out works on common or private elements.
- Criteria for sharing expenses.
- Owners’ rights and obligations.
- Usage restrictions (such as specific activity bans).
Are They Binding for All Owners?
Yes. Provided they are duly registered in the Land Registry, the bylaws are binding and enforceable against third parties, including new buyers. This means that anyone acquiring a property in the building is automatically subject to compliance, even if they have never read them.
For this reason, it is highly advisable that buyers request a copy of the bylaws before completing the purchase. If they are not registered, they should be requested directly from the seller or the property manager.
Even if they are not registered but the buyer has received a copy from the seller or the community, ignorance cannot be used as an excuse for non-compliance. In this context, the principle of good faith and access to documentation are essential.
How Are Bylaws Approved or Amended?
Although most communities have bylaws, they are not legally required. Many operate solely under the Horizontal Property Law as their legal basis.
Initial approval of the bylaws does not require unanimous voting by all owners, which facilitates their adoption. However, any subsequent amendment does require unanimity, as stated in Article 17.6 of the LPH. This can make changes difficult, as a single vote against can block a proposed amendment.
If new bylaws or amendments are approved but not yet registered in the Land Registry, any change in property ownership during this process may require the new owner to ratify the amendment.
What Kind of Rules Do the Bylaws Contain?
Bylaws typically include rules relating to:
- Use of the property: e.g., banning conversion of residential units into offices, restricting holiday rentals, or prohibiting certain commercial uses.
- Works and renovations: including conditions for carrying out works on common elements or requirements for prior authorisation.
- Sharing of expenses: sometimes establishing different criteria from the proportional share coefficient, such as exempting premises without access to certain facilities from contributing to related costs.
- Late payment surcharges: setting financial penalties for owners who are behind on community fees.
- Segregation or combination of private units: including rules for converting commercial premises into residential units or merging multiple properties.
What If the Bylaws Impose General Restrictions?
Some communities try to set restrictive clauses that limit the use of properties (e.g., banning holiday rentals or prohibiting specific types of businesses). In such cases, conflicts may arise between individual property rights and community rules.
When such restrictions are unjustified or ambiguously worded, courts tend to interpret them narrowly, potentially annulling clauses that limit fundamental ownership rights if they are not properly justified. For this reason, bylaws should always be clear, consistent with the law, and based on well-founded consensus.
The Community of Owners’ Bylaws are a key tool for effective management and harmonious living within a building. They act as an extension of the Horizontal Property Law, adapting it to the specific needs of each community.
Before purchasing a home or commercial unit, it is crucial to review this document, as it may contain usage restrictions, financial obligations, and internal regulations that will affect the buyer from day one.
At Martin Properties, experts in property management in Marbella and the Costa del Sol, we always recommend reviewing the bylaws with professional advice before acquiring any property subject to the Horizontal Property regime. An informed decision today can prevent conflicts and problems tomorrow.
