Legal hypothec in favor of the syndicate of co-ownership

The Civil Code of Québec states, in article 1039, that the community of co-owners acting through a known entity is constituted under the name of a syndicate of co-owners.

The syndicate is therefore responsible for, among other things, the conservation of the immovable, its maintenance and the administration of the common portions.

To do so, the syndicate must collect the charges owed by the co-owners, as well as each one’s contribution to the constitution of the contingency fund, as required by the article 1064 of the Civil Code of Québec.

Given the importance of collecting charges or “condo fees”, article 2729 of the Civil Code of Québec expressly provides for the creation of a legal hypothec that may charge one or more fractions, and this, in favour of the syndicate of co-owners.

The said legal hypothec is acquired only upon the registration of a notice indicating the nature of the claim, the amount due on the day the notice is registered, the amount provided for charges, the claims for the current fiscal year and for the following two years.

As soon as it is published in the Book on Publicity of Rights, the legal hypothec opens the door to the exercise, by the syndicate, of a hypothecary remedy against the unit of the defaulting co-owner.

However, like all types of hypothecs, the remedy must be preceded by a 60-day notice, allowing the defaulting co-owner to rectify the situation.

For more information, do not hesitate to consult us.

Vanessa Low-Ken
Legal technician
Charland Avocat Inc.
Centropolis Laval
500-3055, boul. Saint-Martin Ouest
Laval (Québec) H7T 0J3
Phone: (450) 934-8700
Fax: (450) 934-8748
vanessa@charlandavocat.com