OF THE RESIDENTIAL PROPERTY ACQUIRER`S DUTIES TO COVER THE ADMINISTRATION EXPENDITURE OF THE RESIDENTIAL HOUSE FROM THE DAY A COURT DECISION REGARDING THE APPROVAL OF THE AUCTION COMES INTO FORCE

Abstract

Residential house managers today are facing a pressing problem of a debt collection from residential property owners having acquired property at auction. It is a common problem that a new owner does not register ownership for a long time. Besides, the new owners take advantage of the legislation imperfections and do not register the newely acquired property in the land register.This results in non-payment for the municipal services as well as all the other services provided by the house manager. The services are not paid for either by the previous or the new property owners who acquired the property at auction. By January 1, 2017 amendments to the Residential Property Act came into force, which adjusts this situation, putting the obligation on the property acquirer, after the date of entry into force of the auction act to pay the house manager for the provision of services. Amendments to the Residential Property Law will not allow for the situation when the residential property owner having acquired the property at auction does not properly pay the bills for the services provided by the nouse manager. The aim of study: to explore the previous practice on the issue of acquiring the property, the obligation to make payments since auction act comes into force, and the current situation in the context of 01/01/2017 amendments in Residential Property Law coming into force, which directly relates to the obligation to make a payment to the house manager starting from the moment the auction act enters into force. The main conclusion – the practice of house managers, the established practice of leading banks and court practice, before the entry into force of this amendment and the new obligations by the acquirer of the apartment, are identical to the 01/01/2017 amendments, and namely, that the acquirer of residential property from the date of entry into force auction act are obliged to pay to the house manager for services relating to the acquired property.