Whose Is the Dues Debt on Sale of a Unit?

When buying a unit, a subject most people do not think about is the previous owner's unpaid dues debts. The new owner may think, "Why should I be liable for a debt that arose before I bought?" However, the law has introduced an important rule on this matter. In this guide we explain whose the dues debt on sale of a unit is, the new owner's liability and what needs to be paid attention to before the sale, under Article 22 of the Condominium Ownership Law No. 634 (KMK).

Critical rule: the new owner is also liable

The most important rule introduced by the Condominium Ownership Law is this: for the unit owner's expense debt, the new owner who subsequently buys (acquires) the independent unit is jointly and severally liable together with the previous owner (KMK Art. 22). In other words, the person who buys the unit may also be held liable for the unpaid dues debts of the previous owner. This is a provision many buyers do not know and are surprised by.

Why is the new owner held liable?

The logic of this rule is to secure the apartment's joint receivable. If the debt remained only with the old owner, the debtor owner could sell the unit and disappear, and the apartment could not collect its receivable. The law, by tying the debt to the independent unit, makes the new owner also liable. The apartment can thus demand its receivable from both the old and the new owner. This is the security of common expenses.

What can the new owner do after paying?

Joint and several liability does not mean the new owner has definitively assumed this debt. If the new owner has to pay the previous owner's debt to the apartment, they can demand the amount paid from the actual debtor, the old owner (recourse). In other words, liability towards the apartment is joint and several, but the ultimate burden belongs to the actual debtor (the old owner). However, reaching the old owner and collecting from them may not always be easy; the best thing is therefore to take precautions from the start.

Always check before the sale

The way to protect against this risk is a debt check before purchase. Before buying a unit:

• Request an up-to-date debt statement from the apartment management.
• Check whether there are unpaid dues for previous periods.
• Learn any accrued late payment penalties.
• If there is a debt, secure the deduction of it from the sale price or its clearance in the contract.

This check prevents future surprises.

What should the seller and buyer do?

In a sound unit sale, the parties must openly address the dues debt matter. The seller must disclose existing debts in good faith; the buyer must confirm this with the management. Having the debt cleared at the time of the title transfer or having a clear provision in the contract protects both the buyer and the seller. It also eases this process for the management to notify the debt status clearly when the owner changes.

Summary

On sale of a unit, the new owner is jointly and severally liable for the unpaid dues debt of the previous owner under KMK Art. 22. This secures the apartment's joint receivable. The new owner can demand the amount paid from the old owner, but collection may be difficult. It is therefore critical to obtain an up-to-date debt statement from the management before purchase and to secure the debt in the contract.

An accurate and up-to-date debt status when the owner changes protects both the buyer and the management. Apt Yönet keeps each independent unit's up-to-date debt status clear, providing transparent and reliable debt visibility on ownership changes.

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Frequently Asked Questions

Am I liable for the old debt when I buy the unit?

Yes. The new owner is jointly and severally (together) liable for the previous owner's unpaid dues debt (KMK Art. 22).

Can I recover the old debt I paid?

You may demand the amount paid from the actual debtor, the old owner (recourse); however, collection may not always be easy.

What should I check before the sale?

Get an up-to-date debt statement from the management and check whether there are any unpaid dues and late payment penalties.

How can I protect myself if there is a debt?

Secure in the contract that the debt is deducted from the sale price or cleared before the title transfer.

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This content is for general information only and does not constitute legal advice. You are advised to consult a legal expert about your specific situation.