The Common Expense Claim Action and Collection Methods

One of the biggest problems of apartment and complex management is owners who do not contribute to common expenses. One person's non-payment upsets the whole building's financial balance. Fortunately, the Condominium Ownership Law gives strong legal tools to the manager and the other owners against the non-paying owner. In this article we explain how a common expense claim can be collected.

Contributing to common expenses is mandatory

Article 20 of the KMK provides that every unit owner is obliged to contribute to common expenses. This obligation is absolute: an owner cannot refuse to pay their share by claiming "I do not use the common areas" or "I do not need them". The obligation is independent of whether the unit is actually being used.

Late payment penalty: 5% per month

An owner who does not pay dues and advance payments on time does not merely settle for the days delayed; they also pay a late payment penalty. Under the KMK, an owner in default pays a late payment penalty at the rate of five per cent (5%) per month for the days delayed. This rate is set by law and is intended to be deterrent.

Who can file suit and initiate enforcement?

Both the manager and any of the other unit owners may file an action for the common expense claim and initiate enforcement proceedings. If the manager remains passive, an owner in the position of creditor can therefore act directly. The action is filed based on the management plan, the Condominium Ownership Law and the Turkish Code of Obligations.

Enforcement process

The most common route in practice is enforcement proceedings. Enforcement is initiated against the debtor owner for unpaid dues; if the debtor objects, the proceeding is stayed and the creditor may need to apply to the court to have the objection annulled or removed. The existence of the debt is proved by the operating book, decision book and accrual schedules. For this reason, the management's orderly bookkeeping of income and expenses plays a decisive role in the collection process.

Strong security: statutory mortgage and liability on transfer

There is an important safeguard for common expense claims. Under Article 22 of the KMK, dues receivables may be secured by a statutory mortgage on the independent unit. What is more, even if the debtor owner sells their independent unit, the new owner is jointly and severally liable for the dues debt of the previous period. It is therefore critical to investigate any dues debt when buying an apartment.

Summary: Contribution to common expenses is mandatory (KMK Art. 20); a non-paying owner pays a 5% monthly late payment penalty. The manager or any owner may sue and initiate enforcement; the claim may be secured by a statutory mortgage, and the new owner acquiring the unit is liable for the previous debt (Art. 22). For dues tracking and collection, see our blog guides, and easily calculate your receivable with our late payment penalty calculator.

Frequently Asked Questions

What is the rate of the dues late payment penalty?
Under the law, a late payment penalty is applied at the rate of five per cent (5%) per month for the days delayed. This rate is set by law.

The manager is not filing suit — can I do it?
Yes. Any of the other unit owners may also file an action for the common expense claim and initiate enforcement.

What happens to the debt if the debtor sells the unit?
Under KMK Art. 22, the new owner is jointly and severally liable for the dues debt of the previous period. A debt search should therefore be carried out before purchasing an apartment.

Related content

In connection with this topic, our articles on the tenant's responsibilities under condominium ownership law, appointment of a trustee (court-appointed manager) to an apartment and discharge of the manager cover the subject in more detail.

This content is for general information only and does not constitute legal advice. For your specific situation, please consult a lawyer.