Table of content

• What is the common fee? Why collect it?
• Not paying housing estate common fees What are the penalties?
• Not paying condominium common fees What are the penalties?
• Can you be sued for not paying common area fees?

What is the common fee? Why collect it?

The common fee is a charge we must pay to the condominium juristic person for managing the shared common areas of the condo.

Such as the swimming pool, co-working space, gym, rooftop garden, or other amenities, depending on the selling points of each project.

These fees are divided into expenses for various areas as follows:

• Used for the management of common areas and staff salaries.
• Used for basic utilities.
• Used for maintenance and repairs.
• Used for miscellaneous activities.

This is to ensure that the common areas are beautiful, clean, safe, and fully usable by everyone.

And it also helps increase the long-term value of the condominium. Whether you live there yourself or rent/sell it later, it provides peace of mind and adds value, making it more profitable.

Not paying housing estate common fees What are the penalties?

If we refuse to pay the common area fee in the community, the penalties are as follows:

1. If payment is overdue beyond the due date

a late payment fee of 10-15% of the outstanding amount plus interest will be charged, depending on the terms of the juristic person in each project.

2. If the common area fee is overdue for more than 3 months

services or privileges such as key card access, garbage collection, and use of common facilities like fitness centers, swimming pools, libraries, and meeting rooms may be suspended.

3. If the common area fee is overdue for more than 6 months

the juristic person has the authority to suspend registration of rights and legal transactions, making it impossible to transfer any ownership rights.

4. If the common area fee is overdue for more than 6 months

the juristic person may file a lawsuit in court (subject to the committee’s decision).

Not paying condominium common fees What are the penalties?

If we refuse to pay the common area fee in a condominium, the penalties are as follows:

1. Late Payment Fees

If payment is not made within the specified time frame (usually 6 months), a late payment fee will be imposed. This fee can be up to 12% immediately if paid within 6 months, and up to 20% thereafter, plus interest. The collection periods for common area fees typically occur every 3 months, 6 months, or annually, depending on the condominium’s payment schedule.

2. Loss of Voting Rights

Individuals who do not pay their common area fees may lose their right to vote at meetings. They cannot participate in voting on any matter, even if they can attend the meetings.

3. No “Free from Debt” Certificate

Owners will not receive a “free from debt” certificate when selling or transferring any rights. They must settle all outstanding fees, including water, electricity, and common area fees, to obtain this document from the juristic person for submission to the Land Office.

4. Potential Lawsuit

There is a possibility of being sued. This depends on the decision of the committee.

Can you be sued for not paying common area fees?

There is a law that allows action to be taken against those who are delinquent in paying common fees. According to the Land Allocation Act (No. 2) B.E. 2558 (2015)

The law stipulates that the juristic person, who has the authority to manage the project, can suspend services to owners of units/houses who are delinquent in paying common fees. Additionally, they can take legal action to enforce payment.