Explanation of Article 623
After Articles (621) and (622) clarified the provisions related to the ordinary management of common property, this article comes to clarify the provisions related to the extraordinary management of common property. The first paragraph states that for extraordinary management, a mere majority of partners is not sufficient; rather, the approval of partners whose shares amount to no less than three-quarters of the common property is required. Acts of extraordinary management are any actions that result in modifications to the purpose for which the common property was prepared, with the intent of improving its utilization. Thus, it is considered extraordinary management to convert land from agricultural to residential if it is suitable for that purpose given its location, or to convert land designated for residential development projects into land for commercial projects. It is also considered extraordinary management to change a store from one commercial activity to another, such as converting a fruit shop into a grocery store or converting a restaurant into a café. Additionally, converting a residential house into a hotel or furnished apartments designated for rent and similar actions are considered extraordinary management. From the above, it is clear that acts of extraordinary management differ from acts of ordinary management in three aspects: The first aspect is that acts of extraordinary management require the approval of partners whose shares are no less than three-quarters of the property, and an absolute majority, which suffices for ordinary management, is not enough due to the seriousness of extraordinary acts and the frequent disputes they cause. This percentage is achieved...
Related To
Article 623
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Owners who own at least three-quarters of a property owned in common may, for the better utilization of such property, decide to make substantial alterations to the property and amendments to its intended purpose that exceed regular management practices, provided that they notify the other owners of their decision. Any owner objecting to the decision shall have the right to file his objection with the court within 30 days from the date of notification.
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If the court approves the decision of the majority provided for in paragraph (1) of this Article, it may decide any measures it deems appropriate, including measures that secure payment of any compensation due to the objecting owner.