Q: What is the legal process for abolishing a "by-law common element" (規約共用部分) designation in a Japanese condominium, and what subsequent title registration steps are required for the affected part?
In Japanese condominium (マンション - manshon) law, certain areas that could otherwise function as independent, exclusive-use units (専有部分 - sen'yū bubun) can be designated as "by-law common elements" (規約共用部分 - kiyaku kyōyō bubun) through provisions in the condominium's bylaws (規約 - kiyaku). These spaces, such as meeting rooms, administrator's offices, or even converted residential units, serve the collective needs of the unit owners. However, circumstances may change, leading a condominium association to decide that such a designation is no longer necessary or beneficial. In such cases, Japanese law provides a process to abolish this common element status and revert the space to a condition where it can be privately owned and transacted. This involves not only amending the bylaws but also undertaking crucial subsequent property registration procedures.
This article outlines the legal pathway for abolishing a by-law common element designation and details the essential title registration (建物の表題登記 - tatemono no hyōdai tōki) steps that must follow to reflect its new legal status as a potentially independent property.
The Initial Step: Abolishing the "By-law Common Element" Designation via Bylaw Amendment
The foundation of a by-law common element's status lies within the condominium's bylaws. Therefore, the first and most critical step to change this status is to formally abolish or amend the specific bylaw provision that designated the part as a common element.
- Mechanism for Abolition (規約の廃止 - kiyaku no haishi): The abolition is achieved by a formal amendment to the condominium bylaws. This requires a resolution passed at a general meeting of the unit owners' association (集会 - shūkai).
- Resolution Requirements: According to Article 31, Paragraph 1 of the Act on Unit Ownership of Buildings (建物の区分所有等に関する法律 - Condominium Ownership Act), the setting, changing, or abolishing of bylaws generally requires a resolution by at least a three-fourths majority of both the unit owners and their voting rights. Specific bylaws might stipulate a higher threshold, but this is the statutory minimum for such a fundamental change. The decision to abolish a by-law common element provision would fall under this requirement.
- Legal Effect of Bylaw Amendment: Once the bylaw provision designating the part as a common element is validly abolished, the part legally ceases to be a common element. [cite: 4] It is no longer subject to the special rules governing common elements, such as restrictions on separate disposition or the principles of shared use dictated by its common status. It transforms into a part of the building that can, in principle, be independently owned and transacted.
Re-entering the Realm of General Property Law: The Application of Civil Code Article 177
Upon the abolition of its common element status through the bylaw amendment, the legal nature of the affected building part undergoes a significant shift. It is no longer governed by the specific provisions of the Condominium Ownership Act that pertain to the inseparability and shared nature of common elements. Instead, it re-enters the domain of general real property law, most notably becoming fully subject to Article 177 of the Japanese Civil Code (民法 - Minpō). [cite: 4]
Article 177 of the Civil Code states that the acquisition, loss, or alteration of real rights concerning immovable property cannot be asserted against third parties unless registered. When the part was a registered by-law common element, its common status (and the inapplicability of individual ownership claims by third parties) was established by its registration as such. Once that status is abolished, any new or reinstated exclusive ownership over that part must be registered to be defensible against third-party claims. This underscores the necessity of the subsequent registration steps.
The Subsequent Registration: Re-establishing as an Independent Property (建物の表題登記)
The formal abolition of the common element bylaw is the substantive legal act, but the property registry must be updated to reflect this change. This involves a procedure often referred to as a "building title registration" (建物の表題登記 - tatemono no hyōdai tōki). [cite: 4] While the term "title registration" might imply the creation of a record for a brand-new building, in this context, it means updating the existing registry record to reflect the part's new status as an independent, exclusively ownable property, or creating a new title record if, for example, the by-law common element was an attached building that will now be treated entirely separately.
- Purpose of this Registration:
- To accurately reflect the part's new legal status as capable of separate ownership.
- To enable its future sale, mortgage, or other transactions as an independent real property asset.
- To establish a clear chain of title for the "new" exclusive property.
- Timing of Application for Title Registration: The Real Property Registration Act (不動産登記法 - Fudōsan Tōki Hō) imposes deadlines for this application:
- The person(s) who own(s) the part at the moment the bylaw designating it as common is abolished must apply for this title registration within one month from the date of the bylaw's abolition (RPRA, Art. 58, Para. 6). [cite: 4]
- If ownership of this "newly private" part is transferred to another party after the bylaw abolition but before this new title registration is completed, the new owner then becomes responsible for applying. They must do so within one month of acquiring ownership (RPRA, Art. 58, Para. 7). [cite: 4]
Applicant(s) for the Title Registration
The applicant for this re-registration will be the individual(s) or entity legally considered the owner of the part once its common element status is removed. The identity of this owner depends on the original status of the part and the provisions of the condominium's bylaws or the resolution abolishing the common element status:
- If the by-law common element was originally an exclusive-use unit belonging to a specific owner and was converted to common use, its ownership might revert to that original owner or their successor.
- If it was, for example, space constructed by the developer and designated as common from the outset, the bylaws or the abolition resolution would need to clarify who assumes ownership (e.g., the condominium management association itself, or it might be designated for sale with proceeds going to the association).
- The condominium owners' association, by resolution, might decide to sell the part, in which case the buyer, after a valid transfer, would ultimately apply for their ownership registration, potentially preceded by this title registration in the name of an interim owner (like the association).
Key Application Information (申請情報 - Shinsei Jōhō) for the Title Registration
The application for the building title registration must contain specific information as mandated by the Real Property Registration Ordinance (不動産登記令 - Fudōsan Tōki Rei), specifically its Appended Table 21 (令別表21申請) for this scenario. [cite: 4] This includes:
- Standard Building Description: Location, type (e.g., residential, office), structure (e.g., reinforced concrete), and floor area of the part.
- Site-Use Rights (敷地権 - Shikiken): This is a crucial element. If the part, now to be treated as an exclusive-use unit (or a stand-alone building, if applicable), is to have integrated site-use rights (敷地権) – which is typical for condominium units – then full details of these rights must be provided. This includes:
- The description of the land parcels constituting the site.
- The type of site-use right (e.g., ownership share, superficies, leasehold).
- The proportion (割合 - wariai) of the site-use right attributable to this part.
- Cause and Date of Registration (登記原因及びその日付 - tōki gen'in oyobi sono hizuke):
- The "cause of registration" will be "Abolition of (Danchi) Common Element Bylaw" (「(団地)共用部分の規約廃止」). [cite: 6]
- The "date" will be the date on which the bylaw was effectively abolished. [cite: 6]
- Applicant Details: Name and address of the applicant(s) who will be registered as the title-deed holder(s) (表題部所有者 - hyōdaibu shoyūsha).
Mandatory Attached Information (添付情報 - Tempu Jōhō)
Several documents must accompany the application to substantiate the claim and the change in status (as per RPRA Ordinance, Appended Table 21, "attached information" section)[cite: 4]:
- Information Certifying the Abolition of the Bylaw (その旨を定めた規約を廃止したことを証する情報 - sono mune o sadameta kiyaku o haishi shita koto o shōsuru jōhō): (Attachment イ in the table [cite: 4]). This is the primary evidence that the common element status has been legally terminated. It typically consists of:
- Certified minutes of the unit owners' association general meeting where the resolution to abolish the bylaw provision was passed. This document must clearly show the decision and its date.
- Information Certifying the Ownership Right of the New Title-Deed Holder (表題部所有者となる者の所有権証明情報 - hyōdaibu shoyūsha to naru mono no shoyūken shōmei jōhō): (Attachment ロ in the table [cite: 4]). This document establishes who is entitled to be registered as the owner of the now-private part. The nature of this proof can vary:
- If reverting to a previous owner, documents showing their original title and the basis for reversion.
- If ownership vests in the management association or is to be sold, resolutions or agreements supporting this.
- This "proof of ownership right" is generally a more rigorous standard than the "information certifying the owner" that might have been sufficient when initially designating a part as a common element. [cite: 6] It needs to clearly establish who now holds the exclusive proprietary interest.
- Address Certificate of the New Title-Deed Holder (表題部所有者となる者の住所証明情報 - hyōdaibu shoyūsha to naru mono no jūsho shōmei jōhō): (Attachment ハ in the table [cite: 4]). This is a standard requirement for identifying the registered owner, typically a certified copy of their certificate of residence (住民票の写し - jūminhyō no utsushi) or corporate registration for a legal entity.
- Non-Site-Use Right Certificate (非敷地権証明情報 - hi-shikiken shōmei jōhō) (If Applicable): (Attachment ニ in the table [cite: 4]). If the part is a unit within a condominium building but, for specific documented reasons (e.g., a condominium bylaw explicitly permitting the separate disposition of that unit from any site-use rights, or if it genuinely has no appurtenant land rights), it will not have integrated site-use rights, then information proving this situation must be provided. This is less common for typical residential units.
- Site-Use Right Related Information (敷地権関連情報 - shikiken kanren jōhō) (If Applicable): (Attachment ホ in the table [cite: 4]). If the part will have site-use rights, supporting documentation is crucial. This can include:
- Bylaw for a Bylaw-Defined Site (規約敷地 - kiyaku shikichi): If the land constituting the site is not a statutory site (i.e., the land directly under the building) but rather a "bylaw-defined site" (e.g., an adjacent garden or parking lot made a site by the bylaws), then the bylaw establishing this must be provided.
- Bylaw for Site-Use Right Ratios: Any bylaw that specifically determines the proportion of the site-use right allocated to this (now exclusive) part.
- Land Registration Certificate from Other Jurisdiction: If any land parcel forming part of the site is under the jurisdiction of a different Legal Affairs Bureau, a certificate of the registered matters for that land.
- Building Drawings and Floor Plans (建物図面・各階平面図 - tatemono zumen, kakukai heimenzu): According to the source, these are generally not required to be re-submitted if they were already furnished when the condominium building was first registered, or if the specific part (e.g., if it was an attached building designated common) had its own initial display registration. [cite: 6] The existing plans in the registry are typically deemed sufficient unless there have been physical alterations to the part that would necessitate new drawings.
The Registration Procedure by the Legal Affairs Bureau
Once a complete and valid application is submitted, the Legal Affairs Bureau will undertake the following:
- Leveraging the Existing Display Record (表題部 - hyōdaibu): Since the building part in question was previously registered (either as an original exclusive-use unit or as a by-law common element that was itself registered), a display section for it already exists within the building's overall registration record. The process doesn't usually involve creating an entirely new file from scratch for the physical space, but rather updating its legal status.
- Recording the New Owner(s) and Site Rights: The primary actions involve:
- Recording the name(s) and address(es) of the new owner(s) in the display section of the record for this part. If there are multiple owners, their respective shares (持分 - mochibun) will also be recorded. [cite: 4]
- If the part is to have integrated site-use rights (shikiken), the full details of these rights (type, the specific land parcels involved, and the proportion of the right) are recorded in the display section.
- Deletion of the "Common Element" Notation: The registrar will officially delete or mark as cancelled the previous notation in the registry that identified the part as a "common element" (共用部分である旨の登記を抹消する記号を記録する - kyōyō bubun de aru mune no tōki o masshō suru kigō o kiroku suru). [cite: 6] This is often done ex officio by the registrar (職権 - shokken) based on the application for title registration which itself proves the bylaw abolition (as per Article 143 of the Real Property Registration Rules). [cite: 6]
- Recording the Cause of Registration: The "cause and date of registration" section will be updated to reflect "Abolition of (Danchi) Common Element Bylaw, [Date of Abolition]" (「平成何年何月何日(団地)共用部分の規約廃止」のように記録). [cite: 6] The date of registration itself (登記の年月日) will also be recorded.
Practical Implications and Purpose of Reversion
The decision to abolish a by-law common element and revert it to a potentially private status usually stems from practical considerations:
- Enabling Sale or Lease: The most common reason is to allow the condominium association or the designated new owner to sell or lease the part as a separate asset, perhaps to generate revenue for the association or because the common use is no longer needed.
- Use as Collateral: As a privately owned part, it can potentially be used as collateral for a loan, which is not possible when it's a common element.
- Clarifying Individual Ownership and Responsibilities: If the part is to be used exclusively by one or a few owners, formalizing this through private ownership can clarify responsibilities for its upkeep and use, distinct from general common element rules.
- Adapting to Changing Needs: Over time, the needs of a condominium community can evolve, and spaces once vital for common use may become redundant or more valuable if repurposed.
However, it's important to note that the mere abolition of its common status and its title registration does not automatically grant unrestricted use. If it remains part of a larger condominium structure, its use might still be subject to the overall condominium bylaws regarding nuisances, structural alterations, and other community rules applicable to exclusive-use units.
Conclusion
The transformation of a by-law common element back into a separately ownable property under Japanese law is a two-fold legal process: first, the substantive decision and action of abolishing the relevant bylaw provision by the unit owners' association; and second, the meticulous procedural step of applying for a new building title registration (or an equivalent update to the existing record). This registration is critical for establishing clear legal title for the "new" private part, ensuring its enforceability against third parties under Civil Code Article 177, and enabling its future transaction or encumbrance. The detailed requirements for application information and attached documents, including proof of the bylaw abolition and certification of the new owner's rights, are designed to maintain the integrity of the property register and protect all interested parties. Condominium associations and owners contemplating such a change must carefully navigate both the internal decision-making process and these external registration mandates.