Chapter VI Owners's Partitioned Ownership of Building Areas

Article 70 As regards such exclusive parts within the buildings as the residential houses or the houses used for business purposes, an owner shall enjoy the ownership thereof, while as regards the common parts other than the exclusive parts, the owner shall have common ownership and the common management right thereof.

Article 71 An owner is entitled to possess, utilize, seek profits from and dispose of the exclusive parts of the building. Any owner may not endanger the safety of the building or infringe upon the lawful rights and interests of any other owner when exercising his or its rights.

Article 72 An owner enjoys the rights and assumes the obligations over the common parts other than the exclusive parts of the building, and may not reject performing the obligations under the pretext of abandoning rights.

In case an owner alienates his residential house or the house used for business purposes within the building, the common ownership and the common management right enjoyed by him/her over the common parts shall be alienated at the same time.

Article 73 The roads within the building zone, except for the public roads of cities and towns, shall be commonly owned by the owners. The green lands within the building area, except for the public green lands of cities and towns or those which are definitely ascribed to individuals, shall be commonly owned by all the owners. The other public places, common facilities and houses used for realty services within the building zone shall be commonly owned by all the owners.

Article 74 The parking places and garages within the building area planned for parking cars shall be used to meet the needs of the owners above all else.

The ownership of the parking places and garages shall be agreed upon by the related parties in the manners of selling, complementary using or leasing, etc.

The parking places, which occupy the roads or other fields commonly owned by all owners, shall be in the common ownership of all the owners.

Article 75 The owners may set up an owners' assembly and elect an owners' committee.

For the establishment of the owners' assembly and the election of the owners' committee, the related departments under the local people's governments shall provide guidance and assistance.

Article 76 The following matters shall be commonly determined by the owners:

(1) To formulate and revise the rules of procedure for the owners' assembly;

(2) To formulate and revise the stipulations on managing the building and affiliated facilities thereof;

(3) To elect the owners' committee or alter the members thereof t;

(4) To hire or fire the realty service enterprise or any other manager;

(5) To raise or use the funds for maintaining the building and affiliated facilities thereof;

(6) To modify or rebuild the building or any of its affiliated facilities;

(7) Other important matters on the common ownership and the common management right.

For making a decision on matters prescribed in Item (5) or (6) of the preceding paragraph, the consent of two thirds or more of the total owners with exclusive parts accounting for two thirds or more of the total area of the building shall be obtained. For making a decision on any other issue prescribed in the preceding paragraph, the consent of half of the total owners with exclusive parts accounting for half of the total area of the building shall be obtained.

Article 77 Any owner may not alter a residential house into a house used for business purposes with violation of any law, regulation or management stipulation. An owner shall, when changing a residential house into a house used for business purposes, obtain the consent of the interested owners, in addition to complying with the laws, regulations and management stipulations.

Article 78 Decisions made by the owners' assembly or the owners' committee are binding to each owner.

In case the legitimate rights and interests of any owner have been injured by any decision made by the owners' assembly or the owners' committee, the injured owner may require the people's court to cancel the decision.

Article 79 The funds for maintaining a building and affiliated facilities thereof shall be commonly owned by the owners of the building. The funds may, upon the codetermination of the owners, be used for maintaining such common parts as elevators and water tanks. The circumstance about the raise and use of the maintenance funds shall be released to the owners.

Article 80 As regards such matters as the expenses allocation and the proceeds distribution of a building or any of its affiliated facilities, in case there exists any stipulation for these, such stipulation shall apply; in the case of no stipulation or unclear stipulation, these matters shall be determined in accordance with the proportion of each owner's exclusive parts to the total area of the building.

Article 81 The owners of a building may manage the building and affiliated facilities thereof by themselves or they may entrust a realty service enterprise or any other manager to conduct the management.

As regards the realty service enterprise or any other manager hired by the construction entity, the owners are entitled to alter it in accordance with law.

Article 82 The realty service enterprise or any other manager shall, upon the strength of the owners' entrustment, manage the building and affiliated facilities thereof within the building area and accept the owners' supervision.

Article 83 The owners shall comply with the laws, regulations and management stipulations.

As regards any act infringing upon the lawful rights and interests of other persons, such as discarding wastes at will, discharging atmospheric pollutants and noise, breeding animals with violation of the related regulations, illegally building shelters, occupying passages or rejecting paying realty management fees, etc.e, the owners' assembly and the owners' committee have the right, in accordance with the relevant laws, regulations and management stipulations, to request the actor to stop the infringing act, terminate the danger, remove the impediments and make compensation for the losses. Where any owner's legitimate rights and interests are infringed upon, he/she may lodge an action to the people's court in accordance with law.

Chapter VII Neighboring Relationship

Article 84 A neighboring right holder of a realty shall, in accordance with the principles of facilitating production and livelihood, solidarity and mutual aid, as well as fairness and equity, handle the neighboring relationship in a correct manner.

Article 85 In case there exists any legal provision on the disposal of neighboring relationship, such provision shall apply; in the case of no such provision, the neighboring relationship shall be disposed of in light of the local customs.

Article 86 The right holder of a realty shall provide necessary convenience for the neighboring right holders in terms of the use of water and drainage.

As regards the utilization of natural running water, the neighboring right holders of realty shall rationally distribute it. The natural current direction shall be respected when draining natural running water.

Article 87 Necessary conveniences shall be provided by the right holder of a realty where a neighboring right holder has to use his land by virtue of passage or for any other reason.

Article 88 In case the right holder of a realty has to use a neighboring land or building by virtue of the construction or repairing of a building, or the laying of wires, cables, water pipes, heating pipelines or fuel gas pipelines, etc., necessary convenience shall be provided by the right holder of such land or building.

Article 89 When constructing a building, no entity or individual may block the ventilation, lighting or sunshine of any neighboring building with violation of the relevant engineering construction standards of the state.

Article 90 No right holder of realty may discard solid wastes or discharge such harmful substances as atmospheric pollutants, water pollutants, noise, light and magnetic radiation with violation of the related provisions of the state.

Article 91 The right holder of a realty may not, when excavating a land, constructing a building, laying a pipeline or installing an equipment, endanger the safety of any neighboring realty.

Article 92 Where the right holder of a realty has to use a neighboring realty by virtue of using water, drainage, passage or laying pipelines, etc., he shall make more efforts to avoid causing any damage to the right holder of the neighboring realty. He shall make corresponding compensations in case any damage is caused.

Chapter VIII Common Ownership

Article 93 A realty or chattel may be commonly owned by two or more entities or individuals. Common ownership contains several co-ownership and joint ownership.

Article 94 As regards a commonly owned realty or chattel, a several co-owner shall, on the basis of his proportion, enjoy the ownership of the realty or chattel.

Article 95 As regards a commonly owned realty or chattel, a joint owner shall, on a common basis, enjoy the ownership of the realty or chattel.

Article 96 The co-owners shall manage the commonly owned realty or chattel in accordance with stipulation; in the case of no or unclear stipulation, all co-owners have the right and obligation of management.

Article 97 As regards the disposal or heavy repair of a commonly owned realty or chattel, unless it is stipulated otherwise by the co-owners, the consent of the several co-owners holding more than two thirds of shares or all joint owners shall be obtained.

Article 98 As regards the management expenses or any other liabilities of a commonly owned res, in case there exists any stipulation on these, such stipulation shall apply; in the case of no or unclear stipulation, the expenses shall be assumed by the several co-owners in accordance with their respective shares or commonly assumed by all joint owners.

Article 99 Where the co-owners of a commonly owned realty or chattel has stipulated that it is not allowed to partition the realty or chattel so as to maintain the relationship of common ownership, such stipulation shall apply; but where any co-owner has certain significant reasons for partitioning the realty or chattel, he may request the partition; in the case of no or unclear stipulation, a several co-owner may request the partition at any time, and a joint owner may request the partition where the basis for the common ownership disappears or he has certain significant reasons. In case any damage is caused by the partition to any other person, the corresponding compensation shall be made.

Article 100 The co-owners of a commonly owned realty or chattel may decide on through negotiation the way of partition. The real object shall be partitioned in case no agreement is achieved and the realty or chattel may be partitioned without impacting its value; the partition shall be executed by distributing the purchase price obtained from converting its value into money, the auction or selling off the realty or chattel in case it is difficult to partition it or its value would be affected because of the partition.

Where the realty or chattel, which is obtained from the partition of a commonly owned realty or chattel by a co-owner, has any flaw, the other co-owners shall assume the losses together.

Article 101 A several co-owner may alienate his share of the commonly owned realty or chattel. And the other several co-owners have the preemptive right for purchase on an equal footing.

Article 102 As regards an obligee's right or a debt generated from a commonly owned realty or chattel, unless it is otherwise prescribed by any law or the third party is aware of the fact that the co-owner does not have the relationship of joint and several creditor's right or debt, a co-owner shall enjoy joint and several creditor's right or undertake joint and several debt in terms of external relationship. In terms of the internal relationship among the co-owners, unless it is otherwise stipulated by the co-owners, a several co-owner shall enjoy the creditor's right or undertake the debt on the basis of his own share, while joint owners shall enjoy the creditor's right or undertake the debt on a common basis. In case any several co-owner overpays his share of the debt, he/she has the right to recover the overpaid amount from the other co-owners.

Article 103 In case the co-owners do not stipulate whether the commonly owned realty or chattel is under several co-ownership or joint ownership, or if the stipulation is unclear, unless there is a family relationship among the co-owners, it shall be considered as a several co-ownership.

Article 104 A several co-owner's share of a commonly owned realty or chattel shall be decided on according to his contribution amount in the case of no or unclear stipulation; each several co-owner shall enjoy an equal share where it is impossible to determine the contribution amount.

Article 105 In case two or more entities or individuals commonly own the usufractuary right or real right for security of a realty or chattel, the provisions in this Chapter shall be applicable by reference.