Case law > Judgment of the Court of Appeal in Warsaw, 6th Civil Division, dated 18th December 2019

Judgment of the Court of Appeal in Warsaw, 6th Civil Division, dated 18th December 2019
VI ACa 352/18

  1. The basis for determining what specific amount charges an individual member for the implementation of an investment task should be the costs actually incurred per unit (Article 18 Sections 1 and 2 of the Act of 15th December 2000 on Housing Cooperatives). In turn, carrying out a “specific valorization” of the one-time annual fee paid at the time of acquisition of the right by drawing up an appraisal for the purpose of updating the annual fee for perpetual usufruct and, consequently, calculating the market value of the right, which is then included in the costs of the investment, is contrary to the regulation of Article 18 of the Act on Housing Cooperatives. For it should be noted that a contract for the construction of an apartment with a member of a cooperative, as referred to in Article 18 Section 1 of the Act on Housing Cooperatives, can be validly concluded only with respect to the principle of nonprofit.
  2. The special feature of a housing cooperative is ex definitione the conduct of business activities to meet the housing needs of its members, and the indication in Article 1 Section 6 of the Act on Housing Cooperatives that the cooperative may also conduct other business activities prejudices that this is an activity other than that arising from its basic object of operation. Conducting economic activity is its primary object of operation, purpose and rationale of existence. Therefore, the claim to supplement the building contribution is directly related to the cooperative’s business of meeting the housing needs of its members as arising from a contractual relationship and not a membership relationship. Referring to the ratio legis of the shortening of the statute of limitations with regard to these claims, it is pointed out that they are typical, mass, repetitive and professionalized, as well as the principles of settlement of housing contributions, the analogous application of which allows the beginning of the running of the statute of limitations to be set at the date of the expiration of the six-month period (currently three months and the claim expires) from the commissioning of the building for use (Article 10 Section 3 and Article 18 Section 4 of the Act on Housing Cooperatives).

The Court of Appeal in Warsaw, 6th Civil Division, composed of:

Presiding Judge:            Urszula Wiercińska

Judges:                            Małgorzata Kuracka,

Jolanta Pyźlak

having recognized on 28th November 2019 in Warsaw, at a hearing, the case brought by K. K. as a representative of the group, consisting of [details of 39 group members] against the Housing Cooperative “(…)” in W. for payment

as a result of the defendant’s appeal against the judgment of the Regional Court in Warsaw dated 5th  December 2017, file number III C 56/15

  1. rectifies the obvious inaccuracy contained in the judgment of the Regional Court in Warsaw dated 5th December 2017, ref. no. III C 56/15, in such a way that in the comparison after the words: “brought by K. K. as a representative of the group” adds: “consisting of: [data of 39 group members]”;
  2. amends the judgment under appeal in the first paragraph so that it reads as follows:

“I. awards from the Housing Cooperative “(…)” in W. in favor of:

(…)

  1. sets aside the judgment under appeal in the remaining part and terminates the proceedings in this part of the case;
  2. dismisses the defendant’s appeal in the remaining part;
  3. awards from the Housing Cooperative “(…)” in W. in favor of K. K. as a representative of the group the amount of PLN 24,300 (twenty-four thousand three hundred) for reimbursement of legal representation costs in the appeal proceedings.