Article 60. The Association’s Lien

(1) Under the law, the association’s claims against an owner arising from its status as a condominium owner are deemed second-ranking privileged claims, for the purposes of Article 145 of the Enforcement Code No. 443/2004.

(2) The association’s lien is limited to an amount equal to the owner’s contribution share for the previous financial year before the date of exercise of the lien, according to the approved financial statements. In the absence of approved financial statements, the actual administrative expenses borne and that can be approved by the association will be considered. The association shall provide the bailiff/mortgagee with the exact value of the lien within a maximum of 5 working days upon request. If the information is not provided upon the expiration of the indicated term, the distribution of the sums will be made without considering the association’s lien.

(3) A lien is realized only from the proceeds of the forced sale of the unit through the exercise of the mortgage right over the unit, or the forced execution of the unit under the Enforcement Code.

(4) When exercising the mortgage right over the unit a mortgagee is obligated to pay to the association, from the proceeds of the forced sale of the mortgaged unit, an amount equal to the association’s claim, within the limits of the lien and with priority over the secured claim of the mortgagee. The same rule applies to the bailiff before distributing the sale proceeds to the enforcing creditor.

(5) The lien does not grant the association any rights other than those provided in this Article.