Worth knowing about legal matters

On this page, you will find information about legal matters such as GDPR, statutes and house rules, business rules, insurance, and disputes.

We recommend that the board considers when and how personal data is processed and stored in the association. This is particularly important when dealing with sensitive personal data, as data protection rules must be adhered to in such situations.

In this section, you will find the most essential information about the General Data Protection Regulation (GDPR) and the rules for handling personal information.

• Create a shared board email. That way, you avoid using private email addresses, and thus, you prevent emails to and from the board from being treated as personal data due to the email address.

• Remember access restrictions to archives, websites, etc. Enter into data processing agreements if you have suppliers who process personal data on your behalf.

• Develop a privacy policy that provides information to the data subjects about, among other things, the personal data you process about them and to whom you disclose it.

Important concepts in the General Data Protection Regulation (GDPR)

• Data Controller. The data controller determines the purposes and means of processing personal data.

• Data Processor. The data processor processes personal data on behalf of the data controller and under their instructions.

General personal data

General personal data is any form of information that can be attributed to a specific individual, even if it requires knowledge of other information about the person. For example, a name, address, age, gender, eye color, marital status, salary, debts, telephone number, or registration number. Information in the form of a picture, video recordings, or a fingerprint is also considered personal data.

Sensitive personal data

A special category of personal data that is associated with a higher risk for the individual, including race and health information. This category is subject to specific enhanced protection requirements. It includes information about:

• Race or ethnic origin

• Political, religious, or philosophical beliefs

• Trade union membership

• Genetic or biometric data processed for the purpose of identification

• Health information

• Sexual life or sexual orientation

• Personal data on criminal offenses

• Another category with a particular level of protection includes information about criminal convictions and offenses.

CPR numbers

Under Danish special legislation (the Personal Data Act), there are heightened requirements for the protection of CPR numbers, even though, according to the EU regulation's categories, they fall under 'general' personal data.

As an aid to our property associations, we have prepared a template for a privacy policy.

According to data protection legislation, companies that are data controllers must have a privacy policy that describes how personal information is processed. The policy must, among other things, explain the types of data, purposes, legal basis for processing, and also clarify the security measures taken to ensure compliance. Associations are also subject to this requirement, and therefore, we recommend our association clients to develop a privacy policy.

We are working on providing a template for the privacy policy.

All associations handle personal data differently. Therefore, the template contains marked areas that you need to fill in yourselves. Additionally, your association should always assess the content. For example:

• Can you comply with it?

• Does it need adjustments?

• Should other information be included in the policy?

• Is the association otherwise complying with data protection rules?

• Be particularly aware that the privacy policy cannot replace legal advice on your obligations regarding data protection legislation.

Here you will find information about everything relevant regarding Articles of Association and House Rules.

Articles of Association of the Property Owners' Association

The Articles of Association are the set of rules that, along with the legislation, govern the relationship between the property owners and the association. The rules also establish the framework for how the association and the property should be managed.

The board is elected by the general assembly and is responsible for representing the interests of the association and the owners. They must ensure that the Articles of Association are followed and that the association functions effectively.

Basic Principles

The basic principles for interpreting the Articles of Association in a property owners' association are that they should always be interpreted objectively, objectively, and with respect for the principle of equality. This means that all owners must be treated equally. When the Articles of Association give the board the authority to make decisions, the board must always make decisions in accordance with these basic principles.

House Rules of the Property Owners' Association

In most Articles of Association, there is a provision regarding house rules. It is often stated that the general assembly can establish rules about house rules, and since there are rarely specific requirements for the adoption of house rules, the majority vote is usually sufficient for their approval.

House rules contain general rules and guidelines for members of the property owners' association and potential tenants. The purpose is to ensure that the residents show common sense and consideration towards each other and the property of the association. Typically, the house rules also include specific guidelines for waste management, the use of balconies, and rules regarding pets.

The house rules create a common framework for owners and residents and contribute to good neighborliness and well-being within the association.

For property owners' associations, a new standard set of articles of association was decided on November 29, 2020, which will apply to all property owners' associations from January 1, 2022, to a large extent, respecting any specific articles of association that have been adopted and registered by the property owners' association. There are non-negotiable rules in the new standard articles of association, so all owners and property owners' associations should be aware of the standard articles of association.

Questions about your articles of association or house rules?

If you have any questions regarding your articles of association or house rules, please contact your designated contact person at DEAS. You can also reach out to DEAS' legal department, which can assist with the wording or interpretation of provisions in the articles of association.

We are here to provide guidance

If you have any questions regarding your articles of association or house rules, please contact your designated contact person at DEAS. You can also reach out to our legal department, which can assist with the wording or interpretation of provisions in the articles of association.

We recommend that you, as a board, create a Rules of Procedure that documents how tasks and responsibilities are distributed among the members.

Approach to the task

In the board, you should appoint one responsible board member for each area of responsibility, so that everyone does not perform the same tasks and to avoid multiple board members discussing the same issues and tasks with administrators or other advisors. Furthermore, you should always agree on how communication with partners and assistants should take place.

Working groups

You can handle identified tasks yourselves and distribute the tasks among you. Alternatively, you can choose to form a working group where members of the property owners' association, who are not part of the board, can also participate. We recommend that in a working group, there should always be at least one board member who represents the board and acts as the contact person for the board.

Below, you can read about the necessary insurances, what can affect your insurances, as well as risk assessment and maintenance plans.

The necessary insurances

It is the board's responsibility to ensure that the property of the property owners' association is always insured against building fires and other building damages. Additionally, you may benefit from taking out the following insurances:

• Homeowner's liability insurance.

• Extended pipe damage, fungus, and insect damage insurance.

• Glass and sewer insurance.

Maintenance and condition are crucial

You should be aware that the terms and, most importantly, the price of insurances are closely related to the condition of the property - including the insurance history of the property owners' association.

If the association has a history of frequent and costly damages, it will typically result in higher insurance premiums and/or exclusions in the insurance conditions where the insurance does not cover or only partially covers.

There is a lot of money to save on general insurance terms and deductibles if the property of the property owners' association is well-maintained, and if the board is aware of where insurance premiums are typically most 'vulnerable'.

We recommend that you regularly review the property owners' association's insurances, including assessing coverage and prices and potentially getting competitive quotes.

Risk assessment and maintenance plans

When planning how the property of the property owners' association should be maintained and renovated, it may be a good idea to pay attention to whether the insurance company has formulated exclusions or recommendations that should be incorporated into the upcoming construction project.

We recommend that you have the insurance company inspect the property. That way, you can include the insurance company's risk assessment when considering which projects should be undertaken.

We collaborate with several insurance companies and insurance brokers that offer insurance advice. If you need assistance, please ask your contact person at DEAS.

Property owners' associations will over time experience that conflicts or disagreements arise. It is inevitable and something that the board should be prepared for.

The disputes can be about:

• Owners dissatisfied with board or general assembly decisions, warnings, exclusions, subleasing arrangements, etc.

• Suppliers not delivering as agreed, disagreements over price, disputes over a contract, delays, property damage during work, etc.

• Government authorities making decisions, rulings, or similar actions.

Get help to resolve disputes

We find that many boards and board members take it personally when conflicts and disagreements arise. Therefore, as a board, you should seek help when a dispute arises. You can always contact the association's contact person, whom you can consult and guide you on how to proceed.

At DEAS, we also offer assistance. We are experienced in handling cases involving owners or suppliers, including complaint cases and debt collection cases – up until the case goes to court.

Dissatisfaction with DEAS

Unfortunately, situations may arise where an association becomes dissatisfied with us. If that happens, we encourage you to contact us. We will always do our best to find a solution that everyone can be satisfied with.

In the worst case, as a board, you can complain to the Competition and Consumer Authority if a dispute arises between us and you, and we wholly or partially reject it. The Competition and Consumer Authority will first attempt to reach a resolution through mediation.

If the Competition and Consumer Authority cannot handle the case, both parties can propose another mediator.