Condominium Handbook (Part 5): Establishment of Condominium, Deed of Foundation

Condominium Handbook (Part 5): Establishment of Condominium, Deed of Foundation

What are the conditions for founding a condominium?

Among others, the most important condition for founding a condominium is the draft of a deed of foundation (otherwise known as founding charter) for the condominium, which can either be executed as a public record, or a private record countersigned by an attorney. The deed of foundation is deposited into the land registry records. From 01st January 2014, along with the deed of foundation a survey map drawn by a surveyor must also be filed to the land registry office. When founding a new condominium, the entire floor plan of the building must be drawn and filed.

Why is the condominium deed of foundation important?

The purpose of the condominium deed of foundation is to record the basic ownership relationships for buildings with multiple units and premises. It itemizes the common and separately owned spaces and building parts. This determination is crucial because it decides who has authority over these areas. The common ownership portion is ruled by the condominium assembly, while the owner has control over their separately owned portion.

What should be specified in a deed of foundation?

The deed of foundation should specify the separately owned apartments, non-residential premises, the ownership shares entitled to each co-owner, and the method of determining these shares. It should also list the common parts of the building and other required data, rights, facts stipulated by the rules of the land registry, and the common name of the community, which is the address of the condominium in the absence of other designations.

What documents are required for preparing the deed of foundation?

  • § Land registry extract
  • § Building permit
  • § Final occupancy permit
  • § Building survey map
  • § Floor plan for each level

 

How is the survey map prepared?

The land surveyor surveys the entire building and creates the survey map along with the associated registry request. This documentation must be submitted for endorsement to the land registry. If the land registry finds the documentation compliant with legal requirements, it endorses the survey map. Subsequently, along with the survey map, the deed of foundation or its modification, if necessary, along with any required official certificates, can be submitted to the land registry.

Is the procedure similar for a new building?

In the case of a new building, the builder must submit a declaration of intent to the land registry regarding its wish to execute a deed of foundation, and only then can the final document be submitted, as without it, the division of the building into lots cannot be recorded in the land registry.

Can a condominium be created on multiple land parcels?

No. A condominium cannot be established on multiple land parcels because the land registry for condominiums can only include one land parcel with a registered land registry number.

Is legal representation necessary for the establishment of a condominium or the modification of the deed of foundation? 

Yes. The deed of foundation and its modifications, including resolutions alienating two-thirds common ownership, must be recorded in a public record document or a private record document countersigned by a lawyer or a legal consultant within their professional competence.

What voting ratio is required for the modification of the deed of foundation?

The modification of the deed of foundation requires the consent of all co-owners, and the change must be reported to the land registry. However, an exception is made if four-fifths of the owners agree with the modification, and the minority co-owners do not exercise their right to file a lawsuit within 30 days from the date of voting or, in the case of written voting, from achieving the four-fifths majority. In such a case, the deed of foundation or its modification becomes effective.

This professional article is prepared for informational purposes only and does not constitute legal advice or a legal opinion applicable to specific cases.

If you have questions related to condominium law or need assistance in the civil law field, feel free to contact our office!

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Significant Changes in Consumer Protection in 2026

Significant Changes in Consumer Protection in 2026

Government Decree No. 415/2025 (XII. 23.) on the amendment of consumer protection–related government decrees with a view to ensuring a higher level of consumer protection introduces substantial changes in the field of consumer protection as of 2026.

In this article, we briefly summarise those amendments which will be perceptible to consumers in everyday life and may be of particular practical importance from 2026 onwards.

Government Decree No. 415/2025 (XII. 23.) amends a total of six government decrees related to consumer protection.
The objectives of the amendments are, on the one hand, to strengthen consumer protection and, on the other hand, to reduce the administrative burden on businesses, while also ensuring compliance with EU law and legal harmonisation.

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Important Changes in 2026 for Those Planning to Build

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Government Decree No. 448/2025 (XII. 29.) amends Government Decree No. 327/2015 (XI. 10.) on the detailed rules of professional practice related to surveying and cartographic activities for non-cadastral purposes by introducing a new concept and new rules. These amendments will enter into force on 14 January 2026.

The most significant change is the introduction of the concept of the planning base map, the preparation of which now mandatorily requires the setting out of the property boundary.

In practice, the new regulation aims to ensure more uniform, more accurate and, from the perspective of the planning process, more reliable base maps, which may help prevent future conflicts and legal disputes. At the same time, the additional requirements are likely to slow down procedures and increase costs, and stakeholders should be prepared for this impact.

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What Do Carriers and Affected Businesses Need to Know?

On 23 December 2025, two new pieces of legislation affecting public roads and freight traffic were promulgated, both of which entered into force on 1 January 2026. The primary objective of the new regulatory framework is to ensure that international and domestic transit traffic is conducted along uniform, legally designated routes, primarily using high-capacity dual-carriageway (2×2 lane) road networks. The regulation serves both to enhance road safety and to reduce the burden on residential areas and secondary roads.

The two relevant legal instruments are: 

  • Decree No. 44/2025 (XII. 23.) of the Ministry of Construction and Transport (ÉKM), aimed at defining the Hungarian sections of the transit route network; and

  • Government Decree No. 439/2025 (XII. 23.), aimed at curbing freight traffic diverted from expressways.

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Regulation of Advertising and Commercial Communications in the Influencer Sector

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Opinion leaders, commonly referred to as influencers, have become key actors in modern communication as a result of the rapid expansion of the internet and social media.
The development of digital technologies, the widespread use of smartphones, and the global proliferation of social media platforms—such as Facebook, Instagram, YouTube, TikTok, and Twitch—have fundamentally transformed users’ content consumption habits, as well as their entertainment and purchasing behaviours. As a consequence, influencer marketing has emerged as one of the most significant and fastest-growing tools of the modern advertising market.

By way of an interesting observation, it should be noted that, from a legal perspective, the category of influencers is not limited to natural persons acting as opinion leaders. An influencer may also include a CGI or deepfake character, an animal, or even an object.

The rapid growth of this phenomenon and the intermingling of personal and commercial content on social media platforms primarily justify the need for regulation in this field. For consumers—particularly audiences younger or older than the average user—it is often not clear whether an influencer’s recommendation is based on a paid collaboration, the provision of a gifted product, or another form of material interest.

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Division of Increase in Assets Between Cohabiting Partners and Allocation of Residential Use in Current Hungarian Legal Practice

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