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Non-residential premises debt: award upheld, no set-off defence made

Editorial summary

The company denied association membership and liability for charges on non-residential premises. The court upheld 4,595.47 euros: membership followed from law, the calculations were supported, and the company had made no clear set-off defence based on alleged damage.

Judgment · Tartu Ringkonnakohtu tsiviilkolleegium · Appeal

Narva linn, Energia tn 2 korteriühistu · 80250975

OÜ Narva Elegant · 10400278

Apartment association bills, payments and debtsDebt claimsBills and justification of chargesPayment accounting and set-offWater and sewerageCalculation of water chargesHeatingCalculation and allocation of heating charges
Participants and roles
  • Defendant and appellant — OÜ Narva Elegant
  • Claimant — Narva linn, Energia tn 2 korteriühistu

The dispute and the court’s decision

KÜ Energia 2 Narva, now Narva linn, Energia tn 2 korteriühistu sought a debt from OÜ Narva Elegant for building management, water and heating. The company argued that, as an owner of non-residential premises, it was not an association member and did not use its services; it had a separate entrance and independent heating. It also referred to damage allegedly caused by the association. The circuit court confirmed that ownership of non-residential premises in this building entailed association membership by law. Non-participation in its establishment and the absence of a signature on the articles did not change that. Floor-area management charges and water and heating calculations were supported by association decisions, invoices and suppliers’ documents. The court found no ground to reverse the award. The alleged countervailing loss was not assessed on the merits. The company had neither counterclaimed nor clearly sought set-off. The court expressly explained that a set-off defence could be made without a counterclaim, but it had to be explicit and substantiated. Merely mentioning damage did not amount to that defence. The appeal was dismissed and Viru Maakohus’s judgment of 6 August 2013 awarding 4,595.47 euros was upheld. The company bears costs in both instances; this does not establish actual payment.

Outcome of this decision

OÜ Narva Elegant’s appeal was dismissed and the award of 4,595.47 euros to Narva linn, Energia tn 2 korteriühistu was upheld. The company bears costs in both instances; its alleged countervailing loss was not determined on the merits.

Entry into force has not been reverified

Case history