Mr. Chua Tian Poe

November 4, 1982 Mr. Chua Tian Poe R-403, 569 Juan Luna St. Manila Sir : This has reference to your letter dated October 19, 1982, requesting our opinion on the following queries: 1. Whether or not under our law or by-laws of the corporation, the Board of Directors has the powers and rights to sell, dispose and/or mortgage a unit and/or the whole condominium including the land therein to a third party without any consent from the unit owner and/or unit owners? In reply thereto, please be informed that "The Condominium Act" (Republic Act No. 4726) and your by-laws do not empower the Board of Directors to sell, dispose and/or mortgage a unit or the whole condominium including the land therein to a third party without any consent from the unit owner and/or unit owners inasmuch as under Sec. 6 of the aforementioned law, said right is exclusive to the condominium unit owner unless otherwise expressly provided in the master deed, or the declaration of restrictions, and in case of voluntary dissolution under Sections 13 and 14 of the said law. cdlex 2. Whether or not the President who is empowered under the by-laws of the corporation to sign and execute any deed, document or contract for and in behalf of the corporation has the power and right to dispose, sell and/or mortgage the condominium (including building and land) without the consent of the unit owner and/or unit owners? Section 6 of Article IV of your by-laws authorizes your President "to sign and execute any deed, document or contract for and in behalf of the corporation" but the same does not empower him to dispose, sell and/or mortgage the condominium without the consent of the unit owner(s). It is our view that your President is not empowered to sell, dispose and/or mortgage the condominium project considering that not even the Board of Directors has ever been granted such power under the Condominium Act or your approved by-laws. 3. What are the powers and rights of the officers and Board of Directors of a condominium under the Condominium Law? The powers and the rights of the officers and Board of Directors of a condominium corporation under The Condominium Act are as follows: (1) To enforce the provisions of the declaration of restrictions [Sec. 9, a(1)]; (2) To act as a management body of the project; (Sec. 10) (3) Under Section 15 of The Condominium Act, to sell and dispose of the separate interests of the members or stockholders in the project upon voluntary dissolution of a condominium corporation in accordance with the provisions of Sections 13 and 14 of the said law; (4) To acquire and hold, for the benefit of the condominium owners, tangible personal property and may dispose of the same by sale or otherwise (Sec. 22). Please be guided accordingly. Very truly yours, (SGD.) JULIO A. SULIT, JR. Associate Commissioner