COVID-19 Regulations: Measures established for Horizontal Properties in Panama

The Ministry of Housing and Territorial Planning (MIVIOT), through a statement dated March 25, 2020, notifies property managers of horizontal properties that, while the national emergency lasts, they will not be able to suspend basic services and urges members of the Boards of Directors to be supportive and flexible with the payment of common expense fees, to suspend late fees and to encourage possible payment arrangements with those owners who are being economically affected by the national quarantine.

However, the Minister, through this statement, makes statements about how important it is for the owners to continue paying their fees, so that the horizontal property can continue to function properly.

The Minister also clarifies her statement through the official MIVIOT website, that the Ministry’s statement is based on recommendations, since the Board of Directors is, at this time, the only one that can make decisions on behalf of the Assembly of Owners, so it is recommended in these times of crisis that the decisions to be taken by the Boards of Directors be made for the benefit of the horizontal property so that buildings or urbanizations subject to the Horizontal Property Regime can continue to meet their obligations to their suppliers and that their operation is not affected, as in the specific case of private security and elevator maintenance, etc.

In conclusion, it is the Boards of Directors at this time that can adopt measures aimed at preserving health and safety in the face of the national emergency that the country is experiencing and in light of the measures already established by the Panamanian State that restrict crowds, such as those that can occur in Owners’ Assembly meetings.