Success in the case of TRAFO station co-ownership dissolution

News / 04.11.2019

The Regional Court in Krosno accepted the appeal of the Client represented by the Law Firm’s advocates and attorneys. The case was precedent-setting and concerned the dissolution of co-ownership of a transformer station (TRAFO) located in a shopping mall building. The tenants of the shopping mall’s retail space were obliged under their lease agreements to participate, among other things, in the cost of the construction of the transformer station being built in the mall building, but the agreements did not provide the tenants with any equivalent for bearing the cost of the construction of the said TRAFO station. After the construction of the transformer station, one of the tenants applied to the court to cancel the co-ownership of the transformer station and to order the Law Firm’s Client – the owner of the shopping mall – to repay its share in the co-ownership, arguing that by participating in the cost of the construction of TRAFO, the tenants had become co-owners.

The court of first instance agreed with the tenants’ arguments and dissolved the co-ownership of the TRAFO station, granting it sole ownership of our Client (the owner of the mall) and at the same time awarding repayment of shares to all tenants who participated in covering the costs of building the transformer station.

Our Client disagreed with this ruling, and the appeal filed by the Law Firm lawyers was based primarily on the claim that, on the grounds of the case in question, there was no formation of co-ownership at all, and therefore the request for its dissolution is unfounded. The Regional Court of Krosno fully agreed with the arguments raised in the course of the appeal proceedings as to the titles to the creation of co-ownership, and held that the unilateral obligation to participate in the cost of the construction of the TRAFO station did not result in the creation of co-ownership on the part of the tenants of the shopping mall.

The ruling in the present case is final.