CONDOMINIUM PRE-FINAL EXAM

Read each question carefully.

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Type your name in block letters on the upper left side ( LAST NAME, FIRST
NAME) with your SECTION NAME below it.
Each student must EMAIL the answers (in WORD or PDf) ON or BEFORE 8:00 pm
to enovaljosie@gmail.com with the subject: CONDOMINIUM PRE-FINAL EXAM.

PACASUM, PRINCE MUADDIB MIKUNUG

SECTION B

PART 1
1. What is condominium corporation? (5pts)
= The condominium corporation is the legal entity representing the collective
interests of the unit owners, allowing individuals to own property while sharing
the cost of maintaining the common elements with the other unit owners through
condominium fees.
2. Why is it necessary to create a condominium corporation? (10 pts)
= to allow individuals to own property while sharing the cost of maintaining the
common elements with the other unit owners through condominium fees.
3. What is the percentage the foreigners can own in a condominium? How about
Filipinos?. (5Pts)
= Foreign nationals are permitted to acquire condominium units in any
condominium building under the Philippine Condominium Act, or Republic Act
(RA) 4726, as long as foreign ownership of such project does not exceed 40%. -
at least 60% of the business should be owned by a Filipino citizen, while the rest
can be owned by the foreign investor.
4. What are the purposes of a condominium corporation? (5pts)
= A condominium corporation is the body formed to manage the common areas
and assets of the condominium. RA 4726 provides that title to the common
areas, including the land, or the appurtenant interests in such areas of a
condominium may be held by a condominium corporation specially formed for the
purpose.
5. What is the term of a condominium corporation? (5pts)
= The term of a condominium corporation shall be co-terminus with the duration
of the condominium project, the provisions of the Corporation Law to the contrary
notwithstanding.
6. Effects of voluntary Dissolution? (5pts)
 = Voluntary dissolution by the shortening of corporate term is effected by the
amendment of the articles of incorporation.
7. Effects of involuntary Dissolution? (5pts)
= Where the partners or major shareholders are unable to agree upon the terms
of their separation or where the relationship has deteriorated beyond meaningful
negotiation, a partner or major shareholder may need to file a lawsuit seeking
dissolution of the business entity.
8. If there is a conflict between the articles of incorporation of the condominium
corporation and the master deed, which will prevail? (10pts)
= In case of conflict between the provisions of this Master Deed with Declaration of
Restrictions and the Articles of Incorporation or By-Laws, the provisions of this Master
Deed with Declaration of Restrictions shall prevail.

PART II (TRUE or FALSE) write TRUE if the statement is correct. If false, give the
correct answer based on the underlined word/s. (5pts each)
1. The enabling or master deed may not be amended or revoked upon registration
of an instrument executed by a simple majority of the registered owners of the
property.
= FALSE, MAY
2. Whenever real property has been divided into condominiums, each condominium
separately owned shall be separately assessed, for purposes of real property
taxation and other tax purposes.
= TRUE
3. An assessment upon any condominium made in accordance with a duly
registered declaration of restrictions shall be an obligation of the developer
thereof at the time the assessment is made.
= FALSE, OWNER
4. A condominium corporation shall not during its existence, sell, exchange, lease
or otherwise dispose of the common areas owned or held by it in the
condominium project unless authorized by the affirmative vote of 80% of the
registered owners.
= FALSE, SIMPLE MAJORITY
 5. Where several persons own condominiums in a condominium project, an action
may be brought by one or more such persons for partition thereof by sale of the
entire project.
= TRUE
6. Whenever the common areas in a condominium project are held by a
condominium corporation, such corporation shall constitute the management
body of the project.
= TRUE
7. The term of a condominium corporation shall not be coterminous with
the duration of the condominium project, the provisions of the Corporation Law to
the contrary notwithstanding.
= FALSE, SHALL BE CO-TERMINOUS
8. The condominium corporation may also be dissolved by the affirmative vote of all
the unit owners thereof at a general or special meeting duly called for the
purpose.
= FALSE, STOCKHOLDERS OR MEMBERS

9. Upon registration of an instrument conveying a condominium, the Register of

Deeds shall, upon payment of the proper fees, enter and annotate the
conveyance on the certificate of title.
= TRUE
10. upon involuntary dissolution of a condominium corporation, the corporation
shall be deemed to hold a power of attorney to sell and dispose their separate
interests in the project of the corporation.
= TRUE

What are the two types of condominium? Briefly explain each. (10 pts) -Studio. A studio
condo features a design layout where the open-plan apartment serves as the living
room, dining area, kitchen, and bedroom rolled into one. ... Bedroom Unit. ... Loft. ... Bi-
level Type. ... Penthouse Type. Give 4 advantages of acquiring/living in a condominium.
Briefly explain each (20 pts) -One major advantage of condo living is that condo
buildings are typically found in or around downtown areas, so residents have great
access to nearby entertainment and business districts. This means living within walking
distance of employers, restaurants and bars, public transit, major attractions, and tons
of events Definition of Terms. (5 pts each) Condominium - A condominium, or condo, is
an individually owned residential unit in a complex or building of like units. Condo
owners own their units but share common spaces, amenities, and other resources.
They pay condo fees, which cover maintenance costs, amenities, and the upkeep of
common spaces. Condominium Project- Condominium Project means a real estate
condominium project; a plan or project whereby two or more units, whether contained in
existing or proposed apartments, commercial or industrial buildings or structures, or
otherwise, are separately offered or proposed to be offered for sale. Common Areas-
Any spaces that are open to all who live in the building or project are common areas.
Examples include parking lots, play areas, elevator lobbies, gardens, and common
storage spaces. Condominium Unit- Condominiums are a type of property with multiple
units. These units are divided and sold individually. Unlike a single-family home, condos
are for partial ownership. Master Deed- Master deed is the legal instrument on the basis
of which the legal title to the property is transferred and by which the condominium is
created. Master deed as defined by John W. Reilly is 'the principal conveyance
document used by the owners of land on which condominiums are located. Deed of
Restriction- A deed restriction is a legal agreement between two or more parties that
limits the use of real property. There are different types of deed restrictions but the most
common is known as a restrictive covenant. Articles of Incorporation- Articles of
incorporation are a set of formal documents filed with a government body to legally
document the creation of a corporation. Articles of incorporation generally contain
pertinent information such as the firm's name, street address, agent for service of
process, and the amount and type of stock to be issued. Rules & Regulations-
Regulations and rules are pretty close to the same thing. A regulation is a bit more
formal than a rule – it prescribes the required conduct or action exactly; Rules are also
binding, but, by contrast, describe what is generally considered to be the proper course
of conduct. Enumerate 6 rights and 6 obligations of unit owners. (30 pts) -Right of
absolute ownership over his unit Right of exclusive easement of the space of his unit
Right to repair, paint, decorate the interior of his unit Right to sell, mortgage, or lease his
unit Right of co-ownership of land and common areas Right of non-exclusive easement
to common areas for ingress or egress; Right to participate and vote in condominium
corporation meetings