Legal News Overview / September 2022

Co-ownership: the time limit for challenging decisions of the General Assembly is maintained at two months

As a reminder, Law No. 1.531 of 29 July 2022 updated the general status of co-ownership of built-up properties, governed by Law No. 1.329 of 8 January 2007, in order to improve governance and facilitate the decision-making process at the General Assembly, with derogations applicable to small co-ownerships comprising no more than ten lots, and to “two-owner co-ownerships” (see our previous Newsletter #5-2022).

A drafting error regarding the time limit for challenging decisions of the General Assembly was corrected in Article 14 of Law No. 1.531 amending the first paragraph of Article 19 of Law No. 1.329.

Although it was not the intention of the legislator, it was inferred from the original wording of Article 14 of Law No. 1.531 that the two-month time limit for challenging decisions of the General Assembly was reduced to one month. The Erratum reinstates the two-month period applicable before the reform. Thus, “Actions to contest the decisions of the general assembly must, under penalty of forfeiture, be brought before the court of first instance by the opposing or defaulting co-owners within two months of the notification of the said decisions which is validly made to them, at the behest of the syndic.”

Only the deadline for sending the minutes of the General Assembly by the syndic, also provided for in the first paragraph of article 14 of Law No. 1.531, is reduced to one month (previously two months) from the date of the general meeting.

Reference text : Erratum to article 14 of Law No. 1.531 of 29 July 2022 amending the provisions of Law No. 1.329 of 8 January 2007 on co-ownership, as amended, published in the Journal de Monaco on 12 August 2022 (JDM No. 8610 of 30 September 2022).

Digital Principality – Modification of the criteria for assessing compliance with the General Security Reference Framework for Qualified Trusted Service Providers

The 7.2.i. relating to “Human resources” of paragraph 2.3.4 of the Annex to the Ministerial Order No. 2020-893 of 18 December 2020 laying down the criteria for assessing compliance with the General Security Reference Frameworks (RGS) of Qualified Trusted Service Providers, is replaced:

• New definition of “trusted role”: “any person having a contribution in the delivery of a trusted service as defined in Article 1 of the Law No. 1.383 for a Digital Principality, as amended” ;
• The “préposés” (“employees”/ “agents”) of the Qualified Trust Service Provider are now referred to: “The Trust Service Provider must use all legal means at its disposal to ensure the honesty of its staff and “préposés” prior to their assignment to a trusted role. In particular, these staff and “préposés” must not have any court convictions that are inconsistent with their duties.”
• Insertion of the authorisation regime for staff and “préposés”, subject to an administrative enquiry beforehand:: “In this respect, the Trusted Service Provider’s staff and “préposés” with a trusted role are individually designated and duly authorised by the Trusted Service Provider after an administrative enquiry in accordance with the provisions of Ministerial Order No. 2016-622 of 17 October 2016 implementing Article 3 of Law No. 1.430 of 13 July 2016 on various measures relating to the preservation of national security, as amended. The authorisation referred to in the previous paragraph shall be renewed every three years under the same conditions”.
• Reminder of the sanctions incurred (disciplinary, administrative, civil, criminal) by staff and “préposés” in the event of a breach: “The staff and agents of the Trusted Service Provider with a role of trust are required to comply with professional obligations and the provisions of the charters, policies and procedures adopted in application of the texts and regulations to which the Trusted Service Provider is subject, under penalty of sanctions in accordance with the applicable disciplinary regime, without prejudice to any legal action whether administrative, civil or criminal.”

Reference text: Ministerial Order No. 2022-461 of 8 September 2022 amending the annex to Ministerial Order No. 2020-893 of 18 December 2020 implementing Article 12 of Ministerial Order No. 2020-461 of 6 July 2020 implementing Article 13 of Sovereign Order No. 8. 099 of 16 June 2020 setting the conditions for application of Law No. 1.383 of 2 August 2011 for a Digital Principality, as amended, relating to trust services (JDM No. 8607 of 9 September 2022).

Modification of the special urban planning provisions applicable to the “La Condamine” district

New special urban planning provisions RU-CND-DP-V14D (Annex 4) are applicable to the district “La Condamine”, which can be consulted via the following link > https://journaldemonaco.gouv.mc/Journaux/2022/Journal-8609/Dispositions-generales-et-particuliere-d-Urbanisme-de-Construction-et-de-Voirie-du-Secteur-des-quartiers-ordonnances

The corresponding coordination plans applicable to the district “La Condamine” can be consulted at the Direction de la Prospective, de l’Urbanisme et de la Mobilité.

Reference text: Sovereign Order No. 9.454 of 13 September 2022 amending the provisions of Sovereign Order No. 4.482 of 13 September 2013 on the delimitation and town planning regulations for the sector of the “ordonnancés” districts, as amended (JDM No. 8609 of 23 September 2022).

Acting Prosecutor General

Mr Julien PRONIER, First Deputy Public Prosecutor, acted as Acting Public Prosecutor General from 1 September to 3 October 2022, pending the appointment of a new Public Prosecutor General.

As a reminder, Mrs Sylvie PETIT-LECLAIR, who previously held the position of Public Prosecutor General, has been appointed Secretary of State for Justice, Director of Judicial Services and President of the Council of State, as of 1 June 2022 (see our Newsletter #3-2022).

Reference text: Sovereign Order No. 9.441 of 26 August 2022 appointing an Acting Public Prosecutor General (JDM No. 8606 of 2 September 2022).

Christmas and Easter vacation periods for the judicial year 2022-2023

For all courts, the Christmas vacation period is set from Monday 19 December 2022 to Monday 2 January 2023 inclusive, and the “Easter” vacation period from Monday 17 April 2023 to Monday 1 May 2023 inclusive.

During these periods, the courts operate on a light duty basis.

Reference text: Order of the Secretary of State for Justice, Director of Judicial Services No. 2022-19 of 26 September 2022 fixing the Christmas and Easter vacation periods for the judicial year 2022-2023 (JDM No. 8610 of 30 September 2022).

Public finance

On 16 September 2022, the National Council received the projet de loi (draft law) No. 1062 fixing the State Budget for the financial year 2022 – rectifying, and on 30 September 2022 the projet de loi No. 1063 fixing the General Budget for the financial year 2023.

Also in progress is the projet de loi No. 1061 authorising a withdrawal from the Constitutional Reserve Fund to cover the excess of expenditure over revenue resulting from the closure of the budgetary accounts for the financial year 2020 pronounced by Sovereign Decision dated 1st July 2022.

As a reminder, the projet de loi is of government origin. It is presented to the Prince by the Government Council under the signature of the Minister of State. After approval by the Prince, the Minister of State tables it on the desk of the Parliament (Conseil National). They are then referred to the Committee.

The proposition de loi, on the other hand, is of parliamentary origin. Within six months of receiving a proposition de loi from the Conseil National, the Minister of State may decide either to transform the proposition de loi, possibly amended, into a projet de loi (which must be tabled on the Conseil National’s desk within one year of the expiry of the six-month period), or to interrupt the legislative procedure.

In principle, the Conseil National has the right to amend (add, substitute or delete) a projet de loi. The Princely Government, on the other hand, has the right to withdraw it before the final vote. By way of exception, these two rules do not apply to budget projets de lois.