I. Introduction

In the Philippines, disputes often arise between landlords and tenants over homeowners’ association dues, subdivision dues, village dues, maintenance fees, garbage fees, security fees, road maintenance assessments, club dues, gate pass charges, and other charges imposed by a homeowners’ association or subdivision association.

The common question is:

Who should pay homeowners’ association dues: the owner or the tenant?

The practical answer is:

As between the homeowners’ association and the registered homeowner, the owner is usually the person primarily liable for association dues. As between the owner and the tenant, however, the tenant may be required to shoulder the dues if the lease contract clearly says so.

In other words, the association normally looks to the homeowner or lot owner because membership, ownership, and assessment obligations are usually tied to the property. But the owner and tenant may agree in their lease that the tenant will reimburse or directly pay the dues as part of the rental arrangement.

This article discusses homeowners’ association dues in the Philippine context, the difference between association liability and lease allocation, what the law generally recognizes, what lease contracts should say, what happens if the tenant refuses to pay, what happens if the owner fails to pay, whether the association can deny access or services, and how owners, tenants, and associations can avoid disputes.

II. What Are Homeowners’ Association Dues?

Homeowners’ association dues are regular assessments collected by a homeowners’ association, subdivision association, village association, or similar community organization to fund common expenses.

These dues may be used for:

Security guards;
Gate operations;
Garbage collection;
Streetlights;
Road maintenance;
Drainage maintenance;
Village administration;
Common area cleaning;
Landscaping;
Maintenance of parks and open spaces;
Clubhouse or community facility upkeep;
Salaries of association personnel;
Administrative expenses;
Insurance for common areas;
Legal and accounting costs;
Repair of common facilities;
Community events, if authorized;
Compliance with government or subdivision requirements.

The specific charges depend on the association’s bylaws, board resolutions, deed restrictions, subdivision rules, and applicable housing or homeowners’ association regulations.

III. Types of Charges Commonly Imposed by Homeowners’ Associations

Not all charges are the same. A lease should distinguish among them.

Common charges include:

A. Regular Monthly Association Dues

These are recurring charges imposed on homeowners or lots for general operations and maintenance.

B. Special Assessments

These are additional charges imposed for specific projects or extraordinary expenses, such as road repair, drainage repair, perimeter fence improvement, clubhouse renovation, or security upgrades.

C. Garbage or Sanitation Fees

Some associations separately charge garbage collection or waste management fees.

D. Security Fees

Some subdivisions impose a separate security assessment, guard fee, gate pass fee, sticker fee, or visitor control fee.

E. Vehicle Sticker or Gate Pass Fees

These are fees for vehicles entering and exiting the subdivision.

F. Construction Bond or Renovation Fees

If the tenant renovates or the owner repairs the property, the association may impose construction deposits, renovation fees, worker pass fees, delivery fees, or debris removal charges.

G. Penalties and Interest

Late payment may result in penalties, surcharges, or interest.

H. Utility-Related Charges

In some subdivisions, water, garbage, streetlight, or common utility charges may be billed through or alongside association dues.

I. Clubhouse, Pool, Gym, or Facility Fees

Some communities charge separate use fees for amenities.

The responsibility for each type of charge may differ depending on the lease.

IV. The Basic Rule: Owner Is Generally Liable to the Association

The homeowners’ association usually treats the owner as the member or party responsible for association dues because the obligation is tied to ownership of the lot, house, or unit.

The owner is the person who:

Owns the property;
Is registered in association records;
Is subject to subdivision restrictions;
Is recognized as member of the association;
Has voting rights, if qualified;
Benefits from common services that preserve property value;
Is responsible for assessments attached to the property.

Therefore, even if the property is leased, the association may still bill the owner, demand from the owner, impose penalties on the owner’s account, or restrict owner-related privileges under lawful association rules.

The tenant may occupy the property, but the tenant is usually not the association member unless the bylaws or rules provide some form of resident registration or delegated privileges.

V. Lease Contract May Shift Payment Burden to Tenant

Although the owner is generally responsible to the association, the owner and tenant may agree that the tenant will pay association dues.

This is common in residential leases.

A lease may provide that:

Rent is exclusive of association dues;
Tenant shall pay monthly association dues directly to the association;
Tenant shall reimburse owner for association dues;
Association dues are included in rent;
Owner pays regular dues, but tenant pays utility, sticker, and garbage fees;
Owner pays capital assessments, but tenant pays ordinary monthly dues;
Tenant pays penalties caused by tenant’s delay;
Owner remains responsible for dues prior to lease commencement.

The lease contract controls the allocation between owner and tenant.

VI. Association Liability vs. Lease Liability

This distinction is essential.

A. Liability to the Association

The association may consider the owner primarily liable because the owner is the member and property holder.

B. Liability Between Owner and Tenant

The tenant may be liable to the owner if the lease requires the tenant to pay dues.

Example:

The association bills the owner ₱2,500 monthly dues. The lease says tenant shall shoulder monthly homeowners’ dues. The tenant fails to pay. The association may demand from the owner, but the owner may demand reimbursement from the tenant or treat nonpayment as breach of lease.

Thus, the association’s right to collect from the owner is separate from the owner’s contractual right to collect from the tenant.

VII. If the Lease Is Silent, Who Pays?

If the lease is silent, disputes become more likely.

As a general practical rule:

The owner is usually responsible for homeowners’ association dues, because the obligation is tied to ownership and membership.
The tenant is usually responsible only for charges clearly connected to the tenant’s own use, consumption, or acts, such as utilities, tenant-requested stickers, guest passes, penalties caused by tenant violations, or charges expressly agreed upon.

However, the facts matter.

If the rent was negotiated on the understanding that the tenant would shoulder dues, the owner may try to prove that agreement through messages, receipts, past practice, or payment history. But without a clear lease clause, the owner may have difficulty forcing the tenant to pay.

For this reason, association dues should always be addressed expressly in the lease.

VIII. If Rent Is “Inclusive of Dues”

If the lease says rent is inclusive of association dues, the tenant generally pays only the agreed rent, and the owner pays the dues from that amount.

Example:

“Monthly rent is ₱35,000 inclusive of homeowners’ association dues.”

In this case, the owner should not separately charge the tenant for regular dues unless the lease allows additional assessments or increases.

However, the lease should clarify whether “inclusive” covers:

Regular monthly dues only;
garbage fees;
security fees;
vehicle stickers;
special assessments;
penalties;
increases during the lease term;
utility charges billed by the association.

Without clarification, disputes may arise.

IX. If Rent Is “Exclusive of Dues”

If the lease says rent is exclusive of association dues, the tenant must pay the dues in addition to rent if the contract says so.

Example:

“Monthly rent is ₱35,000 exclusive of homeowners’ association dues, which shall be for the account of the Lessee.”

This means the tenant pays rent plus dues.

The lease should state whether payment is made:

Directly to the association;
To the owner as reimbursement;
As a separate monthly item together with rent.

X. If the Tenant Pays the Association Directly

Some leases allow or require tenants to pay association dues directly to the association.

This can be convenient, but it has risks.

A. Advantages

Tenant pays the bill directly;
owner does not need to advance monthly dues;
association receives payment faster;
tenant can obtain receipts directly;
disputes are easier to track.

B. Risks

Tenant may fail to pay;
association may still hold owner liable;
owner may not know arrears are accumulating;
penalties may accrue;
tenant may lose receipts;
association may refuse to transact with tenant without owner authorization;
owner’s account may become delinquent.

The owner should require the tenant to send proof of payment monthly.

XI. If the Tenant Reimburses the Owner

Another arrangement is for the owner to pay the association and require the tenant to reimburse.

This gives the owner more control because the owner ensures the account remains current.

The lease may state:

“The Lessor shall pay the homeowners’ association dues and the Lessee shall reimburse the same within five days from receipt of billing or proof of payment.”

This arrangement is useful when the association bills only the owner or refuses direct payment from tenants.

XII. Regular Dues vs. Special Assessments

A fair lease should distinguish between regular dues and special assessments.

A. Regular Dues

Regular monthly dues are often assigned to the tenant because the tenant enjoys day-to-day security, garbage collection, road access, and community services.

B. Special Assessments

Special assessments may be more properly shouldered by the owner if they relate to capital improvements or long-term property value.

Examples:

Road reconstruction;
perimeter fence upgrade;
drainage rehabilitation;
clubhouse renovation;
major security system installation;
property-wide infrastructure.

These may benefit the owner more than the tenant, especially if the lease is short-term.

However, the parties may agree otherwise.

A lease should state who pays special assessments.

XIII. Dues Before Lease Start

The owner should pay association dues, penalties, and arrears that accrued before the tenant moved in, unless the tenant expressly assumed them.

A tenant should not be surprised by old arrears.

Before signing a lease, the tenant may ask for:

Association clearance;
statement of account;
proof that dues are updated;
confirmation of monthly dues;
list of pending assessments;
village rules.

XIV. Dues During the Lease

Dues during the lease are paid according to the lease contract.

If the lease says tenant pays, the tenant must pay.

If the lease says owner pays, the owner must pay.

If the lease is silent, the owner is generally responsible to the association, though the parties may dispute whether there was a separate agreement.

XV. Dues After Lease Ends

The tenant should generally be responsible only for dues and charges incurred during the lease term if the lease assigned those charges to the tenant.

The owner should not charge the tenant for dues after the tenant has vacated, unless:

The tenant overstayed;
the lease remained effective;
the tenant failed to return possession;
the dues relate to tenant-caused penalties or unpaid charges during occupancy.

The owner should secure final association billing during move-out.

XVI. Penalties for Late Payment

Who pays penalties depends on who caused the delay.

A. Tenant-Caused Delay

If the lease requires the tenant to pay dues and the tenant pays late, the tenant should shoulder penalties.

B. Owner-Caused Delay

If the tenant paid the owner on time but the owner failed to remit to the association, the owner should shoulder penalties.

C. Association Error

If payment was made on time but the association posted late, penalties should be disputed with the association.

D. Lease Silence

If the lease is silent, the owner may have difficulty charging penalties to the tenant unless the tenant caused the delay or agreed to pay.

XVII. Can the Association Demand Payment From the Tenant?

The association may communicate with the tenant as resident or occupant, especially if the tenant uses village services. However, the association’s legal right to collect directly from the tenant depends on its rules, the lease arrangement, owner authorization, and whether the tenant has assumed the obligation.

The association can usually demand from the owner because the owner is the member. The association may also accept payment from the tenant as an authorized occupant, but acceptance of payment does not necessarily make the tenant a member.

If the tenant refuses to pay, the association may still pursue the owner. The owner then pursues the tenant under the lease.

XVIII. Can the Association Deny Entry to the Tenant for Unpaid Dues?

This is sensitive.

Associations often impose sanctions for unpaid dues, such as denial of stickers, restriction of amenities, or suspension of privileges. However, associations must act within the law, bylaws, due process, and reasonableness.

Denying basic access to a resident’s home may be legally problematic, especially if it amounts to preventing lawful possession, harassment, or constructive eviction. A subdivision association should be cautious before denying entry to a tenant, resident, owner, family member, or authorized guest.

More reasonable measures may include:

Written demand;
penalties authorized by bylaws;
suspension of non-essential privileges;
denial of vehicle sticker, subject to rules;
collection action against the owner;
internal dispute resolution;
complaint or civil action.

Associations should avoid self-help measures that endanger safety or unlawfully interfere with residence.

XIX. Can the Association Deny Amenities?

Associations may have more authority to restrict access to optional amenities than to deny access to the home.

Examples:

Clubhouse use;
swimming pool;
gym;
function room;
sports courts;
event reservations;
guest parking privileges.

If the bylaws or rules allow suspension of amenities for delinquent accounts, the association may impose it after proper notice and consistent application.

Still, the association should ensure due process and avoid discriminatory enforcement.

XX. Can the Association Refuse Vehicle Stickers?

Many associations refuse to issue or renew vehicle stickers when dues are unpaid.

This may be allowed if supported by association rules and applied fairly. However, the association should not use sticker denial in a way that effectively prevents residents from accessing their homes or creates unreasonable hardship.

Owners and tenants should resolve dues before sticker renewal to avoid inconvenience.

The lease should state who pays vehicle stickers.

XXI. Can the Association Cut Utilities?

Associations should be very careful with utility disconnection.

If water, electricity, or other utilities are supplied directly by public utilities, the association generally should not interfere unlawfully.

If the association itself supplies or controls a service, disconnection must still comply with law, contract, notice, and due process.

Cutting essential services to force payment may expose the association, owner, or property manager to legal claims.

XXII. Can the Owner Evict the Tenant for Not Paying Association Dues?

Yes, if the lease requires the tenant to pay association dues and nonpayment is treated as breach of lease.

However, the owner cannot simply lock out the tenant, remove belongings, or cut utilities. The owner must follow lawful procedure.

Possible steps:

Send written notice to pay or cure breach;
demand reimbursement;
apply security deposit if allowed after proper accounting;
refuse lease renewal;
file barangay complaint if required;
file ejectment case if legally justified;
claim unpaid dues and penalties as damages.

Eviction must follow due process.

XXIII. Can the Owner Deduct Unpaid Dues From the Security Deposit?

Yes, if the lease allows the security deposit to answer for unpaid obligations, including association dues, utilities, penalties, damage, or other charges.

The owner should provide an itemized statement showing:

Total security deposit;
unpaid rent, if any;
unpaid association dues;
penalties, if tenant-caused;
utility charges;
repair costs;
balance refundable to tenant.

The owner should not arbitrarily withhold the entire deposit without accounting.

XXIV. Can the Tenant Refuse to Pay Dues Because the Owner Is the Member?

If the lease clearly says the tenant must pay dues, the tenant cannot refuse merely because the owner is the association member.

The tenant’s obligation comes from the lease contract.

However, the tenant may dispute payment if:

The lease does not require tenant to pay;
the dues are for a period before occupancy;
the charges are capital assessments not assigned to tenant;
the amount is unsupported;
the owner refuses to provide billing;
the association imposed penalties due to owner’s delay;
the charges are unlawful or excessive;
the tenant already paid.

XXV. Can the Owner Charge Dues If They Were Not Disclosed Before Lease?

If the lease clearly states that dues are for the tenant’s account, the tenant is bound.

If the lease is silent and the owner later demands dues, the tenant may object.

If the owner verbally represented that rent was all-inclusive, the tenant may rely on messages, advertisements, receipts, or negotiations showing that dues were included.

To avoid dispute, the owner should disclose:

Monthly dues amount;
expected increases;
special assessments;
garbage fees;
vehicle sticker charges;
penalties;
payment method.

XXVI. Increase in Association Dues During Lease

If association dues increase during the lease, who pays the increase depends on the contract.

Possible clauses:

A. Tenant Pays All Dues Including Increases

“The Lessee shall pay homeowners’ association dues, including any increase imposed during the lease term.”

B. Owner Pays Increases

“Association dues are included in rent. Any increase during the lease term shall be for the account of the Lessor.”

C. Shared Increase

“Regular association dues up to ₱____ are included in rent. Any increase above that amount shall be for the account of ____.”

Without a clause, disputes may arise.

XXVII. Special Assessments During Lease

Special assessments should be specifically addressed.

A practical allocation is:

Tenant pays regular operating dues;
Owner pays capital improvements and special assessments;
Tenant pays special charges caused by tenant’s acts, such as violation penalties, renovation charges, guest abuse, or damage to common areas.

But parties may agree differently.

XXVIII. Association Dues in Condominium vs. Homeowners’ Association

Condominium dues and homeowners’ association dues are similar but not identical.

In condominiums, dues are often assessed by the condominium corporation against unit owners. In subdivisions, dues are imposed by the homeowners’ association.

In both cases:

Owner is generally accountable to the association or corporation;
Tenant may be made responsible under lease;
lease should clearly allocate dues;
failure to pay may affect privileges;
unpaid assessments may create issues for the owner’s property.

This article focuses on homeowners’ associations but many principles apply to condominium leases as well.

XXIX. Owner’s Duties in a Lease

The owner generally has duties to:

Deliver peaceful possession of the leased property;
maintain the tenant’s legal right to occupy;
disclose association rules affecting occupancy;
settle owner obligations if dues are included in rent;
issue receipts for payments received;
provide association billing if tenant must reimburse;
avoid double-charging;
pay arrears before lease start unless tenant assumed them;
coordinate with association for tenant registration;
not interfere with lawful possession.

If owner’s failure to pay dues causes the tenant to lose access or services, the tenant may have claims against the owner.

XXX. Tenant’s Duties in a Lease

The tenant generally has duties to:

Pay rent on time;
pay association dues if lease requires;
comply with village rules;
pay for tenant-caused violations;
register vehicles and occupants if required;
avoid nuisance;
avoid unauthorized renovations;
observe garbage, parking, security, and noise rules;
send proof of dues payment if paying directly;
settle charges before move-out.

A tenant who violates association rules may be liable to the owner for resulting penalties.

XXXI. Homeowners’ Association’s Duties

An association should:

Bill accurately;
issue official receipts;
maintain ledgers;
apply payments correctly;
give notice of dues and penalties;
follow bylaws;
apply rules fairly;
avoid harassment or unlawful denial of access;
distinguish owner obligations from tenant occupancy issues;
provide account statements to authorized parties;
observe due process before sanctions;
avoid arbitrary charges.

Associations should not use excessive self-help measures to collect.

XXXII. Can the Tenant Attend Association Meetings?

Usually, membership and voting rights belong to the owner, not the tenant, unless association rules allow proxies, representatives, or resident participation.

A tenant may attend meetings only if:

The bylaws permit resident attendance;
the owner authorizes the tenant;
the matter concerns residents generally;
the association allows observers;
the tenant is a lawful representative.

Voting rights usually remain with the homeowner unless properly delegated and allowed.

XXXIII. Can the Tenant Vote in Association Elections?

Usually, no, unless association bylaws and the owner’s authorization allow it.

Membership is generally tied to ownership. A tenant is an occupant, not necessarily a member.

An owner may be able to authorize a representative by proxy if permitted by association rules.

XXXIV. Can the Tenant Request Association Billing?

The association may require owner authorization before releasing account statements to a tenant because billing records relate to the owner’s property account.

To avoid delay, the lease should authorize the tenant to:

receive monthly billing;
pay dues directly;
request receipts;
coordinate on stickers and passes;
receive notices of violations affecting occupancy.

The owner may give the association written authorization.

XXXV. Move-In Requirements

Many associations require tenants to register before move-in.

Requirements may include:

Lease contract;
owner authorization;
tenant IDs;
move-in form;
vehicle registration;
gate pass;
occupant list;
emergency contact;
construction or delivery permit;
settlement of owner’s arrears;
payment of move-in fee, if any.

If owner has unpaid dues, association may delay tenant registration or privileges. The lease should address who must clear arrears.

XXXVI. Move-Out Requirements

Associations may require:

Move-out clearance;
payment of dues;
settlement of violation penalties;
surrender of stickers or access cards;
owner approval;
inspection;
delivery or truck permit.

The tenant should secure clearance to avoid disputes over deposit.

XXXVII. If Owner Has Old Arrears

A tenant should not be responsible for owner’s old arrears unless the tenant expressly agreed to assume them.

If the association blocks tenant move-in because of old arrears, the tenant may demand that the owner settle them.

The lease should state:

“Lessor warrants that association dues are fully paid up to the commencement date. Any arrears prior to commencement shall be for Lessor’s account.”

XXXVIII. If Tenant Has Unpaid Dues Upon Move-Out

If the tenant was responsible for dues and failed to pay, the owner may:

Deduct from security deposit;
demand reimbursement;
refuse clearance support until settled;
file collection or small claims;
claim damages if penalties accrued.

The owner should secure association statement and receipts.

XXXIX. Association Dues and Taxes

Homeowners’ association dues are not the same as real property tax.

A. Real Property Tax

Real property tax is generally the owner’s obligation to the local government, unless the lease shifts it to the tenant.

B. Association Dues

Association dues are private community assessments.

A tenant should not assume that paying association dues means paying real property tax.

The lease should separately address:

Rent;
association dues;
utilities;
real property tax;
insurance;
repairs;
special assessments.

XL. Association Dues and Utilities

Some subdivisions bill utilities through the association. In that case, tenant responsibility may be stronger if the charges are based on tenant consumption.

Examples:

Water consumption;
garbage collection;
electricity for leased premises;
internet subscription arranged through association.

Tenant normally pays utilities consumed during occupancy, unless rent is inclusive.

But common area dues may still be a separate issue.

XLI. Association Dues and Repairs

Regular association dues should not be confused with property repairs.

The owner usually handles structural repairs and property maintenance required to keep the premises fit for use, unless the lease states otherwise.

The tenant may be responsible for repairs caused by tenant negligence or misuse.

Association dues fund common areas, not necessarily repairs inside the leased house.

XLII. Association Dues and Renovation Charges

If the tenant requests renovation, fit-out, or construction work, the tenant may be responsible for association charges arising from that work, such as:

Construction bond;
worker IDs;
delivery permits;
debris hauling fees;
renovation permit fees;
penalties for violation of construction hours;
damage to common areas.

If the renovation is owner-required or structural, the owner may shoulder these charges unless agreed otherwise.

XLIII. Association Violation Penalties

If the tenant violates village rules, the tenant should generally shoulder resulting penalties.

Examples:

Illegal parking;
noise violations;
improper garbage disposal;
unauthorized guests;
pet rule violations;
speeding;
gate pass misuse;
construction rule violations;
damage to common areas;
nuisance.

The association may bill the owner’s account, but the owner may recover from the tenant if the tenant caused the violation.

XLIV. Can Owner Increase Rent Because Association Dues Increased?

If rent is inclusive of dues and dues increase significantly, the owner cannot automatically increase rent during a fixed lease term unless the lease allows it.

For renewal, the owner may factor increased dues into the new rent.

If the lease allows pass-through increases, the owner may charge the tenant according to the clause.

XLV. Can Tenant Withhold Rent Because Owner Did Not Pay Dues?

A tenant should be careful before withholding rent.

If owner’s failure to pay dues causes serious interference with possession, such as loss of access, loss of essential services, or association sanctions, the tenant may have remedies. But unilateral rent withholding can expose the tenant to default.

Better steps:

Notify owner in writing;
demand settlement of dues;
ask association for statement;
propose paying dues directly and deducting from rent, with written consent;
document interference;
seek barangay or legal remedy if unresolved.

Do not deduct from rent without clear legal or contractual basis.

XLVI. Can Tenant Pay Dues Directly and Deduct From Rent?

Only if:

Lease allows it;
owner authorizes it;
parties agree in writing;
emergency or legal circumstances justify it and risk is understood.

A safe clause is:

“If Lessor fails to pay association dues included in rent and such failure affects Lessee’s access or occupancy, Lessee may, after written notice, pay the overdue dues directly and deduct the amount from the next rental payment, subject to submission of official receipt.”

Without such clause, deduction may be disputed.

XLVII. Can Owner Charge Markup on Association Dues?

If the owner simply passes through dues to the tenant, the owner should charge the actual amount unless the lease provides otherwise.

If the owner charges a fixed rent inclusive of dues, the owner may effectively price rent to cover dues and risk of increases.

A hidden markup on “association dues” may be disputed if represented as actual dues.

The tenant may ask for association billing or official receipt.

XLVIII. Receipts

Every payment should be documented.

A. If Tenant Pays Association Directly

Tenant should obtain official receipt in the property account name and keep copies.

B. If Tenant Pays Owner

Owner should issue acknowledgment receipt or include dues in rent receipt.

C. If Owner Pays Association

Owner should provide copy of association receipt if tenant reimburses.

Receipts prevent disputes at move-out.

XLIX. Statement of Account

Owners and tenants should request an association statement of account before:

Lease signing;
move-in;
renewal;
move-out;
security deposit refund;
dispute settlement.

The statement should show:

Regular dues;
payments;
penalties;
special assessments;
old arrears;
vehicle sticker fees;
violation penalties.

L. Lease Clauses on Association Dues

A good lease should include clear clauses.

A. If Tenant Pays Dues

“Lessee shall pay the monthly homeowners’ association dues and other ordinary community charges during the lease term, beginning on the commencement date and ending on the move-out date. Lessee shall submit proof of payment to Lessor monthly.”

B. If Owner Pays Dues

“Monthly rent is inclusive of regular homeowners’ association dues. Lessor shall remain responsible for payment of said dues to the association.”

C. Special Assessments

“Special assessments for capital improvements, infrastructure repairs, or owner-related charges shall be for Lessor’s account, unless caused by Lessee’s act or omission.”

D. Penalties

“Penalties resulting from Lessee’s late payment of dues or violation of association rules shall be for Lessee’s account. Penalties caused by Lessor’s failure to pay or remit shall be for Lessor’s account.”

E. Owner Arrears

“Lessor warrants that association dues and assessments are fully paid up to the commencement date. Any arrears prior to commencement shall be for Lessor’s account.”

F. Tenant Violations

“Lessee shall comply with all association rules. Fines or penalties due to Lessee, occupants, guests, employees, or contractors shall be for Lessee’s account.”

LI. Sample Lease Provision: Dues Included in Rent

Association Dues Included in Rent

The monthly rental of ₱____ is inclusive of regular homeowners’ association dues existing as of the commencement date. Lessor shall pay the regular dues directly to the association.

The foregoing does not include charges caused by Lessee’s acts or usage, such as vehicle stickers, guest passes, violation penalties, renovation fees, garbage charges separately billed to occupants, or special services requested by Lessee, which shall be for Lessee’s account.

Special assessments for capital improvements or owner-related obligations shall be for Lessor’s account unless caused by Lessee’s fault or expressly agreed otherwise.

LII. Sample Lease Provision: Tenant Pays Dues Separately

Association Dues for Lessee’s Account

The monthly rental of ₱____ is exclusive of homeowners’ association dues. Lessee shall pay the regular homeowners’ association dues, garbage fees, security fees, and ordinary resident charges assessed during the lease term.

Payment shall be made directly to the association on or before the due date. Lessee shall provide Lessor a copy of the official receipt within three days from payment.

Any penalty arising from Lessee’s late payment shall be for Lessee’s account. Any arrears incurred before the commencement date shall be for Lessor’s account.

Special assessments for capital improvements shall be for Lessor’s account unless otherwise agreed in writing.

LIII. Sample Lease Provision: Reimbursement Arrangement

Reimbursement of Association Dues

Lessor shall initially pay homeowners’ association dues billed to the property. Lessee shall reimburse Lessor within five days from receipt of the association billing or proof of payment.

Failure to reimburse within the stated period shall be treated as nonpayment of an obligation under this Lease and may be deducted from the security deposit or collected as additional rent, without prejudice to other remedies.

LIV. Sample Demand Letter by Owner to Tenant

Subject: Demand to Pay Homeowners’ Association Dues

Dear [Tenant]:

Under our Lease Agreement dated [date], homeowners’ association dues during the lease term are for your account.

As of [date], the unpaid association dues for the leased premises amount to ₱, covering the period [period], exclusive/inclusive of penalties of ₱ caused by nonpayment. Attached is the statement of account from the homeowners’ association.

Please pay the amount directly to the association or reimburse me within [number] days from receipt of this letter and provide proof of payment.

Failure to settle the amount will constitute breach of the Lease Agreement and may result in deduction from your security deposit and/or appropriate legal action.

Sincerely, [Owner/Lessor]

LV. Sample Letter by Tenant to Owner

Subject: Request for Clarification on Homeowners’ Association Dues

Dear [Owner/Lessor]:

I received a billing or demand for homeowners’ association dues amounting to ₱____.

Our Lease Agreement states that [state lease provision, or “does not state that association dues are for my account”]. Please clarify whether the monthly rent is inclusive or exclusive of association dues and provide a copy of the association statement of account and the basis for charging the amount to me.

I also request confirmation that all dues prior to my lease commencement date of [date] have been settled and that I am not being charged for arrears incurred before my occupancy.

Sincerely, [Tenant/Lessee]

LVI. Sample Letter by Owner to Association Authorizing Tenant Payment

Subject: Authorization for Tenant to Pay Association Dues

To the Homeowners’ Association:

I am the owner of the property located at [address]. Please be informed that the property is leased to [tenant name] from [start date] to [end date].

I authorize [tenant name] to receive monthly billing statements and pay regular homeowners’ association dues for the property during the lease term. Please issue official receipts for all payments and furnish me copies of statements or notices involving arrears, penalties, special assessments, or violations.

This authorization does not transfer ownership or membership rights to the tenant.

Sincerely, [Owner]

LVII. Disputes Between Owner and Tenant

Common disputes include:

Lease is silent;
rent was advertised as inclusive;
owner later demands dues;
tenant failed to pay despite lease clause;
association billed old arrears;
dues increased unexpectedly;
special assessments were charged to tenant;
penalties arose because owner failed to remit;
tenant paid but association did not credit;
security deposit was withheld for disputed dues.

The solution depends on documents, receipts, lease terms, and timing.

LVIII. Disputes Between Owner and Association

Common disputes include:

Association charges wrong amount;
payment not credited;
penalties despite payment;
special assessment not validly approved;
association refuses clearance;
association denies stickers or access;
owner disputes membership or dues;
association charges tenant-caused penalties to owner;
association imposes arbitrary fees.

The owner should request documents:

Statement of account;
bylaws;
board resolution;
schedule of dues;
receipts;
penalty policy;
notice of assessment.

LIX. Disputes Between Tenant and Association

A tenant may dispute:

Direct demands despite lease saying owner pays;
denial of access;
refusal to issue stickers despite owner authorization;
penalties for violations not committed;
harassment by association staff;
arbitrary guest restrictions;
charges not approved by owner.

The tenant should coordinate with the owner because the owner is usually the association member.

LX. Remedies for Owner if Tenant Refuses to Pay

The owner may:

Send written demand;
require payment under lease;
deduct from security deposit;
refuse renewal;
file barangay complaint if required;
file small claims for unpaid dues;
file ejectment if nonpayment constitutes breach and legal grounds exist;
recover penalties caused by tenant.

The owner should avoid illegal lockout, utility disconnection, or harassment.

LXI. Remedies for Tenant if Owner Refuses to Pay

The tenant may:

Send written demand to owner;
request proof of payment;
ask association for account status;
pay directly only with written agreement;
deduct only if contract allows or owner consents;
file barangay complaint if required;
claim damages if owner’s nonpayment interferes with possession;
terminate lease if breach is substantial and legally justified;
demand return of deposit if owner’s breach causes early termination.

The tenant should document all interference.

LXII. Remedies Against Association for Improper Sanctions

An owner or tenant, as appropriate, may:

Demand written basis for sanctions;
request hearing or reconsideration;
pay under protest if urgent;
file complaint with proper housing or homeowners’ association regulator;
seek barangay assistance for immediate conflict;
file civil action if rights are violated;
claim damages for unlawful denial of access, harassment, or improper disconnection.

The proper remedy depends on the association’s act and governing rules.

LXIII. Can Association Dues Become a Lien on the Property?

In some associations or community arrangements, unpaid assessments may create claims affecting the property, depending on governing documents and applicable law.

Even if the tenant caused nonpayment, the owner may face consequences because the account is tied to the property.

This is why owners should monitor dues even when tenants are supposed to pay.

LXIV. Can the Association Refuse Clearance for Sale or Transfer?

Associations often require settlement of dues before issuing clearances for sale, transfer, renovation, or move-out.

If dues are unpaid, the association may refuse clearance if authorized by rules and if the charges are valid.

Owners should settle or dispute charges before selling property.

A tenant’s unpaid dues may become the owner’s problem if not monitored.

LXV. Can the Owner Charge Association Dues as “Additional Rent”?

A lease may define association dues as additional rent. This helps the owner treat nonpayment of dues as nonpayment under the lease.

Example:

“Association dues and other charges for Lessee’s account shall be deemed additional rent.”

This makes enforcement clearer.

Without such clause, unpaid dues may still be a contractual obligation but may not be treated as rent unless stated.

LXVI. Are Association Dues Subject to Official Receipts?

Associations should issue receipts for payments. The type of receipt may depend on the association’s registration, tax status, and accounting rules.

For owner-tenant disputes, any written acknowledgment is useful, but official receipts or association-issued receipts are best.

Tenants should avoid paying cash without receipt.

LXVII. Short-Term Rentals and Airbnb-Type Arrangements

In short-term rentals, the owner usually absorbs association dues as part of the rental price, unless the booking agreement states otherwise.

However, tenants or guests may be responsible for:

Guest registration fees;
parking fees;
clubhouse fees;
penalties for violations;
lost access cards;
damage to common areas.

Many subdivisions restrict short-term rentals. Owners must comply with association rules.

LXVIII. Commercial Tenants in Residential Subdivisions

Some subdivisions restrict commercial use. If a tenant operates a business from the property, the association may impose penalties or require compliance.

The lease should state whether commercial use is allowed.

If tenant’s unauthorized business causes penalties, the tenant should shoulder them.

LXIX. Pets, Parking, and Guest Charges

Tenant should pay charges caused by tenant’s choices, such as:

Pet registration fees;
pet violation penalties;
extra parking fees;
guest parking fees;
event permits;
noise violation fines;
moving truck fees;
delivery passes.

These are different from owner-related regular dues unless the lease says otherwise.

LXX. Practical Checklist for Owners Before Leasing

Check association account balance;
settle old arrears;
obtain current dues amount;
ask if increases or assessments are pending;
disclose dues to tenant;
attach association rules to lease;
specify who pays regular dues;
specify who pays special assessments;
specify who pays penalties;
authorize tenant registration if needed;
require tenant proof of payment;
monitor association account monthly.

LXXI. Practical Checklist for Tenants Before Signing

Ask whether rent includes association dues;
request exact monthly dues amount;
ask if there are special assessments;
ask for association clearance;
read village rules;
ask who pays stickers and guest fees;
ask who pays penalties;
ask if old arrears exist;
ask if dues may increase;
put all agreements in writing;
avoid relying on verbal promises;
keep all receipts.

LXXII. Practical Checklist for Associations

Keep updated owner records;
require lease registration;
clarify billing to owner and tenant;
issue receipts;
notify owner of tenant nonpayment;
apply penalties according to rules;
avoid unlawful denial of home access;
use written notices;
provide account ledgers;
respect privacy of residents;
enforce rules consistently;
coordinate with owners before imposing sanctions affecting tenants.

LXXIII. Frequently Asked Questions

1. Who is primarily liable to the homeowners’ association for dues?

Usually, the owner or homeowner is primarily liable because the obligation is tied to ownership and association membership.

2. Can the tenant be required to pay homeowners’ association dues?

Yes, if the lease contract clearly requires the tenant to pay or reimburse association dues.

3. What if the lease is silent?

If the lease is silent, the owner is generally responsible to the association. The owner may have difficulty charging the tenant unless there is proof of a separate agreement or established arrangement.

4. If rent is inclusive of dues, can the owner still charge the tenant separately?

Generally, no, for regular dues already included in rent. But separate charges may still apply if the lease excludes them, such as stickers, violation penalties, or special tenant-requested services.

5. Who pays special assessments?

Usually, the owner should pay special assessments related to capital improvements or long-term property value, unless the lease says otherwise.

6. Who pays penalties for late dues?

The party who caused the late payment should pay. If the tenant was obligated to pay and failed, the tenant pays. If the owner failed to remit despite tenant payment, the owner pays.

7. Can the association collect directly from the tenant?

It may accept payment or communicate with the tenant if authorized, but the owner usually remains accountable to the association.

8. Can the association deny entry because of unpaid dues?

Associations should be cautious. Denying basic access to a lawful resident’s home may be legally problematic. Collection should be done through lawful means.

9. Can unpaid dues be deducted from the tenant’s security deposit?

Yes, if the lease allows and the unpaid dues are the tenant’s responsibility. The owner should provide an itemized accounting.

10. Can the owner evict the tenant for not paying dues?

If the lease makes dues the tenant’s obligation and nonpayment is a breach, the owner may pursue legal remedies, including ejectment if justified. The owner must follow due process.

LXXIV. Conclusion

In the Philippines, homeowners’ association dues are generally tied to the property and are usually the owner’s responsibility as far as the association is concerned. The owner is typically the homeowner, member, and account holder. Therefore, even if the property is leased, the association will often hold the owner accountable for unpaid dues.

However, as between owner and tenant, the lease contract may shift the burden to the tenant. If the lease clearly states that the tenant must pay association dues, the tenant must comply. If rent is inclusive of dues, the owner pays from the rent. If rent is exclusive of dues, and the lease says the tenant must pay them, the tenant pays separately. If the lease is silent, the owner generally bears the responsibility, though the facts and communications may matter.

The best practice is clear drafting. The lease should state who pays regular monthly dues, special assessments, vehicle stickers, garbage fees, security charges, penalties, old arrears, and violation fines. Owners should monitor association accounts even if tenants pay directly, because unpaid dues may affect the property. Tenants should ask for the dues amount and obtain receipts. Associations should bill accurately, follow due process, and avoid unlawful sanctions.

The rule is simple in principle: the owner is usually liable to the association, but the tenant may be liable to the owner if the lease says the tenant pays.