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The New “Organic Law 1/2025, of January 2, on Measures for the Efficiency of the Public Justice Service”: New Requirements for Civil and Commercial Proceedings and Changes to the Horizontal Property Law

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PUBLIC LAW

Manuela Blanco Santos

On January 3, 2025, the Organic Law 1/2025, of January 2, was published in Spain’s Official State Gazette (BOE). This law aims to enhance the efficiency of the Public Justice Service (LOSPJ) by modernizing and streamlining the judicial system through significant reforms in court organization, the mandatory use of alternative dispute resolution methods (ADR) in certain matters, and amendments to Law 49/1960, of July 21, on Horizontal Property (LPH).

Below are the most notable updates:

1. Judicial Organizational Reform

The law replaces single-judge courts with courts of instance, collegiate bodies composed of first-instance judges operating in civil, investigative, or specialized sections (e.g., family, commercial, gender violence). These courts will be able to convene to unify criteria without compromising judicial independence.

Courts will also be supported by the newly created Justice Offices, which will replace peace courts, providing common services to citizens.

This reform will take effect on January 23, 2025, aiming to improve coordination and specialization within Spain’s judicial system.

2. Mandatory ADR in Civil and Commercial Matters and New Procedural Requirement

ADR mechanisms will become a mandatory prerequisite for initiating civil and commercial proceedings. Methods such as mediation, private conciliation, neutral opinions from independent experts, confidential binding offers, and other legally recognized negotiation methods must be attempted before litigation.

This measure seeks to promote faster resolutions and alleviate court congestion.

Key Aspects:

Requesting an ADR process will suspend the statute of limitations and action deadlines.

If no agreement is reached, the parties will have one year to file a lawsuit.

To initiate a legal claim, proof of having attempted an ADR will be required.

Exceptions:

ADR will not apply to the following proceedings:

  • Civil judicial protection of fundamental rights.
  • Conflict resolution in litigation and arbitration specific to Spain.
  • Adoption of measures under Article 158 of the Civil Code.
  • Judicial measures to support persons with disabilities.
  • Proceedings involving filiation, paternity, and maternity.
  • Summary proceedings for possession or possession-related disputes, demolitions, or works in a state of ruin or causing damage.
  • Certain procedures for the protection of minors.
  • Bill of exchange lawsuits.
  • Filing of executive claims.
  • Requests for precautionary measures prior to lawsuits.
  • Initiation of voluntary jurisdiction proceedings, with some exceptions (e.g., intervention in cases of spousal disagreement over jointly-owned assets or shared parental authority). European small claims and payment order proceedings.
  • These provisions will be effective as of April 3, 2025.

3. Amendments to the Horizontal Property Law (LPH) The LOSPJ introduces new regulations to the LPH, balancing the rights of property owners with current urban planning laws.

Key Changes:

Property owners wishing to engage in short-term tourist rentals must obtain express approval from the community of property owners, with the favorable vote of three-fifths of all owners and ownership shares.

Owners already engaged in tourist rental activities may continue, but must comply with the conditions and timelines established by the new law.

This amendment will also come into effect on April 3, 2025.

For further details, you can review the official publication in the BOE:

https://www.boe.es/boe/dias/2025/01/03/pdfs/BOE-A-2025-76. pdf