Have you lost your deposit, or worse still the total amount of your investment?
This information presented here by Spanish Solutions is not legal advice. The content here will not be the same for every individual case.
Polaris World, Grupo San Jose, Grupo San Antonio, Corvera Golf, Tres Molinos Resort, Playa Golf, Almanzora Country Club- Our clients are taking cases against these and other builders for their lost deposits and stage payments, and we are winning!
Many clients in Spain have unfortunately lost a lot of money due to the failed developments by the above. There has been a very important Judgement in September 2015 and all is very much not lost for those of us in this situation on the Costa Blanca and further afield. Banks in Spain now have been condemned to pay creditors even if there was no bank guarantee in place. Let me say that another way- If you lost your money and have no bank guarantee, you might still be in for a full refund plus costs plus interest!
Many building and real estate companies from back in boom times are now in the last stage of bankruptcy and the bank, (in this case Banco Popular) which took the deposits, cannot hold them any longer. These huge amounts (we had one client claim and win 200,000 €) will be returned to the buyers thanks to the Spanish Governments general insurance policy. (as of course now the properties will never be completed).
This is the technical part of the ruling: Basically the main points are that the Supreme Court ruled regarding Banks liabilities and obligations according to LEY 57/1968 (which had not been put into practice by many builders/promoters):
– Banks which receive income from buyers in the promoter’s account without requiring the opening of a special client account and providing a guarantee relating to this, shall be liable to the buyer for the total amounts paid and deposited in the account or accounts the developer has opened in that bank
– For this to work, the funds must have been paid into the Builder´s bank account, not the estate agent.
– stage payments were meant to be protected by a guarantee to protect the buyer and were not. Polaris charged 40% for example, the balance was to be paid on completion, which sometimes never happened.
– the bank guarantees are only no longer applicable when a developer gets a licence of first occupation from the town hall and they physically hand over the property to the buyer. If these two things are done, then there is no chance of getting back money via the Supreme Court Judgement ruling (so basically it usually only applies when the construction of the properties was not finished or not done at all).
– there must be evidence or there is no case, naturally. The original purchase contract, and very importantly copies of the original payments/transfers into the promter´s bank or the bank statements clearly seeing this and also it is very helpful to have emails, letters etc, demonstrating that the promoter did not fulfill his side of the contract. Don’t worry if you don’t have copies of your transfers- you can get them from the bank. They must do so.
– the client cannot be seen to be an investor or Consumer law will not protect them, it should be seen as an indivual purchase of something like a holiday home that went wrong unfairly. Again, this is important. We had one client who bought 10 investment properties- We are really struggling to get anywhere with this. That said, please pass us details and we’ll try.
– the client cannot be seen to be in breach of contract themselves- sometimes people did not complete as the property market had dropped, they need to have fulfilled the terms of the contract and would have continued to do so if the promoter had completed their side on time. This is important, you have to have stayed to your side of the bargain,
Pedro, our English speaking Barrister is currently helping hundreds of our buyers who are in this situation. There is a limited time on this so if you or someone you know has lost money on buying off plan property in Spain, you might be leaving that money on the table. Safest thing is to email Amanda now. [email protected]
PS- We had a buyer in this exact situation who was ready to walk away form 130,000 GBP as he had already wasted 10,000 euro with an unscrupulous lawyer in London who said they would help and of course, did not. Spanish Solutions can pay your fees up front and in return take a % of the winnings. If you lose, it costs you nothing.
Again, it’s a narrow time frame on this, so please get in touch with Amanda in La Zenia today- Five minutes work for 50,000 euro or even much more- Not a bad return. This is our contingency fee or No Win no fee division. Get in touch is the best advice we can offer right now.
This information presented here by Spanish Solutions is not legal advice. The content here will not be the same for every individual case.
Polaris World, Grupo San Jose, Grupo San Antonio, Corvera Golf, Tres Molinos Resort, Playa Golf, Almanzora Country Club- Our clients are taking cases against these and other builders for their lost deposits and stage payments, and we are winning!
Many clients in Spain have unfortunately lost a lot of money due to the failed developments by the above. There has been a very important Judgement in September 2015 and all is very much not lost for those of us in this situation on the Costa Blanca and further afield. Banks in Spain now have been condemned to pay creditors even if there was no bank guarantee in place. Let me say that another way- If you lost your money and have no bank guarantee, you might still be in for a full refund plus costs plus interest!
Many building and real estate companies from back in boom times are now in the last stage of bankruptcy and the bank, (in this case Banco Popular) which took the deposits, cannot hold them any longer. These huge amounts (we had one client claim and win 200,000 €) will be returned to the buyers thanks to the Spanish Governments general insurance policy. (as of course now the properties will never be completed).
This is the technical part of the ruling: Basically the main points are that the Supreme Court ruled regarding Banks liabilities and obligations according to LEY 57/1968 (which had not been put into practice by many builders/promoters):
– Banks which receive income from buyers in the promoter’s account without requiring the opening of a special client account and providing a guarantee relating to this, shall be liable to the buyer for the total amounts paid and deposited in the account or accounts the developer has opened in that bank
– For this to work, the funds must have been paid into the Builder´s bank account, not the estate agent.
– stage payments were meant to be protected by a guarantee to protect the buyer and were not. Polaris charged 40% for example, the balance was to be paid on completion, which sometimes never happened.
– the bank guarantees are only no longer applicable when a developer gets a licence of first occupation from the town hall and they physically hand over the property to the buyer. If these two things are done, then there is no chance of getting back money via the Supreme Court Judgement ruling (so basically it usually only applies when the construction of the properties was not finished or not done at all).
– there must be evidence or there is no case, naturally. The original purchase contract, and very importantly copies of the original payments/transfers into the promter´s bank or the bank statements clearly seeing this and also it is very helpful to have emails, letters etc, demonstrating that the promoter did not fulfill his side of the contract. Don’t worry if you don’t have copies of your transfers- you can get them from the bank. They must do so.
– the client cannot be seen to be an investor or Consumer law will not protect them, it should be seen as an indivual purchase of something like a holiday home that went wrong unfairly. Again, this is important. We had one client who bought 10 investment properties- We are really struggling to get anywhere with this. That said, please pass us details and we’ll try.
– the client cannot be seen to be in breach of contract themselves- sometimes people did not complete as the property market had dropped, they need to have fulfilled the terms of the contract and would have continued to do so if the promoter had completed their side on time. This is important, you have to have stayed to your side of the bargain,
Pedro, our English speaking Barrister is currently helping hundreds of our buyers who are in this situation. There is a limited time on this so if you or someone you know has lost money on buying off plan property in Spain, you might be leaving that money on the table. Safest thing is to email Amanda now. [email protected]
PS- We had a buyer in this exact situation who was ready to walk away form 130,000 GBP as he had already wasted 10,000 euro with an unscrupulous lawyer in London who said they would help and of course, did not. Spanish Solutions can pay your fees up front and in return take a % of the winnings. If you lose, it costs you nothing.
Again, it’s a narrow time frame on this, so please get in touch with Amanda in La Zenia today- Five minutes work for 50,000 euro or even much more- Not a bad return. This is our contingency fee or No Win no fee division. Get in touch is the best advice we can offer right now.
