The sale and purchase of a property is a process that involves legal agreements and commitments between both parties.
However, sometimes the seller may breach the contract, either by not delivering the property in the agreed conditions, delaying the signing without justification or even refusing to complete the transaction.
What are the rights of the potential buyer of the property who has seen how the agreement has not materialised?
Of course, in this situation, it is essential to know what our rights are and what Spanish law says about them in order to be able to take the different actions that protect us.
The first thing to bear in mind is what the breach of contract between seller and buyer is based on, among the different possible scenarios:
- Failure to deliver the property within the agreed period.
- Delivery of the property with defects or conditions different to those agreed.
- Refusal to sign the title deed despite a previous contract.
- Sale to a third party after having signed a contract with you.
In order to solve the problem as quickly as possible, it is advisable to seek the advice of a lawyer specialising in real estate law. An expert will be able to guide you through the process and ensure that your rights are protected.
If you find yourself in a situation of seller default, MAM Solicitors can help. Contact our team to receive personalised advice and make the best decisions to defend your investment.
Below are the usual steps and process to follow:
Review the purchase contract
The first step is to review the signed contract carefully with our lawyer, if we did not have it at the time of signing, in order to identify the clauses related to non-performance and possible penalties. In many cases, contracts include provisions for compensation or even the possibility of terminating the contract.
Amicable settlement
In some situations, non-performance may be due to administrative or financing problems. Before resorting to legal channels, try to talk with the seller to reach an agreement. This may include renegotiating deadlines or adjusting terms and conditions.
Formal complaint
If an amicable agreement is not possible, you can send a burofax or registered letter demanding performance of the contract within a certain period of time. This document can serve as evidence in case of future legal action.
Legal action
If the seller still does not fulfil the contract, you can take legal action:
- Enforce the contract: Apply to the courts for compulsory performance of the contract, forcing the seller to hand over the property.
- Terminate the contract and claim compensation: If the non-performance has caused economic damages, you can demand compensation for the damages caused.
- Claim the return of the amounts paid plus interest and possible penalties if the seller fails to deliver the property.
Buying a property in Spain? Count on a specialised lawyer and forget about problems.
At MAM Solicitors, we fully understand the difficulties most expatriate buyers face when purchasing a property in Spain.
There are language barriers to deal with. Paperwork is difficult to interpret, and the Spanish legal system often seems impossible to understand, even surreal.
Whether you are buying a new-build property or a resale, MAM Solicitors will make sure that there are no rude awakenings.
We take care of everything, from your preliminary searches on Title, right through to final completion. We gather together all the interested parties to seal the transfer. Importantly, we make sure that your property is freehold by carrying out the necessary searches at the Land Registry.
We also confirm that the first occupancy certificate (Licencia de Primera Ocupación) has been duly issued by the Town Council, and ensure that there are no unpaid Council Tax or utilities bills, or community fees that could otherwise transfer with the property and hit your pocket!
