All EOS blogs All Spain blogs  Start your own blog Start your own blog 

El blog de Maria

Your daily Spanish Law reporter. Have it with a cafe con leche.
www.costaluzlawyers.es

Legal tip 738. Basics of Spanish Law
31 March 2012

Your spanish lawyer meeting you at the coffee shop every day, covering simple aspects of Spanish Law for better inmersion in the Spanish culture, refering you to what she considers good links on the Internet:

Today: A tea on the Spanish Constitution, with some "churros" to go with, so we can feel the spanish taste:

The text of the Constitution ( in English!) from the Senate: http://www.senado.es/constitu_i/indices/consti_ing.pdf 

And its wikiexplanation :http://en.wikipedia.org/wiki/Spanish_Constitution_of_1978

An interesting part of it: Reforms

The Constitution has been reformed once (Article 13.2Title I) to extend to citizens of the European Union the right to active and passive suffrage (both voting rights and eligibility as candidates) in local elections.

The social democratic Spanish Socialist Workers' Party (PSOE) government of José Luis Rodríguez Zapatero has announced its intention to undertake a major reform of the constitution during its tenure:

  1. Succession in the monarchy would be on the basis of age only, and not gender, thus abandoning the traditional Castilian rules set in the Siete Partidas. While the rights of the current heir Felipe, Prince of Asturias, would be maintained, the goal was to reform before his children were born. This issue was refreshed when Felipe's wife, Letizia Ortiz, announced her first and second pregnancies, and after the birth of the Infanta Leonor of Spain. The Prince, however, has reminded reformers that there is still time to implement this reform since none of his children will be considered heir to the throne until he himself has been crowned king.
  2. an overhaul of the Spanish Senate would transform it into a chamber of territorial representation
  3. the European Constitution (should one be approved) would be officially incorporated
  4. the names of the existing autonomous communities would be listed

The proposal has been met with scepticism from some quarters (notably in the main opposition party Partido Popular, PP) because some of these reforms deal with protected sections of the constitution, which would require supermajorities in order to be modified . Furthermore, even an amendment of a non-protected part of the Constitution would require the agreement of the main opposition party or at least some of its representatives, since it would require the support of three-fifths of each House, which is 210 votes in the Congress of Deputies and 159 in the Senate.

The current version restricts the death penalty to military courts during wartime, but the death penalty has since been removed from the Code of Military Justice and thus lost all relevance. Amnesty International has still requested an amendment to be made to the Constitution to abolish it firmly and explicitly in all cases. 

 

Algodonales visto desde el castillo de Zahara

"Algodonales visto desde el Castillo de Zahara", Cadiz, Spain, by maesejose, at flickr.com



Like 0        Published at 18:41   Comments (0)


Legal tip 737. Keith Rule on ruling Estate agents
28 March 2012

Thanks Keith!. You are doing so much good to our country and our people. Cleaning "old spots".

http://www.tumbit.com/news/articles/5142-closer-regulation-of-estate-agents-required.html

 

Closer Regulation of Estate Agents Required'
Source: Bank Guarantees in Spain Action Group - Tue 27th Mar 2012

'Closer Regulation of Estate Agents Required'

The Bank Guarantees in Spain Action Group has welcomed the recent statement by the British Embassy in Spain, urging property buyers to take the appropriate advice before making any purchase.

However, the group has suggested that the EU should also investigate unscrupulous Estate Agents and Developers who are still allowed to operate in Spain, calling for the industry to be regulated by means of a similar body to the NAEA in the UK, and with all such businesses being fully licenced and insured.

Keith Rule, on behalf of the Group, said how such Agents are often the first link in the purchase chain and hold the most influencel when it comes to purchasers parting with their money to buy off-plan or resale property. If such agents were regulated they would take a stricter approach to promoting 'illegal' re-sale properties and off-plan developments with no Bank Guarantees, amongst other problems.

Mr Rule also called for Lawyers who offer conveyancing services to become more closely regulated and trained by their Bar Associations as well as stricter supervision for the Banking Industry as a whole.

 

http://www.tumbit.com/news/articles/5142-closer-regulation-of-estate-agents-required.html

Algodonales 2009

"Algodonales 2009", Cádiz, Spain, by Tom@There, at flickr.com



Like 0        Published at 17:45   Comments (1)


Legal tip 736. Claims to Bar Associations
28 March 2012

Great client and analyst Anne suggested today:

Anne said:
28 March 2012 @ 01:03

You asked for more suggestions so here are another couple of ideas for the longer term Maria, relating to the enforcement of existing laws and greater accountability of legal professionals. Would it be possible to feedback to the Bar Associations the need for a more adequate and transparent complaint procedure to better identify and monitor the lack of timely law enforcement and legal malpractice? Also would it be useful to suggest that the Bar Associations establish an effective means whereby legal firms can be accredited based upon their knowledge base and proven track records in their specialised fields?
 


Maria said:
28 March 2012 @ 08:42

Dear Anne:
 
Yes, it is possible. I am sure they are already active on this.
 
We are currently in touch with Bar Association of one province ( possibly we will start with other ones soon) regarding strong concerns of our clients.
 
Maria
 
 

 

Algodonales 2009

"Algodonales 2009", Cadiz, Spain, by Tom@There, at flickr.com



Like 0        Published at 10:46   Comments (0)


Legal tip 735. Martinsa-Fadesa offering 50% discounts
24 March 2012

Martinsa-Fadesa is offering claimers a 50% reduction on property prices.

Market is moving for real. Pressure measures that the Government has placed for Banks  and that they need to meet before the end of the year is making an impact on the whole market, as predicted.

 

Villamartin Dia De Verano

"Villamartin Dia de Verano", Villamartin, Cadiz, Spain, by shaorang, at flickr.com



Like 0        Published at 11:49   Comments (3)


Legal tip 734. Transparency and CostaLuz Lawyers
22 March 2012

Please all with concerns about CostaLuz Lawyers: write them publicly here if you want.

We are a modern Law Firm which promote and respect transparency as one important value of the company and society: it promotes progress and welfare

 

Please write and blame. We are available to give answers to concerns. 

It is not that we are driving crazy is that we want to show how far we are able to go with transparency. 

2ª Ruta - Zona Jimena de la Frontera

"2ª Ruta - Zona Jimena de Frontera", Cadiz, Spain, by Juanpol, at flickr.com



Like 0        Published at 21:58   Comments (14)


Legal tip 733. Are Spanish banks able to expiate as US ones?
22 March 2012

 

States Negotiate $26 Billion Agreement for Homeowners

After months of painstaking talks, government authorities and five of the nation’s biggest banks have agreed to a $26 billion settlement that could provide relief to nearly two million current and former American homeowners harmed by the bursting of the housing bubble, state and federal officials said. It is part of a broad national settlement aimed at halting the housing market’s downward slide and holding the banks accountable for foreclosure abuses.

Left, Mario Anzuoni/Reuters; Fred R. Conrad/The New York Times

The attorney general of California, Kamala Harris, left, and New York's attorney general, Eric Schneiderman.

 
Multimedia

Readers’ Comments

Readers shared their thoughts on this article.

Despite the billions earmarked in the accord, the aid will help a relatively small portion of the millions of borrowers who are delinquent and facing foreclosure. The success could depend in part on how effectively the program is carried out because earlier efforts by Washington aimed at troubled borrowers helped far fewer than had been expected.

Still, the agreement is the broadest effort yet to help borrowers owing more than their houses are worth, with roughly one million expected to have their mortgage debt reduced by lenders or able to refinance their homes at lower rates. Another 750,000 people who lost their homes to foreclosure from September 2008 to the end of 2011 will receive checks for about $2,000. The aid is to be distributed over three years.

An announcement was scheduled in Washington for Thursday morning. The final details of the pact, including how many states would participate, were expected to be announced then. The two biggest holdouts, California and New York, now plan to sign on, according to the officials with knowledge of the matter who did not want to be identified because the negotiations were not completed.

The deal grew out of an investigation into mortgage servicing by all 50 state attorneys general that was introduced in the fall of 2010 amid an uproar over revelations that banks evicted people with false or incomplete documentation. In the 14 months since then, the scope of the accord has broadened from an examination of foreclosure abuses to a broad effort to lift the housing market out of its biggest slump since the Great Depression. Four million Americans have been foreclosed upon since the beginning of 2007, and the huge overhang of abandoned homes has swamped many regions, like California, Florida and Arizona.

In New York State, more than 46,000 borrowers will receive some form of benefit, with an estimated 21,000 expected to see what they owe reduced through a principal reduction, according to estimates by the Department of Housing and Urban Development.

The five mortgage servicers in the settlement — Bank of America, JPMorgan Chase, Wells Fargo, Citigroup and Ally Financial — have largely set aside reserves for the expected cost of the accord and investors are likely to cheer its announcement because it removes one more legal worry for the industry, analysts said.

“I wouldn’t say it’s a panacea for the housing industry but it is good for the banks to get this behind them,” said Jason Goldberg, an analyst with Barclays.

As more and more states signed on this week, the negotiations with the banks became especially intense, said one participant, who wasn’t authorized to speak publicly. Two bank officials, Frank Bisignano of JPMorgan Chase and Mike Heid of Wells Fargo, played a critical role in the talks with Shaun Donovan, the secretary of Housing and Urban Development, and Thomas J. Perrelli, the associate attorney general at the Justice Department. Bank of America, which will make the largest payout as the nation’s biggest mortgage servicer, moved more cautiously, the participant said.

The settlement money will be doled out under a complicated formula that gives banks varying degrees of credit for different kinds of help. As a result, banks are incentivized to help harder-hit borrowers with homes worth far less than what they owe.

While the $26 billion figure is the one being cited in the negotiations, federal officials said they hope the eventual value for homeowners reaches up to $39 billion. However, mortgages owned by the government’s housing finance agencies, Fannie Mae and Freddie Mac, will not be covered under the deal, excluding about half the nation’s mortgages.

About one in five Americans with mortgages are underwater, which means they owe more than their home is worth. Collectively, their negative equity is almost $700 billion. On average, these homeowners are underwater by $50,000 each.

A recent estimate from the settlement negotiations put the average aid for homeowners at $20,000.

“I just don’t think it’s going to be a life-changing event for borrowers,” said Gus Altuzarra, whose company, the Vertical Capital Markets Group, buys loans from banks at a discount.

Several billion dollars would cover the direct cash payments to foreclosure victims and provide money for states’ attorneys general to services like mortgage counseling and future investigations into mortgage fraud.

Though many economists identify the moribund housing market as the greatest drag on the recovery, it is not clear how much the settlement will help.

 
 


Like 0        Published at 12:37   Comments (0)


Legal tip 732. Refunds in Corvera Phases I and II
18 March 2012

 A recent Court decission by Murcia Appeal Court section 4 has confirmed a Court decission by the First Instance court by which off plan buyers who issued a cancellation notice once completion date has arrived and before First Occupation License was issued are entitled to the refund of full deposits, plus legal interests and legal costs.

Completion deadline was easy to be showed by claimers in this case as they use publicity material that Corvera used when marketing and selling the properties:

- December 2007 for phase I

- June 2008 for Phase II

First Occupation licenses did not start to come till June 2009.

The lawyer was able to obviate the tricky  rule established in the contract for contract completion deadline as the dates established in publicity are clearer and specific in accordance to Consumers Law.

As the win is based on delay, if Corvera bacame insolvent, Bank Guarantees will be usable.

So great news for people´s rights in Corvera!

Cheers,

María

morning walk along the Río Hozgarganta in June

"Morning walk along the river Hozgarganta in June", Jimena de la Frontera, Cádiz, Spain, by sierragoddess, at flickr.com



Like 0        Published at 17:11   Comments (2)


Legal tip 731. HELP for mortgage debtors!
17 March 2012

 Tips for Mortgage debtors

 

Establihsed by new Decree 6/2012 of 9th of March on protection of mortgage debtors in treshold of exclusion.
 
It is a " Good practises" Code that Finantial Entities can submitt to. These are the general guidelines:
 
1.  Debt restructuration: interest only mortgages, repayment period extension, intrerst rate reduction for four years.
 
2. Possibilties for entities to offer debt reduction
 
3. Possibilities for dation in payment of debt, staying at the house under a rental agreement with a reasonable rent monthly payment.  For 2 years with a delay interst of 20%. After the two years, the agreement can be extended by mutual agreement.
 
4. Delay interest on mortgage default are moderated.
 
5. Evicted people or people under rental agreements coming after dation are protected by other national aids ( up to 3200 €). Annual incomes must be under 16.000 €.
 
6. Out of Court setlements for repossessions. Online auctions.
 
7. No Stamp- Duty tax  of Notary documents for debt restructuration.
 
8. Sanctions for people committing fraud in order to get the benefits of the Decree
 
9. Banks can apply these aids to applicants who are not under the exclusion level
 
10. No patrimony tax for dation as paymemt. No plusvalia either.


The mechanism:
 
Once a fimaly in exclusion danger ( all member without employment) starts defaulting on the mortgage:
 
1- The Bank needs to offer a debt resttucturation to the debtor within one month: 4 years interest only , 40 years repayment period, interest of never more than euribor plus 0,25.
 
2- If the mortgage fee keeps being higher than 60% of family incomes, the Bank needs to offer a 25% reduction of the debt.
 
3- If after 12 months, Bank and family do not agree on debt reduction, house is given back to the Bank and the debt is finally cancelled. Bank will allow the family to stay as a tenant for 2 years with a rental fee of 3% of remaining debt.
 
 
 
 

Vistas Jimena de la Frontera

"Vistas Jimena de la Frontera", Cadiz, Spain, by www.atravesdemisojos.net, at flikr.com



Like 0        Published at 15:25   Comments (1)


Legal tip 730. Small business support from Government
17 March 2012

Come and start your business in Spain now!

Central Government has recently passed a new decree by which opening licenses for small business under 300 squared meters are no longer required.

Any regional or local act against this measure is considered null and void and administation involved ( regional or local) will be sanctioned.

If you need advise on possible aids and legals on setting up a business, please contact us at web@costaluzlawyers.es.

Have a great weekend!

Maria

 

2002-10-26 11-15 Andalusien, Lissabon 364 Jimena de la Frontera

"2002-10-26  11-15 Andalusien, Lissabon 364 Jimena de la Frontera", Cadiz, Spain, by Allie_Caulfield, at flickr.com



Like 0        Published at 12:11   Comments (0)


Legal tip 729. IT IS coming true
13 March 2012

One of my proffessional dreams is coming true....

That of creating retirement villages for you, my clients, where together with sun and calm, you will have high quality services for your retirement years to really be near to that Paradise you deserve.

Sports centers, social clubs, transportations, gyms, beauty centers, cultural activities, pharmacies, market, shops, restaurants and medical services...

I am meeting with great proffessionals on the field this friday. Cannot wait.

The other cherished project: a multinational, multireligious, person oriented school is also on the way.

Never renounce to creation

Cheers

 

Zahora

"Puesta de sol en la playa de Zahora", Barbate, Cádiz, Spain, by Jose Mª Ruiz Garrido, at flickr.com



Like 0        Published at 12:16   Comments (4)


Legal tip 728. Maria´s library at Issuu
13 March 2012

For you to have all the freeguides at one sight:

http://issuu.com/mariadecastro

Cheers,

Maria

 

Setenil de las Bodegas

"Setenil de las Bodegas", Cadiz, Spain, by _DODO, at flickr.com



Like 0        Published at 10:48   Comments (0)


Legal tip 727. My first source of learning
13 March 2012

 My clients.

They often have a better sense of justice that many magistrates.

It happened to me today when reading Anne´s post to yesterday´s blogentry:

The blogpost stated how Murcia Appeal Court states the breaches in Polaris contracts but, does not connect cancellation rights to this. It does connect compensation rights and opened the gate to future cancellation is facilities are not provided.

Anne´s reaction:

Anne said: 
12 March 2012 @ 22:38 

Did I read that correctly.... Polaris are still promising facilities to new purchasers? 
Where exactly does the law stand on false marketing now Maria? 
How can purchasers possibly believe anything they are told relating to ANY purchase in Spain, if the law does not protect them from this abusive malpractice? 
New purchasers won't want to purchase a product that might fail to meet its marketing literature under the security that compensation might be made available if the developer fails to meet their obligations...... it's a nonsense to expect new purchasers in Spain to be exposed to this level of uncertainty and risk.... never knowing where the next falsehood will arise and what end result they will have to live with. 
Surely promised facilities from the outset are a major factor in the choice of property, and the lack of promised facilities as per the marketing literature would surely be considered a breach????
Is this judicial ruling consistent with other rulings elsewhere Maria, or is this a "rogue" ruling? 

This ruling is against Supreme Court and other Appeal Courts in Spain. It is, as Anne describes it,  a "rogue" ruling. 

There might be people though, for whom the good price compensation is a good solution to their problem.

Let´s see...

Setenil de las Bodegas

"Setenil de las Bodegas", Cadiz, Spain, by _DODO, at flickr.com



Like 0        Published at 10:42   Comments (1)


Legal tip 726. FREE Guide on Holiday Rentals Law
12 March 2012

Setenil de las Bodegas

"Setenil de las Bodegas", Cádiz, Spain, by _DODO, at flickr.com



Like 0        Published at 14:23   Comments (3)


Legal tip 725. Murcia Appeal Courts states Polaris has breached contracts
11 March 2012

 Despite it does not conclude that breaches by Polaris on facilities offered in publicity gives to buyer the right to cancel the contrat and obtain the refund of all money paid, IT DOES ACKNOWLEDGE the breaches in relation to lack of advertised facilities which,obviously, as the Court states ,  might GIVE buyers/owners RIGHTS to important price reductions. A fifteen years deadline from completion is available to this aim.

Time to complete at real prices in Polaris or obtain a good compensation in relation to properties you own there

Maria

 

ElGastor

"ElGastor", Cadiz, Spain, by El Pantera, at flickr.com



Like 0        Published at 01:41   Comments (11)


Legal tip 724. Spain Banks to modify mortgages
10 March 2012

Source: EFE 

 

SPAIN BANKS

Spanish gov't prods banks to modify mortgages

09 de marzo de 2012

Madrid, Mar 9 (EFE).- Spanish banks that voluntarily sign on to a newly approved code of good practices will be required to restructure the mortgage debts of certain distressed borrowers and is some extreme cases repossess properties and write off the debt.

Prime Minister Mariano Rajoy's conservative administration on Friday approved a decree law containing the new guidelines, the deputy premier, Soraya Saenz de Santamaria, told reporters at a press conference.

She said the new rules seek to "mitigate the dramatic plight of more than 1.5 million families that have all their members out of work" and are on the road to foreclosure and eviction due to a lack of income to cover their mortgage payments.

The new measures will serve as a buffer for families "at risk of social exclusion," the deputy prime minister said.

She estimated that a total of 300,000 foreclosures have occurred in Spain since the onset of the financial crisis.

For families to qualify for relief, the affected home must be their only residence, all the members must be unemployed and mortgage payments must represent at least 60 percent of household income.

The home being targeted for foreclosure also may not be worth more than 200,000 euros ($263,000) if it is located in a city of more than 1 million inhabitants, or more than 120,000 euros if it is situated in a town with a population of less than 100,000.

Although the code of good practices is voluntary for banks, those that sign on to it must adhere to its guidelines, Saenz said.

Before a foreclosure process has begun, mortgage holders will be able to request a four-year window in which they only will be required to pay down the interest on the loan and not have to make capital repayments.

They also will be able to extend the payment term on the mortgage to as much as 40 years to lock in lower monthly payments, as well as reduce the applicable interest rate on the loan to 0.25 percentage points above the benchmark Euribor rate.

In cases in which the mortgage payment would still exceed 60 percent of household income even after refinancing, a family will have the option of seeking cancelation of the remaining debt by surrendering their property.

This new rule will protect borrowers from banks, which often seek to collect on mortgage debt even after foreclosure if the property is currently worth less than the original loan.

If the family chooses to default on the mortgage and surrender the property, its members would have the right to live in the repossessed home for at least two years and pay annual rent equivalent to 3 percent of the canceled debt.

The Bank Users Association consumer group responded immediately to the announcement of the new guidelines, describing the new decree law as "woefully insufficient to solve Spain's serious mortgage problems."

"The failure of the measure is guaranteed because it will only serve to resolve an insignificant number of eviction problems that are of interest to the banks," the association said.

It added that the "dacion en pago" procedure - whereby families will be able to settle their mortgage debt by surrendering their home - "is nothing more than a solution in extremis for people who at this time are facing eviction."

The 2008 global financial meltdown came as Spain was struggling with the bursting of a decade-long real estate bubble. The ensuing slump has led to numerous business failures and pushed the country's jobless rate to nearly 23 percent, representing 5.2 million people out of work.

Tens of thousands of families have been evicted from their homes after falling behind on their mortgages.

 

EL GASTOR

"El Gastor", (Cadiz), Spain, by Epo, at flickr.com



Like 0        Published at 09:42   Comments (0)


Legal tip 723. FREE Guide on Inheritance Law and Wills for Dummies
08 March 2012

Olvera. Spain - 13

"Olvera. Spain - 13", Cádiz, Spain, by Drumsara, at flickr.com



Like 0        Published at 19:37   Comments (15)


Legal post 722. Supreme Court Attorney by people´s side
07 March 2012

Near to victims :as many Judges in Spain. Which makes me be very proud of the judiciary in Spain.

 

Friend and admired colleague Carlos Guerrero included yesterday in his blog a post on the fact that the Attorney of the Supreme Court is asking for new formulas to stop more repossessions.

As made for Banks, Government needs to come to the rescue of families. These new formulas need to mean that a citizen which is having his house repossessed by the Bank, will not be also facing the maintenance of a debt.

The Attorney deffends that as times and circusntances have changed so dramatically, old mortgage contracts need to get adapted to new times (interest only, extension of repayment period, higher amounts to be paid as last mortgage installment…)

Another possibility deffended by him are dations so both Banks and people assume loses.

An a final mentioned possibility is  State aids for the payment of remaining debts for citizens.

The Attorney has placed a marked emphasis on the need for citizenship to work for these measures to be proposed and applied within the Rule of Law.

Maybe it is that through the work of good lawyers and judges, Case law will be created for the economy and the financial principles to be revised and its focus to be recentered in PEOPLE.

There is no other way, and it is simple. The only big problem is that we have been driving too fast and far on the opposite way, but it is just a matter of turning around

Olvera. Spain - 07

"Olvera. Spain - 07", Olvera, Cádiz, Spain, by Drumsara, at flickr.com



Like 0        Published at 13:41   Comments (1)


Legal tip 721. General bank Guarantees. What´s that?
06 March 2012

  Every Bank Guarantee which is given to a buyer in an off plan purchase is just an individual certificate that the Guarantoor Bank or Insurance company issues once the developer requests it from bank/insurer to be handed to the buyer.

The general agreement bewteen developer and bank/ Insurance company is prior to the signing of contracts. This is what is called among us the " generic or general Guarantee" which can be issued by a Bank or an Insurance Company.

The name of the Bank or Insurance Company which is guaranteeing the refund of deposits if the property is not finished on time needs to be clearly mentioned in the Contract, plus, of course the account where money is paid. An individual certificate needs to be provided to the client so that an enforcement, quick judicial action can be used by him.

This does not mean that the lack of that individual certificate takes rights against the guarantoor away. The buyer can use a declarative judicial  procedure either against the guarantoor institution or the bank where money was placed ( or even both at the same time) for the refund of deposits plus legal interests in the event the property is not finished on time.

 

Olvera St Building

"Olvera St Building", Cádiz, Spain, by Tina Hsu, at flickr.com



Like 0        Published at 15:48   Comments (2)


Legal tip 720. Compassion with developers
05 March 2012

 Because the euro created the real estate boom in Spain with overecredit to developers and buyers.... after consumers, it is with developers that is my willing to help. For a reasoned argument about this perspective, please read De Gaulle here

Because all was created by a crazy financial boom.

The formula that is now working fine is that of buyers and developers together against Banks.

 

Olvera. Spain - 08

"Olvera Spain - 08", Olvera, Cadiz, Spain, by Drumsara, at flickr.com



Like 0        Published at 15:51   Comments (10)


Legal tip 719. Deposit contract: an important matter.
01 March 2012


We tend to understimate the importance of the deposit contract when buying a house: it is not unfrequent that when clients come to our practise seeking our advise for conveyancing, they have already signed the deposit contract, probably under the press of agent or seller. That is not advisable at all. 

Play your part in the negotiation (with the assistance of a good lawyer) in order to have strong protection of your rights and a smooth purchase process

 

Deposit contracts must gather, in detail, the main aspects of the agreement that has been reached, such as:

1.- Full identification of seller and buyer

2.- Enough, official and clear identification of the property (Nota simple required,click here for more information)

3.- Definition of the contract which is being signed, agreed price, method of payment (expressing if any amount is delivered as a deposit or on account of the price)

4.- Who will pay the expenses and taxes

5.- Time within the public deed needs to be signed, etc…

The more in detail and tight, the more peaceful your purchase process will be. It is also important to bear in mind that there is very recent legislation on Information requirements when selling houses in Andalucia (please see: http://www.costaluzlawyers.es/eng/?p=22 and http://www.costaluzlawyers.es/eng/?p=24 )

The return of amounts handed as a deposit will depend on the fulfilment of the conditions agreed in the deposit contract. It is very advisable to have a compensation clause that will avoid further discussions on this important matter. 

On the other hand, if it is the seller who is not complying with the agreed deadline, or decides not to sell without a justified reason or to sell the house to a third party, he will have to compensate you according to what is stated in the deposit contract.

In the case that the sale is finalised within the agreed deadline, the deposit will be considered an advanced amount on account.

It is needed to pay a lot of attention to this contract as it is as important as the sales contract itself and you can be committing yourself to conditions that will determine the purchase at a very high level. 

 

 

Playa de la Barrosa

"Playa de la Barrosa", Chiclana de la Frontera, Cadiz, Spain, by Mr Weeeee, at flickr.com



Like 0        Published at 11:39   Comments (2)


Legal tip 718. Are Dations still being granted?
01 March 2012

 The recent advise from government to Banks is to accept Dations when debtors are unemployed and the house is the only house they have. Just yesterday, a Judge dealing with a dation against BBVA deleted almost 270K euros of debt from the debtors and asked the Bank to pay to them two months of rents for giving time to these people to find rental accomodation.

It is a very social and innovative Court decission. A great example to be followed.

If you are not under these merits ( unemployed and the house being the only house you have) it is very likely your dation will not succeed unless the remaining debt is much lower than the value of the house. Initially Banks cannot repossess houses for less than 60% of the value these houses were given when being valuated for mortgages.

If not, I am afraid, that a persistent negotiation with the Bank for debt restructuration will be the best way out as they seem to be now ready to go against UK assets too.

 

 

Esteros entre Chiclana y San Fernando

"Esteros entre Chiclana y San Fernando", Chiclana, Cadiz, Spain, by jmerelo at flickr.com



Like 0        Published at 11:33   Comments (1)


Legal tip 717. Commun Laws for Inheritance in Europe
01 March 2012

 The Parliamentary Committee has just approved the text regulating inheritance .A Regulation of European inheritance,  is expected to get today the approval of the Committee on Legal Affairs of the EU.

The idea is to create a European certificate of inheritance designed to make clear the legal status of the person who draws his last will and safeguard the rights of heirs and other interested parties such as creditors.This is achieved to make clear which legal system applies in the case of an inheritance where several states are involved, avoiding costly litigation and complicated burocracy.


One novelty of this regulation is that if someone dies in a Member State other than their country of origin, succession, in general, will be dealt with under the law of the Member State which was his last place of residence, and shall be governed by the courts and authorities of that State. 

This avoids the conflicts that may arise if several courts in different countries are declared competent.

Nevertheless, grantors of wills will also be able to choose the law which applies to its country of origin. This gives EU citizens a new right which is a significant improvement, as it will allow a person living abroad to maintain close ties with their country of origin and ensure that specific national provisions such as rules governing gifts made during life are respected.

Another important development is the creation of the European certificate of inheritance. This document is created to ensure that  heirs, creditors and the competent authorities apply the terms of the inheritance  through faster and cheaper procedures.

It seems that the UK is staying out of these regulations though.

Chiclana en obras

"Chiclana en obras", Chiclana, Cadiz, Spain, by desde mi ventana se ve la playa, at flickr.com



Like 0        Published at 10:50   Comments (3)


Spam post or Abuse? Please let us know




This site uses cookies. By continuing to browse you are agreeing to our use of cookies. More information here. x