Murcia Appeal Court asks Corvera to refund based on lack of advertised facilities

Legal tip 1047. NEW! Court Decission against CORVERA! 
14 October 2013 
 

Maria I know that the specific circumstances can vary cases by case but I have my clients asking for a few clarifications on this ruling

• The first is the most obvious one and that is for the people that have still not completed, does this ruling set a precedent for these people to now make claims for refunds of their original deposits, interest and fees
• Next question is that are Corvera likely to appeal this ruling again
• Are you aware of any other pending actions that are going through thge appeal court system
• Does this ruling allow the people that did not complete to claim compensation from the developer because of what seems to be a proven case for the lack of the proposed facilities
• If any buyers still ish to complete are there grounds for buyers to ask for a greatly reduced price, especally as there are bank repossessions available on Corvera at 25% of the original contract price

Sorry for all of the questions but this is very important as the resort has developed with an operational golf course

25% of the origional price

wowsers

• Apologies for the delay on answering these questions:
• Please have answers below in bold orange: 
•  
•  
• The first is the most obvious one and that is for the people that have still not completed, does this ruling set a precedent for these people to now make claims for refunds of their original deposits, interest and fees. Yes, it does, but it is important to see what is Corvera´s current solvency.
• Next question is that are Corvera likely to appeal this ruling again. I do not know. Cannot predict really. This decission follows the doctrine of the Supreme Court on linking character of publicity so I would not see much point for going to the Supreme for this.
• Are you aware of any other pending actions that are going through thge appeal court system. I think there are some other ones, but am not completely sure.
• Does this ruling allow the people that did not complete to claim compensation from the developer because of what seems to be a proven case for the lack of the proposed facilities. Compensation just if they completed or will be completing.
• If any buyers still ish to complete are there grounds for buyers to ask for a greatly reduced price, especally as there are bank repossessions available on Corvera at 25% of the original contract price. Of course they do.

Please also remain aware of the following.

Beware the developer asset stripping in the interim, although Maria could advise if SWIFT preliminary enforcements would prohibit this eventuality.

Beware of major delays in the court system that at present have no time contraints in place to ensure timely enforcement. .....If the developer goes into administration during the lengthy period of delays then according to Keith's previous advice all legal costs associated with the claim against the developer cannot be recouped if subsequent action is then required to be taken against the Bank. Keith reclaimed costs by taking action jointly and severally against developer and Bank.

For those considering completion beware of the following ·         Communities (developments) deprived of adequate consumer protection to ensure the best interests of the community are recognised until such time as they have majority vote, (developers leasing out pools, maintenance overcharging, developers/banks failing to pay community fees http://www.theolivepress.es/spain-news/2013/03/07/banks-skip-community-fee-payments/

I don't know if this applies to this development but also beware of Illegal demolitions and the Govt retrospectively redefining coastal boundaries without an adequate compensation structure in place (i.e. areas where they declared properties as illegal even though purchasers from the outset had been provided with the necessary legal documentation), 

Just a few risks that sadly its essential to remain aware of.