El blog de Maria

Different angles of the protection law 57/68 is for off plan buyers in Spain is being exposed and applied. So very good news.

In relation to  recent Court Decision by the Supreme Court by which a bank is condemned to refund full mortgage payments and related interests paid by an off plan buyer whose unit was remortgaged by the Bank in favor of the developer, knowing there were buyers of these; now, in Galicia, this  Economic Crimes Attorney, Augusto Santaló, just speaks up for those affected by the collapse of developments along these crisis years and state the bank should be ultimately responsible and accountable to the dozens of  deposit payers in these scenarios, based on Case Law of the Appeal Court of Burgos who ruled in three judgments in favor of those affected and against financial institutions.

Developer proceeded to sell homes receiving all or a significant part of the price of these without a guarantee required by law. Later on sales and after price perception by buyers, developer created mortgage securities with Caixa Galicia and Caixanova, "seriously damaging the rights of buyers who were unable to get their money back,"

For the Economic Crimes Attorney, such liability is deducted from the knowledge they had when they provided mortgage loans, knowing of the existence of private contracts of sale and payments made in advance. It also warns that banks did not require or found that the developer constituted the guarantees established by law 57/68 and, being aware of the crisis of the company, decided to refinance with redistribution of liabilities on property units so that the amount of these exceeded the sales price.

If this thesis of the Economic Crimes succeed (and there is already a precedent by the Supreme Court), hundreds of people affected in this and other developments which were unfinished due to the bursting of the bubble or passed to the SAREB could undertake civil and even criminal proceedings to recover the advanced payments which in many cases exceeded 50,000 Euros.

 Judicial sources interpret the general timeframe for presenting a lawsuit will be 15 years from date of payment.

Mondoñedo, Lugo, north of Galice, North western Spain

This other route to obtain refunds in off plan disasters is starting to have a voice.

Now it is section 21 of Madrid Appeal Court which is condemning a lawyer who made payments into the developers´account without the previous obtaining of the necessary Bank Guarantees, according to Law 57/68.

The claimant was basing his lawsuit in two breaches: Lack of licenses and Lack of Guarantees.

Court estimated that as the buyer had paid the initial reservation deposit voluntarily and previous to the intervention of the lawyer, he freely chosen the object of the purchase so Lawyer cannot be liable in regards to planning irregularities.

As lawyer was working for the client when payments were made to the developer´s special account, liability of this professional in regards to the lack of Guarantees is uncontestable

New way open now by Case Law!

Have a restful weekend!

María

Madrid in Winter

As a UK resident owning property in Spain you do not need to grant a new will to have the transmission-by-death of your Spain assets made in accordance to the will in the Uk.

It  was never necessary. Although many people made and still makes specific Spanish wills to avoid burocratic complications to their heirs. These " instrumental wills" for naming them in a way you will better undestand, had always to be in full accordance to the National Inheritance Law. They still have to if you grant them. They were... just an instrument to the real UK ones.

It will not be necessary after August 2015 as UK is not under these regulations. So your old UK will, will still be fully valid .

Even if the UK were under this new regulation, as you want your residency- same as nationality Inheritance Law to be applied, you would not have to make a new will.

This new Law is of special importance to foreign people, residents in Spain who dies after August 2015. If not granted/stated otherwise, all their inheritance affairs after death will be submitted to Courts and Legislation of Spain ( with some special features and exceptions) 

If you want to avoid this, you can --- from now, you do not need to wait till August--- make a will in Spain by which you choose your nationality Law to regulate the whole inheritance.

If you are intersted on knowing a bit more on how Spain Inheritance Law operates, you can click here

A farmhouse closed Andujar, Jaen, South eastern Spain

Supreme Court has recently passed a Decission by which those loan mortgages which were granted by Banks to developers, after these had sold  off plan units to buyers are NULL and VOID. Specially if this same bank was guaranteeing the on-time and free of charges and encumbrances completion.

Therefore, if you have been paying for these mortgages of developers, a full refund with full interests and legal costs need to be granted to you.

SO VERY GOOD NEWS!

María

Mijas, Malaga, South eastern Spain

Would you fancy a nice site with Maria to talk about your retirement? Legals and lifestyle matters...

How to plan the retirement? How to improve your financial resources while in Spain? How to choose housing? Buying? Renting? Community? Inland? Coast?

No paying extra Taxes? Do the right will ? Deal with Community of owners problems? Avoiding double taxation? Get some incomes while renting other properties? Have the right rental contract?

What else you want to stop worrying about?

Cheers!

María

Aguadulce, Almería, South eastern Spain

2015 is going to be the year of our definitive consolidation as number one Law Firm on clients care passion ;)

Please help us so by sending both positive suggestions and harsh criticism if you need ;). We are ready and grateful for them both :)

Please have them coming!

Snowing in Granada, South east Spain