Legal tip 562. Supreme Court on Special accounts and Law 57/68
Monday, July 11, 2011 @ 12:31 PM
A recent Court decission by Madrid Appeal Court quotes several ones of the Supreme Court on Law 57/68 and the meaning or dis-meaning of "special accounts"
The Supreme Court affirms that the sole conditions for Law 57/68 to display all its effects are that (1) amounts are advanced in off plan purchases and (2) the building is not started or finished.
It is clearly a matter of guarantees when the object you are paying for does not exist yet. Supreme Court sees it crystal clear.
What these Supreme Court decissions say is that Law 57/68 protections are about guarantees for buyers when the object you are advancing money for it does not exist yet. The Supreme Court also affirms that the effects of Law 57/68 do not rely on money being deposited in one or another kind of account.
Come on with the formalities Banks! You have had all the business and none of the risks. It was just becuase of the credit crunch that you provoked that you have not had the huge benefits you proyected!
Any discussion or irregularity regarding the deposits of amounts in special accounts can never go against the buyer as this business is completely foreign to him and therefore it is something that needs to be discussed between developer and guarantoor with no impact on rights to buyers included in law 57/68
So, once you have paid advanced amounts and building have not started/finished on time, you do have all the rights that Law 57/68 establishes as essential, public order class and inalienable.
El Palmar beach ( Costa de la Luz), Cádiz by Viktor. Moulet at Flickr.com