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Please all refer to Telegraph on line dated 28.08.11, this should give you an update of CORVERA vs Irwin Mitchell clients. It is also on the Corvera Owners Forum.
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Expat property buyers win day in court with developers
It has taken five years but a group of determined expats have finally won a courtroom showdown with the Spanish developers who left their homes surrounded by an abandoned building site rather than the promised five-star facilties.
The nine Britons who put down off-plan deposits of up to €200,000 each on properties at the Corvera Golf and Country Club near Murcia in 2005 and 2006 were promised that their homes would be part of a complex that would include a five-star hotel and state-of-the-art leisure facilities.
The majority of the proposed facilities were never built while the developers Corvera Golf and Country Club SL allegedly ignored pleas from homeowners to explain why construction had suddenly stopped.
A preliminary hearing in Murcia has now confirmed that the developers will have to answer these allegations in a trial in July next year.
In a separate appeal against the same developers it was proven that they did not have planning permission for the third phase of the development – confirming a suspicion long held by the homeowners.
Alex Radford, a solicitor at the Malaga office of Irwin Mitchell Abogados who is helping the group in their battle for justice, said that the formal setting of a date for trial and the result of the recent appeal are both a major boost in their fight.
He said: “The past couple of years have been fraught with frustration, worry and anger for all of those who put their hard-earned savings into this development with the promise that they would be part of something really special. Shockingly, that promise has never been fulfilled.
“These people deserve answers as to why the facilities they were told would be built have not been and the opportunity to claim their money back from the company.
“We maintain the belief that the developers are in breach of contract and are delighted that those who have been badly let down in this affair will get the chance to have their voices heard in a court of law next year. Corvera should rest assured that come July all of our clients will be present in court to have their say.
The homebuyers who are represented by Irwin Mitchell are thought to be among 100 who put deposits down on homes valued at between €190,000 and €550,000 after falling in love with the plans for Corvera Golf and Country Club.
They became concerned after being chased for final payment on the properties despite the majority of the surrounding leisure facilities not being built and hearing rumours that build licences hadn't been permitted.
One of the property buyers, John Thorpe, from Lincoln, said: “We are all incredibly relieved to know that we will have a chance to stand up and tell authorities in Spain of the terrible ordeal we’ve been through in trying to get answers over the development.
“Like the other families in the group, we simply wanted to invest our savings into a development which offered us a chance of a better future. Sadly, we all feel completely cheated by what’s happened and just want one of two things to happen – the promised facilities to be built or our money back so we can get out of this nightmare.
“It makes me sick to the stomach to think about what’s happened and we will continue to fight to get the answers we want over this.”
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Let's hope for the sake of these nine Britons that are more than likely sueing Corvera under a consumer law statute (that of the advertised facilities being part of the contract), that none of them have more than one other property so that they may not be considered as business investors.
Still not sure if the courts will consider that the lack of a hotel is good enough to cancel a contract either; as the advertised tennis, horse-riding, paddle tennis, sports complex and golf-course have been available for over a year already and the clubhouse (which Corvera have had to borrow more money to complete (due mainly to lack of cashflow from non-completing Britons) will by the time of the court appearance have been finished along with its restaurants shop and spa facilities. Any shopping facilities that were advertised in the brochure were always going to be outside the complex as was the airport (nearly done) .
I still fail to understand that anybody who buys off-plan, at an off-plan price (as it was then) is able to expect a key-ready and complete development on the day they are asked to finalise payment on their completed off-plan property that has its first occupation licence in place, does not consider THEMSELVES in breach of contract?
The lawyers and newsrags also try to make out that Corvera were taking deposits without any real intention of finishing further phases. Phase 3 at least DID have Outline planning for its entirity (I have seen it personally) but with the cashflow situation mentioned above was only applying for final permissions as and when they would have been able to meet the 18 month build deadlines.
But hey! Lawyers and Newspapers never tell lies or bend truths to suit themselves do they?
PS. Isn't it great as wel that the BRITISH RAGPAPERS report 'news' two months after it has been released !lol!
This message was last edited by steveandjane on 28/08/2011. This message was last edited by steveandjane on 28/08/2011.
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Steve (Lifestyler)
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Well posted Steve. I was going to reply but thought perhaps someone else would take the lead. This is old news. I reiterate my previous posts, most purchasers brought "off plan", meaning amenities/facilities would not be in-situ at completion of their property. If they did not know this, then they did not do their homework. If they wanted to purchase a property complete, i.e. all facilities in place, they would have had to pay more. You get what you paid for at the time. You pay your money, you take your chance. If you want something complete, you pay the price. If you want a discount expect to wait.
This message was last edited by Anita on 28/08/2011.
This message was last edited by Anita on 28/08/2011. This message was last edited by Anita on 28/08/2011.
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What a surprise Steve and Anita jumping in with ill informed and misguided opinions. The official Calidona cheerleading squad in full flow.
All those evil investors who have ruined it for that brave and whiter than white developer.. keep on saying it guys and you one day someone else might actually believe it to. And now its also those despicable lawyers and newspapers jumping in on the action!!.. My heart is positively bleeding for them now.
Thanks Anita also for your sympathy for all those people who have lost life savings and who have been put through the wringer by Calidona and their bully boy low life legal tactics. Threatening phone calls and letters from debt collectors saying how they are going to take peoples homes from them. How would you like that? Or would you say to yourself...oh silly me i didnt do my homework.
You people with your self-satisfying sanctimonious crap make me sick. Most decent people put their hard earned money into their dream and actually we did believe we were going to get what we paid for.. silly us eh? who would have thought 7 years after they took our money there still wasnt going to be half of what they promised?? Completors/non-completors i dont give a crap which group you are in but all of us have been and are still to this day being shafted by Calidona, in varying degrees. But even you guys that lead the cheer squad cant pretend that what you have got is what you actualy wanted. I will pre-empt the next 2 replies with, "actually, i am really happy with it" or "its not calidonas fault there was a GFC" or " its all the non-completors fault that they didnt build anything"... horse shxt the lot of it. Nobody was expecting the whole resort to be ready by the time the first phase was done, but we were expecting it to be in full flow, which it wasnt and still isnt to this day.
As for the court case, Steve its good to see that your legal degree is kicking in again as you seem to speak with such authority on the matter. But even an idot like me knows that the line was drawn in the sand a long time ago, so they can build whatever they like over the next 2 years and it wont mean squat because the only pictures the court will be seeing are the ones taken when the developer said pay up we are delivering to you what we promised!!.. I dont recall there being that much when that happened do you?
If the developer was/is so in the right why the hell havent they taken any of us to court?
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painhod,
If u haven´t completed and you are in phase one or two, (not sure about phase htreee as it was not built) they will take you to court and win and I know DO know about Spanish law!!!!
I don´t understand how you spend so much time on this forum if you haven´t completed and are not going to do it. To be honest and after reading many of your posts I hope you never complete ,
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Another thought came to mind. When I purchased my apartment I was told there were only two apartments remaining on Phase I, sales pitch or not. Obviously the thing that drew me to Corvera was the idea of a Country Club with all its facilities, but the thing that made me sign there and then was the fact that the properties were selling fast and, therefore, should have been a good investment. Therefore, I signed on the basis that others had and were contracted to complete. On that basis, if those who haven't completed have a case against Corvera for lack of facilities, do I have a case against those who have not completed as it was, naively, because of them that I signed when I did. By the way Spanhood, it is not my fault that those people have lost their life savings, it was their choice to sign on the dotted line and their choice not to complete, why should I sympathise. I am in exactly the same position as they are but I chose to complete and have still lost a load of money because they haven't and have therefore also devalued my property. If people can't complete due to financial reasons, then fair enough. But there are many who are using that as an excuse. Also, Spanhood, don't try to put the guilt trip on me about the heavy handed tactics taken by Corvera. Every decision has its consequence. I will also stick by my point about "homework". That is the basis for most non-completers taking legal action. There is absolutely nothing that will change the point that if you buy off plan you wait for the facilities, if that was not the case what would be the point in buying off plan in the first place.
I await the personal insults.
This message was last edited by Anita on 29/08/2011.
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Has Spanhod lost the plot? Got too much time on his/her hands? Take a chill pill and stop being so offensive. We were all in the same position one time - all taking a risk and all bombarded with sales patter which it was our duty to review and sift the wheat from the chaff. Believe me when I say I understand tough times. Just because we have completed doesn't mean we have money to burn. It means we understand our responsibility. I'm sure most people would agree that neither Calidona nor Corvera are perfect but then other than Spanhod who is? When we selected our Phase 2 unit, we had a choice of two. If I have a grievance it’s that we could have had a wider choice if it weren't for people who signed up back then and now are trying to walk away from their contractual responsibilities. We are among that crazy body of people who do actually really enjoy being on site. Every time we return from Corvera we start planning our next visit. Recommencement of work on the clubhouse, the airport nearing completion and the plans for Paramount theme part are all very strong indicators of a brighter future. If the likes of Spanhod do not want to be part of that future that's their choice. However, I do think they should be more dignified and respectful to those of us who do choose to be part of that future.
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The problem with spanhod, he his between a rock and hard place, not having the balls to be part of the first 9 going to court, sitting to see what happens to the front runners next year and then hiding away again untill round two.
Whoever wins at court next year will im afraid have to go to court again once the decision is appealled.
Spanhod appears to assume that everyone completed had an easy ride, nothing could be further from the truth, we all had to make some serious decisions that will be with us for years, on a previous post he accuses people of sitting on the fence, as i see it he is the one sitting on the fence hoping that his nightmare will go away without actually doing anything about it
Get real for once and deal with it in a dignified way instead of venting your anger and frustrations on people who had the balls to do something about the mess we all found ourselves in.
And yes i was one of the group who was with J L and IM and payed through the nose, in the end a desision had to be made, you cannot just pretend that all will be rosy. i completed and intend to make the best of it, was my decision right, who knows, but at least i can get to sleep at night without constantly worrying about calidona and lawyers and what others would do.
You have made your decision not to complete, i respect that ,but by making that decision you will at some point meet head on with the lawyers of calidona, may be a year or 5 years down the line, you may win ,you may not.
All your posts on this forum are insulting to the people who have completed, does it make you feel better ,do you think it will improve your position, get on with life you only have one to live.
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Is anyone else of the opinion that the thread title of "A step in the right direction" is much more appropriate for those of us that have completed than to the non completers?
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I agree Shudi and suggest this thread is continued on the owners forum rather than EoS. Fed up with seeing personal insults directed at people on this forum - everyone is entitled to their opinion but there is no need for such nastiness.
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The bottom line is each and every one of us had decisions to make and for each person the choice will differ, even deciding to complete or not complete is a slight gamble, but I don't believe anyone has Lost their life savings, this is like shares, mine are down right now, but they are not a real loss unless I sell them right now. I do feel sorry that some people's circumstances have changed, that must be hard for you. Peace of mind was important to us and we got a better property than we had planned so we feel we have gained rather than lost and are enjoying the peace of mind , we have no anger, probably all that sangria and tapas we get! I guess the acid test for us as we stood on Corvera soil, we said to each other, how likely could we win for lack of facilities..our answer..at best a few thousand pounds compensation for the loss of enjoyment over a couple of years...definitely not material breach we said..therefore let's do a deal ourselves with the staff here at corvera and chet on with living our lives fully and happily. As you say none of it has been easy, we all make choices and live by it..for us this has now proven to be a wonderful choice which we are glad we made, but I am lying if I say it has all been playing sailing, I too have had nights with a deep pit in my stomach, I hope everyone who is still fretting finds peace of mind one way or another.
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Stick and stones may break my bones!
But I'll be having a 'kin great time , EVERY time that I go to my second home in Corvera!
I do hope that life is just as fun and exciting for those who choose not to complete and have the excitemant of wondering if they'll ever get a penny back after backing out of this venture and that it doesn't cost them a whole lot more in lawyers fees.
(this is not aimed at those who have no choice to back out due to personal circumstances, you have my utmost empathy)
I am receiving pm's every month from people who were initially going to withdraw from their contracts and fight Corvera in court but have on weighing up the pro's and con's, completed instead. NOT ONE HAS REGRETTED THEIR DECISION TO COMPLETE.
So yes Judi, completing is 'A STEP IN THE RIGHT DIRECTION'
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Steve (Lifestyler)
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Hi All, So the Telegraph publishes a two month old story with a picture of baron land at Corvera and try to make it sound like a costa del crime type rip off, that's great journalism isn't it ? Any one of the 400+ completed buyers at Corvera Golf will tell you they are actually very happy with their purchase and are looking forward to the opening of the club house, shops and the re-opening of the golf course and driving range. I do think though the winning of a court date next year may just have helped the Calidona and / or Banks decision to re-finance and move forward with the development, so we should raise a glass to the nine litigants and say a small thankyou, but at the end of the day they are still unlikely to win in my opinion. As for undecided non completers, i say again, come out to Corvera for a holiday and decide for yourselves whether to complete or not, there are plenty of furnished apartments and villas on site available to rent so you can likely stay in a property identical to the one you have a deposit on, you will certainly find a lot of very happy buyers on site. The number of completed buyers is growing every month and there is a really positive vibe on the resort right now, come out and speak to people on site. You'll find great weather, lots of places to visit, excellent restaurants and free golf too !!
This message was last edited by simongolf on 30/08/2011.
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I agree with everything you say..and as the story was apparently on irwin MItchells website months ago, can only conclude that the reason for digging it back and and republishing it is concern because the clubhouse will be built by the time the court case is heard. Anyway I agree that the people suing for lack of facilities will have won because reasonable facilities given the climate will now be provided without the case needing to be heard in court presumably, so well done if that is you, I do hope you dont battle on regardless and face hefty court costs if you lose though.
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The really good news for everybody at Corvera is that since the aquisition of the extra funding from the banks and the re-start of the Clubhouse build the trend towards completion/non-completion has changed. Now it seems there are plenty of people trying to find non-legal solutions now who have at last decided to start talking and negotiating completion dates and terms with the developer. They seem to have realised the balance of legal argument is increasingly in the developers favour and because of the ongoing build situation now want to reach out of Court settlements.
This combined with the airport news is obviously boosting morale greatly.
This truly is a step in the right direction !
This message was last edited by steveandjane on 20/09/2011. This message was last edited by steveandjane on 20/09/2011.
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Steve (Lifestyler)
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Corvera where to start they say in the blurb :live the dream: well for me it was a nighmare,why would any body defend the actions of a company who not once kept us informed of the works progress.
who when you contacted them continually lied through there staff,even when you visited and confronted them about the build delay they were still full of crap.And yes i am one of those who did not complete and i also sued them on my own it took two years but I WON IN July this year,on the grounds that corvera were in breach of contract on the dates of occupation licences being granted 2010 and the agreed compleation dates JUNE 2008 phase 2 as stated in there brochures.
So yes i sued them for breach of contract and won as i would have sued a british builder as would you all,also just to rub salt into your wounds on the day of the court case i was offered the option of choosing any build on site or indeed at roda for 1/2 price, that was by there representative.
And i did visit the site and witnessed all the lovely part finished buildings and whilst there had a lovely chat with the security who also were expecting corvera to go bankrupt, well theres still time if tere still getting into debt.
Just a last word if any of you residents need work doing (judging by some of the cracks i saw in the buildings)i am available but would insist on payment upfront and could start some time this century.
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I am a little confused about the last post because to my certain knowledge there were not any cases that went through the courts in July that Corvera lost, in fact I do not believe that they have never lost a court case
really I know that this is your first post so can you please post the case judgement number on this forum so that this can be independanty verified as if you did in on the grounds that you have stated this could open a floodgate for large numbers of people that would be able to claim on the same grounds
Also perhaps details of the lawyer that helped you win the case and what did you receive, deposit refund, interetst and costs
_______________________ Roy Howitt
Independent Property Consultant
www.sonrisaproperties.com
www.snaggingspain.com
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Oh! really
Couple of questions:
When you say you "won" your court case, do I take it that you have received your deposit back or is it as I suspect that you have had a local judgement in your favour but are still waiting for the Spanish legal system to drag you through the appeal courts, prior to going on to the high court etc. , by which time you may eventually get some money back should your eggs actually hatch into chickens. I am surprised that a court took a brochure guestimate date as binding part of the contract (unless of course it was also written into your personal contract, which I am certain it wasn't in mine) . If this isn't the case, then rather than actually having "won" you could still end up with the alternative of not only losing your deposit but also having to pay out huge costs. This leads to
Question 1) Have you actually "won" and had your deposit monies and costs paid to you?
It also seems a bit odd to me that you visited the site and saw that they had actually built your property (I take it you were on p-1 or p-2 looking at the dates in your posts) and that they also had first occupation licenses in place on your property BEFORE you took them to court but instead of completing you decided to try and get your deposit back. This leads to
Question 2) If you were offered any build on site or a 1/2 price place at Roda, then why didn't you snap their hand off. Even with the exchange rate devaluation you could have got one hell of a deal on a possibly better property or were you buying as an investment which would make the pound/euro rate more influential in your decision?
Just as a footnote, all the lifestyle buyers that I have spoken to agree that The Dream is still alive, especially as Corvera are doing everything in their power to complete the Clubhouse and get the course open to the public by the time the new airport opens. When this happens, even those owners who need to rent to help pay for their property should find their financial concerns alleviated somewhat. Unfortunately the one thing that probably won't change much in the near future is the pound/euro rate and the UK interest rate which is a bit tough on the savers/investors from the UK.
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Steve (Lifestyler)
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