Murcian property news; Polaris World back in court again

Reports have appeared today which state that Polaris World has not contested the sentence passed by Court number 2 of Primera Instancia in Murcia, which ruled that it must repay 77,000 euros to the purchaser of a property on the Hacienda Riquelme development, meaning it must now pay the money owed.

The judge found in favour of the purchaser, who claimed the return of his deposit, plus costs, following the failure of the construction giant to deliver a completed property as per the contract of purchase drawn up between the two parties.

The purchaser claimed back 77, 326.49 euros, plus costs.

 

The contract of purchase was signed for the purchase of an apartment with garage, on the 2^nd December 2005, with a completion date of 2^nd June 2007.

However, on the 24^th August of that year, the purchaser received an email informing them of delays in the works, due to the necessity to divert an underground electricity line, which would delay the delivery of their property until summer 2008.

As compensation they offered a furniture pack, or golf package, but the purchaser insisted that they were not interested and requested that their deposit be re-paid.

 

The developer contested the claims of the purchaser by saying that the purchaser was just trying to wriggle out of his contract as he no longer wanted to go through  with the purchase, stating that the delays had been outside of their control.

 

The developer again attempted to resolve the situation by offering an alternative apartment, but just as the purchaser was on the verge of accepting, changed the conditions of the offer, leaving the purchaser to continue pressing for the return of his money.

The court ruled that the company should have taken the position of the electricity cable  into consideration when planning the schedules for its' construction schedules and that the purchase contract had been invalidated.

 

This purchaser is not alone. According to judicial sources, many people are in the same boat, and now that the company has escaped the bankruptcy courts, making a legal declaration of its' solvency , that it could now face an avalanche of claims from those pressing for the return of their deposits.

Had it entered into a state of bankruptcy protection, the claimants would have stood very little chance of actually recovering their deposits, but given it's current declaration of solvency and its' failure to contest this case, this could be the first of very many cases to come to resolution, providing, of course, that the company has now resolved its' operational issues to be able to make the repayments it now legally will be forced to make.

 

It narrowly escaped bankruptcy earlier this year when a last minute deal resulted in an exchange of assets for debts with major banking financers,  the terms of which have never been made public, but which left some questioning the financing package agreed to secure ongoing operating finances.

The property market is still bumping along a rocky canyon bottom, some experts expressing the opinion that there's still a further fall in prices to come before we emerge from recession, although economic indicators appear to indicate that there could be signs of stabilization in the financial sector..

 

 

NB. Please don't deluge us with requests for more info about this case , as this is all we have and we cannot give any advice on decisions which need to be made, we only wish we had a crystal ball. Good luck to those affected, we really hope you get it sorted.

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