Dodgy Developers

[thelwell]

Hi Just wanted to warn anyone against buying from a developer called either Melainvest or Stroyinvest in Bulgaria. Ageed to purchase apartment from them in Sunny Beach, decided we were not confident and cancelled the contract with their consent. They signed agreement to refund our money paid so far less 10% of purchase price on 11th July - which was to be repaid in 10 days according to agreement. Still waiting for money, many excuses later. So dont know what to do now, my solicitor says can take years and lots of money to sue. Grateful for any ideas

 

[Jain and Chris]

Hi Thelwell

Sorry to hear of your troubles.

Just a couple of things - what went wrong to make you say you "were not confident"?

I think if you were the ones backing out of the contract, it is amazing you got anything in return and I am delighted to hear that the developer treated your backing out with such understanding. Indeed, I would not call them dodgy at all on this basis, as this kind of understanding is a rareity and should be encouraged. It seems to come down to the fact that they have not returned the money to you as yet?

I'm a bit confused as to how much you paid and how much you should get back. Just to clarify, are you saying that you paid them x amount and you should be returned x less 10% deposit within 10 days of the agreement you signed with them?

Do you have copies of this agreement? If they agreed to return your monies as per your post within 10 days, then in Bulgarian terms they are only a little overdue, but I believe a lawyer could really help you get your monies back. Of course, any lawyer would need sight of this agreement to establish exactly and precisely the terms of it.

Let me know, and I'll see how I can help you.

All the best, Jain and Chris

 

[Dashy]

Dodgy Developer too

Hi,
I have had similar situation to yours. Purchased off-plan in Sofia, using Address Agency (Asta bridge now?). Buy the time we signed PPC the property was about 40% ready. All was going well, payments in stages.
Closer to the finishing I have missed one payment by around 5 working days, and guess what!? The builder cancelled PPC without having right to do so. In the PPC stated that there are penalty to be paid in case of delay - which I would not mind. But they just cancelled it. Moreover, they sold my appartment to someone else, whilst I was in the process of negotiation with them.
To cut story short: Got the lawer in Bulgaria to sue the developer, landed it to the court about a month ago. And developer got back to me know offering another (similar) appartment.
Asta Bridge (Address agency) were no help what so ever, I am thinking to sue them aswell to take the commision back. They did not even request any written cancellation from the developer. There was an email from them saying "Right, you late - contract cancelled" Although in the contact it is stating that written cancellations to be done.
Just had to find out that even if you are trying to do the business trough well established agency - you still not protected, even if there is a contact in place.

Your lawer is correct - it`ll take long time to sue them but I would say you go for it. We paid 1000E initially to the lawer - and very happy with it, I think there is another 1000-1500E after case is won. Which we will I and lawer have no doubtp in this. As now Developer is at least talking to us! (after he got the official paper from the court stating that hearing will commence in February 08).

For thouse who want to know who developer is, I cant recall the name of the company but name of the director is Mr.Zervishsky. And the development in in Reduta district.

Hope you find this usefull, if any one wants all the detailed information I will provide later on.

 

[thelwell]

Hi Jain & Chris,
Thanks for your reply, we were not confident because the market in Bulgaria was not going as we hoped and the apartment was taking longer than anticipated also the developer had at first said there was a guaranteed rental and furniture pack but then said no more about it. We had paid about two thirds of the money and as per the original contract we could cancel and have our money refunded less the 10% of purchase price. We have a signed agreement from them stating this.
If we did sue them would we get all our costs back ?

Thanks for your help

Hi Thelwell

Sorry to hear of your troubles.

Just a couple of things - what went wrong to make you say you "were not confident"?

I think if you were the ones backing out of the contract, it is amazing you got anything in return and I am delighted to hear that the developer treated your backing out with such understanding. Indeed, I would not call them dodgy at all on this basis, as this kind of understanding is a rareity and should be encouraged. It seems to come down to the fact that they have not returned the money to you as yet?

I'm a bit confused as to how much you paid and how much you should get back. Just to clarify, are you saying that you paid them x amount and you should be returned x less 10% deposit within 10 days of the agreement you signed with them?

Do you have copies of this agreement? If they agreed to return your monies as per your post within 10 days, then in Bulgarian terms they are only a little overdue, but I believe a lawyer could really help you get your monies back. Of course, any lawyer would need sight of this agreement to establish exactly and precisely the terms of it.

Let me know, and I'll see how I can help you.

All the best, Jain and Chris

 

[Jain and Chris]

Hi Thelwell

What they said and did not deliver is neither here nor there. Verbal promises are just that. You need to deal with them on what is written.

If you have a signed authenticated agreement with them, declaring that they will give you back all monies less the deposit, then you should be ok. I suggest you contact an independent lawyer immediately and ask them to issue a "notary invitation". Most often, that will do the trick. You MUST take independent legal advice in this matter and get the lawyer to check out what they really said in their agreement with you. Only from there can you be sure that you are on solid ground.

If you need more help, just ask.

Cheers

 

[newlanark99]

we've also had problems having bought at Sunset Resort and are now battling with them/Platinum Developments to get back the deposit money we paid after they changed the plans and the commercial unit we were going to buy was no longer going to be built.
We were given three options - transfer to an apartment, get a refund, take the issue up with the previous developers. We opted (along with others) for a refund - three years later we've still not been given the money back. We've heard lots of other complaints about Sunset Resort/Platinum Developments from people in the same situation.