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Landmark ruling in Spanish property scandal

spanishhouseA Spanish court has handed down a landmark decision by awarding compensation to four British families who were caught up in the illegal property sales scandal in Andalusia.

Thousands of British people bought properties in Spain in the late 1990s and early 2000s. Many of them found out only too late that their homes would never be legal.

A court in Almeria ruled that the four families in question had purchased the properties in good faith.

It ordered the developers to pay "moral damages" of between €40,000 and €50,000 to three families for the suffering and anxiety they have faced over the last 10 years. They must also pay a fourth British family, whose property was never completed, €7,800 in damages to cover their rental costs.

Two developers received one-year prison sentences for planning offences.

The court also ruled that if the developers do not pay then the local council must. The judge decided that the council’s poor controls and performance made it seem that the properties were legal, despite knowing the land could not be built on.

The judge further rules that no demolition could be carried out on these properties, believing that there is a chance they may yet be legalised.

It took a decade for this case to be heard and it may be the first time a court has awarded moral damages to owners of illegally-built properties.

The regional government in Andalusia last month indicated laws could be changed to recognise the properties built on non-urban land.

Some 300,000 illegal homes are in Andalusia.

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Comments  

+1 #3 Desmond Douglas 2014-10-04 20:52
Reading these comments so often shows a sadly naive understanding of the Iberian psyche.

Firstly - be aware that all the 10 years of time wasting was entirely avoidable. The aim was to drive the British off.

Then consider this more likely scenario. The judge insists all the lawyers are paid for their 10 years work - say 50,000 euros - before hearing the case.

The judge is well aware that the builder and municipal will happily squabble for the next 10 years until the case is out of time. So another 50,000 euros is wasted on Spanish lawyers.

Finally the British do get the message and .... GO !

Too often us British think 'EQUIVALENCE' - that a judge or lawyer is interpreting their countries law fairly. And is controlled by their professional ethics and culture. As in the UK.

WRONG. Always think of the most low and shabby behaviour - then be 'gob smacked' that the Iberian always intended something far worse.
+1 #2 Mike Thomas 2014-10-04 17:30
As the previous poster said - It is unclear whether the house buyer gets all the costs of their purchase back and that this extra amount is for the awesome stress of working within a legal system that is skewed against the British due to the Spanish teaching about Gibraltar.

Quite obviously no one enters a less developed EU country intending to lose their 'life savings' or 'retirement'. Entirely unaware that that country actually teaches 'hostility' to the British.

As so many of us British have, in our ignorance, done.

Also there is also that 'cronyism' that these Iberian compadres have - that we can never appreciate. With no sense of 'doing wrong'.

So, having hung out together as kids - a local municipal tecnico can do dodgy work with a local lawyer, local bank worker, local estate agent, local tax officer, local accountant, local police and all, to screw up - as a team - the Brits life out here.
0 #1 Peter Booker 2014-10-04 13:41
I suppose that this decision is a step in the right direction. I note that the developers are fined and imprisoned, but that council employees who must have known of the illegalities escape unscathed. In terms of the costs involved for these purchasers, I suspect that the damages awarded will go only a short way towards covering costs or assuaging feelings.

There is a gulf between the four cases considered and the 299,996 further cases waiting in the wings.

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