Protection of the law
Home buyers are offered the legal and extrajudicial protection they may need in the event of any breaches of contract by the seller.
It may be that the professional or contractor fails to comply with the Law; however, the consumer need not panic, as he or she is provided with the necessary legal and extrajudicial protection to cover any difficulties.
The legal protection provided for home buyers offers the following benefits:
Class Actions
- Consumer or professional associations or consumer organisations, among others, can intervene in legal action to force the seller to remove the unfair term of contract (called an estoppel) or to refuse to recommend their inclusion in the contract (retraction).
- The home buyer will not be obliged to intervene in the process.
Court Rulings
Court rulings declaring the demand for class actions oblige the company or estate agent to remove the invalid clause from all contracts they have signed with the consumers and other companies.
Publication of rulings
- Don’t forget that the general contract conditions and rulings must be made public by entry into the Register. This communicates them to all citizens.
- These may be directly applied to other lawsuits regarding the same type of contract by judges who, once the ruling has been passed, will suspend the proceedings.
Administrative Penalty
Actions such as failing to remove unfair contract clauses, recommending the use thereof or not being registered when required, will impose an administrative fine upon companies worth double the value of each contract. This penalty will not affect any previous penalties from non-conformity with buyer protection standards.
More Help
The consumer - in this case the home buyer - is protected by specially qualified professionals who guarantee the fulfilment of the signed contract and prevent the inclusion of unfair terms or tricks.
Notaries - Before signing the contract, notaries will inform the buyer of a number of general terms which he or she must include, and of any rights and obligations imposed by Law.
- Their job is to make sure the contract is drawn up clearly, accurately and simply, to prevent the inclusion of any conditions which may be illegible, ambiguous or incomprehensible to the buyer. Furthermore, the notaries confirm that the general terms are included.
- They are in charge of refusing to authorise any deeds containing invalid or unfair clauses.
Registrars - Also work in favour of the buyer. In this case, they deal with registry publicity and give advice on the different application of the law. This publicity is based on informing the consumer of the rights and obligations set down by Law. In this sense, it is the registrars job to clearly and legibly draw up all registration notes, informative notes and certificates. Moreover, they will protect any personal data entered in the Registry.
- As well as providing information, registrars will offer protection by refusing any invalid and unfair clauses .
Brokers - Their function, with regard to consumer protection, is generally of an informative nature. Along with the notaries, it is the brokers’ job to inform the buyer of the general obligatory conditions and the application of the Law in the contract the buyer is about to sign.
- The future home owner will also receive essential advice in the event of contractual abuse, as brokers will help them to understand the content and application of the Spanish Law on Consumer and User Protection.