Franco

I am aware of at least 3 developments where purchasers have been sued for damages over and above the loss of deposits. There are proceedings also being issued on a major development in Canary Wharf where the losses are enormous.

Once judgment has been obtained, the developer has several options for enforcement; A Charging Order on the family home, Attachment of Earnings or, if all else fails, a petition for bankruptcy.

Just because these are property transactions, the potential in bringing a breach of contract claim particularly when the market has fallen is the main method in the developer maintaining its position with its funders; they are not going to issue proceedings in a rising market as there is simply 'no loss".

Professionally, I am seeing a lot of damages claims and every purchaser who fails to complete must be wary of a very real threat and, that a developer can issue proceedings up to 6 years from the date of the Breach.

I don't wish to worry you all but you should be aware that such claims are realistic and are taking place.