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Legalities of a VEFA deed of sale

Last activity 17 April 2024 by jan748

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info6760

Hi there, just wondering if anyone knows the consequences if a developer fails to meet their commitment to complete construction of a property by the promised date. Our deed of sale, signed in early 2023, clearly states that the developer commits to completion by mid-September at the latest. Out of the blue, they have now written to us saying it will be delayed, not by a few weeks but by FIVE MONTHS. What are our rights in this situation? Who can I turn to?

Alan9121

You might like to contact ***, a barrister at Dentons who practices in civil law and has real estate as one of his areas of expertise - ***. We have found him to be very helpful.

Moderated by Bhavna 8 months ago
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info6760

@Alan9121 - thank you so much!

HansExpat

Hi


The notary who did the title deed should be able to advise you.

If delay is caused by genuine things such as rain cyclone etc force majeur client can’t do anything

Notary of the project best person to advise.


Hans.

info6760

@HansExpat - thank you, very helpful.

jan748

@info6760 Hi, Before you spend a lot of money on a barrister or Lawyer, read your contract very carefully. I have been selling developments off plan for 30 plus years. Developers cover their basis extremely well when it comes to the completion date. The reason for this is that anything can happen to cause a delay. In Mauritius it can be Cyclones or a delay in products which are imported(Everything is imported in MU) Labour problems etc. Delays will be very hard to prove that you have suffered damages due to the negligence of the developer. I would rather have a meeting with the developer. Keep it civil. Enquire why there is a delay and then decide whether you have a case. Personally I would bet you have no case. Resign yourself to the fact that you will have to extend your lease and ad a few more months to the given completion date. There is a very well known developer in MU who is more than 2 years behind on completion and not one purchaser has been successful in proving damages! Their product is very high quality but unforseen delays are unforseen delays. Check your contract. If VEFA has to step in(ONLY IF DEVELOPER IS UNABLE TO COMPLETE THE DEVELOPMENT) it can take 6 years before the issue is resolved. My advice be patient. Enjoy the island and all it has to offer. Make some more Mauritian friends and enjoy the reason why you decided to invest here in the 1st place. Island life is slower, more relaxed and very good for your sole and health. This is certainly not the 1st development to be late on handover and it wont be the last.

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