Apartment Purchase Contract: How to Identify Unfair Delivery Clauses

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Apartment Purchase Contract: How to Identify Unfair Delivery Clauses

Before signing an apartment purchase contract, it is important to examine the clauses relating to delivery. Contractors tend to include clauses designed to protect themselves at the buyer’s expense. Here is what to look for.

Vague Delivery Date Clauses

Problematic clause: “The apartment will be delivered at the end of the third quarter of 2025, subject to circumstances.”

Why it is problematic: “End of the quarter” means September 30. “Subject to circumstances” is vague and undefined. The Sale Law requires a precise delivery date.

What to require: an exact date in day/month/year format.

Broad Force Majeure Clauses

Problematic clause: “Any delay arising from circumstances beyond the contractor’s control, including market difficulties, labour shortages, regulatory changes, shall be considered force majeure.”

Why it is problematic: excessively broad, beyond the definition in the Sale Law. “Market difficulties” and “labour shortages” are not legally recognised force majeure.

Legal position: clauses of this kind that impair the statutory compensation right are deemed unfair and unenforceable.

What to require: force majeure agreed by both parties, or appointment by the Bar Association.

Compensation Cap Clauses

Problematic clause: “Compensation for delivery delay shall be capped at 100% of the reasonable monthly rent.”

Why it is problematic: the Sale Law sets 150% for the first 8 months. Capping it at 100% harms the buyer.

Legal position: it is not possible to contract out of the Sale Law to the buyer’s detriment.

“Conditional Delivery” Clauses

Problematic clause: “Delivery is conditional on completion of construction, utility connections, and municipal approvals.”

Why it is problematic: the contractor takes on the obligation to deliver a completed apartment. Obtaining approvals is the contractor’s responsibility, not a condition that extends the delivery date.

What to Do Before Signing?

  1. Have a lawyer review the contract before signing
  2. Require an exact delivery date
  3. Request removal or restriction of broad force majeure clauses
  4. Check the arbitration clauses
  5. Make sure there are no clauses that cap compensation below the statutory level

The Lev-Taieb firm reviews apartment purchase contracts and represents buyers at every stage. For a free initial consultation, call 072-2428822 or visit the apartment delivery delay attorney page.

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