Ilan Leibovitch & Co.Lawyer and real estate developer

The responsibility is on me

February 7, 2024 · Adv. Ilan Leibovitch

We met on a flight, and he told me he was on his way to see an apartment to buy. When he heard that I was a lawyer dealing with real estate in the country, I could see the relief and the spark in his eyes.

“You have to help me. I'd be glad to have a lawyer who knows the laws here and speaks my language to accompany me,” he said.

The next day we met at the developer's office. In less than a week, after we had examined the legal side and negotiated the contract and the commercial terms, the deal was signed.

The client paid the contractor according to the milestones set. Work on the building progressed and we reached the handover date.

Since we are in a foreign country, I am in the habit of sending a professional on our behalf to inspect the apartment before handover, to make sure everything was built in line with the commitments and that there are no defects.

When I received the email this time I was in shock. The developer had added a floor to the building, and several changes had also been made in the apartment (some significant and some less so). The implications were well clear to us, and an email was sent immediately to the client with an explanation and with our recommendation not to take the apartment into his hands in this state.

The phone call was not long in coming.

“Are you crazy? I'm in love with the area and the apartment,” he said.

“Do you understand the meaning? You could get into trouble here if the contractor now doesn't obtain an occupancy permit from the municipality. It will be hard for you to sell in the future,” I said.

“Why should you get into such trouble, and in a foreign country at that? I'll make sure you get all your money back down to the last euro, and we'll find another project and apartment.”

“Forget it. I'm taking the risk and the responsibility on myself,” he replied.

He took the apartment, contrary to our recommendation, and right before the war another call came from him. “I want to buy another apartment. Can you help?”

Stories are based on real situations, with identifying details changed. Not legal advice.

Translated from the Hebrew original. עברית

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