What to Do If You Invest in a Condominium in Tulum That Was Not Delivered?

I understand your frustration with this situation. Not receiving the property on time is a serious problem. Here are the steps generally followed in Mexico to try to force a developer to return the money invested, although I warn you that it can be a complex process and that it is best to seek specialized legal advice as soon as possible.

What to do if you invest in a condominium in Tulum that was not delivered?

Steps to follow:

-Thorough review of the purchase agreement: This is the most fundamental document. Analyze in detail the clauses related to delivery times, penalties for non-compliance, grounds for termination, and conditions for refund. Identify whether the developer has breached the terms of the contract.

-Formal communication with the developer: Send a formal letter (preferably by certified mail with return receipt requested) to the developer, clearly outlining the breach of contract (late delivery), your demand for the return of the money invested (including any interest or penalties stipulated in the contract), and a reasonable timeframe for receiving a response and the refund. Keep a copy of this letter and the return receipt.

-Attempt at conciliation or mediation: If formal communication fails, consider seeking alternative dispute resolution mechanisms such as conciliation or mediation. You can contact the Federal Consumer Protection Agency (PROFECO) in Mexico, which offers conciliation services between consumers and suppliers. PROFECO may summon the developer to seek an agreement.

-Filing a complaint with PROFECO: If conciliation is unsuccessful, you can file a formal complaint with PROFECO. PROFECO will investigate the case and, if it determines that the developer has breached its obligations, it may issue an administrative resolution requiring the developer to comply with its obligations, including reimbursement. However, PROFECO resolutions are not enforceable, meaning that if the developer voluntarily fails to comply, you will have to resort to judicial action.

-Initiating legal action (judicial action): If administrative action fails to resolve the issue, the next step is to file a lawsuit before the competent courts in Mexico. This generally involves hiring an attorney specializing in real estate or commercial law. The lawsuit may seek termination of the contract for breach by the developer and restitution of the amounts paid, in addition to possible damages.

-Jurisdiction: The jurisdiction will depend on the terms of the contract or, failing that, the location of the property or where the contract was entered into.

Evidence: It is essential to have all the documentation to support your claim, including the purchase agreement, proof of payment, communications with the developer, photographs or videos of the construction status (if applicable), and any other relevant evidence.

Enforcement of the judgment (if favorable): If you obtain a favorable judgment in court and the developer still refuses to return the money, it will be necessary to initiate a judgment enforcement proceeding to legally compel them to comply with the judge's order, which could involve the seizure of the developer's assets.

Important considerations:

Legal deadlines: In Mexico, there are statutes of limitations for pursuing certain legal actions. It is crucial to act within these deadlines to avoid losing your rights.

Costs and Time: Legal proceedings can be costly and time-consuming. You must be prepared to invest financial resources and patience.

Legal Advice: Given the complexity of these cases, it is highly recommended to seek specialized legal advice from the outset. An attorney with experience in real estate law in Mexico will be able to assess your specific situation, advise you on the best legal strategy to pursue, and represent you in the proceedings and at trial, if necessary.

Contractual Clauses: Pay special attention to any dispute resolution clauses that may be included in the contract, such as submission to arbitration, as this could alter the process.

I hope this information is useful. Remember that each case is unique, and personalized legal advice is essential to protecting your rights.

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