Preliminary insolvency of the developer - What to do?

Hello,

our developer filed for preliminary insolvency two weeks ago because they initially did not pay health insurance contributions and in the end paid them too late. I cannot name names at the moment, but I will do so later, as it is not yet allowed by the insolvency administrator.

In our case, we have the building permit but no finished work plan yet. The developer has now found a construction company that would have built the house anyway and wants to take over our construction contract 1:1. We have already been in contact with this new company. After the insolvency is opened, we could then terminate the existing work contract and conclude a new one in parallel.

The new developer advises us to consult a lawyer, since we do not know whether we will receive all services for any deposits (currently 15% of the construction sum for all services up to the work contract) or if there might be difficulties with taking over the contract.

What is the best way here? From my gut feeling, and I have spoken with both parties at length, it will work "seamlessly" like this. But it all sounds a bit too easy.

Is it a developer or a general contractor? With the developer, it probably won't work smoothly, with the general contractor more likely.

The new developer advises us to consult a lawyer, since we do not know whether we will receive all services for any advance payments (currently 15% of the construction sum for all services up to the contract) or whether there may still be difficulties with the takeover of the contract.

In particular, you need legal advice for the proper enforcement of claims in insolvency proceedings. The insolvency administrator will not just transfer a single cent to you.

It can quite well happen that not only your down payment is lost, but also the service is no longer provided.

It is certainly advisable to also talk to your bank.

Yes, off to the lawyer

Hello,

one only pays according to progress and for the payments made so far we have received all services or currently work is still being done on two things. We have not started any construction yet.

This is not about what the insolvency administrator does, because it seems that there is no agreement and the new general contractor takes over the entire contract. Of course, all of this has only been promised verbally and practice may turn out differently later. The question is, for example, can or must I hire a lawyer even though I do not even officially know about the insolvency and what could happen to me besides delays if the new general contractor takes over the contract 1:1?

What now? Developer or general contractor/subcontractor? Who is currently listed in the land register? Besides that, I highly recommend consulting a specialist lawyer.