Start with the basis for the payment
A property deposit can become contentious when a proposed purchase does not proceed. The first questions are what the payment was for, who received it and which agreement justified keeping it. Describing money as a deposit or calling it non-refundable does not, by itself, resolve those questions. The transaction documents and the parties’ communications matter.
Repayment ordered in summary proceedings
Daniel Zahavi represented the purchaser-side parties in a Curaçao dispute over a payment retained by a real estate intermediary. The intermediary sought removal of conservatory attachments, while the purchaser-side parties sought repayment.
The court provisionally concluded that the contemplated purchase had been validly annulled because the applicable written-form requirement had not been satisfied. The payment document relied upon was insufficient to constitute the required purchase agreement. With the legal basis for the payment removed, the court ordered repayment, together with interest and certain costs.
The court also rejected the request to lift the attachments. It found no sufficient basis for treating the repayment claim as defective or the attachments as unnecessary or disproportionate. The intermediary’s assertion that the payment was non-refundable did not persuade the court on the evidence presented.
Protecting a purchaser’s position
Before paying a deposit, purchasers benefit from clarity about the parties, the purpose of the payment and the conditions governing its retention or return. A preliminary document should be checked against the requirements applicable to the transaction. If a dispute arises, preserving payment records and written communications helps establish the factual and contractual position.
This matter also illustrates how a repayment claim and protective measures may be considered together. Whether either is appropriate requires an assessment of the particular claim, available evidence and procedural requirements.
Review a deposit dispute
The decision records an enforceable summary repayment order and continued attachments, rather than confirmed collection or a final merits judgment. Contact ZL Attorneys to discuss a property deposit dispute and the options available in your circumstances.
Case summaries provide general information. Results depend on the facts, evidence and procedural position of each matter. Past outcomes do not guarantee results.
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