07/04/2026
๐ง๐ต๐ฒ ๐ฑ๐ฒ๐๐ฒ๐น๐ผ๐ฝ๐ฒ๐ฟ ๐ผ๐ณ ๐ฎ ๐ฐ๐ผ๐ป๐ฑ๐ผ๐บ๐ถ๐ป๐ถ๐๐บ ๐ผ๐ฟ ๐๐๐ฏ๐ฑ๐ถ๐๐ถ๐๐ถ๐ผ๐ป ๐ฝ๐ฟ๐ผ๐ท๐ฒ๐ฐ๐ ๐ณ๐ฎ๐ถ๐น๐ฒ๐ฑ ๐๐ผ ๐ฑ๐ฒ๐น๐ถ๐๐ฒ๐ฟ ๐๐ต๐ฒ ๐๐ป๐ถ๐ ๐ผ๐ป ๐๐ต๐ฒ ๐ฎ๐ด๐ฟ๐ฒ๐ฒ๐ฑ ๐ฐ๐ผ๐บ๐ฝ๐น๐ฒ๐๐ถ๐ผ๐ป ๐ฑ๐ฎ๐๐ฒ, ๐๐ผ ๐ ๐๐๐ผ๐ฝ๐ฝ๐ฒ๐ฑ ๐ฝ๐ฎ๐๐ถ๐ป๐ด ๐๐ต๐ฒ ๐บ๐ผ๐ป๐๐ต๐น๐ ๐ฎ๐บ๐ผ๐ฟ๐๐ถ๐๐ฎ๐๐ถ๐ผ๐ป๐. ๐๐ฎ๐ป ๐๐ต๐ฒ ๐ฑ๐ฒ๐๐ฒ๐น๐ผ๐ฝ๐ฒ๐ฟ ๐ณ๐ผ๐ฟ๐ณ๐ฒ๐ถ๐ ๐บ๐ ๐ฝ๐ฟ๐ฒ๐๐ถ๐ผ๐๐ ๐ฝ๐ฎ๐๐บ๐ฒ๐ป๐๐? ๐๐บ ๐ ๐ฒ๐ป๐๐ถ๐๐น๐ฒ๐ฑ ๐๐ผ ๐ฎ ๐ณ๐๐น๐น ๐ฟ๐ฒ๐ณ๐๐ป๐ฑ ๐ผ๐ณ ๐ฎ๐น๐น ๐ฝ๐ฎ๐๐บ๐ฒ๐ป๐๐ ๐บ๐ฎ๐ฑ๐ฒ?
The developer cannot forfeit your previous payments, and the buyer is entitled to a full refund of the payments made.
Sections 20 and 23 of Presidential Decree No. 957 (Subdivision and Condominium Buyersโ Protective Decree) provide that:
๐ฆ๐ฒ๐ฐ๐๐ถ๐ผ๐ป ๐ฎ๐ฌ. ๐ง๐ถ๐บ๐ฒ ๐ผ๐ณ ๐๐ผ๐บ๐ฝ๐น๐ฒ๐๐ถ๐ผ๐ป. Every owner or developer shall construct and provide the facilities, improvements, infrastructure, and other forms of development, including water supply and lighting facilities, which are offered and indicated in the approved subdivision or condominium plans, brochures, prospectus, printed materials, letters, or any form of advertisement, within one year from the date of issuance of the license for the subdivision or condominium project, or within such other period as may be fixed by the Authority.
๐ฆ๐ฒ๐ฐ๐๐ถ๐ผ๐ป ๐ฎ๐ฏ. ๐ก๐ผ๐ป-๐๐ผ๐ฟ๐ณ๐ฒ๐ถ๐๐๐ฟ๐ฒ ๐ผ๐ณ ๐ฃ๐ฎ๐๐บ๐ฒ๐ป๐๐. No installment payment made by a buyer in a subdivision or condominium project for the lot or unit he contracted to buy shall be forfeited in favor of the owner or developer when the buyer, after due notice to the owner or developer, stops payment due to the failure of the owner or developer to develop the subdivision or condominium project according to the approved plans and within the prescribed time. Such buyer may, at his option, be refunded the total amount paid, including amortization interest but excluding delinquency interest, with interest at the legal rate.
Based on these provisions, the developer must complete and deliver the unit within the agreed period stated in the purchase agreement or within the approved period by the Department of Human Settlements and Urban Development (DHSUD), as shown in the License to Sell. The law also provides that ๐๐ต๐ฒ ๐ฏ๐๐๐ฒ๐ฟ ๐บ๐ฎ๐ ๐๐๐ผ๐ฝ ๐ฝ๐ฎ๐๐บ๐ฒ๐ป๐ ๐ถ๐ณ ๐๐ต๐ฒ ๐ฑ๐ฒ๐๐ฒ๐น๐ผ๐ฝ๐ฒ๐ฟ ๐ณ๐ฎ๐ถ๐น๐ ๐๐ผ ๐ฑ๐ฒ๐๐ฒ๐น๐ผ๐ฝ ๐๐ต๐ฒ ๐ฝ๐ฟ๐ผ๐ท๐ฒ๐ฐ๐ ๐ฎ๐ฐ๐ฐ๐ผ๐ฟ๐ฑ๐ถ๐ป๐ด ๐๐ผ ๐๐ต๐ฒ ๐ฎ๐ฝ๐ฝ๐ฟ๐ผ๐๐ฒ๐ฑ ๐ฝ๐น๐ฎ๐ป๐ ๐ฎ๐ป๐ฑ ๐๐ถ๐๐ต๐ถ๐ป ๐๐ต๐ฒ ๐ฟ๐ฒ๐พ๐๐ถ๐ฟ๐ฒ๐ฑ ๐ฝ๐ฒ๐ฟ๐ถ๐ผ๐ฑ, ๐ฎ๐ป๐ฑ ๐๐ต๐ฒ ๐ฏ๐๐๐ฒ๐ฟ ๐บ๐ฎ๐ ๐ฟ๐ฒ๐ฐ๐ผ๐๐ฒ๐ฟ ๐๐ต๐ฒ ๐๐ผ๐๐ฎ๐น ๐ฎ๐บ๐ผ๐๐ป๐ ๐ฝ๐ฎ๐ถ๐ฑ, ๐ถ๐ป๐ฐ๐น๐๐ฑ๐ถ๐ป๐ด ๐ฎ๐บ๐ผ๐ฟ๐๐ถ๐๐ฎ๐๐ถ๐ผ๐ป.
However, before stopping payment, ๐๐ต๐ฒ ๐ฏ๐๐๐ฒ๐ฟ ๐บ๐๐๐ ๐ณ๐ถ๐ฟ๐๐ ๐ด๐ถ๐๐ฒ ๐ป๐ผ๐๐ถ๐ฐ๐ฒ ๐๐ผ ๐๐ต๐ฒ ๐ฑ๐ฒ๐๐ฒ๐น๐ผ๐ฝ๐ฒ๐ฟ. This is usually done through a demand letter informing the developer that the buyer will stop payment and demanding a refund of all payments made for the unit. In this way, the developer cannot legally forfeit your previous payments.
Here is a summary guide on what the buyer should do to obtain a full refund of the payments made:
1. ๐ฆ๐ฒ๐ป๐ฑ ๐ฎ ๐๐ฟ๐ถ๐๐๐ฒ๐ป ๐ฑ๐ฒ๐บ๐ฎ๐ป๐ฑ ๐น๐ฒ๐๐๐ฒ๐ฟ to the developer stating that you will stop paying the monthly amortizations, explaining your reason (failure to deliver the unit within the agreed period or according to the approved plans), and clearly demanding a full refund of all payments made, including the total amount.
2. If the developer does not comply, ๐๐ฒ๐ฒ๐ธ ๐ฎ๐๐๐ถ๐๐๐ฎ๐ป๐ฐ๐ฒ ๐ณ๐ฟ๐ผ๐บ ๐๐ต๐ฒ ๐๐๐ฆ๐จ๐ ๐ฅ๐ฒ๐ด๐ถ๐ผ๐ป๐ฎ๐น ๐ข๐ณ๐ณ๐ถ๐ฐ๐ฒ where the project is registered and licensed.
3. If no settlement is reached, you may ๐ณ๐ถ๐น๐ฒ ๐ฎ ๐ณ๐ผ๐ฟ๐บ๐ฎ๐น ๐ฐ๐ผ๐บ๐ฝ๐น๐ฎ๐ถ๐ป๐ before the Regional Adjudication Branch (RAB) of the Human Settlements Adjudication Commission (HSAC), the agency authorized to resolve such cases.
๐๐ผ๐ฟ ๐๐ผ๐๐ฟ ๐น๐ฒ๐ด๐ฎ๐น ๐พ๐๐ฒ๐ฟ๐ถ๐ฒ๐, ๐ธ๐ถ๐ป๐ฑ๐น๐ ๐๐ฒ๐ป๐ฑ ๐ฎ๐ป ๐ฒ๐บ๐ฎ๐ถ๐น ๐๐ผ: [email protected]
