How to collect the property fee for deferred repossession?

Usually, the property fee for deferred repossession is determined according to the previous property service agreement between the two parties, and the regulations in different regions and buildings are different. For example, Wuhan stipulates that if the developer fails to move in, the property fee will be charged at the rate of 70% in the first year and will be charged in full in the future; Chengdu stipulates that as long as the house is handed over, the owner must pay the property fee in full.

What responsibilities do developers need to bear for delaying delivery?

(a) the way to bear the liability for breach of contract

The Civil Code and other laws stipulate that if one party breaches the contract, the other party may request the breaching party to continue to perform, stop the breach of contract, compensate for losses, pay liquidated damages, and enforce the penalty of deposit. Article 9 of the Model Text of Commercial Housing Sales Contract deals with the developer's liability for breach of contract for delayed delivery of the house in two situations according to the delay time:

1. If the period exceeds a reasonable period, the buyer has the right to choose to terminate the contract or continue to perform the contract, and may require the developer to pay liquidated damages. In practice, the buyer often asks the seller to continue to perform and pay liquidated damages for delay.

2. If the overdue period does not exceed a certain period (such as 60 days or 90 days), the developer shall pay the buyer a penalty of 0.0000 (generally agreed as 2/10000 or 3/10000) of the paid house price on a daily basis from the second day of the delivery period stipulated in this contract to the actual delivery date, and continue to perform the contract.

(2) Determination of overdue penalty.

The amount or calculation method of liquidated damages agreed in Article 9 of the model text of commercial housing sales contract shall be determined. If there is no agreement, the amount of liquidated damages or compensation for losses shall be determined according to the following standards, and shall be determined according to the rent standards of similar houses in the same lot published by the relevant competent authorities or evaluated by qualified real estate appraisal agencies.

(3) The developer argues that the liquidated damages are too high, and the law requesting reduction is applicable.

Developers often argue that the liquidated damages for overdue delivery are too high and demand reduction, because the Civil Code stipulates that if the parties demand reduction on the grounds that the agreed liquidated damages are too high, they should reduce them appropriately on the basis that the liquidated damages exceed 30% of the losses caused. However, according to the principle of autonomy of the will in the Civil Code, because the way to bear the liability for breach of contract is clearly stipulated, any party who breaches the contract can directly execute it according to the contract. If the amount of liquidated damages is reduced, the agreement between the two parties on liquidated damages will be meaningless.

In this regard, if the parties claim that the agreed liquidated damages are too high and request an appropriate reduction, the people's court shall, according to the actual losses, comprehensively consider the performance of the contract, the degree of fault of the parties, expected interests and other comprehensive factors, measure them according to the principles of fairness, honesty and credibility, and make a ruling. In addition, the legislative intention of the Civil Code is undoubtedly to encourage honesty and trustworthiness, and to punish breach of contract, and the responsibility for malicious breach of contract cannot be alleviated.