QUESTION: Sir John, I am an OCW/OFW who bought a Subdivision Lot on installment basis but I lost enthusiasm to pay it iny longer because I was misinformed by the agent who sold it to me. The Agent is not a licensed real estate professional. Is there a way to cancel the Contract to Sell? ANSWER: YES, on the mere ground that the agent is unlicensed.
ANSWER: YES, you can file for cancellation of contract and request for a remedy of full refund on mere grounds that the agent is unlicensed. In Section 32 of the IRR of PD 957, it states that "The broker or salesman who negotiated the sale of a subdivision lot or condominium unit shall act as one of the witnesses to the sales document with an indication of his Certificate of Registration number and renewal date. If the sale was directly made by the owner or dealer, the fact must be so stated in the sales document". The IRR of PD 957 in being implemented by HLURB since 2001.
You will be of big help to the Philippine real estate industry if you will not forget to file charges against the unlicensed agent. If the developer wants to settle in exchange of you not filing charges, you can make money out of it in not less than P200,000.
The penalties in unlicensed real estate agent operation, according to the IRR of RA 9646, says:
SEC. 39. Penal Provisions
Any violation of the R.A. No 9646, including violations of this IRR, shall be meted the penalty of a fine of not less than one hundred thousand pesos (P100,000.00) or imprisonment of not less than two (2) years, or both such fine and imprisonment upon the discretion of the court. In case the violation is committed by an unlicensed real estate service practitioner, the penalty shall be DOUBLE the aforesaid fine AND imprisonment.
In case the violation is committed, by a partnership, corporation, association or any other juridical person, the partner, president, director or manager who has committed or consented to or knowingly tolerated such violation shall be held directly liable and responsible for the acts as principal or as a co-principal with the other participants, if any.
If there is anything else important that I forgot to include in this article, or if you experienced a real estate transaction that is anomalous, scam, fraudulent scheme that you want me to document and expose for others to be warned, or if you want to donate to the war chest of real estate consumer rights advocacy, please feel free to email me at JohnPetalcorin@Gmail.Com. If you want to comment about this article, there is a provision for this purpose that you can find below.
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