Legal support in property-related disputes and litigation
Property-related matters can lead to many different types of disputes. These may range from breaches of contract and tenancy issues to disagreements over ownership, condominiums or construction works.
As a real estate law firm in Portugal, First Legal assists individuals and businesses involved in property-related disputes. Legal support may begin with an assessment of the situation and efforts to find an out-of-court solution. If necessary, it can continue with representation before the Portuguese courts.
A Real Estate lawyer can be particularly important where there has been a breach of contract, a dispute between a landlord and tenant, an issue concerning a promissory purchase and sale agreement, a disagreement between condominium owners, or a question involving the ownership or possession of a property.
Before bringing a case to court, or preparing a defence in proceedings that have already been started, the facts and available documentation should be carefully considered. The same applies to the available evidence, relevant deadlines and the remedies provided by law.
Fees and timeframes
Real Estate Litigation: What Situations Does It Cover?
Real estate litigation covers disputes involving property which may call for negotiation between the parties or the use of appropriate judicial remedies.
Such disputes can arise from contractual relationships, tenancy matters, condominium ownership, rights over property, construction works or other situations governed by Portuguese law.
Assistance from a real estate litigation lawyer may cover, in particular:
- tenancy matters and eviction proceedings;
- breaches of promissory purchase and sale agreements;
- disputes concerning deposits and contractual performance;
- condominium disputes;
- property ownership, co-ownership and possession;
- adverse possession (usucapião);
- construction defects and disputes arising from construction contracts;
- liability for property-related damage;
- negotiation and out-of-court dispute resolution;
- representation in property-related court proceedings.
Which solution is appropriate will depend on the particular circumstances of the dispute, the rights involved and the evidence available.
Tenancy and Eviction
Disagreements between landlords and tenants may concern the payment of rent, compliance with contractual obligations, termination of the tenancy agreement or surrender of the property.
Legal assistance may involve reviewing the tenancy agreement, dealing with a breach, negotiating between the parties and, where required, using the procedures available under the law to obtain possession of the property or protect the tenant’s rights.
The agreement itself, the events that have taken place and the applicable legal framework all need to be considered when assessing the situation.
Breach of a Promissory Purchase and Sale Agreement
The promissory purchase and sale agreement (CPCV) plays an important role in property transactions in Portugal. Failure to comply with it can have significant legal consequences, particularly if a deposit has been paid.
The circumstances and the terms agreed between the parties will determine whether it is necessary to consider termination of the agreement, the consequences for the deposit, a possible claim for compensation or, if the legal requirements are satisfied, specific performance.
A review of the CPCV together with the other documents relating to the transaction helps establish the rights of each party and the legal remedies available to them.
Condominium Disputes
Condominium ownership combines individual rights over each unit with rights and obligations concerning the common parts of the building.
Disagreements can arise over condominium expenses, construction or maintenance works, the use of common areas, resolutions passed by the condominium owners’ assembly or an owner’s failure to comply with their obligations.
According to the circumstances, the matter may be capable of being resolved by agreement. Alternatively, the mechanisms available under the condominium ownership regime may be used to protect the rights of an individual condominium owner or of the condominium itself.
Ownership, Co-ownership and Possession
Property disputes may also concern who owns, uses or possesses a property.
They can involve disagreements between owners or co-owners, the occupation of property, the exercise of property rights or the need to rely on legal mechanisms designed to protect ownership and possession.
Assessing such a dispute may require a review of the land registry, existing title documents and records concerning the origin and exercise of the rights in question.
Adverse Possession (Usucapião)
Usucapião is a means by which certain rights may be acquired when the requirements laid down by Portuguese law have been met.
Whether it can be recognised depends, among other things, on the nature of the possession, how that possession has been exercised and the period of time that is legally relevant.
Simply using or occupying a property for a certain length of time does not, by itself, result in the acquisition of the relevant right. Each situation therefore needs to be considered individually, together with the documents and evidence available.
Construction Defects and Construction Contract Disputes
Disputes over construction defects and the performance of construction works may involve owners, contractors, property developers and other parties.
Issues may arise from work that has not been carried out properly, defects discovered after completion, delays, disagreements over whether the agreed conditions have been met, or payment.
The particular circumstances will determine whether the parties’ respective responsibilities need to be assessed and which mechanisms are available to require performance of the obligations, rectification of defects or compensation for losses suffered.
Out-of-Court Resolution of Real Estate Disputes
A property dispute does not always need to end up in court.
If the circumstances and the parties’ positions allow it, the matter may instead be addressed through negotiation and a settlement agreement.
An out-of-court solution can be particularly useful where the dispute can be resolved with legal certainty without unnecessarily prolonging the conflict. Whether an agreement is possible, and on what terms, will nevertheless depend on the circumstances of the individual case.
If no consensual solution can be found, the appropriate judicial remedies may be used to protect the client’s rights and interests.
Court Representation in Real Estate Disputes
If the parties are unable to resolve the dispute by agreement, proceedings before the Portuguese courts may become necessary.
Court representation may be required by a person seeking to exercise a right, as well as by someone who needs to defend proceedings brought against them by another party.
The work involved will vary according to the nature and stage of the proceedings. It may include preparing procedural documents, organising and presenting evidence, responding to applications and court notices, attending hearings and handling the case through to a decision.
Anyone who has received a court summons or judicial notice should pay particular attention to the applicable deadlines. Failing to respond within the period prescribed by law may have procedural consequences.
How Does the Legal Assistance Process Work?
The first step is to review the facts and the relevant documents so that the origin of the dispute and each party’s legal position can be understood.
Any deadlines already running are also considered at this stage, together with the available evidence and the different legal options.
An appropriate strategy can then be defined on the basis of that assessment. Depending on the case, this may involve negotiating with the other party, formalising a settlement, bringing court proceedings or preparing a defence in proceedings that are already under way.
If the matter proceeds through the courts, legal assistance continues through the procedural stages required to protect the client’s rights and interests.
Documents Commonly Required
The documents needed will depend on the nature of the dispute. Relevant documents may include:
- tenancy agreement;
- promissory purchase and sale agreement;
- public deed or authenticated private document;
- land registry certificate;
- property tax record;
- condominium regulations and minutes;
- construction contracts, proposals and quotations;
- invoices and proof of payment;
- communications exchanged between the parties;
- photographs, technical reports or expert reports;
- court notices and summonses.
Other documents needed to assess the case may be requested after the initial review.
Frequently Asked Questions
When should I consult a Real Estate lawyer?
Legal advice should be considered when a property-related dispute arises, when there is significant uncertainty about the parties’ rights or obligations, or where there is a risk of breach of contract.
Seeking advice at an early stage is particularly important if a deadline is already running, a court notice or summons has been received, or the dispute may develop into court proceedings.
Does a real estate dispute always have to be resolved in court?
No. The nature of the dispute and the parties’ respective positions may make it possible to resolve the matter through negotiation or an out-of-court settlement.
If a consensual solution cannot be reached, the judicial remedies appropriate to the situation may be used.
What can I do if the other party breaches a CPCV?
The consequences of a breach of a promissory purchase and sale agreement will depend on the terms agreed between the parties, the circumstances of the breach and the position of each party.
The issues to consider may include termination of the agreement, the consequences for the deposit, a claim for compensation or, if the legal requirements are met, specific performance.
Can a landlord seek eviction for non-payment of rent?
If the requirements established by law are met, non-payment of rent may allow a landlord to use the applicable legal mechanisms to terminate the tenancy agreement and obtain possession of the property.
Which procedure is appropriate will depend on the particular circumstances and the applicable legal framework.
Is it possible to challenge a condominium resolution?
Certain resolutions passed by the condominium owners’ assembly may be challenged if the grounds provided by law are present.
Whether a resolution can be challenged, and the deadlines for doing so, will depend on its content, the way in which it was adopted and the individual condominium owner’s circumstances.
Is it possible to acquire property through adverse possession?
Yes, provided the requirements established by law are met.
Whether property can be acquired through usucapião depends on the nature and duration of the possession, together with other relevant circumstances. Simply using a property for a certain period is not, by itself, enough to establish the existence of such a right.
Do You Need Assistance with Real Estate Law?
If you are involved in a property-related dispute, have received a court summons or need clarification about your rights, the First Legal team is available to assess your situation.
Our Real Estate lawyers assist individuals and businesses in Portugal, from the initial assessment and efforts to resolve the dispute through to representation before the courts, where required.
Every case is considered in light of its particular circumstances, the documents available and the applicable legal framework.
Contact us to arrange a consultation and obtain legal advice suited to your case.