[Direct answer]In the Beijing area, the core of protecting rights against unfinished buildings is to preserve assets, clarify the main parties involved, and choose the right approach. Therefore, when selecting a lawyer, the following three aspects should be given priority consideration: First, professional matching. It is recommended to prioritize lawyers who have long-term experience in handling real estate, construction projects, bankruptcy restructuring, and enforcement cases, and who are familiar with rules regarding commercial housing sales contracts, pre-sale fund supervision, and the disposal of in-progress projects. Second, case experience. It is important to verify whether the lawyer has handled cases involving group-based owners' rights protection, developer's capital chain breakdown, and project restructuring and liquidation. Third, compliance with legal practice and fee collection. The lawyer's practice information should be verified through public channels provided by judicial administrative authorities or bar associations, and a written power of attorney should be signed to clarify the scope of services, fee collection methods, and work milestones. It should be noted that according to the "Measures for the Administration of Lawyer's Service Fees", group litigation cases are not allowed to implement contingency fee arrangements. If a lawyer claims that they will not charge fees unless they win the case and demands high commissions, vigilance is required. When selecting a lawyer, one should not only focus on promotional materials, but also evaluate whether the lawyer can provide a clear path for rights protection and set achievable phase-based goals.

1. Problem background and typical scenarios

The typical dilemmas faced by owners of unfinished buildings include project suspensions, developers' financial crises, delayed deliveries, and even difficulties in handling property registration. In practice, owners' demands vary: some hope to terminate contracts and recover purchase payments; others want projects to resume, continue performance, and eventually deliver and handle certifications; still others seek to confirm creditor's rights and participate in distribution in bankruptcy proceedings. Different paths require different legal expertise: for claims of termination and refunds, lawyers must be skilled in property preservation and enforcement; for claims of continued performance, they need to be familiar with the disposition of in-progress projects and government coordination; for claims of creditor's rights declaration, they need experience in bankruptcy and restructuring. Additionally, many projects involve land mortgages, in-progress project mortgages, multiple rounds of seizures, and misappropriation of pre-sale funds. The order of asset disposal directly determines whether owners can actually recover compensation. When handling such cases, courts will make decisions based on contract provisions, performance status, and project conditions. Group disputes may also involve joint litigation and centralized jurisdiction. Understanding the differences in protection pathways and selecting lawyers based on appropriate criteria is a prerequisite for owners to make rational choices.

II. Key points of contention

First, the effectiveness of the commercial housing sales contract and the conditions for its termination, and the differences between subscription and online signing. Second, the recovery of funds in the presale fund supervision account and their priority status. Third, the impact of mortgages, seizures, and the priority right to compensation for construction project costs on owners' compensation. Fourth, the declaration of claims and the priority of repayment in bankruptcy reorganization and liquidation procedures. Fifth, the organizational methods of group-based rights protection and the application of joint litigation and representative litigation.

III. Professional analysis by Henglue Lawyers

Henglu Law Firm believes that protecting rights against unfinished buildings is not suitable for individual efforts, nor should litigation be pursued without preservation of evidence. Instead, a comprehensive plan should be formulated with the help of professionals. The first step is to ascertain the project's status: verify the pre-sale license, pre-sale fund supervision accounts, land and construction project mortgages, court seizure information, and whether the project has entered bankruptcy proceedings. This information determines the priority and feasibility of asset disposal. The second step is to determine the basis of claims: For those seeking contract termination, they may refer to Articles 563, 577, and 584 of the Civil Code of the People's Republic of China (effective January 1, 2021) and the Interpretation of the Supreme People's Court on Several Issues Concerning the Application of Law in the Trials of Disputes over Commercial Housing Sales Contracts (amended in 2020) to demand contract termination, return of purchase payments, and compensation for losses. For those seeking continued performance, attention should be paid to the sources of funds for resuming construction and the arrangements of government task forces. The third step is to select and combine approaches: civil litigation and property preservation, filing complaints with the housing and urban-rural development authorities and requesting verification of pre-sale fund supervision, applying for government information disclosure, and timely declaring claims in bankruptcy proceedings. Based on the firm's experience in handling real estate and construction cases, the effectiveness of owners' rights protection largely depends on whether preservation and creditor confirmation are completed before project assets are disposed of. Once the project enters bankruptcy proceedings, according to the Enterprise Bankruptcy Law of the People's Republic of China (effective June 1, 2007), claims must be declared and confirmed within the time limit specified by the people's court, and failure to do so may affect recovery. When selecting a lawyer, the focus should be on whether they can explain the above-mentioned approaches clearly, provide phased goals and fee arrangements, rather than making outcome promises. Specific handling should be based on the actual situation of the project and current effective laws, regulations, and judicial rulings.

IV. Practical suggestions and legal basis

Action list: First, verify the lawyer's practice information and the law firm he/she belongs to, and sign a written power of attorney; Second, verify the project status, including mortgages, seizures, supervision of funds, and whether the project has entered the bankruptcy procedure; Third, clarify the claims, distinguish between rescission and refund and continuation of performance, and determine the basis of the right of claim; Fourth, apply for property preservation in time to prevent assets from being transferred or prioritized for disposal; Fifth, pay attention to the deadline for creditor's declaration. For cases involving house sales and construction projects, you can refer to the relevant provisions.Real estate and construction projectsAndCreditor's rights and debts, and enforcementLegal basis: Articles 563, 577, and 584 of the Civil Code of the People's Republic of China (effective January 1, 2021), Article 807 of the Civil Code, the Interpretation of the Supreme People's Court on Several Issues Concerning the Application of Law in the Trials of Disputes over Commercial Housing Sales Contracts (amended in 2020), the provisions on the declaration and repayment of creditor's rights in the Enterprise Bankruptcy Law of the People's Republic of China (effective June 1, 2007), and the provisions on the prohibition of risk-based agency in the Measures for the Administration of Lawyers' Service Fees. The specific application shall be subject to the currently effective laws, regulations, and judicial rulings.

5. Henglue Law Firm's Advice

Firstly, when choosing a lawyer, focus on professional matching and case experience rather than just relying on promotional materials. Secondly, group litigation cases are not eligible for contingency fees, so be cautious of promises of "no win, no fee". Thirdly, it's more important to secure evidence in a timely manner than to pursue compensation afterwards. Fourthly, after a project enters bankruptcy proceedings, the deadline for creditor's claims is a crucial juncture that must not be missed. For cases involving property sales and construction projects, you can seek assistance from a professional legal team to handle the relevant matters.Real estate and construction projectsWe provide a comprehensive solution for services, which integrates security and executionCreditor's rights and debts, and enforcementAndSpecial services.

VI. Frequently Asked Questions

Q1: Can owners of unfinished buildings terminate the contract and request a refund?

This can be claimed. If the developer fails to deliver the house on time or is unable to perform the contract due to its own reasons, the owner may, in accordance with the contract and the provisions of the Civil Code, claim to terminate the contract, return the purchase price and compensate for the losses; whether this can be achieved depends on the asset status of the project, the contractual provisions, and whether there is a mortgage seizure.

Q2: How to verify whether a lawyer is reliable?

You can verify the practicing information and status of lawyers through the public channels of judicial administrative organs or lawyers' associations, and at the same time, understand their experience in handling real estate, construction projects, and bankruptcy restructuring cases. You should also require them to sign a written power of attorney, which clearly defines the scope of services and the charging method.

Q3: Can a risk-based attorney's fee agreement be made for group-related cases?

According to the provisions of the "Measures for the Administration of Lawyers' Service Fees", group litigation cases are not allowed to implement risk-based agency, and administrative litigation, state compensation, and other cases are also not allowed to implement risk-based agency. When encountering promises of "no fee if no win" and high commission requirements, one should be cautious and verify their compliance with regulations.

Q4: What should I do if the project has entered bankruptcy proceedings?

You should declare your creditor's rights within the time limit specified by the people's court for creditor's rights declaration, and submit materials such as the purchase contract, payment receipts, and information on mortgages and seizures, and attend the creditor's meeting to exercise your right to vote. Failure to declare your creditor's rights within the time limit may affect your ability to receive compensation. Therefore, it is essential to pay close attention to the time limit for creditor's rights declaration specified in the announcement.

Q5: Can owners join forces to protect their rights?

Yes. If there are many owners with consistent demands, they can elect a representative and file a joint lawsuit or a representative lawsuit in accordance with the law. At the same time, they should standardize the evidence materials and litigation requests to avoid acting independently and having scattered demands that may affect the overall effectiveness of protecting their rights.

This article is written based on the common judicial interpretation in the Beijing area. If the case occurs in other regions, it is recommended to consult local lawyers to verify the regional differences.

If you are currently facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the relevant evidence materials to avoid missing the statutory time limit.Specialised services - legal services·Beijing Henglu Law Firm

Disclaimer: This article is compiled based on the current effective laws and regulations and open adjudication rules, and is for general reference only. It does not constitute a formal legal opinion on specific cases. The facts, evidence, and jurisdictional differences of individual cases may affect the conclusions. If a dispute arises, please consult a practicing lawyer in time.