[Direct answer]It is possible if the conditions are met. If the real estate project is left unfinished or the developer delays delivery for a long time, owners can claim their rights according to the contract and the law. There are mainly two approaches: First, claim to terminate the contract and request a refund. According to Article 563 of the Civil Code of the People's Republic of China (effective January 1, 2021), if a party delays in performing the main obligation and fails to perform within a reasonable period after being reminded, or the delay in performance makes it impossible to achieve the purpose of the contract, the other party may terminate the contract. If the developer suspends construction for a long time and fails to deliver the house as agreed, it usually constitutes a fundamental breach of contract. After being reminded, owners can claim to terminate the purchase and sale contract of the commercial housing, request the return of the paid purchase price and interest, and compensation for losses; if a mortgage loan is involved, they can also claim to terminate the loan contract simultaneously. Second, claim to continue performance and seek compensation. If there is a possibility of resuming construction of the project, owners can request to continue performing the contract and claim the breach of contract penalty for delayed delivery. It should be noted that if the developer has entered bankruptcy proceedings, the purchase price will usually be declared as an ordinary creditor's claim after the contract is terminated, and the order of repayment may be affected. Therefore, whether to terminate the contract needs to be judged carefully based on the project's situation and repayment expectations. It is recommended to make a choice under the guidance of a professional lawyer.

I. Problem Background and Typical Scenarios

The unfinished real estate projects not only cause economic losses to owners, but also put them under long-term mental pressure. There are four typical scenarios: First, the project has been stalled for many years, and the developer's capital chain has broken down, making it uncertain when the handover will take place; Second, the developer has entered bankruptcy proceedings, and owners face the choice of withdrawing from the contract or waiting for the resumption of construction; Third, owners who have already obtained mortgage loans are torn between whether to terminate the loan contracts or not; Fourth, some owners want to withdraw from the contract, while others want to wait for the resumption of construction, making it difficult to unify their demands. With numerous real estate projects in and around Beijing, the handling of unfinished projects involves not only contract law, but also bankruptcy law and property rights protection. Owners should make rational assessments and take timely action to avoid missing the opportunity to assert their rights due to indecision.

II. Key points of contention

First, whether the long-term suspension of work constitutes a fundamental breach of contract and the conditions for termination. Second, the form of the reminder and the determination of a reasonable time limit. Third, the scope of the refund of the purchase price and the calculation of interest. Fourth, whether the mortgage loan contract can be terminated simultaneously, and who will repay the remaining loan. Fifth, the compensation status and priority protection of the purchasers when the developer goes bankrupt. Sixth, the pros and cons of continuing to perform the contract and terminating the contract.

III. Professional analysis by Henglue Lawyers

When handling disputes over unfinished buildings, Henglue Lawyers typically help owners choose between "refunding the deposit and leaving the project" and "waiting for the project to resume". Their judgment is based on three main aspects. Firstly, the likelihood and timing of the project resuming, including whether new funding sources have intervened, whether the government is promoting the continuation of construction, and whether the land and ongoing projects can be disposed of. If the prospects for resuming construction are promising, it may be more beneficial to continue performing the contract and claiming default penalties. Secondly, the developer's financial status and expectations of compensation. If the developer is already insolvent or has entered bankruptcy proceedings, the purchase money after terminating the contract will often only be treated as a creditor's claim, with a potentially low recovery rate. In this case, it is more important to assess whether there are guarantees, pre-registration, or other priority protection measures. Thirdly, the owners' own financial situation and housing needs. If they have been renting for a long time and are under financial pressure, it may be more practical to cut their losses in time. Additionally, the issue of terminating mortgage loans also requires attention. In practice, the loan contracts between owners and banks and the sales contracts belong to different legal relationships. Whether they can be terminated together and exempted from the remaining loan responsibilities needs to be addressed based on contract provisions, bank opinions, and judicial rulings. It should be noted that regardless of the path chosen, owners should fix the contract, payment, and communication evidence as soon as possible, unite with other owners to make joint claims, and promptly report the situation to the competent authorities to form multi-party pressure and strive for more favorable outcomes.

IV. Practical suggestions and legal basis

Action suggestions: First, organize and preserve the commercial housing sales contracts, supplementary agreements, payment receipts, and loan contracts; Second, send a written reminder requiring the delivery of the goods within a specified period and retain the delivery receipt; Third, investigate the project's resumption prospects, the developer's assets, and litigation-related matters; Fourth, evaluate the pros and cons of terminating the contract and continuing to perform it, with particular attention to the expected compensation in the event of bankruptcy; Fifth, unite with other owners to assert their rights and, if necessary, jointly hire a lawyer; Sixth, file complaints and reports with departments such as the housing and urban-rural development authority to promote the project's disposal and supervision. For disputes involving real estate transactions and construction projects, the following reference materials may be consulted:Property Sales and Purchases | Construction ProjectsFor services involving contract termination and breach of contract liability, you can refer to the following for reference.Business and Commerce | Contract DisputesFor plates involving creditor's rights declaration and enforcement, you can refer to the following materials for reference.Creditor-debtor relations | Enforcement casesPlate. Legal basis: Article 563 of the Civil Code of the People's Republic of China (effective January 1, 2021) on the statutory right of rescission, and Article 566 on the consequences of rescission and restitution. The specific application shall be subject to the currently effective laws, regulations, and judicial rulings.

5. Henglu Law Firm's Reminder

Firstly, long-term suspension of work usually constitutes a fundamental breach of contract, and the buyer can claim to terminate the contract. Secondly, before terminating the contract, the buyer should evaluate the developer's assets and the prospects of obtaining compensation. Thirdly, in the event of bankruptcy, the refund may become an ordinary creditor's claim. Fourthly, whether the mortgage loan can be terminated simultaneously depends on the contract and the court's ruling. Fifthly, it is more effective for joint owners to take unified action than to act individually. For cases involving the return of houses and refunds for unfinished buildings, the buyer can seek legal remedies through legal channels.Real estate transactions | Construction projectsThe service provides a comprehensive solution, which includes the possibility of contract termination and breach of contract settlementBusiness and Commerce | Contract DisputesFor reference, please refer to the section on creditor's rights declaration and enforcementCreditor-debtor relations | Enforcement cases板块。

VI. Frequently Asked Questions

Q1: Can I definitely get a refund for a partially completed building?

Not necessarily. It depends on whether it constitutes a fundamental breach of contract and the situation of being given a notice to perform. According to Article 563 of the Civil Code of the People's Republic of China (effective January 1, 2021), if a party delays in performing the main obligation and fails to perform within a reasonable period after being given a notice to perform, or the delay in performance renders the contractual purpose impossible to achieve, the other party may rescind the contract. If the developer suspends construction for a long time and fails to deliver the property, the buyer can usually claim to rescind the contract and request a refund, but this still needs to be determined based on the specific circumstances of each case.

Q2: Who will repay the loan after check-out?

This requires specific handling, which may involve the termination of the contract. The loan contract between the owner and the bank is a different legal relationship from the sales contract. Generally, if the sales contract is terminated due to the developer's reasons, the owner can claim that the loan contract be terminated simultaneously, and the developer shall return the received purchase loan to the bank. However, there are different judicial opinions in practice. It is recommended to handle the matter in accordance with the contract provisions and the bank's opinions, under the guidance of a lawyer.

Q3: Can I get a refund if the developer goes bankrupt?

You can file a claim for compensation, but the order of repayment will be greatly affected. If the developer enters bankruptcy proceedings, and the owner requests a refund of the purchase price after terminating the contract, the claim will usually be treated as an ordinary creditor's claim and may be repaid proportionally; if the owner has already completed pre-registration or meets specific protection conditions, they may receive stronger protection. Therefore, whether to terminate the contract and when to file a claim need to be carefully decided based on the bankruptcy process and the expected repayment schedule.

Q4: Should I terminate the contract with the developer?

You need to weigh the pros and cons. If there's still a possibility of resuming work on the project, it might be more beneficial to continue performing the contract and claim the penalty for breach of contract if it occurs; if the project has no further progress and the developer's asset situation has deteriorated, terminating the contract and claiming the refund can help reduce further losses. The key factors are the prospects for resuming work, the asset situation, and your own needs. It is recommended to make a decision after evaluating the situation with the help of a lawyer.

Q5: Is it useful for property owners to join forces to protect their rights?

It is usually more effective. Unfinished buildings often involve many owners. By joining forces, they can make unified claims, share evidence, share costs, and exert greater negotiation pressure on the competent authorities and developers; they can also elect representatives in litigation or sue separately and adopt unified strategies. Whether they join forces or not, owners should pay attention to keeping their own contracts and payment receipts, ensuring that their rights are clearly based on solid foundations.

The above Q&A is mainly based on the judicial practice in the Beijing area. There may be differences in the adjudication opinions in different regions. It is recommended to consult a professional lawyer based on the specific circumstances of the case.

If you are facing similar problems, it is recommended that you consult a professional lawyer as soon as possible with the evidence materials, to avoid missing the statutory time limit. →Specialised services - Legal services·Beijing Henglue 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 you encounter disputes, please consult a practicing lawyer in time.