[Direct answer]In the Beijing area, it is necessary to distinguish the nature of the problem and the time of its discovery. Second-hand houses fall within the scope of sales contracts. According to Article 617 of the Civil Code of the People's Republic of China, if the subject matter delivered by the seller does not meet the quality requirements, the buyer may request the seller to bear breach of contract liability in accordance with the provisions of Articles 582 to 584 of the Civil Code, including repair, re-delivery, replacement, return, reduction of the price or compensation, and compensation for losses. After receiving the house, the buyer shall inspect it within the agreed or reasonable time limit and notify the seller of any non-compliance with the agreement. Failure to notify the seller may be deemed as the quality being in conformity with the agreement. For hidden defects deliberately concealed by the seller, such as serious leakage, illegal construction, and haunted houses, the buyer may claim breach of contract compensation, and if it constitutes fraud, the buyer may also request the rescission of the contract. For problems with facilities such as water, electricity, and heating, and unpaid fees, the responsibility is usually divided according to the contract provisions and the time of delivery.
I. Problem background and typical scenarios
After the completion of the second-hand housing transaction, problems are often discovered, which is a common source of disputes between buyers and sellers. Typical situations include: hidden problems such as wall seepage, roof leaks, and pipeline blockages after moving in; structural cracks or load-bearing modifications concealed by renovations; undisclosed illegal construction or additions to the house, which may face rectification risks; the seller failing to settle outstanding utility bills, forcing the buyer to bear the responsibility; appliances and furniture delivered not matching the agreed upon specifications or being damaged; and the concealment of major information affecting the transaction intention, such as the occurrence of an unnatural death in the house. When courts in Beijing handle such cases, they typically review whether the problems existed at the time of delivery, whether the buyer notified the seller within a reasonable timeframe, and whether the seller intentionally concealed the issues, in order to determine responsibility.
II. Key points of contention
First, whether the problem constitutes a quality defect or a hidden defect, and whether the responsibilities are different. Second, how to determine the buyer's inspection period and how to handle it when the agreed inspection period is too short. Third, whether the seller constitutes intentional concealment and can be identified as fraud. Fourth, how to choose the form of liability, whether it is repair, price reduction, compensation, or contract termination. Fifth, how to organize the evidence and appraisal of repair costs. Sixth, who should bear the responsibility for unpaid utility bills and facility failures. Seventh, whether the intermediary agency should bear corresponding responsibilities. Eighth, whether the buyer loses their rights if they fail to claim for a long time after accepting the house.
III. Professional analysis by Henglue Law Firm
In a dispute over a pre-sale contract for commercial housing handled by Henglue Law Firm, the buyer signed a contract with the development company and paid the full amount, agreeing on the delivery deadline and the standard of default penalty. The supplementary agreement granted a certain grace period and stipulated that the default penalty would be paid on a daily basis after the expiration of the grace period. However, the development company failed to deliver the property for nearly nine months, citing the pandemic, weather conditions, and meetings as reasons to claim force majeure exemption. The lawyer studied the contract and supplementary agreement, sorted out the delivery time, grace period, and default penalty standard, and collected payment receipts, move-in notifications, and completion and acceptance materials to form a chain of evidence. The lawyer argued that the pandemic had already become a normal situation before the contract was signed, and the development company should have foreseen this and thus could not claim force majeure. The grace period should be strictly applied according to the contract. The court adopted the lawyer's argument and ruled that the development company should pay over 100,000 yuan in default penalties and bear the litigation costs. This case highlights that, regarding delivery issues, contractual provisions and time points are the cornerstones of determining liability. For second-hand houses, Henglue Law Firm's practical experience includes: first, conducting a detailed inspection and documenting the current conditions with photos and videos upon delivery; second, notifying the seller in writing and asserting rights within a reasonable timeframe to avoid being deemed as having accepted the situation; third, involving hidden defects can be fixed through professional inspections and appraisals; fourth, if the seller intentionally conceals major issues, the buyer can claim breach of contract damages or request rescission of the contract; fifth, properly allocating responsibilities for unpaid fees and equipment malfunctions. This case was handled by Beijing Henglue Law Firm.Tian Jia YanThe attorney (practice certificate number: 11101202111381309, subject to the certificate issued by the judicial administrative organ) acts as the agent.
IV. Practical suggestions and legal basis
Practical suggestions: First, conduct a strict inspection upon receiving the property and prepare a written list, along with photos and videos as evidence; Second, notify the seller in writing within a reasonable timeframe upon discovering any issues, and retain the delivery and communication records; Third, for hidden issues such as seepage and structural defects, commission a professional institution to conduct inspections and appraisals; Fourth, verify the settlement of fees for utilities, water, and property management, and clarify the responsibility for any outstanding payments; Fifth, review whether the seller has concealed any major issues and, if necessary, demand rescission or compensation; Sixth, promptly initiate legal proceedings and apply for preservation measures if no agreement can be reached with the seller or the intermediary. For more details, please refer to the platform's services section.Real estate transactions and construction projects、Special services、Creditor's rights and debts, and enforcement,Business and contract disputes in enterprisesAndLabor arbitration and work-related injury compensationLegal basis: Articles 617, 620, 621, and 582 of the Civil Code of the People's Republic of China, as well as Article 148 (effective since January 1, 2021). The specific application shall be subject to the currently effective laws, regulations, and judicial rulings.
5. Henglu Law Firm's Advice
First, the acceptance of the house should be conducted in detail, and the written checklist and image materials are crucial evidence. Second, if any problems are found, the seller should be notified within a reasonable timeframe. Delaying the notification may be regarded as an acceptance of the issues. Third, for hidden defects and technical problems, it is advisable to fix them through professional appraisal to avoid relying solely on subjective descriptions. Fourth, if the seller intentionally conceals major issues, the buyer can claim compensation or rescind the contract. Fifth, the responsibilities for unpaid fees and facility malfunctions should be divided according to the contract and the delivery timepoint. Sixth, it is best to stipulate maintenance standards and cost-sharing in the contract in advance to reduce disputes. Seventh, if no agreement can be reached through negotiation, it is necessary to initiate legal proceedings and apply for preservation measures in a timely manner to prevent losses from expanding or the other party from transferring assets.
VI. Frequently Asked Questions
Q1: Who is responsible if a leak is found in a second-hand house after the handover?
It depends on whether the defect existed at the time of delivery and whether the seller concealed it. If it is a hidden defect that existed before delivery and the seller failed to disclose it, the buyer may claim breach of contract in accordance with Article 617 of the Civil Code of the People's Republic of China and demand repair, price reduction, or compensation; if the buyer fails to notify within a reasonable time, it may be deemed that the quality meets the contractual requirements.
Q2: Within how long after receiving the house can I raise objections and have them be valid?
It should be raised within the timeframe stipulated in the contract or within a reasonable period. If the agreed inspection period is too short, the buyer may request to handle the matter according to a reasonable timeframe. It is recommended that the buyer immediately notify the seller in writing upon discovering any issues and retain the delivery records, to avoid being deemed to have accepted the current state of the property due to exceeding the time limit. The specific timeframe should be determined based on the nature of the property and the type of issues involved.
Q3: Can the seller be held liable for compensation if they conceal the fact that the property is an illegal construction?
Yes. Illegal construction or additions constitute important facts that affect the transaction and use. If the seller intentionally conceals this information, which may constitute a breach of contract, the situation may be considered fraudulent, and the buyer may claim compensation for losses or request the cancellation of the contract. It is recommended to verify the planning and ownership information, and keep the seller's promises and communication records as evidence.
Q4: How to provide evidence of the repair costs?
This can be proven by materials such as the inspection reports and appraisal opinions from professional institutions, repair quotes, construction contracts, and invoices. It is recommended to first fix the current state of the problem with photographic evidence, then entrust a qualified institution to conduct an inspection to avoid losing evidence due to self-repair. If necessary, apply to the court to commission an appraisal.
Q5: Who is responsible for the unpaid water and electricity bills for the property?
Generally, it is divided according to the contractual provisions and the delivery time. Pre-delivery arrears are usually settled by the seller, and after delivery, they are borne by the buyer, unless otherwise agreed in the contract. It is recommended to jointly check the water, electricity, gas and property fees at the time of delivery and form a written confirmation to prevent disputes afterwards. If necessary, set aside settlement funds from the purchase price.
The above content is based on the judicial practices in the Beijing area. The facts of individual cases and the jurisdiction of the court may affect the conclusions. Welcome to consult Henglue Lawyers about specific situations.
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. →Legal services for the purchase and sale of real estate·Attorney Tian Jiaoyan·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. In case of disputes, please consult a practicing lawyer in time.