UOKiK is looking for companies from the development industry. He checks to see if they apply valorization clauses that drive up property prices.
The Office for Competition and Consumer Protection is conducting a survey of the development industry. Nearly 90 companies will be checked for use of indexation clauses. As part of the explanatory proceedings, 87 entrepreneurs received requests for information and necessary documents, one is already under explanatory proceedings.
– Agreements must be formulated unambiguously and in an understandable way regulate the relationship between the parties. Consumers have the right to know what obligations they undertake, what specific conditions they agree to. The right of the developer to change the price cannot lead to abuse of his position, burdening consumers disproportionately with the consequences of changing economic conditions on the market, says Tomasz Chrostny, president of UOKiK.
Valorization clauses
The use of indexing points is not prohibited, however, in the opinion of the UOKiK, this issue should be approached very carefully.
“Market volatility and price fluctuations are typical of the real estate industry. In an environment of high inflation, building material and labor costs, and possible delays associated with it, developers may seek protection against loss of return on investment. However, this should not happen at the expense of consumers, shifting the negative consequences of a difficult economic situation onto them.
“Each time, we will check the provisions of indexation agreements for their abuse and advise consumers to carefully analyze the documents they sign,” says Tomasz Chrostny, president of the OOCK.
Source: Wprost
