What to do if the construction company goes bankrupt? | NDR.de – News

von Marion Klinghammer

It’s a nightmare for every builder: The construction site is standing still because the construction company had to file for bankruptcy. The move to the new home is delayed. The rent for the old apartment and the loan for the new house must be paid at the same time – indefinitely.

Alarm signals for imbalance

The alarm bells should ring for builders if construction companies do not meet deadlines without plausible reasons or if there is a constant change of personnel. Caution is also required, according to insolvency administrator Andreas Franz, when suppliers and subcontractors contact the client and want to settle accounts directly because they are no longer being paid by the construction company.

Immediate measures in the event of bankruptcy

When a construction company goes bankrupt, Schwerin construction lawyer Jörg Borufka has important advice: “On no account should builders terminate the existing contract with the construction company and continue building with another company.” Rather, the state of construction should be documented by an expert. Because this documentation can later be used in court.

Secure before starting construction

According to insolvency administrator Andreas Franz, builders should protect themselves twice. Before starting construction, they should get a contract performance guarantee for the period of construction: “So that, in the event of insolvency, you are at least partially contractually secured there.” For the time after the end of the construction work, Franz also advises a guarantee bond so that you are also contractually secured for the period until the guarantee expires. The guarantees are issued by the banks of the construction companies or guarantee insurance companies. If a construction company is insolvent, builders should hire a lawyer. Together with the insolvency administrator, he examines whether and how the construction project can be completed.