So far, seven people who bought into the Residences at Hotel Georgia have sued in an attempt to get out of contracts to purchase high-end condos, now that values have dropped.
The buyers are going to argue that the developer originally estimated a completion date of December 2011, but didn't follow the proper guidelines in informing them of a new date, according to their lawyer, Bryan Baynham.
"The developer is allowed to change that date, but they have to formally do so by filing an amendment to the disclosure statement,” Baynham said.
“They never changed it. So they are in breach of the act. Because they are in breach of the act, they can't enforce the contract."
The lawyer for the Hotel Georgia development, Ken McEwan, however, says the correct procedures were followed and the contracts are enforceable.
The current expected completion date is December 2012.
McEwan also noted that an attempt to certify the lawsuits as a class action was rejected by the courts earlier this year.