A number of residents at Keangnam Hanoi Landmark Tower have filed a lawsuit against Keangnam Vina Ltd. Company because the areas of their apartments was smaller than what was written in the contracts.
Under the contracts signed between the company and sales representatives, the price should be around USD3,000 per square metre.
Keangnam Vina Ltd. Company ever sued for applying service charges higher than those allowed under regulation
Le Xuan Hoa, one of the petitioners, said under the contract her apartment should have been 126.02 square metres. However, when she received the apartment, she suspected the area was too small. She suggested that her and Keangnam jointly hire an independent company to measure the area, but the company disagreed. Finally, she hired a firm on her own and found that her apartment was three square metres smaller than what she bought.
Mrs. Quyen who bought an apartment of 206.95 square metres, said that the real space she was given was just 197.6 square metres, including 16 square metres of reinforced concrete pillars and electrical boxes belonging to the building itself.
Ms. Le Minh Thao, whose apartment also lacks three square metres, said that the reinforced concrete pillars and electrical boxes were falsely included in the area of her apartment in the 48-storey building.
Attorney, Bui Quang Hung, of Bui Quang Hung and Associates Law Firm, said, “Clause 3 of the Ministry of Construction’s Circular 01/2009/TT-BXD on apartment trading, states clearly that contracts must clearly stipulate area owned by the buyer and that belonging to the common ownership of residents. Keangnam Vina Ltd. Company’s contracts have ignored this regulation, causing misunderstandings with their customers."
According to Hung, the company may have misrepresented the areas of the apartments intentionally, making their clients think that their apartments were larger than the actual size.
After receiving petitions on July 16, the People’s Court of Tu Liem District asked Keangnam to explain these misunderstandings, however the firm has continued to delay. Under current law, if the company fails to show any evidence, the case will be brought to the court based on residents’ complaints and evidence.
Previously Keangnam residents sued Keangnam Vina Ltd. Company for applying service charges higher than those allowed under regulation. Some have had these services discontinued.