Most of us have moved to Spain in the hope of enjoying a more relaxed and less complex lifestyle. Very soon we discover that one area in which our lives become more complex is in the documentation we need in connection with our homes, our day to day purchases, and even our very existence.

Many times in my professional life I am asked to advise clients who have made agreements in connection with personal or business transactions on the strength of a handshake on trust without getting any written evidence of what has been agreed or even who they have made their agreement with. When things go wrong, and you need to seek professional advice or the assistance of the courts to redress an injustice this is the first thing that we, as professionals, ask for.

The essential information can be summed up as who, what, when, where, and how much!

• Who you are dealing with
• What is being sold, rented, or what service is to be provided
• When the transaction is taking place and, if you are making an agreement for something to take place in the future, such as delivery or carrying out work, the date when it is to be done
• Where the transaction is being done, or where delivery or work is to be done
• How much is being paid at the time and/ or is due to be paid in the future

Often all this information will fit on the proverbial “back of an envelope” but both parties to the transaction must sign it.

In a private transaction, as a minimum, when paying over any money whether in cash or by cheque to a private individual always get a receipt in writing from the person you are paying. This should show the recipient´s name, address, the amount paid, what you are paying for, and as we are in Spain, their NIF, NIE, or passport number, and you should expect to provide them with same information.

Vehicles, boats, and other movable property which has to be officially registered are outside the scope of this article, but check in advance with your lawyer or gestoria, what are the essential documents in transactions concerning these items.

If you are dealing with a business, by law they must either provide you with an invoice showing all the above information and the amount of IVA (VAT), or for smaller transactions below €3,006.00 a till receipt, which contains the same information (Royal Decreee 1496/2003).

If the person or business you are dealing with is unwilling or unable to provide this information then simply refuse to do business with them.

Remember, in the words of Sam Goldwyn “a verbal contract is not worth the paper it´s written on”

For more information, please contact Michael Olmer, Solicitor at Link Point Legal and Business Services on 96 626 0500.