You Are Not Stupid… A note for Paragon Properties owners in Costa Rica.

Did you “buy into” Paragon Properties? Don’t feel bad, there is hope and maybe we can help! Hundreds of us; sophisticated investors, first time investors, and everything in between were also taken for hundreds of millions. We are here to support each other and make something good out of this mess.

DISCLAIMER: I am neither an attorney nor a real estate agent.  The following information has been gathered through my personal experience as I endeavor to develop my own properties which were purchased from Paragon. I make NO claims regarding the validity or legality of the information contained herein. I advise everyone to seek legal counsel with respect to their properties.

We are The Costa Rican Properties Investors Group and are comprised of individuals who originally purchased land from Paragon Properties of Costa Rica. Several of us have come together to form a Sociedad for the purposes of demonstrating possession and claiming our land.

Many of us have our deeds however; no infrastructure exists so we must develop our own parcels. Others paid in full but never received deeds and some made deposits and feel they are S.O.L.

Our goal is to amass enough people and funds to begin developing and constructing on our properties. This is a HUGE endeavor, an uphill battle and not for the faint of heart. If you have your deeds, or books, you probably own your lot. However, there are some legal loopholes that Paragon left open and if you have not closed them, you may lose your investment. Time is of the essence! You must DO something TODAY!

First things first. You MUST hire a Costa Rican attorney to review your paperwork and check the registry to verify that your property was recorded. You must make sure you are listed as the “gerente“, meaning; the “controlling agent” of your Sociedad. If you have your “books”, make sure Ex-Paragon attorneys do not have the power to transfer, encumber or sell your related properties.

Your property may not appear as an asset in your Sociedad because many were not “funded” into their respective entities. Instead, they were left “dangling” outside of them leaving many owners with empty corporate “shells.” You can still fix this but time is quickly running out and some of you may have already lost your particular parcels. However, there may be opportunities to pick up different lots via swaps, sales or auctions in the near future if you decide to become involved with our organization.

The statute of limitation to stake a claim to your land is 10 years from the date of contract and full exchange of funds for the purchase. Many of you might already be outside this time-frame, however, there may still be a window of opportunity depending on how and when you paid your last installment.

A good attorney may try to make the case that the contract was not completed until full payment was received. Your case will be stronger if you are within the 10 year statue.

Yes, I said “case”. You have to fix these issues via the judicial system in Costa Rica. The problem we faced with the US class action lawsuit against Paragon was the manner in which it was presented and more importantly, that it was served against them in the US. The US cannot help us. We must deal with Paragon through the Costa Rican judicial system.

Many steps must be taken to make this right. After hiring an attorney, you must pay your property and Sociedad taxes. September 2016 is the last chance to pay Sociedad taxes before the state absorbs the entity and its assets. (Sociedad taxes are the equivalent of corporate taxes.) Most of the properties Paragon sold us were registered under a corporate name; a “shell” corporation since most properties were never funded into them.

A Civil Process must be brought against Paragon if you haven’t received your deeds and a lien must be placed against them. A judge can rule in your favor however; the merits of each case must be examined individually — NOT VIA A CLASS ACTION. Believe it or not, Paragon still appears as the owner of hundreds of these properties. You must show interest, demonstrate possession and reclaim your properties NOW or forever hold your peace.

Who knows why Paragon didn’t finish what they started. The bottom line is, you made an investment. It is the 11th hour now and you must decide if you want to save it or walk away? That is your decision and you are free to do whatever you please, however, if you still have a property and are willing to just WALK AWAY, please call us. Don’t give Paragon and their cronies the chance to take them back again. They still have a stake in them. If you don’t claim them, they can easily repossess them.

Costa Rica has “squatter’s rights.” Anyone can go to court and prove they have been “tending and maintaining” your properties all of these years. A judge can rule in their favor if they prove you have “abandoned” them for non-payment of taxes, incompletion of title transfers and non-use of the land. If you haven’t demonstrated possession by fencing and tending to your properties, you risk losing your investments to Paragon or whomever else wants to adversely possess them.

Let’s do something to turn the tide around. Let’s move forward and get the job done. Paragon didn’t fulfill their obligation to develop infrastructure; let’s do it ourselves. You lost your savings; go find your lots, reclaim them and demonstrate possession. You feel like calling it quits; revive your interest and become proactive in this endeavor. The more of us that come together and finish what was started, the more chance we have of increasing the value of our investments.

The bottom line, let us help you help yourself. Don’t let Paragon or any of their affiliates keep your investment. You worked hard for your money. If you have had it and are willing to walk away…give us your lots so we can develop them and sell them to someone who will appreciate them. You may as well “give” them to Paragon if you do nothing. They will own them if you don’t claim them. Do you really think Paragon will not repossess them?

Remember, they are still listed as the legal owners for many of these lots. The 10 year statute is now starting expire. If you do nothing, you may lose everything. Don’t give them the pleasure of beating you in this game. And, that’s all this is…a game. The things in life that hold true value are love, family and health. This other stuff just makes life interesting.

Come join our cause here, we are here to help.

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Written by VIP Member Clarita Bassett.

Andrew Makarik

to@welovecostarica.com

Andrew Makarik is the main editor of WeLoveCostaRica, a fan of this sunny country. He is also a loving husband and a has a lovely daughter. By being a devoted family man and the biggest Costa Rica fan, he wants to make more people feel at home there. WeLoveCostaRica unites people and helps them find new home or a new travel destination. This website is a friendly community where everyone can find not only information, but also new friends and travel pals. Andrew is also passionate about IT and programming, so he himself maintains a friendly atmosphere in this cozy environment of WeLoveCostaRica.com.