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Question · Transfer of control and obligations satisfied over time

The developer Belcastel sells off-plan a specific flat in a building under construction. The contract prohibits it from transferring that unit to another buyer, and the buyer could enforce its rights to that unit if it were transferred. According to a legal opinion, the contract and the law of the country give Belcastel, at all times, if the buyer terminates for reasons other than the developer's failure to perform, the right to obtain the price of the work performed, including a margin. In recent years, Belcastel has waived that right twice, for commercial reasons, out of thousands of contracts. The statutory auditor questions the recognition over time applied. Formulate and justify your opinion.

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Judgment question: compare your answer with the criteria and the model explanation.

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