Building law and regulation in Spain during Covid-19

Although there is not yet any construction-specific COVID-19 regulation, the Government has ordered the stoppage of all non-essential activities from 30 March 2020 to 9 April 2020 (this including construction works except for those considered of public interest).

The Government has issued certain credit facilities, which will be secured by the Government up to 80%.
The Government has flexibilize the approval of temporary employment regulations, which means that part of the payroll is temporary paid by the Government.

The Epidemics per se is not a force majeure Event. However, the paralysation of the works due to the Government's order can be deemed as force majeure (unless expressly provided for otherwise in the construction agreement). Direct consequences seem to be a delay in the contractual deadlines. Increase in price may be claimed by contractors if the situation persists in time.

No, unless the situation persists in time or unless the agreement expressly provides that this is a termination event.

No.

If the construction contract is signed during the ongoing COVID-19 pandemic, it might be more difficult for the contractor to be entitled an extension of the contract period since the contractor might be considered to have been aware of the circumstances at the time of signing the contract and the acceptance/approval of the time schedule for the construction works.

The applicable rules may change over the next days and weeks, therefore the legal situation should be regularly monitored.