The Spanish Civil Code stipulates that where offer and acceptance are met, there is a binding agreement. Both offer and acceptance can adopt the form of a written contract or a simple verbal agreement. However, in order to enforce a verbal agreement in a court of law you need to prove it took place, and for that purpose you will need proof by means of witnesses. Otherwise, the defaulting party might have performed actions that amount to an irrebutable presumption of the existence of that verbal agreement.
In your case, you donīt tell me whether any money was handed over as a deposit. The situation is serious enough for a lawyer to be engaged.