Can a property developer legally charge customers late payment fees?

It should be mentioned in SPA.

Dear Questioner,

Thank you for reaching out with your question regarding late payment charges in property installments.

I appreciate your inquiry, and I'm here to provide some guidance on this matter.

In Dubai, property developers have the right to include clauses related to late payment charges in the Sale and Purchase Agreements (SPAs).

The Dubai Land Department (DLD) allows developers to outline the terms and conditions, including penalties for late payments, in the contractual agreements with their customers.

These charges are usually stipulated in the SPA, and it's essential for both parties to thoroughly review and understand these terms before signing the agreement.

The legality of such charges is contingent upon adherence to the local laws and regulations governing property transactions.

If you have a specific SPA or contractual clause in mind, I would be happy to review it in more detail and provide personalized advice based on the particulars of your situation.

Feel free to reach out to me via WhatsApp or phone to discuss your case further.

I look forward to assisting you with any additional questions you may have.

Best Regards,

Suhail Rana

Dear Client,

Thanks for your question! I hope you are doing well. I will assist you in this matter.

Property developers in the UAE can legally charge customers for late payment of installments and include provisions for late payment penalties in Sale and Purchase Agreements (SPAs) or contracts.

For any further legal assistance, you can WhatsApp us. We have an extensive team of knowledgeable and experienced lawyers to provide the legal assistance you need.

We will be happy to help you.

Thanks & Regards,

ABDUL WAHIED