Q: Hi, I purchased an off-plan property in Dubai that had an estimated completion date of August 31, 2020. I received an email that due to a delay, my completion date has been pushed forward to April 30, 2022. The email they sent for the delay did not say what was the reason for the delay. Since the developer has violated the SPA by delaying the project past 12 months of the completion date, can I request that the contract be cancelled and get what I have paid back? Do you believe that the developer could utilize Covid-19 as Force Majeure as a reason for not following the contract? Regards

Q: Delay in property completion and need for cancellation and exit from SPA Hello All, I booked for an off-plan property in Downtown Dubai by a leading builder. The completion date was June 2018. However, the property was not completed in June of 2018. I received a note in April 2018 citing the new completion date would be Dec 2019. Since the completion date is well over the stipulated grace period in SPA, I had requested the builder for a friendly settlement by cancelling the SPA and refunding the money as per the default by vendor clauses in the SPA. This has been refuted by the builder and repeatedly says that they cannot cancel the SPA and neither can they refund the money. What are the options available?

Q: I purchased an apartment in 2017 with a completion date of Q4-2018. Till now, the construction is not complete. And based on the construction update, it will not complete in 2020. As per the agreement I already paid 50% of the amount and rest 50% is due on completion. As per the Default and Termination clause of the SPA, I sent the notice for termination on 5th Jan 2019. This clause clearly states that "If the seller has not served the completion notice within a period of 12 months from the anticipated completion date (unless the delay is caused by force majeure) and the purchaser has fulfilled all of the purchaser obligations under this agreement, the purchaser shall be entitled to send a written notice to the seller requiring the seller to complete the building works within 90 working days of receipt of the purchaser's written notice. That time has elapsed and now I have to send the second notice as the remedial period of 20 days is also coming to an end. Please advise on the plan forward.

Q: I have purchased a property in a Dubai project and as per my agreement, they are supposed to give me possession by the second quarter of 2019. However, they have still not given possession and when I ask for the delay compensation of 4%, they are not responding to that. As per Dubai Real Estate Law, can I cancel the contract? I am no more interested in continuing with these guys. If I file a case in the court, will the court ask them to pay the delayed charges as well as the legal expenses? Please advise

Q: I had Invested in an upcoming residential project in June 2018 & paid 20% of the total property value. But there has not been any progress in their construction & also checked with Dubai Land Department & the developer as well for the status, and learnt that it is probably under cancellation. I requested via email to the developer for a refund but they have instead suggested me to opt for an ongoing project or a ready to move in property. But I do not intend to proceed & want my money back at the earliest possible. I have the SPA & proof of payment made i.e. Invoice as well.

Q: I purchased an off-plan property studio in Mar' 2018 from a well-reputed builder in Dubai. The anticipated handover date was March' 2020. In Aug 2019, I received notice that there is a fire incident at the site. Same month Aug' 2019 I have cross-checked the project status on the Dubai Land Department website which shows only 23% of work has been completed. It was clearly understood that the project was running late & they were never in a position to complete on-time March' 2020 even if the fire incident would not have happened. In the month of handover Mar' 2020, we have received that due to force majeure the handover is delayed & the remaining monthly instalments are paused & will be taken on completion, paid 50% till now. As I understand from my contract, delivery can be pushed by up to 12 months, however, there is no mention of actual delay that can be taken on a note of force majeure. What are my options with the developer? My preference would be to terminate the contract and get my money back.

Q: Hello, My father had purchased an off-plan hotel room (rental-pool) in Dubai. He paid the deposit and all fees and has been paying all installments on schedule towards the developer's escrow account. However, the project's ACD was on June 19, with the six-month extension, Dec '19. He stopped paying the installments after the extension period (paid around %65) on the grounds that the project is yet not running and not generating him any revenue. According to the DLD, the project reached 100% completion on October 20. He asked the developer to cancel the SPA after the extension period, but they kept stalling and saying it is not possible. Moreover, they provided us with different dates for the ADC. The SPA says June 19 while the Property Reservation Agreement says Dec 19. Due to financial constraints, he cannot continue with further payments. What is the possibility to cancel the SPA through the DLD or Real Estate Courts in Dubai?

بتاريخ 24/10/2023، صدر قرار الهيئة العامة لمحكمة تمييز دبي في الطعن 4 لسنة 2023 مرسياً مبدأً جديداً مفاده أن الأصل في الناس هو الإعسار وأن اليسار عارض، وأنه يتعين -تبعاً لذلك- على طالب التنفيذ أن يثبت يسار خصمه المنفذ ضده أو تهريبه لأمواله كي يستصدر أمراً بضبطه وإحضاره ثم حبسه لإكراهه بدنياً على السداد. وكما هو متوقع، أحدث هذا القرار ردود فعل كثيرة ومتنوعة، سيما وأنه قرار نوعي يقلب كثيراً من الأوضاع المعتادة رأساً على عقب ويغير من الحالة الاجتماعية السائدة الشيء الكثير.

This Law establishes interim property register in which sale contracts, off-plan sales, and other off-plan legal dispositions of real property are registered prior to inclusion in the property register maintained by Dubai Land Department.

The provisions of this Law supersede articles (2) and (11) of Law No. (13) of 2008 Regulating the Interim Property Register in the Emirate of Dubai.

This Resolution approves the Implementing Bylaw of Law No. (13) of 2008 Regulating the Interim Property Register in the Emirate of Dubai.