Questions & Answers
Questions & Answers
9 available 9 • View allSeeking compensation or cancellation for delay in property delivery


15
Q: I've purchased an off-plan property in Dubai which was due for handover in Dec 2017 but still incomplete (approx. 80%).
70% has been paid from a purchase price of 1.8 million. Am I entitled to compensation for the delay or can I cancel the purchase in its entirety?
Thanks



Jan 23, 2019
14784
Claiming refund and compensation from a developer




2
Q: I purchased an apartment in August 2007 which was due for handover on October 31, 2009. The purchase price was AED 1.42 million.
The payment term was 50% in 7 instalments and 50% on project completion. I paid 50% as per the agreement, The developer informed me sometime in 2008 that the project was delayed due to force majeure as the substation in Business Bay was not complete.
Now it is 2020 and the project is still not completed. The substation in Business Bay had been completed years ago.
I would like to know if I am entitled to compensation for the delay or can I cancel the purchase in its entirety and get my money back along with interest?
Please advise me on my options and what steps should I take forward.





Feb 6, 2020
751
Claiming refund from property developer for delay in handover


3
Q: I had invested in an off-plan property with a developer paying 30%.
A year back, they offered me some discount to pay the balance (70%) in advance of handover mentioning it will be in May 2018, which I foolishly enough did.
The official handover date was March 2018. So it is delayed by more than a year grace period and I have not been notified in any way about any delays. They are no longer responding to emails.
The project shows completion of 82.18% at the land department website, but going by construction on-site, looks like it will take another 6-9 months, if not more.
Questions:
- Can I claim a full refund for money paid with interest?
- How much time does the legal process take because I have been told by some friends that the developer can drag the case for years?
- Any other option that I have as an investor to deal with a powerful builder?
Appreciate any advice that you can offer. Happy to share the documents for review.



Dec 17, 2019
709
Claiming refund from developer for delay in delivery



0
Q: Our company paid approximately 85,000 AED as advance (for commercial rent) to a developer whose project never got completed. The handover for the site was 1.5 years ago!
We have been requesting a refund since many months now but the landlord/developer is not cooperating. The payment was made via cheques and the lease had been signed as well.
Further, I have seven sent them a legal notice two months ago via Dubai Courts but there has been no reply from the developer.
May I know what could be done next?




May 7, 2020
481
Termination of SPA due to the delays in delivery and getting refund
0
Q: I've signed a booking form only back in September 2016 for an off-plan project. As per the booking form, the expected completion date was Dec 2017.
I paid until mid of 2017 30% of the value of the property, as 70% was set to be after the handover. The project is now recently completed in 2021.
I have not signed any SPA and reservation agreements for the residential apartment. They did not give me reservation and SPA until the end of 2019.
I requested a refund of my 30% payment back in Jan 2020 due to significant delays. Now, the handover started and I don't want to pay the final handover instalment.
I would like to ask if I can claim a refund and compensation based on the facts above.

Mar 23, 2021
149
Can I terminate a property purchase MOU and claim refund due to seller's breach?



3
Q: I signed an MOU for purchasing a property from the seller. It has now been close to two months, with no progress.
The tenant at the seller's property is not allowing time for valuation purposes. And now the seller is saying it's not his problem and is not willing to pay the 10% agreed as per the MOU.
There's a specific clause in the MOU as below:
"In the event that the 'seller' fails to complete the transfer on the agreed date due to his own act or omissions, then the full deposit will be refunded to the buyer, and also the 'seller' agrees to pay the same deposit amount to the buyer as a compensation for the loss of the said property unless they agreed amicably to different terms or dates."




May 4, 2021
3517
Can the property buyer hold payments due to continuous delay in the date of handover?

0
Q: Can a developer force the last payment (on possession/handover) after a 3-4 years delay?
I purchased villas in 2014, fulfilled my obligations and paid 90% each by May 2017(on time).
One villa has now been completed (April 2021) and the developer has been on my neck to pay since; no rest, nonstop calls, emails, penalties, and even threats of termination.
They STILL haven't completed the other villas. I sent a letter for an extension for 6 months and it was denied.
Please advise on what to do.
Thank you!


Aug 31, 2021
248
What to do when the developer is late in delivery and asking for payments?


1
Q: I booked an apartment in a building under construction.
I paid as per the plan but the developer couldn't complete it in time for about 2 years and it remained under cancellation as per the DLD site.
Then they restarted construction and now they have completed 70% of the project and up till now more than 3 years late.
Now, they threaten to give them the remaining payment and we want to cancel the next payment due at the time of handover as per the agreement.
Please advise what should I do and what is my legal position



Sep 12, 2021
1198
What can you do when the developer delays the property handover date?

0
Q: Good morning,
I have a question in regard to delayed property handover.
In March 2019 I deposited 5% of the property value and signed the reservation form which stated the unit price (736,000). I was promised (verbally) that the handover will be in August 2019.
A couple of months later, I received the SPA which stated the same price and the new completion date which was set in February 2020. I refused to sign until they changed to the agreed date.
2 years after this date, I paid 20% of the unit price in total and I am refusing to pay the 5% left as agreed in the reservation form.
I met with the developer more than a year ago (October 2020) and he said he will reduce the price of the unit. But when I went to sign the SPA again, the unit price was the same and the completion date was left blank to which I have refused to sign again.
I received the handover notice today (7 days later than stated), the developer doesn't respond. What can I do?
Thank you in advance.


Dec 28, 2021
242
Laws & Regulations
4 available 4 • View allLaw No. (8) of 2007 Concerning Escrow Accounts for Real Estate Development in the Emirate of Dubai 7
This Law applies to developers who sell units off-plan in real estate development projects in the Emirate of Dubai and who should receive payments from purchasers or financiers towards such real property units to the special escrow accounts.
May 6, 2007
11375
Law No. (13) of 2008 Regulating the Interim Property Register in the Emirate of Dubai 1
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.
Aug 14, 2008
4832
Law No. (9) of 2009 Amending Law No. (13) of 2008 Regulating the Interim Property Register in the Emirate of Dubai 2
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.
Apr 12, 2009
3125
Executive Council Resolution No. (6) of 2010 Approving the Implementing Bylaw of Law No. (13) of 2008 Regulating the Interim Property Register in the Emirate of Dubai 3
This Resolution approves the Implementing Bylaw of Law No. (13) of 2008 Regulating the Interim Property Register in the Emirate of Dubai.
Feb 14, 2010
5126

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View allCancellation of SPA for delay in delivery and defaulting on payments 0
Hi
I bought an off-plan property from a developer in downtown during the peak time. My payment plan was based on construction with completion being Dec 2019. I have paid more than 50%.
I requested the developer to readjust my payment plan as the project is delayed. They moved on payment forward and sneakingly changed completion date to Aug 2021 in the document. The SPA still says Dec 2019.
Now I'm struggling to pay the next payment due to COVID-19 and project is completed 56% as par Dubai land department and 60% as per the developer. The developer is asking for payment and calling me every day.
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Can I cancel my apartment and how much can the developer deduct?
After selling me, the developer started offering customers post-handover payment plans for 4 years, which is very unfair as even if I complete my payment, no one will buy from me as the developer is selling something with 4 years post-handover.
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