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Dubai, UAE

Claiming back the fees paid to DLD after swapping a property with a different unit

I purchased an off-plan property a couple of years ago from a Dubai based developer. After multiple delays, the developer has agreed to allow me to withdraw from the SPA and swap with another unit they are offering in another building that has been handed over.

As part of the cancellation, am I allowed to claim back the 4% fee I paid on the original property from DLD?

Nour Attorneys & Legal Consultants
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16 Apr 2020, 04:03

Dear questioner,

DLD will not refund any paid fees for the registration or deregistration of a unit. You can try to claim 4% from the developer only.

Contact us via phone or email to provide you with legal advice or legal services.

Taken Care & Answered by,

Mohamed Noureldin

Legal Consultant (Licensed in Dubai)

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Elnaggar & Partners
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16 Apr 2020, 07:07

Dear questioner,

Did you complete the transaction with the DLD? do you have any receipts from DLD for the 4% you have paid?

If not, it means that the transaction did not reach the stage of registration and you can claim the funds from the developer, unless otherwise agreed.

In case you have the DLD receipts, and the property has been registered with them, you cannot claim the 4% from the DLD, but this supposes to be part of your settlement with the developer as mentioned in the agreement between you.

If there is no such clause in the termination agreement or amendment to the previous agreement (depends on the documents you have signed) between you and the developer, we have to serve the developer with a legal notice, requesting them to return the 4% or to offset that amount from the funds they are requesting for the new unit.

Please feel free to contact me via email.

Best Regards,

Raluca Gatina

Dr Amira Al Bastaki Advocates and Legal Consultants
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16 Apr 2020, 08:34

You can contact the developer to transfer the fee to the new unit or return it to you as part of the cancellation settlement.

You can contact us via e-mail.

Ibrahim Al Banna Advocates & Legal Consultants
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16 Apr 2020, 09:49

If the previous property is registered, then you will get that amount unless you enter into an agreement with the developer to adjust that amount with the pending payment.

For any queries, you may contact us via phone or email.

Thanks!

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