Q: 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. My question is can I still use the delay in the project as a clause to cancel my unit? 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. Can legal help be provided in this regard?

Q: I have a mortgage of 1.3m with a bank. It is a lease and the property is registered on my name. At the moment, I live outside the UAE and cannot sell the property because of COVID-19. There is a 40-day delay with payments - 1.5 installment is due. The bank sent me information to clear the outstanding amount within 1 day or they will start a police case and repossess the property. Is a 40-60-day payment delay long enough to start a police case and repossess the property? What can I do to avoid consequences? I can settle the outstanding amount within 15 days. I plan to sell the property when the borders get reopened.

Q: Hi sir, I live in the UK. I am an investor and a broker for a property development company. One of my customers bought an off-plan property from it i.e just Cavalli Villa 2 years ago. 33% was completed and handover is due in 2021. My client paid part of the deposit around AED 390000 (£80000) and she has been paying to the project for the last two years until early this year when COVID- 19 hit the UK. Since then, she has been ill and lost her job and, therefore, she is unable to pay. My customer received a letter from the company saying that if the outstanding amount is not paid within 30 days, then they will take her to court. They say that they would cancel her plot and she will lose all MONEY paid so far. My client needs payment delay until her situation improves but this request has been declined. The money secured under the ESCROW account. Can the developer have the power to take money from the escrow account? What is her right under Dubai law? Can she do anything to avoid court order? The UK is in lockdown at the moment with no proper or normal banking functions. Thank you!

س: السلام عليكم، طلب مشورة من ذوي الاختصاص. لديّ شقة في مشروع عقاري، وحسب العقد المبرم أدفع ٤٥٪؜ من قيمة الشقة في أثناء البناء على تواريخ متفق عليها من قبل الطرفين و٥٥٪؜ عند الاستلام. ذُكر في العقد موعد الاستلام في شهر ١٢ من سنة ٢٠١٩، ولكنني دفعت ٢٥٪؜ فقط وأوقفت الدفع التالية في بداية ٢٠١٩ لأن المشروع كان متوقفًا تمامًا وبعدها جرت عدة اتصالات مع الشركة المذكورة حول سبب وقف العمل بالمشروع لأني لست مقيمًا في دبي والآن يطالبونني بسداد الأقساط المتفق عليها بقيمة (٢٠٪) مع غرامة لأنني أوقفت الأقساط بمبلغ ١٢٠ ألف درهم إماراتي. اتصلت بهم وبعثت عدة إيميلات ليحذفوا الغرامة وكان الجواب بالرفض بحجة التأخُّر في السداد. إذا كنت متأخرًا في السداد، فهم أيضًا متأخرون في تسليم المشروع وهو ما برروه بأن لديهم عذر في ذلك. طلبت منهم أيضًا دفع ٣٠٪؜ لغاية التسليم وبعد التسليم ٧٠٪؜ وأيضًا رفضوا. حاليًا ليس لديّ ثقة في هذا المطوِّر لأن تعاملهم ليس سلسًا مع العملاء. هل هناك طريقة لفسخ العقد واسترجاع أموالي التي دُفِعت لهم؟ أو، أضعف الإيمان، هل هناك تعويض بسبب تأخرهم؟ مع خالص شكري واحترامي!

Q: Dear Sirs, I signed a contract with a developer in the UAE to purchase a property off-plan, with expected completion in late 2024. Construction on the property has not started yet. I have also provided them with cheques for the downpayment as well as the installments. However, due to unforeseen circumstances, I informed them that I will not be able to go ahead with any of the payments. So far, I had only paid an initial "show of interest" fee of AED 10.000 by credit card. I have asked for the contract to be canceled, and for the cheques to be returned. They have refused to do so and stated that as a penalty for defaulting, I will have to pay 10% of the total amount. The first cheque for the down payment is due in one week and it will be returned by the bank due to insufficient funds. Kindly advise on my options.

As the world is currently experiencing a major lockdown and suspension of almost all commercial and civil operations, the question arises in the novelty of Coronavirus outbreak on how serious it is to be dealt with as a Force Majeure.

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.