Questions & Answers
Questions & Answers
3 available 3 • View allHow to terminate the SPA of a property and claim refund for delay

1
Q: I have purchased an off-plan property from a Dubai based developer. The project is delayed and not yet completed and the DLD App is showing 85% progress.
As per the SPA, handover date is Q2/2018. I've sent 2 delay notices already during the last years, to the developer as per the SPA.
The developer verbally informed me that the Building Completion Certificate is planned in November and completion notices due on December 2020. This cannot be trusted as last year they informed the same.
Further, the developer's agent is just saying now I can't terminate the SPA since the progress achieved is more than 85% - as per the UAE property Law. This is not in line with the SPA as per my understanding.
40% of the apartment amounts are paid timely and in full together with 4% DLD Fees. Balance 60% is due only at the handover.
Currently, I want to terminate the SPA and obtain a full refund. Please advise legally how to take action on this requirement?
Thank you and waiting to hear from you.


Oct 13, 2020
636
The right to terminate the SPA and recover the paid amount
0
Q: I have purchased a studio unit from a developer in Oct 2015. To date, I have made 8 payments (total: AED 305.000) plus Oqood (30.000).
The developer destroyed my SPA without my knowledge (the excuse was that I didn't collect it but I have requested it on multiple occasions).
Currently, the project has been delayed for nearly 2 years. Initially, the handover was Q2, 2018 and now it's expected Q4, 2020 (not sure if that's possible as currently, it's only at 70.56 complete).
Can I cancel my contract and get my money back since I have no contract in place?
They are keen to set up a new contract and get me to sign one.

Jan 30, 2020
808
Terminating the SPA of an off-plan property when the project is almost completed
5
Q: What is a probability to terminate an SPA with the developer in Dubai through the court if:
1. ACD was Q1 2017 + 12 m
2. Based on inspection of 02/2019, the project is complete over 93%
3. It is possible that the project may complete before or during the claim process but it is also possible that the project may be delayed further at least for months
4. According to the SPA, “the Seller shall not be considered to be in default or in breach of its obligations … to the extent that performance of such obligations is prevented … due to Third Party delays … or because of the time extension given to the Main Contractor by the Consultant Engineer .. for reason whatsoever”.
Although it is likely that the delay has been caused by the Seller or due to reasons within its control (e.g, delaying payments to the Contractor), how can the Claimant access such evidence and does it matter given points 2-4?

Sep 3, 2020
796
Laws & Regulations
1 available 1 • View allFederal Law No. (5) of 1985 On the Civil Transactions Law of the United Arab Emirates 96
The provisions of this law, promulgating UAE Civil Code, govern the civil transactions in the United Arab Emirates. The commercial transactions remain subject to the laws and regulations applicable in their regard.
Dec 15, 1985
148537

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